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        Labour laws

        Rule 4 - Interval for revision of variable dearness allowance

        Code on Wages (Central) Rules, 2026
        Chapter II
        MINIMUM WAGES

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        Variable dearness allowance revision follows a half-yearly consumer price index-based mechanism for minimum wages. Variable dearness allowance payable to employees on minimum wages is revised twice a year by computing the cost of living allowance and the cash value of concessions in essential commodities at concession rate before 1 April and again before 1 October. The revision is based on the Average Consumer Price Index Number for Industrial Workers published by the Labour Bureau, Ministry of Labour and Employment, Government of India.
                          Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
                            Provisions expressly mentioned in the judgment/order text.

                                Variable dearness allowance revision follows a half-yearly consumer price index-based mechanism for minimum wages.

                                Variable dearness allowance payable to employees on minimum wages is revised twice a year by computing the cost of living allowance and the cash value of concessions in essential commodities at concession rate before 1 April and again before 1 October. The revision is based on the Average Consumer Price Index Number for Industrial Workers published by the Labour Bureau, Ministry of Labour and Employment, Government of India.


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