Increase in Minimum Wages from 01.04.2021 to 01.10.2021
GOVERNMENT OF INDIA
MINISTRY OF LABOUR AND EMPLOYMENT
LOK SABHA
UNSTARRED QUESTION NO. 1176
TO BE ANSWERED ON 06.12.2021
INCREASE IN MINIMUM WAGES
1176. DR. G. RANJITH REDDY:
SHRI VENKATESH NETHA BORLAKUNTA:
SHRI PASUNOORI DAYAKAR:
SHRIMATI KAVITHA MALOTHU:
Will the Minister of LABOUR AND EMPLOYMENT be pleased to state:
(a)whether the Ministry justifies deferring mandatory increase in minimum wages for a year;
(b)whether it impacts 150 million workers and if so, the details thereof; and
(c)whether this results in loss of Rs. 7,500 crores to workers who otherwise would have got this amount as a part of hike in minimum wages?
ANSWER
MINISTER OF STATE FOR LABOUR AND EMPLOYMENT (SHRI RAMESWAR TELI)
(a) to (c): There is no deferring of revision of minimum wages in the Central sphere. The Central Government revises the basic rates of minimum wages for employees engaged in Scheduled employments in the Central Sphere every 5 years as stipulated under section 3 (1) (b) of the Minimum Wages Act, 1948. The basic rate of minimum wages for the scheduled employments in the Central sphere was last revised in 2017. Further, in order to protect the minimum wages against inflation, the Central Government revises the Variable Dearness Allowance (V.D.A) on basic rates of minimum wages every six months effective from 1st April and 1st October every year on the basis of Consumer Price Index for Industrial workers and accordingly it was last revised w.e.f. 01.10.2021. Statement showing increased rates of wages on account of revision in VDA from 01.04.2021 to 01.10.2021 is at Annexure ‘A’.