Despite economic recovery, real rural wage growth remains flat in FY23

Real rural wage growth has virtually stagnated or has been negative in the first five months of the current financial year (2022-23) despite a visible uptick in economic activities elsewhere.

The growth in nominal terms has been steady but the sharp rise in inflation seems to have eaten into the increase.

Data sourced from the labour bureau shows that real rural wage growth of general agriculture labourers (male) – which is considered as representative of the wage scenario in rural areas, has seen an increase of less than one per cent since April 2022, with the first two months of