What has changed
The Special Allowance payable with the basic minimum wages under the Minimum Wages Act, 1948 has been increased by ₹12 per day, from ₹60.50 to ₹72.50 per day, for the 46 scheduled employments (including shops & commercial establishments, private security services, hospitals & nursing homes, plastic, engineering and other industries) and ship-breaking work, with effect from 1 October 2026 to 31 March 2027.
Revised minimum rates of wages (per day)
| Zone | Class of worker | Basic (₹/day) | Special Allowance (₹/day) | Total minimum wage (₹/day) | Monthly (₹, × 26)* |
|---|---|---|---|---|---|
| Zone I | Unskilled | 452.00 | 72.50 | 524.50 | 13,637 |
| Zone I | Semi-skilled | 462.00 | 72.50 | 534.50 | 13,897 |
| Zone I | Skilled | 474.00 | 72.50 | 546.50 | 14,209 |
| Zone II | Unskilled | 441.00 | 72.50 | 513.50 | 13,351 |
| Zone II | Semi-skilled | 452.00 | 72.50 | 524.50 | 13,637 |
| Zone II | Skilled | 462.00 | 72.50 | 534.50 | 13,897 |
Sweeping & cleaning work (per day)
| Area | Covers | Basic | Special Allowance | Total (₹/day) | Monthly (₹)* |
|---|---|---|---|---|---|
| Area A | Ahmedabad municipal area + 10 km | 452.00 | 72.50 | 524.50 | 13,637 |
| Area B | Rajkot, Bhavnagar, Surat, Vadodara, Jamnagar, Gandhinagar, Junagadh municipal areas + 5 km | 452.00 | 72.50 | 524.50 | 13,637 |
| Area C | All other areas (including Vapi and Valsad) | 441.00 | 72.50 | 513.50 | 13,351 |
*Monthly figures = daily rate × 26, as published with the rates. The zone for your workplace is as defined in the basic minimum-wage notification for your employment. Six specified employments (brick, jari, ready-made garments, salt, tobacco & beedi, agriculture) carry a separate special allowance — see the notification. Separate rates for contract labour under the CLRA Act were issued for the same period.
What employers should do
- Apply the revised rates from the October 2026 wage period.
- Pay arrears for October 2026 if payroll was already processed at the old rate — the declaration was issued on 05-10-2026 with effect from 01-10-2026.
- Recheck overtime, PF/ESI wages and contractor bills linked to the minimum wage.
- Part-time workers (up to 4 hours) must get at least 50% of the daily rate plus special allowance.
- Display the revised rates and make sure contractors pay them to contract labour.
⬇ Official notification (PDF) Contract labour rates (PDF) Ask Phoenix about applicability
This is an explanatory summary prepared by Phoenix Worldwide for employers’ convenience. The official notification/circular issued by the Government is the only authoritative text. Please refer to the official copy and contact us for an applicability review for your establishment.