Min of Labour & Employment: Payment of Minimum Wages

   Under the provisions of the Minimum Wages Act, 1948 (M W Act) both the Central and State Governments are the appropriate Governments to fix and revise the minimum wages in the scheduled employments under their respective jurisdiction.

   Rates fixed in the Central sphere are applicable to establishments under Central Government/CPSUs in various States including Delhi. A copy of the Minimum rates of wages applicable in different scheduled employments under Central Sphere w.e.f.1.4.2013 is enclosed(Annexure-I).
 
   To compensate the effect of soaring prices, the concept of Variable Dearness Allowance (VDA) was introduced on the basis of recommendations of the Labour Ministers’ Conference held in 1988. Accordingly, VDA is revised periodically twice a year effective on April and October.
 
   Workers under various Delhi Government institutions/corporations fall under the jurisdiction of Labour Department, NCT of Delhi. The Ministry of Labour and Employment has not received any complaint for non-payment of minimum wages, insurance facilities, health facilities etc. in Delhi Government.

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.