Centre hikes minimum wages for unorganised sector workers

The central government has raised the minimum wage payable to unorganised workers engaged in building construction, loading and unloading, watch and ward housekeeping, and agriculture by establishments under the purview of the central government

The minimum wage rates have been fixed separately for unskilled, semi-skilled, skilled, and highly skilled workers as also depending on the cost of living in the areas they are employed – categorised as A, B, and C.

Accordingly, beginning 1 October, minimum wage rate for workers in construction, sweeping, cleaning, loading and unloading for unskilled work in `A’ category area will go up to Rs783 a day while it will be Rs868 for semi-skilled work and Rs954 for skilled, clerical and watch and wards without arms and Rs1,035 for highly skilled clerks and watch and ward with arms.

Minimum wage rates for unorganised sector workers were last revised in April 2024. Since then living costs have gone up across all category areas and the wage revision is based on this.

The new wage rate includes the variable dearness allowance component that is added to the base wage rate twice a year – on 1 April and 1 October. The DA rate is based on the six-month average increase in the Consumer Price Index for industrial workers.