Rakshak Industrial Security Agency Pvt. Ltd. v. Regional Labour Commissioner
2018-03-05
R.K.DESHPANDE
body2018
DigiLaw.ai
JUDGMENT R.K. Deshpande, J. (Oral) - Rule, made returnable forthwith. Heard finally by consent of the learned counsels appearing for the parties. 2. The challenge in this petition is to the order dated 28.8.2014 passed by the Regional Labour Commissioner (Central), Nagpur, under section 20(3) of the Minimum Wages Act, 1948 directing the petitioner employer to deposit within thirty days a sum of Rs. 63,928/towards the amount of compensation for failure to pay the requisite amount of minimum wages within a stipulated period. 3. It is not in dispute that during the course of inspection conducted on 27.8.2012 in the establishment of the petitioner employer, it was discovered that the amount of minimum wages paid to four employees were less than the rate at which they were required to be paid. Upon discovery of this fact, the petitioner employer paid the deficit amount on 31.8.2012 and 10.9.2012, that is within a period of fifteen days of such inspection as per the note put up therein. It is thereafter that the proceedings were taken up for award of compensation under section 20(3) of the Minimum Wages Act and the amount equivalent to the amount of deposit is directed to be paid by way of compensation, and that is why the petitioner employer is before this Court. 4. Smt. Munshi, the learned counsel appearing for the respondents, has invited my attention to the following portion appearing in the order impugned in this petition : "The Non-applicant respectfully submitted that due to non awareness of correct minimum rates of wages the employees were paid less wages." She also invited my attention to Annexure 16, wherein the authority under the Minimum Wages Act has recorded as under : "The Non-applicant requested for taking lenient view in the award of compensation." According to her, it is admitted by the petitioner employer that the employees were paid less wages and they have urged for taking a lenient view for awarding the compensation. 5. section 20 of the Minimum Wages Act deals with the decision on the claims for minimum wages. It is only if the order is passed under Section 20(3) of the said Act that the amount of compensation can be awarded.
5. section 20 of the Minimum Wages Act deals with the decision on the claims for minimum wages. It is only if the order is passed under Section 20(3) of the said Act that the amount of compensation can be awarded. In the present case, the petitioner employer has not waited for any adjudication under Section 20 of the said Act, but even before that, as was proposed in the inspection, the amount was paid to the employees. Merely because the employer has requested for taking a lenient view of the matter for compensation, will not justify the order directing payment of compensation. The fact remains that the payments were made even before the order under Section 20 of the said Act was passed and there was no occasion for the authority concerned to pass an order of compensation. 6. In the result, this petition is allowed. The order dated 28.8.2014 passed by the respondent No. 1 Regional Labour Commissioner (Central), Nagpur, directing the petitioner to deposit a sum of Rs. 63,928/towards the amount of compensation, is hereby quashed and set aside. 7. Rule is made absolute in the aforesaid terms. No order as to costs.