Amendment of Minimum Wages Act.

   As per the existing provisions of Minimum Wages Act, minimum wages are revised quinquennially in the Central Sphere. In order to protect the minimum wages against inflation, the Central Government introduced the idea of Variable Dearness Allowance (VDA) since 1989. The appropriate Governments are required to increase the minimum rates of wages from time to time by adding VDA, twice a year or annually, taking into account the rise in the Consumer Price Indices for the Industrial Workers. In the Central sphere, the minimum rates of wages are revised effective from 1stApril and 1st October every year.