India's Transition from Minimum Wage to Living Wage by 2025
| Aspect | Details |
|---|---|
| Initiative | India aims to replace its minimum wage system with a living wage framework by 2025. |
| Support | Assistance sought from the International Labour Organization (ILO) for technical support. |
| Living Wage Definition | Income necessary for workers and their families to afford a decent standard of living. |
| Living Wage Calculation | Based on essentials like food, clothing, shelter, and provisions for education and health. |
| Minimum Wage Definition | Minimum remuneration required by law for work performed within a given period. |
| Differentiation | Living wage considers location, marital status, and dependents; minimum wage based on economic conditions. |
| Objective | Accelerate poverty reduction and enhance the well-being of millions of workers. |
| ILO Assistance | Capacity building, systematic data collection, and evidence-based analysis. |
| Legislative Framework | Code on Wages passed in 2019; implementation pending. |
| Economic Impact | Stagnant national wage floors since 2017; disparities affecting 90% of India's workforce in the unorganized sector. |