Minimum Wage Calculation Using Dr. Aykroyd Formula by Karnataka COC

Model Minimum Wage Calculation Using Dr. Aykroyd Formula and 15th ILO Norms as on 1.7.2015 – Karnataka COC

Minimum Wages Fitment Formula and Wage Hike.

There are number of unwanted articles on minimum wage, fitment formula and wage hike on many websites which are not true and create confusion among the Central Government Employees. This type of the articles also give wrong impressions and give wrong signals to the Government, these articles are written without having basic knowledge of the price rise and minimum wage calculation.

The minimum wage calculation is given below. Hence it is requested to go through the below calculation of minimum wages, as the 7th CPC has indicated the use of using Dr. Aykroyd formula and 15th ILO norms for calculation of minimum wages. The rates are taken from Government shops (retail prices are 10% more than Government prices) . The rates to be taken up by the 7th CPC may vary only marginally.

We should actually wait for the 7th CPC to give its report and then we should react and staff side JCM shall take necessary steps in this regard. Let us stop all such unwanted gossips of minimum wage, fitment formula and wage hike. The model minimum wage calculated using Dr. Aykroyd formula and 15th ILO norms as on 1st July 2015 is given below.

Item Per Month Average  Amount
  3 units Rate  
  in Kgs/ mt    
Rice  (fine) & Wheat atta 42.75 40 1710
Dal  7.2 140 1008
Raw Vegetables 9 41 369
Green Vegetables 11.25 45 507
Other Vegetables 6.75 55 372
Fruits 10.8 75 810
Milk Dairy 18 33 594
Sugar 5 39.5 198
Edible Oil 3.6 114 410
Fish 2.5 410 1025
Meat Mutton 5 450 2250
Egg 90 5 450
Detergents* 1 161.58 162
Clothes 5.5 250 1375
Total     11241
Miscellaneous @ 20%     2248.2
Total     13489
Additional @ 25%     3372.3
Total     16861.5
Add 10% housing     1686
Minimum pay for unskilled worker in the erstwhile Group “D”     18547.5
Add 25% for Group “C” ( as proposed by 6th CPC )     4636.875
Total     23184.375
Add 6% more prices from 1st July  2015 to 1st Jan 2016     1391.04
Total amount   Rs 24575/-  

Minimum pay for skilled worker in Group “C”

Say Rs 25,000/-

Fitment formula = Rs 25000/7000 = 3.5

The main goal is to educate the Central Government Employees and prepare for the struggle path in case the important demands expected of the 7th CPC are not met.

A) Minimum wage of Rs 25,000/- as per Government prices.
B) Fitment formula of 3.5
C) Wage hike of more than 60%.
D) Proper pay scales with proper increment rate.
E) Proper promotion policy and proper allowances.
F) Wage revision from 1/1/2014.

DA as likely on 1st Jan 2016 is likely at 125%.

After 7th CPC implementation it will DA will be zero %

Existing basic Minimum wage is Rs 7000/- as on 1/1/06

Add 125% DA as on 1/1/2016 =Rs 8750/-

Total existing Minimum Wage as on 1/1/2016 is Rs 15750/-

If the Minimum wage is fixed at Rs 25,000/-

Net Increase shall be Rs 9250/-

Net Increase should be 60%.

Comradely yours

General Secretary





Add new comment


Enter your email address to Subscribe for 7th CPC Latest Updates:

Delivered by FeedBurner

Activation email will be sent immediately to you. Don't forget to click the activation link.




About Us

One stop news and information website for Latest News and Updates for PSU employees, central Government employees, Seventh Pay Commission 7th CPC.