Amid rising living costs, govt hikes minimum wage rates for workers

The Union government on Thursday announced a hike in minimum wage rates for workers up to Rs 1,035 a day by revising variable dearness allowance.

Image used for representational purpose only. Photograph: ANI Photo

This adjustment is aimed at helping workers cope with the rising cost of living, a labour ministry statement said.

After revision, minimum wage rates in area 'A' for workers in construction, sweeping, cleaning, loading & unloading for unskilled work will be Rs 783 a day (Rs 20,358 per month).

For semi-skilled workers, the minimum wage rate will be Rs 868 a day (Rs 22,568 per month) and for skilled, clerical and watch & wards without arms at Rs 954 a day (Rs 24,804 per month).

The minimum wage rate for highly skilled and watch & ward with arms will be Rs 1,035 a day (Rs 26,910 per month).

The new wage rates will take effect from October 1, 2024. Last revision was done in April 2024.

The minimum wage rates are categorized based on skill levels-unskilled, semi-skilled, skilled, and highly skilled-as well as by geographical area - A, B, and C.

In a significant move to support workers, particularly those in the unorganized sector, the Central Government has announced an increase in minimum wage rates by revising the Variable Dearness Allowance, the labour ministry statement said.

Workers engaged in various sectors, including building construction, loading and unloading, watch and ward, sweeping, cleaning, housekeeping, mining, and agriculture within central sphere establishments, will benefit from the revised wage rates.

The Central Government revises the VDA twice a year, effective from April 1 and October 1, based on the six-month average increase in the Consumer Price Index for industrial workers.

Detailed information regarding the minimum wage rates by sector, categories and area, is available on the website (clc.gov.in) of the chief labour commissioner (Central).