Minimum Wage Fixing


Minimum Wage Fixing : ILO Convention No. 131 (1970) concerns protection against excessively low wages. The ratifying State undertakes to establish a system of minimum wages covering all groups of wage earners whose terms of employment are such that coverage would be appropriate; these groups shall be determined either in agreement or after consultation with the representative organizations of employers and workers concerned, where these exist. The elements to be taken into consideration in determining the level of minimum wages shall, as far as possible and where appropriate, include the needs of workers and their families, and economic factors including the requirements of economic development and a high level of employment. Machinery adapted to national conditions and requirements shall be created and/or maintained, whereby minimum wages can be fixed and adjusted. The representative organizations of employers and workers concerned or, where no such organizations exist, representatives of employers and workers concerned shall be consulted in connection with the establishment and operation of such machinery. Wherever appropriate, provision shall be made for their direct participation, on a basis of equality, in its operation. Under certain circumstances, persons having recognized competence may participate. Minimum wages shall have the force of law and failure to apply them shall incur appropriate penal or other sanctions. Appropriate measures, such as adequate inspection reinforced by other necessary measures, shall be taken to ensure the effective application of all provisions relating to minimum wages. See: Equitable wages; Wages policy
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