Report on Determining Methodology for Fixing National Minimum Wage

The expert committee under the Chairmanship Dr Anoop Satpathy has submitted its report on “Determining the Methodology for Fixation of the National Minimum Wage to the Government of India. The Expert committee was asked to examine and review the norms and methodology for fixation of the national minimum wage and determine the base level National minimum wage/wages through an evidence-based approach.

Recommendations of the Committee

The committee has made the following recommendations:

  • Keeping in mind the nutritional requirement norms as recommended by the Indian Council of Medical Research (ICMR), the committee recommends that food items amounting to the level of ± 10 per cent of 2,400 calories, along with proteins ≥ 50 gm and fats ≥ 30 gm per day per person to constitute a national level balanced food basket.
  • The report also recommends for the inclusion of reasonable expenditure on ‘essential non-food items’, such as clothing, fuel and light, house rent, education, medical expenses, footwear and transport, which must be equal to the median class and expenditure on any ‘other non-food items under the minimum wages.
  • The committee recommends fixing the need-based national minimum wage for India at INR 375 per day (or INR 9,750 per month) irrespective of sectors, skills, occupations and rural-urban locations for a family comprising of 3.6 consumption unit.
  • The committee also recommends introducing an additional house rent allowance (city compensatory allowance), averaging up to INR 55 per day i.e., INR 1,430 per month for urban workers over and above the minimum wage.
  • The report has also estimated and recommended different national minimum wages for different geographical regions of the country to suit the local realities and as per socio-economic and labour market contexts as shown below

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  • The committee also recommends reviewing the consumption basket every five years, subject to the availability of NSSO-CES data, and – within the period of 5 years – revising and updating the basic minimum wage at least in line with the consumer price index (CPI) every six months, to reflect changes in the cost of living.

The committee using scientific approach has updated the methodological framework of fixation of minimum wages based on the overall guidelines of the ILC 1957 and the Supreme Court Judgment in the case of Workmen v Reptakos Brett & Co. in 1992.

Month: Categories: Business, Economy & BankingUPSC

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LADIS Portal Launched

The Inland Waterways Authority of India (IWAI) launched a new portal LADIS – Least Available Depth to aid in ensuring of optimum use of National Waterways.

LADIS

An assured depth of waterway is required for seamless movement of vessels. The Portal will provide real-time data on least available depths for ship/barge and cargo owners so that they can undertake transportation on NWs in a more planned way. The real-time information in stretches of various NWs will help transporters by guiding them on the suitability of time of movement.

The LADIS Postal is hosted at on IWAI’s website and has been built in house by the IWAI. Initially, the information would be made available for NW-1, NW-2, Indo-Bangladesh Protocol route and NW-3,  and the facility will be made available to other National Waterways in coming days.

LADIS will better facilitate the day to day operations of inland vessels plying on National Waterways and avoids any hindrance in service and operation. LADIS will enhance the credibility and efficiency of information sharing to achieve seamless operations on National Waterways, besides pre-empting problems that may occur during the movement of vessels.

Month: Categories: NationalUPSC

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