Growth Rate of Minimum Wages

Growth Rate of Minimum Wages in the Apparel Industry (Haryana, India 2011-2014)

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Garment and Textile Industry is labor-intensive. The latest increase of minimum wages in Haryana, India hits the garment manufacturing business. As garment industry is facing big challenges with 60% increment of average minimum wages from last minimum wages (January,1 2014 to June, 30 2014). Read on to know the growth trend of minimum wages.

Haryana Government has fixed minimum wages for Unskilled, Semi-skilled, Skilled and Highly-skilled employees. The increase of minimum wages this time is very high compared to last 5 increments.

Gugaon, Faridabad and Manesar are three major industrial clusters in Haryana state for ready-made garment industry.Where most of the export garment manufacturers are located other than Delhi, Noida and Greater Noida in Northern part of India.

Minimum wages of employees for different skill level are as following for the period of July 1, 2014 to December 31, 2014.

Unskilled: Rs. 8,100 per month or Rs 311.53 per day
Semi-skilled: Rs 9,000 per month or Rs 346.15 per day
Skilled: Rs 9,900 per month or Rs 380.76 per day
Highly-skilled: Rs 11,000 per month or Rs 423.07 per day

Trend of Increase of Minimum Wages 

The trend of minimum wages increase is shown in the following chart from July 2011 to July 2014.

Trend of Minimum Wage  increase

(Note: Before July 1 2014, Employees were categories as unskilled, semi-skilled -A, Semi-skilled -B, skilled-A, Skilled-B and Highly-skilled, In the above chart, semi-skilled-B and skilled-B employees' salary are taken under caption of semi-skilled and skilled employees)

Growth Rate of Minimum Wages  are shown in percentage in the following table. In the previous years half-yearly growth rate was between 2.31% to 4.06% and This time the increment is 60.89%

Half-yearly growth of minimum wages

Average daily wages are calculated from daily wages of 4 skill categories.