The minimum wage standard refers to the minimum labor remuneration that the employer should pay according to law on the premise that the laborer provides normal labor within the statutory working hours or the working hours stipulated in the labor contract signed according to law. Its composition does not include wages for extended working hours, allowances for workers in special working environments and conditions such as night shift, high temperature, low temperature and underground, and welfare treatment for workers stipulated by laws, regulations and the state.
According to China's statistical standards, total wages generally consist of the following parts:
(1) hourly wage;
(2) piece-rate wages (including piece-rate excess wages);
(3) bonuses;
(4) Allowances and subsidies;
(5) overtime pay;
(6) Wages paid under special circumstances.
Among them, hourly wages and piece-rate wages are generally called basic wages.
Theoretically, according to the explanation of "normal labor", the minimum wage should only include the basic remuneration obtained from fixed labor during the system working hours. However, due to the unreasonable composition of current wages in China and the small proportion of basic wages, bonuses have not been excluded from the composition of the minimum wage in the Minimum Wage Regulations.
The minimum wage standard is determined by the provincial people's government with comprehensive reference to the following factors: the minimum living expenses of the workers themselves and the average population raised; Social average wage level; Labor productivity; Local employment situation; And the differences in the level of economic development between regions. Due to the uneven level of economic development in various regions of China, there is a big difference between the wage level and the price level. "The specific standards of the minimum wage shall be formulated by the people's governments of provinces, autonomous regions and municipalities directly under the Central Government and reported to the State Council for the record". According to the provisions of the labor law, the minimum wage in China is determined by region at present, and there is no unified standard in the whole country. The minimum wage does not include personal social security, provident fund, overtime pay, etc.
Legal basis:
Article 49 of the Labor Law of People's Republic of China (PRC)
To determine and adjust the minimum wage standard, we should comprehensively refer to the following factors:
(a) the minimum living expenses of the workers themselves and the average dependent population;
(2) the average social wage level;
(3) labor productivity;
(4) Employment status;
(5) The difference of economic development level among regions.