Wage

The answer to what is a wage is simple; it refers to the remuneration provided to employees for their services rendered to a company. Wages are generally paid on an hourly or daily basis. Alternate forms of compensation are commissions and salaries. Wages are a significant expense to a company and they depend upon the hours of work that an employee puts in as well as the employee’s skill level.

In India, the minimum wage is regulated by the Code on Wages Act, 2019 and is computed based on:

• State
• Zone, which is an area within the state based on development level 
• Industry of employment
• Occupation
• Level of skill

Here is a wage example you can consider to better understand the wage meaning: A worker works for 6 hours a day in a factory and the hourly rate is ₹200. At the end of the working day, the worker earns ₹1,200. This earning is called the wage.