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Centre increases minimum wage rates for workers

This adjustment is aimed at helping workers cope with the rising cost of living.

Centre increases minimum wage rates for workers

[Representational Photo : iStock]

In a significant move to support workers, particularly those in the unorganised sector, the Centre has announced an increase in minimum wage rates by revising the Variable Dearness Allowance (VDA).

This adjustment is aimed at helping workers cope with the rising cost of living.

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

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

After the revision, the 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 Rs 868 a day( Rs 22,568 per month) for skilled, clerical and watch & wards without arms Rs 954 a day( Rs 24,804 per month) and for highly skilled and watch & ward with arms Rs1,035 a day( Rs 26,910 per month).

The Centre 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.

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