The Jammu and Kashmir Government has prepared a comprehensive Vision Document aimed at overhauling labour welfare and governance across the Union Territory, with a major proposal to make Variable Dearness Allowance (VDA) an integral component of minimum wages to protect workers from inflation.
The information was shared in the Legislative Assembly by the Labour and Employment Department in response to a query raised by legislator Mohammad Yousuf Tarigami.
According to the Government, the Vision Document is based on the recommendations of a committee constituted in April 2024 to examine key labour welfare issues. It lays out a strategic framework to strengthen labour administration and worker protection through multiple reforms.
Key proposals include stricter enforcement of labour laws, modernization of inspection systems through a Central Automated Inspection mechanism, and improvements in conciliation and quasi-judicial processes to ensure quicker resolution of labour disputes.
The document also stresses scientific and regular revision of minimum wages, enhanced awareness of labour rights through information and education campaigns, capacity building of departmental staff, elimination of child and bonded labour, and promotion of skill development aligned with emerging employment sectors.
A major highlight is the planned incorporation of VDA into minimum wages to offset inflation and safeguard the real income of workers. The Government said the document is currently under examination and will be aligned with the new Central Labour Codes. The inclusion of VDA will be implemented in a phased and time-bound manner.
Addressing concerns about delays in financial assistance to dependents of deceased registered labourers, the Government said it is sensitive to the hardships faced by such families and remains committed to timely and dignified support. It explained that delays are largely due to statutory requirements, including the mandatory 90 days of employment for registration and verification needed for renewal.
Authorities stated that strict verification is necessary to maintain beneficiary authenticity and protect public funds, even though the process is rigorous.
Following the enforcement of four new Central Labour Codes from November 21, 2025, replacing 29 earlier labour laws, new welfare boards are to be constituted, including National and State Social Security Boards and a Building and Other Construction Workers’ Welfare Board. Clarifications have been sought regarding continued disbursements during the transition period.
Despite the transition, the J&K Building and Other Construction Workers Welfare Board continues core functions such as worker registration, labour card issuance, and renewals. A board meeting chaired by the Chief Minister in July 2025 approved major welfare disbursements, with over Rs 6,764 lakh spent on education, health, and other assistance during the 2025–26 financial year up to December.
On wage compliance, the department said regular inspections and enforcement drives are conducted to ensure employers follow notified wage rates. Minimum wages revised in October 2022 remain in force, and revisions are undertaken periodically with intervals not exceeding five years to keep pace with inflation and living costs.
