Source: Kerala High Court 

Why in News? 

Recently, Justice Viju Abraham directed to pay wages under the Minimum Wages Act, 1948 to housekeeping staff engaged in the Private hospitals. 

• The Kerala High Court held this in the matter of Korambayil Hospital & Diagnostics Centre (P) Ltd.& Anr v. State of Kerala and Ors. (2025). 

What was the Background of Korambayil Hospital & Diagnostics Centre (P) Ltd.& Anr v. State of Kerala and Ors. (2025) Case? 

• The case arose when the Assistant Labour Officer inspected the hospital premises and initiated proceedings under the Minimum Wages Act, 1948. 
• The inspection led to an order directing the hospital and the contractor to pay over ₹7.31 lakh as arrears and an equal amount as compensation to 34 employees who worked from October 2015 to March 2016. 
• The petitioners argued that since the workers were cleaners, only the general notification for sweeping and cleaning (Rs. 150 per day in municipal areas) applied, and they had complied with it. 
• However, the agreement between the hospital and the contractor established that the services provided were comprehensive housekeeping, which attracted a higher wage scale notified for private hospitals. 
• The hospital claimed they were paying the notified minimum wage for sweeping and cleaning under a general notification, but the court found this insufficient. 

What were the Court's Observations? 

• Justice Viju Abraham observed that the agreement itself specified that the contractor would provide full housekeeping services, including maintaining hygiene and neatness in the entire hospital. 
• The services included trained staff for sensitive areas like operation theatres and ICUs, which goes beyond mere cleaning work. 
• The Court upheld the Deputy Labour Commissioner's conclusion that the staff were doing work equivalent to that of housekeeping staff and were entitled to the higher minimum wage as notified for private hospitals. 
• The court emphasized that "a person engaged as housekeeping staff is entitled for pay fixed as per Ext.P4 and if the same is not paid, will be a violation of the principles of 'equal pay for equal work'." 
• The Court relied on the Supreme Court judgment in State of Punjab and Ors. v. Jagjit Singh and Ors. (2017), which held that "it is fallacious to determine artificial parameters to deny fruits of labour." 
• The Court noted that "An employee engaged for the same work cannot be paid less than another who performs the same duties and responsibilities. Certainly not, in a welfare State. Such an action besides being demeaning, strikes at the very foundation of human dignity." 

What is the Minimum Wages Act, 1948? 

• The Minimum Wages Act, 1948 is a comprehensive legislation enacted to prevent exploitation of workers and ensure payment of minimum wages in scheduled employments. 
• The Act aims to secure the welfare of workers in the unorganized sector by providing for fixation and revision of minimum wages. 
• The Act empowers both Central and State Governments to fix minimum wages for different categories of workers in scheduled employments. 
• The Act classifies employment into skilled, semi-skilled, and unskilled categories, with different minimum wage rates for each category. 
• The Act provides for penalties for non-payment of minimum wages and empowers labour officers to conduct inspections and enforce compliance.