Minimum Salary 25,000, Fitment Formula 3.5 & Wage Hike 60% should be in 7th CPC: Jaago Employee Jaago by Karnataka COC

Minimum Salary 25,000, Fitment Formula 3.5 & Wage Hike 60% should be in 7th CPC: Jaago Employee Jaago by Karnataka COC

Minimum Wages Fitment Formula and Wage Hike. 


           There are number of unwanted articles on minimum wage, fitment formula and wage hike on many websites which are not true and create confusion among the Central Government Employees. This type of the articles also give wrong impressions and give wrong signals to the Government, these articles are written without having basic knowledge of the price rise and minimum wage calculation.

The minimum wage calculation is given below.  Hence it is requested to go through the below calculation of minimum wages, as the 7th CPC has indicated the use of using Dr. Aykroyd formula and 15th ILO norms for calculation of minimum wages. The rates are taken from Government shops (retail prices are 10% more than Government prices). The rates to be taken up by the 7th CPC may vary only marginally.

We should actually wait for the 7th CPC to give its report and then we should react and staff side JCM shall take necessary steps in this regard. Let us stop all such unwanted gossips of minimum wage, fitment formula and wage hike. The model minimum wage calculated using Dr. Aykroyd formula and 15th ILO norms as on 1st July 2015 is given below.

Item Per Month
3 units

in Kgs/ mt
Rice  (fine) & Wheat atta 42.75401710
Dal  7.21401008
Raw Vegetables 941369
Green Vegetables 11.2545507
Other Vegetables 6.7555372
Fruits 10.875810
Milk Dairy 1833594
Edible Oil 3.6114410
Fish 2.54101025
Meat Mutton54502250
Detergents* 1161.58162
Miscellaneous @ 20%2248.2
Additional @ 25%3372.3
Total 16861.5
Add 10% housing 1686
Minimum pay for unskilled worker in the erstwhile Group “D”18547.5
Add 25% for Group “C” ( as proposed by 6th CPC )4636.875
Add 6% more prices from 1st July  2015 to 1st Jan 20161391.04
Total amountRs 24575/-
Minimum pay for skilled worker in Group “C”Say  Rs 25,000/-

Fitment formula = Rs 25000/7000 = 3.5

The main goal is to educate the Central Government Employees and prepare for the struggle path in case the  important demands expected of the 7th CPC are not met.

A) Minimum wage of Rs 25,000/- as per Government prices. 
B) Fitment formula of 3.5
C) Wage hike of more than 60%.
D) Proper pay scales with proper increment rate.
E)  Proper promotion policy and proper allowances.
F) Wage revision from 1/1/2014.

DA as likely on 1st Jan 2016 is likely at 125%.

After 7th CPC implementation it will DA will be zero %

Existing Basic Minimum wage is Rs 7000/- as on 1/1/06

Add 125% DA as on 1/1/2016 =Rs 8750/-

Total existing Minimum Wage as on 1/1/2016 is Rs 15750/-

If the Minimum wage is fixed at Rs 25,000/-

Net Increase shall be Rs 9250/-

Net Increase should be 60%.

Comradely yours
General Secretary


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