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Minimum Wages in Karnataka

Minimum wage rates for shops and commercial establishments in Karnataka, by skill category and wage zone, with the effective date and the next revision due.

This notification is under legal challenge

The 22 May 2026 notification raised Karnataka's minimum wages steeply, by close to sixty percent in some employments, and covers 65 existing scheduled employments plus 18 new ones. It is being challenged in the Karnataka High Court in WP 22771/2025. Petitioners argue it was issued under provisions of the Minimum Wages Act, 1948 that stood repealed from 21 November 2025 when the Code on Wages, 2019 took effect, and that it was notified despite an interim order of 28 July 2025 restraining implementation. The state treats the notification as in force and the matter remains pending, so employers should apply these rates while taking their own legal advice on exposure if the notification is set aside.

Effective from22 May 2026
Next revision due1 April 2027
Revision cycleAnnual revision of the variable dearness allowance

Karnataka minimum wage rates: shops and commercial establishments

Zone 1

Areas falling under the jurisdiction of the Greater Bengaluru Authority.

Skill categoryBasicVDATotal per month
Unskilled₹23,376.43₹1,030.80₹24,407.23
Semi-skilled₹25,714.07₹1,030.80₹26,744.87
Skilled₹28,285.47₹1,030.80₹29,316.27
Highly skilled₹31,114.02₹1,030.80₹32,144.82

Zone 2

Other municipal corporations in the state, and all district headquarters.

Skill categoryBasicVDATotal per month
Unskilled₹21,251.30₹1,030.80₹22,282.10
Semi-skilled₹23,376.43₹1,030.80₹24,407.23
Skilled₹25,714.07₹1,030.80₹26,744.87
Highly skilled₹28,285.47₹1,030.80₹29,316.27

Zone 3

All areas outside Zone 1 and Zone 2.

Skill categoryBasicVDATotal per month
Unskilled₹19,319.36₹1,030.80₹20,350.16
Semi-skilled₹21,251.30₹1,030.80₹22,282.10
Skilled₹23,376.43₹1,030.80₹24,407.23
Highly skilled₹25,714.07₹1,030.80₹26,744.87

Rates cover shops and commercial establishments only. Other employments notified in Karnataka carry their own notified rates, which are usually higher. Verify against the state notification before running payroll.

How Karnataka sets minimum wages

Governing law

Code on Wages, 2019, in force from 21 November 2025. The rates below come from the Labour Department notification dated 22 May 2026, which was issued under the repealed Minimum Wages Act, 1948 and is under challenge on that ground.

Employment covered

Shops and commercial establishments

Revision cycle

Annual revision of the variable dearness allowance

Karnataka now has the highest minimum wages of any large Indian state. Unskilled work in Bengaluru is set at ₹24,407 a month, roughly seventy percent above the equivalent Zone I rate in Maharashtra. The dearness allowance component of ₹1,030.80 is uniform across every zone and skill category. The zone structure steps down by one grade as you move outward: the Zone 2 semi-skilled rate is identical to Zone 1 unskilled, and Zone 3 semi-skilled matches Zone 2 unskilled.

Frequently asked questions: Karnataka minimum wages

Under the notification dated 22 May 2026, unskilled work in Zone 1 (Greater Bengaluru) is ₹24,407.23 a month, rising to ₹32,144.82 for highly skilled work. Zone 3 rates run from ₹20,350.16 to ₹26,744.87. These figures are under legal challenge.
Petitioners in WP 22771/2025 argue that the notification was issued under sections of the Minimum Wages Act, 1948 that were repealed on 21 November 2025 when the Code on Wages, 2019 came into force, and that it was issued despite an interim order restraining implementation. The matter is pending before the Karnataka High Court.
The state treats the 22 May 2026 notification as in force, so the practical position is to apply these rates. Because the notification may be set aside, employers with significant headcount in Karnataka should take legal advice on their exposure either way rather than relying on a general guide.
Zone 1 covers areas under the Greater Bengaluru Authority. Zone 2 covers other municipal corporations and all district headquarters. Zone 3 covers the rest of the state.

Minimum wages in other states

Keep minimum wages current without tracking notifications

Engage HRMS applies the right minimum wage by work location and skill category, and flags employees who fall below the floor when a state issues its next revision.

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