According to the Concise Law Dictionary, ‘wage’ means the giving of a security for the performance of anything. The money paid for labour or services usually according to specified interval of work.
Wages, in the widest sense, mean any economic compensation paid by the employer, under some contract, to his workers for the services rendered by them. Wages, therefore, include family allowance, relief pay, financial support and other benefits. But, in the narrower sense, wages are the price paid for the services of labor in the process of production and include only the performance wages. They are composed of two parts - the basic wage and other allowances.
The basic wage is the remuneration which is paid or payable to an …show more content…
The Committee consisted of representatives of employers, employees and Government. Their task was to enquire into and report on the subject of fair wages to labour.
The Committee on Fair Wages, 1948 and 15th Session of Indian Labour Conference (held in July, 1952) have propounded certain methods of wage payment like minimum wage, fair wage, living wage and need based minimum wage.
CONCEPT OF MINIMUM, LIVING AND FAIR WAGE AS DEFINDED BY THE COMMITTEE ON FAIR WAGES, 1948
Based on the needs of the workers, the employer’s capacity to pay and the prevailing general economic conditions of the Country, the Committee on Fair Wages, 1948 and 15th Session of Indian Labour Conference (held in July, 1952) have propounded certain methods of wage payment like minimum wage, fair wage, living wage and need-based minimum wage. While the first three methods were described by the Committee on Fair Wages, 1948 which are as follows:
A minimum wage is a compensation paid to the workers by the employer, irrespective of his ability to pay, for the services rendered by them. The Committee on Fair Wages said that the minimum wages should be such which is sufficient to cover the bare physical necessities of a worker and his family. It must include some measures for education, medical facilities and other amenities. Thus, a reasonable standard of living must be rendered to every
Click here to unlock this and over one million essaysGet Access
The minimum amount required for an employer to pay their employees is called minimum wage. Chris Fitzsimon stated that “Minimum wage is a part of the Fair labor Standards Act which sets a limit on how much a person can make, whether it means only making that specific amount of income but no less than that.” Minimum wage has been a big problem in the political realm as well
Initially the minimum wage law was introduced to reduce poverty and inequality. Proponents of the Minimum wage do believe that these laws attain to these objectives. They do guarantee that the workers at the bottom level of the pay scale are being treated right and don’t get underpaid as the result of the belonging to a particular race or sex. They also guarantee that the workers are receiving a reasonable compensation from the employer (Cho, n.d.). The proponents of minimum wage also believe that it may have a positive reflection on the work ethics of the low-pay workers, thus it may benefit employers. It is also might encourage more people to join the workforce instead of trying to gain earnings by the means of unlawful methods, such as prostitution, selling narcotics
Minimum wage was created in the year of 1938 with the pay of twenty-five cent an hour. Minimum wage was created with the intent to support the minimum of living and limit the severity of poverty. The national minimum wage rate is seven twenty-five per hour. There are opposing sides in the debate to raise minimum wage. The debate for raising minimum wage is apparent. “Economists argue about minimum wages” by the Economist and “The argument against raising minimum wage” by Huppke, each have important information and details pertaining to the argument. The raising of minimum wage may in turn
Minimum wage has been a continuing matter since its first establishment, and it is something everyone faces. Though, the recurring problem being brought up again and again is the issue of being underpaid, and is the set minimum wage fair? And will raising minimum wage be more beneficial or harmful in the long run? Through its history can society better understand and find a solution to this problem. Minimum wage was not instituted in the United States until the 1920s, and the idea of wages being determined by the hour was introduced in the 1930s. The Fair Labor Standards Act was born and passed through the Supreme Court in 1938, as well as the Wage and
Also referred to as living wage, minimum wage is the lowest hourly rate allowed by federal law to be paid to an employee by an employer that is usually determined by inflations and other economic factors. Usually, it is an economic program stipulating an employee’s benefits of working per hour valued against a hardship policy instigated by the employer. In the United States, the minimum wage first came to light during the Depression era which has propelled from levels of 25cents to $7.25 per hour since 1993 (David, 2013). Irrespective if this steep increase, matters inflation in the
Let’s start with the definition of the minimum wage. Minimum wage is defined as a legally mandated price floor on hourly wages, below which non-exempt workers may not be offered or accept a job (Minimum Wage 2015).
Minimum wage is defined as the lowest wage payable to an employee in general or to designated employees as fixed by law or by inion agreement. This wage is compensation created as a reward that is reasonable to the employer and the employee alike. Patton suggests that in compensation policy there should be seven criteria for effectiveness. Compensation should be adequate, equitable, balanced, cost-effective, secure, incentive-providing, and acceptable to the employee (Konopaske, 2013), although the government directly affects minimum wage compensation through wage controls and guidelines. Government laws are established to prevent discrimination.
Minimum wage requires paying every employee a specific wage regardless of the employee productivity. It is the responsibility of the government to set the minimum wage. To understand this, a biology analogy can be used: some animals are stronger compared to others. In economic perspective, some people are relatively unable to deliver compared to others. Among them include, disabled, unskilled, and the youth. Due to their low productivity, they are entitled lower wages corresponding to their efforts (Waldman, 2011).
There are several arguments that exist both for and against minimum wage. Minimum wage is the lowest wage that a person can get paid for their work. This is usually seen in labor unions.
The wage ceiling laws were later used to set a living wage. An amendment to the Statute of Labourers in 1389 set wages to the price of food. As times passed, the Justice of the Peace, who had the authority in establishing the maximum wage, also began to establish official minimum wages. King James I later formalized with the passage of the Act Fixing a Minimum Wage in 1604 for workers in the textile industry (Mihm, 2013).
In this paper I will introduce the concept of minimum wage and a few of the laws that govern wage rates within the United States. I will also discuss some of the idea of both the support and opposition to minimum wage. I will also introduce some United States companies who have made the decision to raise their own minimum wages, why they made the decision to do so, and the changes and expectations they have as a result. Raising minimum wage for a company is not easy, and what to raise it to is harder, but for many companies, it is a good idea. In this paper, I will explain why.
Why was minimum wage established? In the late 1890’s several political movements emerged to improve working conditions and wages American women and children. Women and children did not possess the privilege of negotiating contracts or joining unions. The circumstance allowed employers to pay them the very minimum leading people deep into extreme poverty causing them to involucrate in denigrating moral acts in order to afford an adequate standard of living. In the early 1910’s, Massachussetts enacted the first minimum wage law and was followed by many other states in the later years. These laws focused on weekly wages based on the individual’s age and experience. However, these laws did not include protection for men which led to inequality of employment. Many argued that minimum wage laws set standards of employment that were not suitable for men, which made
Minimum wage definition: Minimum wage refers to the base rate of pay for employees for the normal hours worked. The minimum wage depends on the industrial sector that applies to their employment; these include a national minimum wage order, enterprise agreement, transitional pay scale, and a modern award. In the United States, the minimum wage is set by the collective efforts of the local, state, and federal statutes. The workers generally have to be paid not less than the set minimum wage; this is usually specified by either the local, state or the federal government. The minimum wage provisions for the Federal government are contained in the Fair Labor Standards Act (FLSA). The current minimum wage by the Federal provisions stands at 7.25
2. For the purpose of this article, "pay" means the ordinary basic or minimum wage or salary and any other consideration, whether in cash or in kind, which the worker receives directly or indirectly, in respect of his employment, from his employer.<</p>
‘Wage’ entered English in the 14th century, widely denoting “a salary paid to a provider of service” (Etymonline.com), regardless of the work’s length or nature. This contrasts with modern usage, with ‘wage’ mainly reserved for an “amount paid periodically” (Oxford English Dictionary Online).