Government Boosts Minimum Wages Lifeline for Workers Amid Rising Living Costs
On Thursday, the Central Government announced a significant increase in minimum wage rates by updating the Variable Dearness Allowance (VDA), which will take effect on October 1. This move is designed to support workers, particularly those in the unorganized sector, and help them manage the rising cost of living.
According to the official PIB release, the revised wage rates will benefit workers in various fields, including construction, loading and unloading, housekeeping, and agriculture.
The minimum wage structure is categorized by skill levels—unskilled, semi-skilled, skilled, and highly skilled—and divided by geographical areas: A, B, and C.
For area “A,” the new daily wage rates will be as follows: unskilled workers in construction, sweeping, and similar tasks will earn Rs 783 per day (about Rs 20,358 monthly); semi-skilled workers will receive Rs 868 daily (around Rs 22,568 monthly); skilled workers, including clerical staff and security personnel without arms, will earn Rs 954 per day (approximately Rs 24,804 monthly); and highly skilled workers or those in armed security roles will make Rs 1,035 daily (around Rs 26,910 monthly).
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The government typically revises the VDA twice a year, on April 1 and October 1, based on the average changes in the Consumer Price Index for industrial workers. The last adjustment occurred in April 2024.
In related news, Delhi Chief Minister Atishi announced a boost in the dearness allowance (DA) and minimum wage for skilled and unskilled workers, effective October 1. This coordinated effort underscores a commitment to improving workers’ livelihoods during challenging economic times.