Government Increases Minimum Wage Rates

Government Increases Minimum Wage Rates

The central government has announced an increase in minimum wage rates through a revision of the Variable Dearness Allowance (VDA). This revision aims to help workers, particularly those in the unorganised sector, better manage the rising cost of living. The revision will be effective from October 1, 2024.

The revised wages will benefit workers across various sectors, including building construction, loading and unloading, watch and ward, sweeping, cleaning, housekeeping, mining, and agriculture. These sectors fall under central sphere establishments.

Minimum wage rates are structured according to skill levels—unskilled, semi-skilled, skilled, and highly skilled. They are further differentiated by geographical regions categorized as Area A, B, and C.

Under the new revision for Area “A,” unskilled workers in sectors such as construction and cleaning will earn ₹783 per day, amounting to ₹20,358 per month. Semi-skilled workers will now receive ₹868 per day, or ₹22,568 per month. Skilled and clerical workers will earn ₹954 per day, translating to ₹24,804 per month. Highly skilled workers, along with watch and ward personnel carrying arms, will receive ₹1,035 per day, which totals ₹26,910 per month.

This revision marks the second wage adjustment for 2024, following the previous update in April. The government revises the VDA biannually, in April and October, based on fluctuations in the Consumer Price Index for industrial workers.

Further details regarding the updated wage rates for various sectors, categories, and regions can be found on the Chief Labour Commissioner (Central) website at clc.gov.in.

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