Kingshuk Sarkar

On fixation of Minimum Wages And Redundancy of Expert Committees

Given the characteristics of Indian labour market minimum wage becomes very important. Indian labour market is characterized by huge excess supply of unskilled labour. This puts downward pressure on the market wages. Existence of huge excess army of labour may lead to stiff fall in wages, in certain cases, at an abnormally low level. Such low level of wages does not even ensure minimum sustenance and consequently non-fulfilment and reproduction of labour power.