---
title: "Minimum Wages in India: How to Check Your Rate | LekhaHR"
description: "Minimum wages under the Code on Wages: which state rate applies, how skill, zone and dearness allowance set it, and how to check pay against it."
canonical: https://lekhahr.in/guides/minimum-wages/
last_updated: 2026-10-06
---
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Minimum wages · guide · updated 6 Oct 2026, [checked by the LekhaHR team](https://lekhahr.in/editorial-policy/)

# Your state's minimum wage now covers every employee, office staff included.

Since 21 Nov 2025 the Code on Wages bars paying anyone less than the minimum rate their state notifies for their skill level and area. Rates move with each dearness revision, so this page prints no state table. It shows how to find the current rate, read it, and test pay against it on Code wages rather than gross.

Check your state's rate Compare pay with it

Key facts

- Since 21 Nov 2025, no employer may pay any employee less than the minimum rate notified by the appropriate government (Code on Wages, s.5). Office and shop staff are covered, not only the scheduled employments of the old Act.
- Each state fixes its rates by skill (unskilled, semi-skilled, skilled, highly skilled), by area, or both (s.6).
- Basic rates are reviewed at intervals of not more than 5 years (s.8); the dearness part moves more often, commonly every 6 months, on dates that differ by state.
- A new rate notification takes effect 3 months after it is issued, unless it names its own date (s.8(4)).
- Rates notified under the old Minimum Wages Act generally continue under the Code's savings clause, s.69(2), until the state revises them.

because a rate copied into a spreadsheet last year is already out of date.

### Two ₹20,000 salaries, tested on Code wages

example · a company under 20 people, outside PF

- **A: basic ₹8,000, special ₹4,000, HRA ₹8,000**: ₹12,000

because HRA is 40% of pay, under 50%, so nothing is added back; special allowance is not an excluded item and counts, under the Ministry's FAQs of 16 Mar 2026

- **B: basic ₹6,000, HRA ₹10,000, conveyance ₹4,000**: ₹10,000

because HRA and conveyance are 70% of pay, so the ₹4,000 above 50% is added back to the ₹6,000 basic

because these are the figures to hold against the notified monthly rate for the person's skill and zone. Same gross, different answer.

Code on Wages, 2019, s.2(y) and its first proviso · in force 21 Nov 2025 · [reviewed 6 Oct 2026](https://lekhahr.in/editorial-policy/)

No. 01

Which rate

## Which minimum wage applies to my company?

Your state's rate, on the line for each person's skill level and work location. Four questions pin down the line: who notifies the rate, which skill band the job falls in, which area or zone the workplace sits in, and whether the work is arduous.

- **01Appropriate government**: usually your state

because a private office, shop, clinic or factory follows the rates its state notifies. The Central Government's rates cover central-sphere work such as mines, railways, major ports and central public sector undertakings, with their contractors.

- **02Skill level**: from the job, not the title

because the Code names four levels: unskilled, semi-skilled, skilled and highly skilled. The central orders put clerical work in the skilled band; your state's notification defines its own bands, so match the duties to its wording.

- **03Area or zone**: where the person works

because rates may differ by geographical area. The central orders use areas A, B and C, with metro cities in A; states draw their own zones. A Pune employee of a Bengaluru company is paid against Maharashtra's rate for Pune.

- **04Arduous work**: can carry a higher rate

because s.6 lets a government add for heat, humidity or hazardous processes. Office roles rarely fall here; warehouse, kitchen or site roles may.

Code on Wages, 2019, s.6 and s.7 · in force 21 Nov 2025 · [reviewed 6 Oct 2026](https://lekhahr.in/editorial-policy/)

No. 02

How rates are set

## How are minimum wages set and revised?

A basic rate, reviewed within 5 years, plus a dearness part that follows prices and is revised more often. Some notifications print one all-inclusive figure instead. Under s.9 no state rate may sit below the Central Government's floor wage.

- **01Basic rate**: reviewed within 5 years

because s.8 asks each government to review or revise basic rates ordinarily at intervals not exceeding 5 years.

- **02Dearness part (VDA)**: commonly every 6 months

because s.7 lets a rate be a basic rate plus a cost-of-living allowance adjusted at intervals the government directs. The cycle differs by state, so check yours. The central orders revise it on the Consumer Price Index for Industrial Workers; the latest central revision we read is payable from 1 Apr 2026.

- **03All-inclusive rate**: one figure

because s.7 also allows a single rate that already folds in the allowance. Some notifications print basic and VDA separately; others print one total.

- **04Start date**: 3 months after issue

because under s.8(4) a new notification comes into force 3 months from its date of issue unless it states otherwise. Dearness revisions normally state their own date.

- **05Floor wage**: a line states cannot go below

because s.9 lets the Central Government fix a floor wage on minimum living standards, possibly by area, and a state's rate cannot be lower. When we checked on 6 Oct 2026 we found no floor-wage amount notified under s.9, so we print none.

### Central-sphere context: how a notified rate adds up

central sphere · agriculture · unskilled · area A · from 1 Apr 2026

- **Basic rate**: ₹333 a day

because it is fixed by the minimum wage notification and reviewed every few years

- **Variable dearness allowance**: ₹195 a day

because it is revised on the consumer price index, here by the central order payable from 1 Apr 2026

- **Minimum rate**: ₹528 a day

because this is a central-sphere rate, shown for its structure: a private office pays its state's rate, not this one. State notifications for shops and commercial establishments work the same way: find the basic for the skill and zone, then add the latest dearness order.

Ministry of Labour & Employment, order File No. 1/6(1)/2025-LS-II dated 30 Mar 2026 (agriculture) · [reviewed 6 Oct 2026](https://lekhahr.in/editorial-policy/)

Code on Wages, 2019, s.9 · Dearness part of minimum wages: commonly revised every six months, on cycles that differ by state: Central-sphere and state VDA orders (practice, not a Code requirement) · [reviewed 6 Oct 2026](https://lekhahr.in/editorial-policy/)

No. 03

Check the rate

## How do I check my state's current minimum wage?

From the state's own labour department, twice: the minimum wages notification for the basic rate, and the latest dearness order for the allowance. Use your state's current notification, which may still be one issued under the old Act and continued by the Code's savings clause, s.69(2).

1. **Open the state labour department's site.** Rates are published by the labour commissioner or labour department, for example the [Commissioner of Labour, Maharashtra](https://mahakamgar.maharashtra.gov.in/) or the [Delhi Labour Department](https://labour.delhi.gov.in/). Central-sphere rates come from the [Chief Labour Commissioner's orders](https://clc.gov.in/clc/sites/default/files/mygov_17751372721.pdf).
2. **Find two documents.** The latest minimum wages notification, and the latest dearness allowance (VDA) order. If the notification prints an all-inclusive rate, the first is enough.
3. **Pick the line.** Skill band from the duties (in most state schedules an office assistant is unskilled or semi-skilled, a billing clerk skilled), zone from the workplace address.
4. **Add the parts.** Basic plus VDA gives the minimum rate. Check whether it is per day or per month; for a daily rate against a monthly salary, the common practice is daily rate × 26.
5. **Note the date.** The order's own date applies; without one, a new notification starts 3 months after issue. Diary the next dearness revision: commonly 6 months on, but check your state's own cycle on its labour department site.
6. **File the PDF.** Keep the notification and VDA order with that month's payroll. If an inspector asks why a rate was used, that is the answer.

### A revision that lands late

example · dearness order effective 1 October, issued in late November

- **Effective date**: 1 October

because the order names its own date, which wins over the order's issue date

- **Months owed**: October, November

because both were paid at the old rate before the order was seen

- **December payslip**: new rate + arrears line

because the difference for the two months goes on its own line, named for the months it covers, so the register shows what was owed and when it was paid

because a common gap in small offices is the housekeeping or driver salary fixed in April that nobody moved when the next dearness order arrived.

No. 04

Comparing pay

## Is minimum wage checked on gross salary or on basic pay?

On "wages" as the Code defines them: basic pay, dearness allowance and retaining allowance, plus any excluded items above 50% of all remuneration. HRA and conveyance are excluded items, so a large gross can still sit below the minimum on the wages that count. The two salaries at the top of this page show the test; the rows below show what changed for HRA.

- **01Old Minimum Wages Act, s.2(h)**: HRA counted

because the old definition of wages included house rent allowance, so a structure with a large HRA could meet the minimum rate on gross alone.

- **02Code on Wages, s.2(y)**: HRA excluded

because HRA is now an excluded item, counted only through the add-back above 50% of all remuneration.

- **03Example B above, ₹20,000 gross**: ₹10,000 counts

because ₹6,000 basic plus the ₹4,000 add-back is what is held against the rate. A structure that passed through its HRA before 21 Nov 2025 can fall short now; check this with your lawyer before relying on it.

In a PF-covered company the employer's PF contribution also counts in all remuneration for the 50% test, and is itself an excluded item. [LekhaHR's payroll](https://lekhahr.in/payroll-software/) works out Code wages for every salary each month, the same figure PF and ESI are computed on, so the split is visible before the run is approved. The [labour codes checklist](https://lekhahr.in/guides/labour-codes-hr-checklist/) lists the other wage duties by headcount.

Code on Wages, 2019, s.2(y) and its first proviso · in force 21 Nov 2025 · [reviewed 6 Oct 2026](https://lekhahr.in/editorial-policy/)

No. 05

Questions

## Questions about minimum wages

### What is the minimum wage in India?

There is no single national figure an employer pays. Each state notifies its own minimum rates by skill level and area, and since 21 Nov 2025 they apply to every employee under the Code on Wages. Your state's current notification may still be one issued under the old Act: those rates generally continue under the Code's savings clause, s.69(2), until revised. The Central Government sets rates for central-sphere work and can fix a floor wage that state rates cannot go below.

### Does minimum wage apply to office staff?

Yes. Under the old Act, coverage depended on the state's schedule. Most large states listed shops and commercial establishments, so offices there were already covered. Since 21 Nov 2025, s.5 of the Code on Wages removes the schedule test, so roles a state never listed are now covered too. Whether a role no current notification names has a rate yet is a question for your lawyer.

### How often do minimum wages change?

It depends on the state. In practice the central sphere and Delhi revise the dearness part from 1 April and 1 October, Maharashtra commonly from 1 January and 1 July, and Karnataka commonly notifies once a year from 1 April; check the dates on your state's labour department site. Basic rates are reviewed at least every 5 years. Orders often arrive weeks after their effective date, so pay the difference as arrears in the next payroll, on its own payslip line.

### Is minimum wage checked on gross salary or basic pay?

On "wages" as the Code defines them: basic pay, dearness allowance and retaining allowance, plus any excluded items (such as HRA and conveyance) above 50% of all remuneration. A ₹20,000 salary with ₹12,000 of basic and special allowance is tested at ₹12,000, not ₹20,000.

### Where do I find my state's current minimum wage?

On the state labour commissioner's site: the minimum wages notification for "shops and commercial establishments" (the schedule most offices fall under), plus the latest dearness order. If the rate is daily and you pay monthly, the common practice most inspectors accept is the daily rate × 26. Print both PDFs with the month's payroll register.

### What is the 26-day rule for minimum wages?

It is the common practice of turning a notified daily rate into a monthly figure by multiplying it by 26, on the reading that a month has about four weekly rest days. It is not written into the Code. Where your state's notification prints a monthly rate, that figure wins; where it prints only a daily rate, most inspectors accept the daily rate × 26 as the monthly comparison. Hold it against Code wages, not gross.

### What happens if we pay below the minimum wage?

The shortfall becomes a claim for the difference, and the Code lets the authority add compensation on top. Under the Code, inspectors act as inspector-cum-facilitators. Ask your lawyer about your exposure before settling a claim.

### What is the floor wage?

A minimum the Central Government can fix under s.9 of the Code on Wages, based on minimum living standards and possibly varying by area. State minimum rates cannot be set below it, and a state rate already higher cannot be reduced. When we checked on 6 Oct 2026 we found no floor-wage amount notified under s.9.

No. 06

Sources

## Where each rule comes from

The rules on this page are from the Code on Wages itself; the rupee example is from the Chief Labour Commissioner's order. For your state's rate, the state's own notification is the source.

1. [Code on Wages, 2019: s.2(y) (wages), s.5 (payment of minimum wage), s.6 and s.7 (fixing rates), s.8 (procedure and review), s.9 (floor wage)](https://www.labour.gov.in/static/uploads/2025/06/c328da14bbb15fc4ad571dc33e7a4ab3.pdf) Ministry of Labour & Employment, in force 21 Nov 2025 · read 6 Oct 2026 primary
2. [Central-sphere minimum wages: orders of 30 Mar 2026 revising variable dearness allowance (agriculture, mining, construction, loading and unloading, sweeping and cleaning)](https://clc.gov.in/clc/sites/default/files/mygov_17751372721.pdf) Chief Labour Commissioner (Central), payable from 1 Apr 2026 · read 6 Oct 2026 primary
3. [Minimum wages, Commissioner of Labour, Maharashtra](https://mahakamgar.maharashtra.gov.in/) Government of Maharashtra · read 6 Oct 2026 primary
4. [Labour Department, Government of NCT of Delhi](https://labour.delhi.gov.in/) Government of NCT of Delhi · read 6 Oct 2026 primary
5. [Additional FAQs on Labour Codes: what counts in all remuneration for the 50% test](https://www.labour.gov.in/static/uploads/2026/03/a4ccf4c6d97c4f1f36a6d83f8c64213d.pdf) Ministry of Labour & Employment, as on 16 Mar 2026 · read 6 Oct 2026 primary
6. Dearness revision cycles by state (central sphere and Delhi April and October; Maharashtra January and July; Karnataka yearly from April)central and state dearness orders, state cycles from secondary reports; a practice, not a Code requirement · read 6 Oct 2026 secondary
7. Daily rate × 26 for a monthly comparisoncommon inspection practice, not a Code rule · read 6 Oct 2026 secondary

[Checked by the LekhaHR team](https://lekhahr.in/editorial-policy/) · reviewed 6 Oct 2026 · next review by 31 Jan 2027. This guide explains the rule; it is not legal advice for your establishment.

For employersLekhaHR is HR and payroll software for small Indian teams. [See payroll →](https://lekhahr.in/payroll-software/)
