Industries oppose Labour Dept plan to hike minimum wage; govt may call stakeholders' meeting soon
Bengaluru: Karnataka government has decided to review Labour Minister Santhosh Lad’s plan to hike the minimum wages of over 1.7 crore employees in 84 different companies owing to pressure from the company managements.
Deputy Chief Minister DK Shivakumar also recently assured the industries that no hurried decision would be taken in the matter without consulting the managements, according to a report by Deccan Herald.
The government has proposed minimum wages in the range of Rs 31,114 to Rs 23,276 for unskilled labourers across three zones (zone 1 – Bengaluru Urban and BBMP limits, zone 2 – city corporations and district headquarters and zone 3 – regions except zones 1 and 2.)
The two-month window period given by the government to receive objections to the draft notification ended on June 25 and up to 160 industries, including the Federation of Karnataka Chambers of Commerce and Industry (FKCCI), the Karnataka Small Scale Industries Association, the Adani Group and the Karnataka Employers’ Association, are learned to have raised objections, telling the Labour Department that the proposals were ‘too steep’.
Karnataka High Court has issued a notice to the state government following a petition filed by the Nanjappa Hospitals-Shivamogga taking objection to the notification. The government has responded with an assurance to the HC that representatives of industries would be consulted before taking any action regarding the wages. The HC, however, has said that the petitioners are free to move the court to seek appropriate relief in the matter.
Trade unions, on the other hand, have welcomed the government’s notification in principle, but they have also sought wages higher than the government’s proposal by citing the Supreme Court’s guidelines in the landmark Reptakos Brett Case of 1991, where the apex court emphasized the importance of a fair wage and the need to protect established benefits.
The All India Trade Union Congress (AITUC) and the All India Central Council of Trade Unions have asked for minimum wages in the range of Rs 40,410 to Rs 33,902 for unskilled workers in zones 1-3 based on present-day prices of food, clothing and shelter.
In accordance with the Mandate of the Minimum Wages Act, 1948, the Labour Department has decided to urge the government to call a meeting of the Minimum Wages Advisory Board, which includes representatives of unions, managements and government officials in equal numbers, to finalize the prices. The file is reportedly likely to reach the government within the next couple of days.
Sources in the Department, however, have said that the stiff opposition from the industries remains a hurdle for the government’s plan to take a quick decision. Minister Lad too is learned to have said that the due procedure would be followed and a Minimum Wages Advisory Board meeting would be held within a month to take a decision after consulting opinions of all stakeholders.
AITUC State Secretary Satyanand Mukund has also asked the government to take a decision soon as the window period has ended.
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Odisha: BJD, Congress demand rollback of fuel price hike
Bhubaneswar (PTI): The opposition BJD and Congress on Friday demanded an immediate rollback of the fuel price hike, accusing the ruling BJP of adopting a "double standard" on the issue of GST on petrol and diesel.
The women's wing of the Congress staged a demonstration near a fuel station in Bhubaneswar, protesting the increase of Rs 3 per litre in petrol and diesel prices.
BJD spokesperson Lenin Mohanty said the BJP had demanded that petrol and diesel be brought under the GST regime when it was in the opposition in the state, but was now taking a contradictory stand after coming to power.
"This is the time for the BJP to honour its earlier commitments and bring petrol and diesel under GST after withdrawing VAT. The party said one thing while in opposition, but after assuming power, it is misleading the people with a different stance," he alleged.
In a statement, the BJD claimed that fuel prices were not reduced even when international crude oil prices had fallen below USD 60 per barrel, allowing oil companies to earn massive profits at the expense of consumers.
"Now, when crude oil prices are rising, the BJP government has increased fuel prices by Rs 3 per litre to protect the profits of oil companies. This exposes the true character of the BJP," it alleged.
Ipsita Sahu, president of the Biju Chhatra Janata Dal, said the Centre should explain "under what pressure" it was being compelled to avoid cheaper fuel imports from Russia.
Meanwhile, Mahila Congress activists marched from the party's state headquarters to a fuel station in the Unit-2 area of Bhubaneswar, demanding rollback of the hike in petrol, diesel, commercial LPG and CNG prices.
As part of the protest, women activists brought two-wheelers without petrol to symbolically highlight the burden of rising fuel costs.
District Mahila Congress president Shriya Mohanty claimed the fuel price hike exposed the real nature of the BJP government.
"During the Manmohan Singh government in 2014, diesel was sold at Rs 55 per litre and petrol at Rs 70 per litre," she claimed.
