Revised Rates of Minimum Wages in Delhi Notified by Govt.

Revised/ Increased Minimum Wages Rates notified by Delhi Govt. in the Official Gazette on 4 Mar. 2017, however Hon’ble President returns the Bill for reconsideration of the Delhi Assembly on certain issues

Minimum Wages Rates (Delhi) w.e.f. 3 Mar. 2017 Notification

Delhi has become the first state for the highest increase in the minimum wage rates, as the Govt. has notified in Official Gazette the revised/ increased rates applicable w.e.f. 4 Mar. 2017 after approval from the Hon’ble LG of Delhi. It is pertinent to note that revision in the rates of minimum wages was carried out last in 1994 and since then only Dearness Allowance (DA) has been increased from time to time, mostly twice in a year, based on increase/ decrease in the Consumer Price Index (CPI) Numbers.

Schedule of EmploymentsCategory of Workmen/ EmployeesMinimum Wages (Rs/ pm)Minimum Wages (Rs/ daily)
All Schedule employmentsa) Unskilled13,350/-513/-
b) Semi-skilled14,698/-565/-
c) Skilled16,182/-622/-
d) Clerical and supervisory staff
 i) Non Matriculate14,698/-565/-
 ii) Matriculate but not Graduate16,182/-622/-
 iii) Graduate and above17,604/-677/-

It may be noted that the minimum rates of wages fixed in Delhi, from time to time, are linked with All India Consumer Price Index Series, 2001 (Base 2001=100). For Dearness Allowance neutralization, the rate of adjustment is taken as Rs. 1.35 per point for Unskilled, Rs. 1.50 per point for Semi skilled, Rs. 1.65 per point for Skilled, Rs. 1.50 per point for Non matriculates, Rs. 1.65 per point for Matriculates but not Graduate and Rs. 1.80 per point for Graduate and above. This adjustment is made in half yearly basis, i.e., on 1st April and 1st October each year, after taking into account the average index numbers for July to December of the previous year and January to June of the current year respectively. However, in case there is decline in All India Consumer Price Index, there shall be no impact on notified applicable minimum rates of wages for different category of workmen/employees due to adjustment on account of apparent decrease in dearness allowance.

Hon’ble President returns the Bill for reconsideration of the Bill by Delhi Govt.

Reportedly, the Minimum Wages bill has been returned by the Hon’ble President of India for reconsideration on certain issues relating to penal provisions, etc. In view of the same, enforceability of the Minimum Wages notification published in the Official Gazette is a matter of legal review. In the meantime, we can say that existing rates of minimum wages shall continue to be applicable until the bill is duly approved by the Hon’ble President in due course.

11 Comments

  1. Govind Mar 8, 2017
    • Ashwani Mehta Mar 9, 2017
  2. Ritesh Jha Mar 9, 2017
  3. Bhagat Ram Mar 9, 2017
  4. Indresh Pandey Mar 9, 2017
  5. Braj Mohan Mandal Mar 10, 2017
  6. Kuldeep Mar 10, 2017
  7. RAM BAHADUR MAURYA Mar 10, 2017
  8. Rahul Raj Jha Mar 10, 2017
  9. Vicky Mar 10, 2017
  10. P K Karn Mar 10, 2017

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