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" Similar definition of " wages " is to be found in the , also. Ratio |
They would therefore include all payments made from time to time to a workman during the course of his employment as such and not merely the starting amount of wages at the beginning of his employment. Ratio |
The dictionary meaning of the term in the Concise Oxford ]Dictionary is also the same, viz., " Amount paid periodically, especially by the day or week or month, for time during which workman or servant is at employer 's disposal ". Ratio |
The use of the word " rate " in the expression " rates of wages" has not the effect of limiting the connotation of the term. Ratio |
"Rate" is described in the Concise Oxford Dictionary as " a statement of numerial proportion prevailing or to prevail between two sets of things either or both of which may be unspecified amount, etc., mentioned in one case for application to all similar ones, standard or way of reckoning (measure of) value, etc." In C... |
Rates of wages would thus include the scales of wages and there is no antithesis between the, two expressions, the expression being applicable both to the initial as well as subsequent amounts of wages. Ratio |
It is true that in references made to Industrial Tribunals fixing of scales of pay has been specifically men tioned, e. g., in the Industrial dispute between certain banking companies and their workers. Ratio |
But that is not sufficient to exclude the " scales of wages " from being comprised within the larger connotation of the expression "rates of wages " which is capable of including the scales of wages also within its ambit. Ratio |
Even without the specific mention of the scales of wages it would be open to fix the same in an inquiry directed towards the fixation of the rates of wages. Ratio |
It is also true that Industrial Tribunals have laid down that the increments of wages or scales of remuneration could only be fixed having due regard to the capacity of the industry to pay. Ratio |
In the case of the Britannia Building & Iron Co. Ltd.(1): " As time scales increase the wage bill year after year which is reflected in the cost of production, such Scales should not, in our opinion, be forced upon the employer of industrial labour unless it is established that the employer has the present capacity to ... |
Thus, both financial ability and stability are requisite conditions. Ratio |
" Similar observations were made in the case of the Union Drug Co. Ltd.(1): " For before incremental scales can be imposed by adjudication, it is essential to see whether employer would be able to bear its burden. Ratio |
The financial condition of the Company must be such as to lead to the conclusion that it would be able to pay the increments year by year for an appreciable number of (1) (1954] , 654(2) , 767. Ratio |
89 years, for wage scales when settled are intended to be long term schemes. Ratio |
" This consideration however of the capacity of the industry to pay does not militate against the construction adopted above that rates of wages do comprise within their scope the scales of wages also and it therefore follows that the fixation of rates of wages would also include the fixation of scales of wages. Ratio |
As a matter of fact, the provisions in regard to the statutory minimum wages in Queensland, Western Australia, and Tasmania prescribe scales of wages which are graduated according to age and experience. Ratio |
The capacity of the industry to pay being thus one of the essential ingredients in the fixation of wages, it is relevant to consider the different methods of measuring such capacity. Ratio |
The capacity of the industry to pay: The capacity of industry to pay can mean one of three things, viz : (i)the capacity of a particular unit (marginal, representative or average) to pay, (ii)the capacity of a particular industry as a whole to pay or (iii)the capacity of all industries in the country to pay. " Ideas on... |
In New Zealand and Australia, the capacity to pay is calculated with reference to all industries in the country and no special concessions are shown to depressed industries. Ratio |
In Australia the Arbitration Court considered that " in view of the absence of clear means of measuring the general wage paying capacity of total industry, the actual wage upon which well situated labourers were at the time maintaining the average family unit could justifiably be taken as the criterion of what industry... |
This is at best a secondary definition of capacity, for it could only serve to show that certain industries or units could afford to pay as much as certain others. Ratio |
" The Bombay Textile Labour Inquiry Committee 12 90 came to the conclusion that it was not possible to define the term "capacity to pay" in a precise manner and observed as follows: "The capacity to pay a wage cannot obviously be determined merely by the value of production. Ratio |
The determination of each of a large number of charges involves difficulties, both theoretical and practical. Ratio |
Interest charges, remuneration to salaried staffs and managing agents, sales commissions, profits, all these cannot for any large organised industry be taken as pre determined in a fixed manner. Ratio |
Neither is it to be expected that representatives of Labour would accept without challenge the current levels of expenditure on these items apart from the consideration whether the industry has been reasonably wellmanaged or not." " That Committee was, however, of the opinion that capacity should not be measured in ter... |
The relevant criterion should be the capacity of a particular industry in a specified region and, as far as possible, the same wages should be prescribed for all units of that industry in that region. Ratio |
It will obviously not be possible for the wage fixing board to measure the capacity of each of the units of an industry in a region and the only practicable method is to take a fair cross section of that industry. Ratio |
"(1) It is clear therefore that the capacity of an industry to pay should be gauged on an industry cum region basis after taking a fair cross section of that industry. Ratio |
In a given case it may be even permissible to divide the industry into appropriate classes and then deal with the capacity of the industry to pay classwise. Ratio |
(1) Report of the Committee on Fair Wages, pp. 13 15, paras. Ratio |
21& 23. Ratio |
91 As regards the measure of the capacity again there are two points of view in regard to the same: " One view is that the wage fixing machinery should, in determining the capacity of industry to pay, have regard to (i) a fair return on capital and remuneration to management; and (ii)a fair allocation to reserves and d... |
The other view is that the fair wage must be paid at any cost and that industry must go on paying such wage as long as it does not encroach on capital to pay that wage. . Ratio |
The objective is not merely to determine wages which are fair in the abstract, but to see that employment at existing levels is not only maintained but, if possible, increased. Ratio |
From this point of view, it will be clear that the level of wages should enable the industry to maintain production with efficiency. Ratio |
The capacity of industry to pay should, therefore, be assessed in the light of this very important consideration. Ratio |
The wages board should also be charged with the duty of seeing that fair wages so fixed for any particular industry are not very much out of line with wages in other industries in that region. Ratio |
Wide disparities would inevitably lead to movement of labour, and consequent industrial unrest not only in the industry concerned but in other industries." (1) The main consideration which is to be borne in mind therefore is that the industry should be able to maintain production with efficiency and the fixation of rat... |
Different tests have been suggested for measuring the capacity of the industry to pay: viz: (1) The selling price of the product; (2) The volume of the output; (3) the profit and loss in the business; (1) Report of the Committee on Fair Wages, p. 14, para. Ratio |
92 (4) the rates which have been agreed to by a, large majority of the employers; (5) the amount of unemployment brought about or likely to be brought about by the imposition of the increased wage, etc. Ratio |
They are however not quite satisfactory. Ratio |
The real measure of the capacity of the industry to pay has been thus laid down in " Wage. , & the State " by E.M. Burns at p. 387: " It would be necessary to inquire inter alia into the elasticity of demand for the product, for on this depends the extent to which employers could transfer the burden of the increased wa... |
It would also be necessary to inquire how far the enforced payment of a higher wage would lead employers to tighten up Organisation and so pay the higher wage without difficulty. Ratio |
Again unless what the trade can bear be held to imply that in no circumstances should the existing rate of profit be reduced, there is no reason why attempts should not be made to discover how far it is possible to force employers to bear the burden of an increased rate without driving them out of business. Ratio |
This would involve an investigation into the elasticity of supply of capital and organization ability in that particular trade, and thus an inquiry into the rate of profits in other industries, the ease with which transferences might be made, the possibility of similar wage regulation extending to other trades, and the... |
" The principles which emerge from the above discussion are: (1) that in the fixation of rates of wages which 93 include within its compass the fixation of scales of wages also, the capacity of the industry to pay is one of the essential circumstances to be taken into consideration except in cases of bare subsistence o... |
The machinery for fixations of wages: The fixation of wages may form the subject matter of reference to industrial tribunals or similar machinery under the Labour Relations Law. Ratio |
But this machinery is designed for the prevention and settlement of industrial disputes which have either arisen or are apprehended, disputes relating to wages being one of such disputes. Ratio |
The ensuring of an adequate wage is however a distinctive objective and it requires the setting up of some kind of wage fixing board, whether they be trade boards or general boards. Ratio |
It is seldom that legislative enactments themselves fix the rates of wages, though a few such instances are known. Ratio |
This method of regulation of wages has now become obsolete in view of its inflexibility. " (1) " The Constitution of Boards falls naturally into two main groups. Ratio |
P. 26, para. Ratio |
94 general and employers in general being represented. Ratio |
This group includes among others the Industrial Welfare Commission of Texas, consisting of the Commissioner of Labour, the representative of employers of labour on the Industrial Accidents Board and the State Superintendent of Public Instruction; the Minimum Wage Board of Manitoba, composed of two representatives of em... |
On the other hand are those Boards representative of one trade only or of part of a trade, or of a group of allied trades. Ratio |
An attempt is made to obtain a body of specialists and the membership of the Board reflects this intention. Ratio |
It will contain an equal number of representatives of employers and workers, together with an impartial chairman, and in some cases members of the public as well. Ratio |
Of this type are the British Trade Boards; the South Australian, Victorian and Tasmanian Wages Boards; and the Advisory or Wages Boards set up by many of the Central Commissioners in the United States and Canada. " (1) The following is a brief description of the composition and working of wages boards in the United Kin... |
The trade board is a fairly large body consisting of an equal number of representatives of employers and workers with a few independent members including the Chairman. Ratio |
95 are appointed on the recommendation of the associations concerned. Ratio |
The trade board publishes a notice announcing its tentative proposals for the fixation or revision of a wage rate and invites objections or comments. Ratio |
After a two months ' notice the board takes a final decision and submits a report to the Minister who must confirm the rate unless, for any special reasons, he returns the recommendations to the board for further consideration. Ratio |
" (1) The Wage Council Act, 1945 (8 & 9 Geo. Ratio |
VI, ch. 17) provides for the establishment of Wage Councils. Ratio |
The Minister of Labour and National Service has the power to make a wages council order after considering objections made with respect to the draft order on behalf of any person appearing to him to be affected. Ratio |
The Wage Council makes such investigation as it thinks fit and publishes notice of the wage regulation proposals and parties affected are entitled to make written representations with respect to these proposals which representations the Wage Council considers. Ratio |
The Wage Council can make such further enquiries as it considers necessary and thereafter submit the proposals to the Minister either without amendment or with such amendments as it thinks fit in regard to the same. Ratio |
The Minister considers these wage regulations proposals and makes an order giving effect to the proposals from such date as may be specified in the order. Ratio |
Remuneration fixed by the wage regulation orders is called statutory minimum remuneration. Ratio |
There are also similar provisions under the Agricultural Wage Regulation Act, 1924 (14 & 15 Geo. Ratio |
V, ch. 37) in regard to the regulation of wages by Agricultural Wages Committees and the Agricultural Wages Board. Ratio |
In Canada and Syria a board consists of generally 5 members, but in China the size of the board varies from 9 to 15. Ratio |
In all these countries employers and workers obtain equal representation. Ratio |
In Canada the boards are required to enquire into the conditions of work and wages. Ratio |
25 26, para. Ratio |
96 the recommendations have to be submitted to the Lieutenant Governor who issues orders. " In the United States of America some state laws prescribe that the representatives of employers and workers should be elected, but in the majority of States the administrative authorities are authorised to make direct appointmen... |
The boards so set up are empowered to make enquiries, to call for records, to summon witnesses and to make recommendations regarding minimum wages. Ratio |
Some of the American laws lay down a time limit for the submission of proposals. Ratio |
The administrative authority may accept or reject a report and refer it back for reconsideration, or form a new board for considering the matter afresh. Ratio |
Some of the laws provide that if the report is not accepted, the matter must be submitted again to the same wages board or a new wages board. Ratio |
" (1) The whole procedure for the determination of wages in the United States of America is described in two decisions of the Supreme Court: (i) Interstate Commerce Com. Ratio |
vs Louisville & M. R. (2) and (ii) Opp. Ratio |
Cotton Mills Inc. vs Administration (3). Ratio |
The Fair Labour Standards Act of 1938 in the U.S.A. provides for convening by the Administrator of industry committees for each such industry which from time to time recommend the minimum rate or rates of wages to be paid by the employers. Ratio |
The committee Recommends to the administrator the highest minimum wage rates for the industry which it determines, having due regard to economic and competitive conditions, will not substantially curtail employment in the industry. Ratio |
In Australia, also there are provisions in various states for the appointment of wage boards the details of which we need not go into. Ratio |
We may only refer to the wage board system in Victoria which was established (1) Report of the Committee on Fair Wages, p. 26, para. Ratio |
(2) ; ; (3) (1940) 312 U S 126; ; 97 in 1896 as a means of directly regulating wages and working conditions in industries subject to " sweating ", and was not intended to control industrial relations as such. Ratio |
" Under the Factories and Shops Act, 1924, wage boards are set up for the various industries with a ' court of Industrial Appeals to decide appeals from a determination of a wage board. Ratio |
Industries for which there is no special wage board are regulated by the General Wages Board, which consists of two employers ' representatives nominated by the Victorian Chamber of Manufacturers, two employees ' representatives nominated by the Melbourne Trade Hall Council, and a chairman, agreed upon by these four me... |
"(1) It may be noted that in the majority of cases these wage boards are constituted of equal number of representatives of employers and employees and one or more independent persons, one of whom is appointed the chairman. Ratio |
The position in India has been thus summarised: " The history of wage fixation in India is a very recent one. Ratio |
There was practically no effective machinery until the last war for the settlement of industrial disputes or the fixation of wages. Ratio |
The Act had limited application and the Court was not charged with the responsibilities of fixing and regulating wages. Ratio |
During the war State intervention in the settlement of industrial dis putes became necessary, and numerous adjudicators were appointed to adjudicate on trade disputes under the Defence of India Rules. Ratio |
The , is the first effective measure of All India applicability for the settlement of industrial disputes. Ratio |
Under this Act various Tribunals have passed awards regulating wages in a number of important industries. Ratio |
" The first enactment specifically to regulate wages in this country is the . Ratio |
(1) Kenneth F. Walker, "Industrial Relations in Australia". STA |
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