What is the Minimum Wage of Karnataka
The new minimum wage rates across Karnataka were made effective from April 1st, 2025. The state government classifies the wage rates by zones and employment categories, and they can be defined as the following:
- Zone 1: Areas under Bruhat Bangalore Mahanagara Palike (BBMP) and its agglomeration areas.
- Zone 2: Notified areas of all other municipalities of the state.
- Zone 3: District headquarters excluding Zones 1 and 2.
- Zone 4: All other parts of Karnataka not covered under Zones 1, 2, and 3.
Here are the minimum wage rates applicable across the state: Minimum Wages in Karnataka, effective from 01.04.25: The State Government last revised the minimum wage rates on April 1st 2024. The state defines its skilled, unskilled, and semi-skilled minimum wage rates across the following zones:
- Zone 1: Notified areas under Bruhat Bangalore Mahanagara Palike.
- Zone 2-All notified areas under Bruhat Bangalore Mahanagara Palike other than the areas mentioned under Zone 1.
- Zone 3-All districts other than areas notified under Zone 1 and Zone 2.
- Zone 4-All other parts of the State other than notified in Zone 1, Zone 2, and Zone 3.
Minimum Wages in Karnataka:
| CLASS OF EMPLOYMENT | ZONES | BASIC | VDA | TOTAL (PER DAY) |
TOTAL (PER MONTH) |
|---|---|---|---|---|---|
|
High Skilled Workers (Pharmacist & Chemist Technical supervisor other high skilled) |
Zone 1 | Rs. 593.21 | Rs. 158.22 | Rs. 751.43 | Rs. 19,537 |
| Zone 2 | Rs. 564.96 | Rs. 158.22 | Rs. 723.18 | Rs. 18,803 | |
| Zone 3 | Rs. 538.06 | Rs. 158.22 | Rs. 696.28 | Rs. 18,103 | |
| Zone 4 | Rs. 512.44 | Rs. 158.22 | Rs. 670.66 | Rs. 17,437 | |
|
Skilled Workers
(Salesperson, Compounder, photo-artist, photographer, mechanic, carpenter, polisher, hairdresser, air condition plant operator, umbrella maker, other skilled laborer) |
Zone 1 | Rs. 539.28 | Rs. 158.22 | Rs. 697.50 | Rs. 18,135 |
| Zone 2 | Rs. 513.60 | Rs. 158.22 | Rs. 671.82 | Rs. 16,253 | |
| Zone 3 | Rs. 489.14 | Rs. 158.22 | Rs. 647.36 | Rs. 16,831 | |
| Zone 4 | Rs. 465.85 | Rs. 158.22 | Rs. 624.07 | Rs. 16,226 | |
|
Semi-skilled Workers
(Bill collector, bill clerk, Godown keeper, assistant salespeople, shop assistant, packer, gas supplier, juice shops, other unskilled laborer) |
Zone 1 | Rs. 490.25 | Rs. 158.22 | Rs. 648.47 | Rs. 16,860 |
| Zone 2 | Rs. 466.91 | Rs. 158.22 | Rs. 625.13 | Rs. 16,253 | |
| Zone 3 | Rs. 444.68 | Rs. 158.22 | Rs. 602.90 | Rs. 15,675 | |
| Zone 4 | Rs. 423.50 | Rs. 158.22 | Rs. 581.72 | Rs. 15,125 | |
|
Unskilled Workers
(Messenger, weighing man, workers engaged in laundry, griding stores, gunny bag stitcher, general workers in shop establishments) |
Zone 1 | Rs. 445.69 | Rs. 158.22 | Rs. 603.91 | Rs. 15,701 |
| Zone 2 | Rs. 424.46 | Rs. 158.22 | Rs. 582.68 | Rs. 15,150 | |
| Zone 3 | Rs. 404.25 | Rs. 158.22 | Rs. 562.47 | Rs. 14,624 | |
| Zone 4 | Rs. 385.00 | Rs. 158.22 | Rs. 543.22 | Rs. 13,124 | |
|
Office Staff & Drivers
(Manager, personal officer, marketing manager, office in charge and equivalent job) |
Zone 1 | Rs. 631.00 | Rs. 158.22 | Rs. 789.22 | Rs. 20,537 |
| Zone 2 | Rs. 603.38 | Rs. 158.22 | Rs. 761.60 | Rs. 19,802 | |
| Zone 3 | Rs. 576.50 | Rs. 158.22 | Rs. 734.72 | Rs. 19103 | |
| Zone 4 | Rs. 550.88 | Rs. 158.22 | Rs. 709.10 | Rs. 18437 | |
|
Office Staff & Drivers
(Assistant manager, assistant personal manager, senior accountant, and equivalent job) |
Zone 1 | Rs. 593.21 | Rs. 158.22 | Rs. 751.43 | Rs. 19,537 |
| Zone 2 | Rs. 564.96 | Rs. 158.22 | Rs. 723.18 | Rs. 18,803 | |
| Zone 3 | Rs. 538.06 | Rs. 158.22 | Rs. 696.28 | Rs. 18,103 | |
| Zone 4 | Rs. 512.44 | Rs. 158.22 | Rs. 670.66 | Rs. 17437 | |
|
Office Staff & Drivers
(Senior clerk, cashier, judgement writer, stenographer, storekeeper, receptionist, and equivalent job) |
Zone 1 | Rs. 539.28 | Rs. 158.22 | Rs. 697.50 | Rs. 18,135 |
| Zone 2 | Rs. 513.60 | Rs. 158.22 | Rs. 647.36 | Rs. 16,253 | |
| Zone 3 | Rs. 489.14 | Rs. 158.22 | Rs. 647.36 | Rs. 16,831 | |
| Zone 4 | Rs. 465.85 | Rs. 158.22 | Rs. 624.07 | Rs. 16,226 | |
|
Office Staff & Drivers
(Junior clerk, booking clerk, computer operator, typist, telephone operator, data entry operator, and equivalent job) |
Zone 1 | Rs. 490.25 | Rs. 158.22 | Rs. 648.47 | Rs. 16,860 |
| Zone 2 | Rs. 466.91 | Rs. 158.22 | Rs. 625.13 | Rs. 16,253 | |
| Zone 3 | Rs. 444.68 | Rs. 158.22 | Rs. 625.13 | Rs. 16,253 | |
| Zone 4 | Rs. 423.50 | Rs. 158.22 | Rs. 581.72 | Rs. 15,125 | |
|
Office Staff & Drivers
(Servant, watchman, lift operator, office boy, attender, helper, dalayat, mazdoor, sweeper, and equivalent job) |
Zone 1 | Rs. 445.69 | Rs. 158.22 | Rs. 603.91 | Rs. 15,701 |
| Zone 2 | Rs. 424.46 | Rs. 158.22 | Rs. 582.68 | Rs. 15,150 | |
| Zone 3 | Rs. 404.25 | Rs. 158.22 | Rs. 562.47 | Rs. 14,624 | |
| Zone 4 | Rs. 385 | Rs. 158.22 | Rs. 543.22 | Rs. 14,124 |
Salary Structure for Minimum Wage Workers in Karnataka
If you are an HR professional looking to create a comprehensive wage structure for your minimum wage workers, you are at the right place!
Our customized templates will assist you in creating compensation plans, catering to the needs of various classes of workers, i.e., Unskilled, Semi-skilled, and Skilled.
| S. NO | COMPONENT | FORMULA | DESCRIPTION |
|---|---|---|---|
| 01 | Basic + DA | If Max (CTC *50%, MW *12) | If this is less than half of the CTC but falls below the minimum wage, it should be increased to the state's minimum wage and multiplied by 12. |
| 02 | HRA | Basic*50% | Half of (Basic+DA) |
| 03 | LTA | BASIC*5% | 5% of Basic |
| 04 | SP | Gross Salary-Allowances | Subtraction of Allowances from the Gross Salary |
| 05 | Gross Salary | SUM ([Basic+DA];[HRA];[LTA];[SP]) | Addition of (Basic Pay, HRA, LTA, and SP) |
| 06 | Monthly Bonus | 0.083* Basic | 8.35% of Basic |
| 07 | PF Employee | 12% *Basic Salary | If Basic pay is greater than or equal to 15000, then the PF for employee is 1800. Else it is 0.12% of Basic Salary Earned |
| 08 | ESI Employee | 0.75%* Gross Salary | If the Gross Salary is equal to or greater than 21000, then it should calculated as 0.075% of Gross Salary Earned |
| 09 | PF Employer | 12% of Basic Salary | If Basic pay is greater than or equal to 15000, then the PF for employee is 1800, else 0.12% of Basic Salary Earned |
| 10 | ESI Employer | 3.25% of Gross Salary | If the Gross Salary is equal to or greater than 21000, then it should calculated as a 0.325% of Gross Salary Earned |
| 11 | LWF | As per the state, LWF differs | For both the Employee & Employer LWF |
| 12 | PF Admin Charge | 0.01*Basic Pay | If Admin charge of 10% is greater than or equal to 150, then PF Admin charge is 150, else it is 0.01 of basic received |
| 13 | PT | As per the state, PF differs | Conditional |
Salary Structure for Unskilled Labour: Under Minimum Wages in Karnataka
| CTC | 600000 |
|---|---|
| Minimum Wages | 15701 |
| Basic Salary Structure | ||
|---|---|---|
| Components | Formula | |
| Allowance | BASIC + DA | 25000 |
| HRA | 12500.00 | |
| LTA | 1250.00 | |
| SP | 11250.00 | |
| Gross Salary | 50000.00 | |
| Ad-hoc Allowance | Monthly Bonus | 4150.00 |
| Contribution | Employee PF | 1800 |
| Employee ESI | 0 | |
| LWF Employee | 3 | |
| Deduction | Employee PF | 1800 |
| Employee ESI | 0 | |
| LWF Employee | 15 | |
| PF Admin Charge | 150 | |
| PT | 150 | |
| Salary on Hand | 46082 | |
| Note: Copy this BASIC + DA value to perform the Salary Structure Calculation | ||
| Calculated Basic + DA | 25000 | |
Salary Structure for Semi-skilled Labour: Under Minimum Wage in Karnataka
| CTC | 600000 |
|---|---|
| Minimum Wages | 16860 |
| Basic Salary Structure | ||
|---|---|---|
| Components | Formula | |
| Allowance | BASIC + DA | 25000 |
| HRA | 12500.00 | |
| LTA | 1250.00 | |
| SP | 11250.00 | |
| Gross Salary | 50000.00 | |
| Ad-hoc Allowance | Monthly Bonus | 4150.00 |
| Contribution | Employee PF | 1800 |
| Employee ESI | 0 | |
| LWF Employee | 3 | |
| Deduction | Employee PF | 1800 |
| Employee ESI | 0 | |
| LWF Employee | 15 | |
| PF Admin Charge | 150 | |
| PT | 150 | |
| Salary on Hand | 46082 | |
| Note: Copy this BASIC + DA value to perform the Salary Structure Calculation | ||
| Calculated Basic + DA | 25000 | |
Salary Structure for Skilled Labour: Under Minimum Wage in Karnataka
| CTC | 600000 |
|---|---|
| Minimum Wages | 18135 |
| Basic Salary Structure | ||
|---|---|---|
| Components | Formula | |
| Allowance | BASIC + DA | 25000 |
| HRA | 12500.00 | |
| LTA | 1250.00 | |
| SP | 11250.00 | |
| Gross Salary | 50000.00 | |
| Ad-hoc Allowance | Monthly Bonus | 4150.00 |
| Contribution | Employee PF | 1800 |
| Employee ESI | 0 | |
| LWF Employee | 3 | |
| Deduction | Employee PF | 1800 |
| Employee ESI | 0 | |
| LWF Employee | 15 | |
| PF Admin Charge | 150 | |
| PT | 150 | |
| Salary on Hand | 46082 | |
| Note: Copy this BASIC + DA value to perform the Salary Structure Calculation | ||
| Calculated Basic + DA | 25000 | |
Salary Structure for Highly Skilled Labour: Under Minimum Wage in Karnataka
| CTC | 600000 |
|---|---|
| Minimum Wages | 19537 |
| Basic Salary Structure | ||
|---|---|---|
| Components | Formula | |
| Allowance | BASIC + DA | 25000 |
| HRA | 12500.00 | |
| LTA | 1250.00 | |
| SP | 11250.00 | |
| Gross Salary | 50000.00 | |
| Ad-hoc Allowance | Monthly Bonus | 4150.00 |
| Contribution | Employee PF | 1800 |
| Employee ESI | 0 | |
| LWF Employee | 3 | |
| Deduction | Employee PF | 1800 |
| Employee ESI | 0 | |
| LWF Employee | 15 | |
| PF Admin Charge | 150 | |
| PT | 150 | |
| Salary on Hand | 46082 | |
| Note: Copy this BASIC + DA value to perform the Salary Structure Calculation | ||
| Calculated Basic + DA | 25000 | |
Source: https://www.legalitysimplified.com/wp-content/uploads/2024/05