The Government of Karnataka has announced revised Minimum Wages and Variable Dearness Allowance (VDA) for Shops and Commercial Establishments in the state, effective from April 1, 2025, to March 31, 2026.
Key Highlights of the Notification:
Revised Minimum Wages and VDA: The Karnataka Government has issued fresh guidelines for minimum wages across the state, including a Variable Dearness Allowance (VDA) that will be paid in addition to the basic wages. The VDA will be calculated at 4 paise per point over and above 6537 points, ensuring that employees receive compensation in line with the rising cost of living.
Categorization of Workers: The government has classified workers into five distinct categories, each with its respective wage structure:
- Highly Skilled Workers
- Skilled Workers
- Semi-Skilled Workers
- Unskilled Workers
- Office Staff and Drivers
This classification aims to ensure that the wages are reflective of the skills and responsibilities associated with each category.
Regional Zones for Minimum Wages: The state has been divided into four zones to accommodate the varying economic conditions across regions. These zones will determine the specific minimum wages applicable to workers in different areas:
- Zone-I: This includes areas under the Bruhat Bangalore Mahanagara Palike (BBMP) that are specifically notified.
- Zone-II: All other notified areas under BBMP that are not part of Zone-I.
- Zone-III: All district places not falling under Zones-I and II.
- Zone-IV: This covers all remaining parts of Karnataka outside the areas notified in Zones I, II, and III.
Variable Dearness Allowance (VDA): In addition to basic wages, all categories of workers across the state will receive a VDA. The VDA rate is set at 4 paise per point over and above 6537 points, providing a flexible component to wages that adjusts according to economic conditions.
For Detailed Wages Refer To The Notification Attached Below
