Congress Slams Modi on Real Wage Decline, Proposes Nationwide Minimum Wage

The Congress criticized Prime Minister Narendra Modi for the ongoing decline in real wages, citing government data that shows stagnant or falling wages for laborers. They propose a nationwide minimum wage of Rs 400 per day as a solution, emphasizing the high inflation and slow wage growth affecting workers.

The Congress has lashed out at Prime Minister Narendra Modi over the 'decline in real wages.' The party alleges that Modi's efforts to secure '400 paar'—a term referring to seats in the Lok Sabha—have fallen short, and instead, voters have delivered a 'stinging rebuke' to his administration.

According to Congress general secretary Jairam Ramesh, various data sources, including official government statistics, indicate that workers' purchasing power has significantly diminished over the last decade. He attributed this to slow wage growth and high inflation, noting an 'unprecedented decline in real wages'—wages adjusted for price rises.

Ramesh cited numerous government data points, including the Labour Bureau's wage rate index, which showed stagnation in real wages for laborers between 2014 and 2023, with declines noted between 2019 and 2024. He contrasted this with the period under former Prime Minister Manmohan Singh, where real wages for agricultural laborers increased by 6.8% annually, compared to a 1.3% annual decline under Modi. Furthermore, data from the Periodic Labour Force Survey indicated that average real earnings for all types of workers have stagnated between 2017 and 2022.

Ramesh also referred to research from the Centre for Labour Research and Action, which revealed stagnant or declining real wages for brick kiln workers from 2014 to 2022.

As a remedy, the Congress has promised in its 'Nyay Patra' manifesto to guarantee a nationwide minimum wage of Rs 400 per day to provide justice for laborers and break the cycle of stagnant wages. Ramesh argued that the forthcoming Union Budget offers Modi an opportunity to achieve what the Congress terms 'Asli 400 paar'—a minimum wage policy benefiting all workers.

(With inputs from agencies.)