Stories
Central Government Announces Massive Minimum Wage Hike for Workers

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News18•05-10-2026, 23:20
Central Government Announces Massive Minimum Wage Hike for Workers
- •The Central Government has revised the Variable Dearness Allowance (VDA) and increased minimum wage rates, effective from October 1, 2026.
- •The revision by the Ministry of Labour and Employment is based on the increase in the average Consumer Price Index for Industrial Workers.
- •Daily wages for various categories of workers including agricultural and construction workers have seen a significant hike.
- •Depending on the worker category and areas A, B, or C, unskilled construction workers will get at least Rs 840 per day while high-skilled workers will receive up to Rs 1,111 per day.
Key Questions Answered
The revised minimum wage and Variable Dearness Allowance (VDA) issued by the Ministry of Labour and Employment became effective from October 1, 2026.
The revision was made based on an increase in the average Consumer Price Index for Industrial Workers, which rose from 424.80 to 431.42 up to June 30, 2026.
The minimum wage for an unskilled construction worker in Area A is set at ₹840 per day, consisting of a basic wage of ₹523 plus ₹317 in VDA.





