Eros Times
New Delhi:EROS TIMES: Following the approval of the Supreme Court on the higher minimum wage policy of the Delhi government, Delhi Chief Minister Arvind Kejriwal said that the approval is a reward of their five-year struggle by the Delhi government to increase minimum wages for 55 lakh beneficiaries in the national capital.
Addressing a press conference in the Delhi Secretariat on Monday, CM Arvind Kejriwal notified the hike in the wages of the workers and gave comparative figures quoting the wages in the year 2015, when the Delhi government started demanding higher wages for its workers.
The increase in minimum wages to benefit 55 lakh laborers: CM Arvind Kejriwal
Chief Minister Arvind Kejriwal said, “This is an important step to tackle recession and poverty in the city. We have worked hard in the last five years to increase the minimum wages for the laborers working in the city. The Supreme Court verdict on our minimum wage policy is the result of our five-year struggle. The policy will benefit 55 lakh beneficiaries and laborers in the city.”
Minimum wage policy a significant measure to revive the economy: CM Kejriwal
This is the most efficient and the most effective step by the Delhi government in these times of economic slowdown in the country. This is a significant measure to ensure that an economically weaker man has enough money to sustain himself and his family. This will increase economic production in the market which will increase employment and will revive the economy.
Our five-year long struggle has paid off now: CM Arvind Kejriwal
Chief Minister Arvind Kejriwal said that the approval of the Supreme Court on the hike in minimum wages is a reward for their five-year struggle. “We have fought and struggled hard to be able to provide these minimum wages to the laborers. In April 2016, we created a minimum wage committee having members from the union government, laborers and several trades and industry associations, for the creation of minimum wage policy in the capital. The Lieutenant Governor rejected the plea on the ground that the committee had been formed without permission. Even after several requests, he did not concede. We again formed a committee with the permission of the Lieutenant Governor and we implemented its recommendations. After that, the Trade and Industry Association moved to the Delhi High Court. The High Court rejected our notification. After that we went to the Supreme Court. The court asked us to form a committee within four months along with the objecting association. We set a committee in four months and fixed the minimum wage. That was accepted by the Supreme Court. After which we have issued the notification. Now, the workers will get increased wages.”
August 2016 –
4th August – Minimum Wages Committee constituted vied notification dated 12.04.2016 gave its recommendations regarding fixation of minimum wages
17th August – Cabinet Approved the proposal for fixation of minimum wages and sent the proposal to LG
22nd August – File submitted for the approval of Hon’ble LG
September 2016 –
2nd September – LG directed that since the existing Minimum Wage Advisory Committee constituted vied notification dated 12.4.2016 does not have his approval, proposal regarding a legally valid committee be put up again.
15th September – The new Minimum Wages Advisory Committee was constituted on 15.09.2016
February-March 2017 – The committee submitted its proposal for 37% hike in the minimum wage (approx. 55 Lac beneficiaries) and LG finally approved it after cabinet’s approval. The notification was issued by labor dept on 3rd March 2017
August 2018 – However, the said notification was challenged by 44 various employers’ associations/forums in Hon’ble High Court of Delhi, Labour Dept. submitted its report and affidavit as and when directed by the Hon’ble Court, the department effectively presented the contention of enhancement of 37% wages of workers with proper justification. However, the Hon’ble High Court vied its order dated 04.08.2018 quashed the notification dated 03.03.2017 issued by Labour Dept.
September 2018 – The Govt. keeping in consideration the welfare and interest of more than 55 Lakhs workers of Delhi decided to approach Hon’ble Supreme Court against the order of the Hon’ble Delhi High Court. In an interim verdict on 01.11.2018, Hon’ble Supreme Court directed that the wages under Delhi govt’s March 2017 notification will remain valid until due process is completed.
However, approx. 66 employers associations/forums again opposed SLP of Labour Dept. in Hon’ble Supreme Court. On the directions of Hon’ble Supreme Court , department undertook the minimum wage exercise. The said exercise was completed within the stipulated time period of 4- months as directed by Hon’ble Supreme Court.
October 2019 – After detailed deliberations and discussions among the members of Minimum Wages Advisory Committee constituted u/s-7 of M.W.Act, 1948, revised notification proposing enhancement in minimum rates of wages for different categories of workers was placed before the Hon’ble Supreme Court as per the directions. On 14.10.2019, S u p r e m e Court gave its nod to the Govt. to notify the enhanced minimum wages as proposed by Labour Dept. by setting aside the Hon’ble Delhi High Court order and all objections/issues raised by various employers before Hon’ble Supreme Court.
“This is, in fact, a big victory for the poor people in Delhi. This is the advantage of electing an accountable government. If we had got into settings with the 44 associations who challenged the decision of the government in the court, this would not have been possible. We fought for the rights of the poor. The national-level minimum wage is Rs. 4628 per month and in Delhi it is Rs. 14842 per month, at least three times higher than the national level minimum wages,” said CM Arvind Kejriwal.
On-Ground Implementation Difficult: CM Arvind Kejriwal
Chief Minister Arvind Kejriwal said that the on-ground implementation of the minimum wage policy is very difficult. He said, “We have taken many positive measures with regard to the implementation of the policy. We removed 1373 contractors associated with government agencies who were not giving minimum wages. Also, we conducted two special drives upon complaints of minimum wage violation and charged 100 cases of violation of the same. We also took cases of cheating against six employers who used to illegally withdraw money from the employee’s accounts using the latter’s ATM cards, after depositing the wages as per the minimum wage policy.”
“We hope that this policy will be instrumental to come out of the economic slowdown. I congratulate the poor laborers of Delhi. I request the traders’ associations and others against this policy that in short term you may feel that your cost increases, but when these poor laborers start to purchase products from the market, the economy will revive and the economic slowdown will be removed; and in the long run you will have larger benefits,” said CM Arvind Kejriwal.
Details of the hike in minimum wages
CM Arvind Kejriwal said, “When we formed the government in 2015, an unskilled laborer used to get Rs 8632 per month, which has now increased to Rs 14842 per month, and I believe this is the biggest wage increase in the history of India since 70 years. Semi-skilled labor used to get Rs 9542 in 2015, and now they get Rs 16341. Skilled labor used to get Rs 10471, and now they get Rs 17991. Non-matriculates used to 9542 and now they get Rs 16341. Matriculates but not graduate used to get Rs 10478 now they get Rs 17991. The graduates used to get Rs 11414, and now they get Rs 19572. I have the figures of all the states with me, Delhi is the only state to give the highest minimum wages in India. The Delhi government has released the DA arrears notification for April and October. For instance, DA for unskilled labor has been fixed at Rs 478 along with arrears for April and Rs 338 for October. A bonus on one month’s salary has also been announced on the occasion of Diwali. “
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