Wage floor level raised by Rs 5

NEW DELHI: The minimum floor level wage has been increased by Rs 5 at the national level to Rs 50 per day with effect from September 1.
Labour minister Sahib Singh Verma has written to all state governments to ensure that no worker was paid less than Rs. 50 per day as the minimum wage in scheduled employment, official sources said here on Friday.
Sources said the national floor level minimum wage of Rs. 35 was fixed in 1996 on the recommendations of the National Commission on Rural Labour.
It was increased to Rs 40 in August 1998 in scheduled employment and subsequently raised to Rs 45 in November 1999.
The number of scheduled employment in the central government is 45 whereas in the state sphere the number is 1,232, sources said.
Under the Minimum Wages Act, the appropriate Governments are required to revise the minimum wages in all scheduled employment under their respective jurisdiction at an interval not exceeding five years.
In order to protect the minimum wages against inflation, the concept of linking it to the rise in the consumer price index was recommended at the Labour Ministers’ conference in 1988. Since then the concept of variable dearness allowance (VDA) linked to CPI has been floated. VDA is revised twice a year in April and October.