The Central government announced a revision of the Variable Dearness Allowance (VDA) and an increase in the minimum wage for unorganised sector workers, effective from October 1, 2024. The new rates aim to help workers manage rising living costs, particularly in sectors like construction, housekeeping, agriculture, and mining. These adjustments are specific to workers in central sphere establishments, following the previous wage revision in April 2024.
The minimum wage is set based on workers’ skill levels—unskilled, semi-skilled, skilled, and highly skilled—and the geographical area they work in, categorized into Areas A, B, and C. In Area A, covering metro cities, unskilled workers will now earn Rs 783 per day (Rs 20,358 per month), semi-skilled workers Rs 868 per day (Rs 22,568 per month), and skilled workers Rs 954 per day (Rs 24,804 per month). Highly skilled workers and security personnel with arms will see the highest rate at Rs 1,035 per day (Rs 26,910 per month).
The VDA is reviewed twice annually, with changes taking effect on April 1 and October 1, based on the six-month average of the Consumer Price Index (CPI) for industrial workers. This ensures wages are adjusted for inflation. The revised rates, along with detailed area-specific wage information, are available on the Chief Labour Commissioner’s website. This increase is expected to provide financial relief to millions of workers across the country.
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