Base year modified in Wage Rate Index (WRI)

Recently, Ministry of Labour released a new series of Wage Rate Index (WRI) with base year 2016.

Key Points

• The Wage Rate Index (WRI) is being compiled and maintained by the Labour Bureau.
• New series of WRI with base 2016=100 is going to replace old series with base 1963-65.

Why base year was revised?

Central government periodically revises base year for major economic indicators for reflecting the changes in economy and for capturing wage pattern of workers. This time, the WRI base year has been revised on the recommendations of National Statistical Commission, International Labour Organization etc. in order to enhance the coverage and to make index more representative.

New WRI series

New WRI series will be compiled twice a year, as on January 1 and July 1 each year, on point-to-point half-yearly basis.  Weighting diagram in new WRI series was prepared based on the results of seventh round of Occupational Wage Survey. In the new WRI basket, total 37 industries have been covered as opposed to 21 industries in 1963-65 series.