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Azim A. Charania (Manager- Compliance)     23 March 2017

Respected  Sir,


With due respect to  you and to your Chair, Need your  valuable Views on the above captioned subject matter on my queries listed after brief history of our Factory / Establishment.  

We are Private Limited Company having Registered Office at Mumbai Maharashtra, having Pan India presence Plant ( Factory) & Office dealing in the business of Oil Blending  and refiling of Lubricant Oil and Gas ( LPG ).

In term of Section 2 A of the Industrial Disputes Act , 1947. from our perspective Appropriate Government in our case is Central Government. As we dealing in business which is related to Oil Industries  

We have entered in to the Service Agreement with Private Security Agencies for providing security services for our Pan India Presence of Factory and Offices which is coming to end by 31st March 2017.

Due to increased in Special Allowance / VDA  Notified by State Government / Central Government every Six Month, Private Security Agencies are raising bill demanding difference in DA / Special Allowance.   

As per Central Government Notification 2233 Dated 18th September 2008, as per Explanation for the purpose of Notification at Serial number 2 & 4 which read as follow

(2) Where the Existing  rates of Wages of any employee based on contract or agreement or otherwise are higher than the rates notified herein, the higher rates shall be protected and treated as minimum wages, applicable for the purpose of this notification to such employee.

(4) The Minimum rates of  Wages are applicable to employees employed by Contractors also.

Now the September 2008 Central Notification is superseded by Central Government Notification Dated 19 Jan 2017. number SO 191 E.

As per Explanation for the purpose of Central Notification dated 19 Jan 2017 at (c) & (f) are same as of Serial number 2 & 4 of Central Notification 18th Sep 2008 

Further Explanation (j) Central Notification dated 19.01.2017 which read as follow.

Wherein in any area the minimum rates of wages fixed by this notification are lower than the minimum rates of wages fixed by State Government for employees of the aforesaid employment in relation to which the State Government is the Appropriate Government, the rates of wages fixed by the State Government shall in respect of these areas, be deemed to be the minimum wages payable under this notification.

Q Who will be  Appropriate Government  State Government OR Central Government in our case?

Q Does above Two Notifications are applicable to us as we are Principal Employer & Not the Contractor ?

Q Which Notification we have to follow State Government Notification OR Central Government Notification with regard to Explanation (2) of 2008 notification &(j)  of Notification 19.01.2017 attached as above of Central Notification for paying Minimum rates of Wages?

A line in reply is appreciated for such act of kindness I remain indebted to you.

Thanks and regards,
 


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