Centre Raises Minimum Wages for Agricultural and Industrial Workers

The Union government of India announced an increase in the central minimum wages for agricultural and industrial workers on Thursday. The revision, intended to address rising prices, has been made in accordance with sectors and skill levels, as revealed by a notification from the central labour commissioner.

As per the Minimum Wages Act of 1948, both central and state governments hold the authority to set, review, and revise the floor wages for workers in sectors under their respective jurisdictions. This recent adjustment by the central government is expected to benefit workers in various sectors, including building construction, cargo handling, security services, housekeeping, mining, and agriculture. The revised rates will be effective from October 1, 2024. The last wage revision took place in April this year.

The minimum wage, which is legally protected as the lowest remuneration that must be paid to workers, cannot be undercut by individual or exclusive contracts. Following the latest revision, unskilled workers in construction, sanitation, and cargo sectors will receive a minimum of ₹783 per day or ₹20,358 per month, whichever is higher, according to the notification.

Semi-skilled workers will be entitled to ₹868 per day or ₹22,568 per month, while skilled, clerical, and security personnel without firearms will see their minimum wages increased to ₹954 per day or ₹24,804 per month. Highly skilled workers and security personnel with firearms will earn a minimum of ₹1,035 per day or ₹26,910 per month.

The government conducts these wage revisions biannually, linking them to the Consumer Price Index for Industrial Workers, which monitors price changes in a specific set of goods utilized by the labor force.