Updated October 2nd 2024, 19:47 IST
In a significant move aimed at addressing the rising cost of living, the central government has revised the Variable Dearness Allowance (VDA), resulting in a substantial increase in the minimum wage rates for workers in the unorganised sector. The revised wages will be effective from October 1, 2024, benefiting workers in various sectors.
"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 Ministry of Labour and Employment announced in a press release dated September 26, 2024.
Minimum wages are determined based on the skill level of workers—unskilled, semi-skilled, skilled, and highly skilled—and their geographical area, classified into Areas A, B, and C.
The government typically revises the VDA twice a year, on April 1 and October 1, based on the six-month average increase in the Consumer Price Index (CPI) for industrial workers.
Worker Category | Area A | Area B | Area C |
Unskilled | 783 | 655 | 526 |
Semi-Skilled / Supervisory | 868 | 739 | 616 |
Skilled / Clerical | 954 | 868 | 739 |
Highly Skilled | 1035 | 954 | 868 |
Area | Basic Wages | VDA | Total |
Area A | 523 | 260 | 783 |
Area B | 437 | 218 | 655 |
Area C | 350 | 176 | 526 |
Work Type | Basic Wages | VDA | Total |
Excavation (Soft soil) | 351 | 179 | 530 |
Excavation (Soft soil with rock) | 531 | 264 | 795 |
Excavation (Rock) | 703 | 350 | 1053 |
Removal of rejected stones | 283 | 143 | 426 |
Stone breaking (1.0 to 1.5 inches) | 2171 | 1061 | 3232 |
Stone breaking (1.5 to 3.0 inches) | 1857 | 907 | 2764 |
Stone breaking (3.0 to 5.0 inches) | 1088 | 535 | 1623 |
Stone breaking (above 5.0 inches) | 893 | 441 | 1334 |
Worker Type | Area A | Area B | Area C |
Without Arms | 954 | 868 | 739 |
With Arms | 1035 | 954 | 868 |
Area | Basic Wages | VDA | Total |
Area A | 523 | 260 | 783 |
Area B | 437 | 218 | 655 |
Area C | 350 | 176 | 526 |
These revised minimum wage rates apply to workers in sweeping and cleaning sectors, excluding activities prohibited under the Employment of Manual Scavengers and Construction of Dry Latrines (Prohibition) Act, 1993.
Published October 2nd 2024, 19:47 IST