Low wages plague Gujarat model: RBI data highlights dismal conditions for workers

Recent data compiled by RBI reveals that MP and Gujarat, both governed by the BJP, have the lowest daily wages in India.

Hyderabad: The ‘Gujarat Model’ appears to prioritise high growth at the expense of low wages for workers. Recent data compiled by the Reserve Bank of India (RBI) reveals that Madhya Pradesh and Gujarat, both governed by the BJP, have the lowest daily wages in the country. Male agricultural workers in rural areas of Madhya Pradesh receive a meager daily wage of just Rs 217.8, while in Gujarat, it amounts to Rs 220.3, which is below the national average of Rs 323.2.

What is particularly surprising about these findings is that Gujarat, despite being a relatively prosperous state with significant industrialization, still maintains such low wages. Interestingly, this concerning situation is rarely addressed when the saffron party leadership discusses the acclaimed ‘Gujarat Model.’

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However, it is important to note that the issue of low minimum wages is not exclusive to agricultural workers. The trend extends to construction workers, horticulture workers, and various other sectors, including non-agricultural ones, in these states, all of which fall below the national average. Tripura, Madhya Pradesh, and Gujarat rank among the lowest, with daily wages as low as Rs. 250, Rs. 266.7, and Rs. 295.9, respectively.

In contrast, Kerala stands out for paying the highest minimum wages, with workers receiving Rs 726.8 per day. Jammu and Kashmir follow suit with Rs 524.6, while Himachal Pradesh and Tamil Nadu offer Rs 457.6 and Rs 445.6, respectively. Telangana provides a minimum wage of Rs. 426.96 per day. Rural construction workers fare considerably better in terms of wages, with Kerala leading the way at Rs. 837.7, followed by Jammu and Kashmir (Rs. 519.8), Tamil Nadu (Rs. 478.6), and Himachal Pradesh (Rs. 462.7).

Gujarat is home to approximately 28.65 lakh agricultural laborers. In addition, there are an estimated five lakh migrant workers, 15 lakh construction workers, and various other rural non-farm workers, many of whom lack adequate protection in terms of minimum wages.

States with lowest wages for labourers (Per Day):

Madhya Pradesh: Rs. 217.8

Gujarat : Rs. 220.3

Odisha: Rs. 269.5

Tripura: Rs. 270

Uttar Pradesh: Rs. 288

Maharashtra: Rs. 284.2

Bihar: Rs. 290.3

Top States with highest wages for labourers (per day):

Kerala: Rs. 726.8

Jammu and Kashmir: Rs. 524.6

Himachal Pradesh: Rs. 457.6

Tamil Nadu: Rs. 445.6

Telangana: Rs. 426.96