Government revises rate of minimum wages for central sphere employees

May 21, 2021

New Delhi [India], May 21 : At a time when the country is struggling with the second wave of COVID-19 pandemic, the government on Friday revised the rate of Variable Dearness Allowance (VDA) given to workers engaged in various scheduled employments in central sphere.
An official release said that the Labour Ministry has notified and revised the rate of VDA with effect from April 1 this year.
The VDA is revised on the basis of average Consumer Price Index for industrial workers (CPI-IW) a price index compiled by Labour Bureau.
The average CPI-IW for the months of July to December 2020 was used for undertaking the latest VDA revision.
"This will benefit about 1.50 crore workers engaged in various scheduled employmentsin central sphere across the country. This hike in VDA will support these workers particularly in the current pandemic times," Labour and Employment Minister Santosh Gangwar said.
The rates fixed for scheduled employment in central sphere are applicable to the establishments under the authority of central government, railway administration, mines, oil fields, major ports or any corporation established by the central government.
The release said these rates are equally applicable to contract and casual employees and workers.