Economic Survey 2018-19 says redesign 'Minimum Wage System in India' for alleviating poverty
Economic Survey 2018-19: Union Finance Minister Nirmala Sitharaman tabled the Economic Survey 2018-19 in the Parliament today. The Survey states that pathways for trickle-down opened up during the last five years; and benefits of growth and macroeconomic stability reached the bottom of the pyramid, adding that sustained real GDP growth rate of 8% needed for a $5 trillion economy by 2024-25. It also cited the need for redesigning a Minimum Wage System in India for inclusive growth. The key highlights of Economic Survey 2018-19 in this regard are:
1. The Survey proposes a well-designed minimum wage system as a potent tool for protecting workers and alleviating poverty. Image source: Pixabay
2. Present minimum wage system in India has 1,915 minimum wages for various scheduled job categories across states, it said, adding that one in every 3 wage workers in India not protected by the minimum wage law. Image source: PTI
3. The Survey supports rationalization of minimum wages as proposed under the Code on Wages Bill, proposing Minimum wages to all employments/workers. Image source: PTI
4. According to it, ‘National Floor Minimum Wage’ should be notified by the Central government, varying across five geographical regions,adding Minimum wages by states should be fixed at levels not lower than the ‘floor wage’. Image source: PTI
5. Minimum wages can be notified based either on the skills or on geographical region or on both grounds, it said. Image source: PTI
6. ‘National level dashboard’ under the Ministry of Labour & Employment for regular notifications on minimum wages, proposed the Survey. Image source: PTI
7. Survey proposes a simple and enforceable Minimum Wage System using technology, adding "Toll-free number to register grievance on non-payment of the statutory minimum wages." Image source: PTI
8. Effective minimum wage policy as an inclusive mechanism for more resilient and sustainable economic development, it added. Image source: PTI