HR, payroll & labour

Minimum Wages in Uttarakhand (2026): Shop and Factory Rates, the April 2026 VDA and Engineering-Unit Wages

Uttarakhand minimum wages 2026: shop rates with the ₹518 VDA from 1 April 2026, the new ₹13,800–₹16,900 engineering-unit wages, VDA arrears since 2024 and ₹ payroll.

Photo of Sumeet YadavEdited by Sumeet YadavFounder & editor, MSMETOOLS · fact-checked against official sources
Updated October 2026 Verified against official sources 9 October 2026 14 min read
Rates in force
from 1 April 2026
Last checked
Against the official source on 16 October 2026
Next revision due
1 October 2026 (not yet notified)

No revision notified since April 2026. The rates in force from 1 April 2026 are still the latest on the official source; a revision was due by 1 October 2026. Any later order may carry arrears back to its own effective date.

Minimum wages in Uttarakhand — MSMETOOLS guide cover
Contents (12)
  1. 1. Uttarakhand minimum wages for shops from 1 April 2026
  2. 2. Which category is each job in?
  3. 3. How Uttarakhand's VDA works — and the 2026 change
  4. 4. Engineering units with 50 or more workers
  5. 5. Construction, hotels and other employments
  6. 6. Daily rates, part-time work and other rules in the notifications
  7. 7. Worked payroll examples in ₹ (from 1 April 2026)
  8. 8. Paying the back-dated VDA in practice
  9. 9. Employer obligations under the Code on Wages
  10. 10. Common mistakes Uttarakhand employers make
  11. 11. What happens if you underpay
  12. 12. What to do next

If you run a shop in Dehradun, a hotel in Rishikesh, a component plant in the SIDCUL estates at Pantnagar or Haridwar, or a building site in Haldwani, Uttarakhand's minimum wage notifications set the least you can pay. The state revised basic wages for 57 scheduled employments from April 2024, changed its dearness formula in April 2026, issued VDA for three earlier half-years at the same time, and fixed a new interim wage for larger engineering units. This page puts all of that together from the Labour Department's own notifications: the rates from 1 April 2026, the VDA arrears many employers now owe, worked payroll in rupees and the common mistakes.

Quick answer

From 1 April 2026, an unskilled employee in an Uttarakhand shop or commercial establishment must get at least ₹13,057 a month in towns of one lakh or more and ₹12,909 elsewhere — the 2024 basic wage plus VDA of ₹518. Engineering units with 50 or more workers must pay ₹13,800 (unskilled) to ₹16,900 (skilled).

  • VDA ₹518 a month for all 57 scheduled employments from 1 April 2026

  • VDA for Oct 2024–Mar 2026 (₹58, ₹288, ₹288) was notified only in April 2026 — check arrears

  • Daily rate = monthly ÷ 26; hourly at least daily ÷ 6

  • No October 2026 VDA on the department's site as of 9 October 2026

Uttarakhand minimum wages for shops from 1 April 2026

The shops schedule — "employment in commercial establishments and shops in Uttarakhand" — is the one most small businesses need. Its basic wages come from the state's notification of 15 March 2024 (No. 286/(1)/VIII-1/24-228(Shram)/2001-Part-II), which superseded the 2019 rates with effect from 1 April 2024 after consulting the Uttarakhand Minimum Wages Advisory Board. Rates differ between towns with a population of one lakh or more and the rest of the state. The VDA of ₹518 is added to every category.

Category (shops)Basic, towns of 1 lakh+Total, towns of 1 lakh+Basic, rest of stateTotal, rest of state
Unskilled₹12,539₹13,057₹12,391₹12,909
Semi-skilled₹13,280₹13,798₹13,110₹13,628
Skilled₹14,023₹14,541₹13,838₹14,356
Clerical — Category II₹14,340₹14,858₹14,139₹14,657
Clerical — Category I₹15,275₹15,793₹15,035₹15,553

The notification does not list the towns by name. On census figures, Dehradun, Haridwar, Haldwani, Roorkee, Rudrapur and Kashipur are above one lakh; for a smaller or fast-growing town, confirm with the Assistant Labour Commissioner before using the lower column. The rate follows the place of work, not the head office.

Uttarakhand at a glance (from 1 April 2026)

₹13,057

Unskilled shop employee, large towns

per month

₹518

VDA per month, 57 employments

₹13,800

Unskilled, engineering units with 50+ workers

57

Scheduled employments on the VDA list

Uttarakhand minimum wage calculator

A full month is 26 working days; the daily rate is the monthly rate ÷ 26 where the order fixes only a monthly figure.

Monthly minimum (26 days)₹13,057
Daily rate (monthly ÷ 26)₹502.19
Pay for 26 days₹13,057
Overtime at 2× (₹125.55/hour)₹0
Minimum gross pay this month₹13,057

Overtime is paid at twice the ordinary rate (daily rate ÷ 8 hours). Arrears assume the same shortfall in every month since the rates took effect on 1 April 2026; a claim under the Code on Wages must generally be filed within 3 years. Estimates only — check the order for your employment.

Which category is each job in?

The appendix to the 2024 shops notification lists job titles for each category and ends each list with "any other employee doing similar work, by whatever name called". Classify by the work actually done.

  • Unskilled — palledars, packers, bundlers, loaders, unloaders, peons, labourers, safai workers.
  • Semi-skilled — godown keepers, weighmen, mistris, security guards without arms, cycle repairers, workers cleaning gold and silver jewellery, silver melters. It also includes anyone who has worked at least five years as a helper or assistant under a semi-skilled worker's guidance.
  • Skilled — drivers, machine men, carpenters, fitters, welders, painters, security guards with arms, electricians, engravers of gold and silver jewellery, supervisors, chemists, mechanics and operators, plus semi-skilled workers with five years under a skilled worker's supervision.
  • Clerical Category II — minimum qualification high school and less than five years in the establishment: munims, accountants, cashiers, typists, clerks, salesmen, data-entry operators, telephone operators and collection staff.
  • Clerical Category I — high school and five years or more in the establishment: head munim, chief accountant, head cashier, senior salesman, head clerk, office superintendent, stenographer, sales representative and computer operator.

Two consequences catch employers out. An unarmed security guard is semi-skilled, not unskilled. And a salesman or cashier moves from Category II to Category I after five years in your establishment, which raises the minimum by ₹935 a month in a large town.

Cloth and garment shops crowded with shoppers in Paltan Bazaar, Dehradun
A salesman in a Dehradun shop is clerical Category II — ₹14,858 a month from April 2026, rising to Category I after five years.· Image: paulhami (CC BY-SA 2.0)

How Uttarakhand's VDA works — and the 2026 change

The 2024 notifications linked basic wages to the All-India Consumer Price Index for industrial workers at 301 points on the 2001=100 series and promised VDA of ₹20 for every point of rise, adjusted each April and October on the average of the previous July–December or January–June. When the Labour Bureau moved to the 2016=100 series, that formula no longer matched the published index.

On 22 April 2026 the government amended the 2024 notifications (notification 460(1)/VIII-1/2026-228(Shram)/2001). The base is now 139 points on the 2016=100 series and the rate ₹57.60 a point a month. On 23 April 2026 the Labour Commissioner circulated the resulting VDA statements to the district offices, all issued under section 69(2) of the Code on Wages and in force until orders under section 7(2):

  • 1 October 2024 to 31 March 2025: (140 − 139) × ₹57.60 = ₹58 a month
  • 1 April 2025 to 30 September 2025: (144 − 139) × ₹57.60 = ₹288
  • 1 October 2025 to 31 March 2026: (144 − 139) × ₹57.60 = ₹288
  • From 1 April 2026: July–December 2025 average 148, so (148 − 139) × ₹57.60 = ₹518

The same amount applies to every category in every one of the 57 scheduled employments on the list — shops, construction, stone crushing, bakeries, hotels and restaurants, private schools and coaching centres, clinics and pharmacies, printing presses, petrol pumps, dairies, garment and hosiery units, rice and flour mills, furniture, brick kilns, tea gardens, engineering units with fewer than 50 workers, and all registered factories not covered elsewhere.

Uttarakhand minimum wages, 2024–26

1 Apr 2024

Revised basic wages for 57 employments (notifications of 15 Mar 2024)

1 Oct 2024

VDA ₹58 a month (notified April 2026)

1 Apr 2025

VDA ₹288 (notified April 2026)

22–23 Apr 2026

Formula moved to 2016 series; VDA statements for all periods issued

1 Apr 2026

VDA ₹518; engineering units with 50+ workers get interim wages

1 Oct 2026

Next VDA, from the Jan–Jun 2026 index — not yet notified

Engineering units with 50 or more workers

Engineering units have been outside the 2024 revision because their wages were fixed under the U.P. Industrial Disputes Act, 1947 (as adapted in Uttarakhand) by a notification of 15 May 2000, extended in 2006. According to the government's order of 29 April 2026, the District Magistrate of Udham Singh Nagar and the Labour Commissioner reported in April 2026 that the delay in revising those wages risked unrest in the state's industrial belts, after disturbances in industrial areas near the National Capital Region. A tripartite committee formed on 22 April 2026 met on 27 April and agreed interim figures.

The order (No. 391604/VIII-1/26-228(Shram)/2001, signed 29 April 2026) supersedes earlier notifications and directs that, until further orders, workers in engineering units and industries employing 50 or more workers get at least the following monthly wage from 1 April 2026, with DA merged:

CategoryInterim minimum from 1 April 2026
Unskilled₹13,800
Semi-skilled₹15,100
Skilled₹16,900

A correction issued on 30 April 2026 (No. 510) replaced the semi-skilled figure of ₹15,000 printed in the original order with ₹15,100, so ignore any summary that still shows ₹15,000. Engineering units with fewer than 50 workers stay on the 57-employment list and get their 2024 basic wage plus ₹518.

Construction, hotels and other employments

Each of the 57 employments has its own 2024 notification with its own basic wages; the VDA is the same. Two common ones:

  • Roads and building operations (notification of 15 March 2024): unskilled ₹12,500 basic, so ₹13,018 with VDA; semi-skilled ₹13,744; skilled ₹14,479; clerical Category I ₹15,691 and Category II ₹14,783. There is one statewide rate.
  • Hotels and restaurants: Category A areas (municipal corporations and municipalities, hotels and resorts around Corbett near Ramnagar, and cantonments) and Category B areas (nagar panchayats and villages), with different rates for dhabas and restaurants with fewer than 10 workers, those with 10 or more, and star hotels. An unskilled worker in a small Category A eatery gets ₹13,334; in a star hotel the unskilled basic is ₹13,466 before VDA.

For any other employment, take the basic wage from its 2024 notification on the department's Minimum Wages Notification page and add ₹518.

Daily rates, part-time work and other rules in the notifications

The 2024 notifications carry the same set of rules:

  • The daily rate must not be less than (monthly basic + VDA) ÷ 26, and the hourly rate not less than one-sixth of the daily rate.
  • Anyone working under six hours a day or 36 hours a week (including breaks) is part-time, paid at least one-sixth of the daily rate per hour.
  • Where work is paid by output, piece rates must give at least the time rate.
  • The rates include pay for the weekly rest day.
  • Contract workers must get the same minimum wage and VDA as workers employed directly.
  • Adolescents get at least the adult time rate for the category.
  • Higher existing wages must not be reduced.

So a part-time accounts assistant in Haldwani working three hours a day is due at least ₹14,858 ÷ 26 ÷ 6 ≈ ₹95.24 an hour — about ₹285.72 a day.

Street of shops selling blankets, bags and clothes in a Haridwar market
Haridwar is above one lakh population, so its shops use the higher column — ₹13,057 for unskilled staff.· Image: nborun (CC BY 2.0)

Worked payroll examples in ₹ (from 1 April 2026)

Example 1 — a helper in a Dehradun shop. Rakesh loads and packs stock: unskilled, large town. Minimum gross ₹13,057.

  • ESI (wages below ₹21,000/month): employee 0.75% ≈ ₹97.93; employer 3.25% ≈ ₹424.35
  • EPF at 12% of wages (if covered): ₹1,566.84 each
  • Net pay ≈ ₹11,392.23

Example 2 — an accountant in a Haldwani shop with three years' service. Clerical Category II, large town: ₹14,858. ESI ≈ ₹111.44; EPF ₹1,782.96; net ≈ ₹12,963.60. After five years she moves to Category I at ₹15,793.

Example 3 — a skilled machinist in a Pantnagar engineering plant with 200 workers. The interim order applies: ₹16,900. ESI ≈ ₹126.75; EPF ₹2,028 each — EPF is due on wages up to ₹25,000 a month from 17 September 2026. Net ≈ ₹14,745.25. Overtime under the Code on Wages is at twice the normal rate of wages: ₹16,900 ÷ 26 ÷ 8 × 2 ≈ ₹162.50 an hour.

Example 4 — VDA arrears for a Rudrapur shop. A shop that has paid an unskilled helper only the 2024 basic of ₹12,539 since April 2024 owes ₹58 × 6 + ₹288 × 12 = ₹3,804 for October 2024 to March 2026, and ₹518 a month from April 2026. Pay the arrears as a separate line on the slip, with the calculation on file.

Monthly minimum-wage check for an Uttarakhand employee

Step 1

Find the employment's 2024 notification

Step 2

Category and area

1 lakh+ town or rest

Step 3

Basic + ₹518 VDA

engineering 50+: interim rate

Step 4

Overtime at 2×

Step 5

ESI / EPF

Step 6

Pay by the 7th with a wage slip

Paying the back-dated VDA in practice

Start by finding the date from which each employee was on your payroll and the half-years they worked. For each half-year, multiply the months worked by that period's VDA — ₹58 for October 2024 to March 2025, ₹288 for April to September 2025 and ₹288 for October 2025 to March 2026 — and subtract anything you already paid above the 2024 basic wage. If a worker's gross was already higher than basic plus VDA for the whole period, nothing is owed, because the notifications only set a floor.

Pay the total as a separate "VDA arrears" line with the next wages, and deduct EPF on it if the employee is covered, since VDA is part of wages for EPF and ESI. Employees who have left are owed arrears too; record your attempt to pay them. Keep the working — month, rate, amount paid, shortfall — with the wage register, because it is the first thing an inspector or a claims authority will ask for.

If you buy labour from a contractor, ask for proof that the contractor has paid these arrears. The notifications require contract workers to get the same minimum wage and VDA as direct employees, and the Code on Wages lets an unpaid claim come back to you as principal employer.

Central-sphere establishments in Uttarakhand — central public sector undertakings and other establishments controlled by the Central Government — follow the central rates rather than this list; see our central minimum wages guide.

Employer obligations under the Code on Wages

The Code on Wages, 2019 has been in force since 21 November 2025; the government's April 2026 order notes that the state's Code on Wages Rules, 2026 were then being framed. On 10 July 2026 the state notified the officers — the Labour Commissioner and additional, joint, deputy and assistant labour commissioners for their districts — who can file complaints for offences under the Code. The national floor wage had not been notified when we checked; the old advisory floor was ₹176 a day (advisory, 2017).

  • Pay on time — monthly wages before the end of the 7th day of the next month; full and final settlement within 2 working days.
  • Deductions — no more than 50% of wages in total.
  • Contract labour — pay contract workers at least the same rate; the principal employer is answerable if the contractor underpays.
  • Records — keep wage and attendance registers and issue a wage slip every period.

Uttarakhand minimum wage checklist

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Common mistakes Uttarakhand employers make

Ignoring the back-dated VDA. Because the VDA statements for three earlier half-years appeared only in April 2026, many payrolls still run on the bare 2024 basic. The arrears are a claim workers can pursue.

Using ₹15,000 for semi-skilled engineering workers. The corrected figure is ₹15,100.

Treating unarmed guards as unskilled. They are semi-skilled in the shops schedule; armed guards are skilled.

Paying part-timers by the eight-hour day. The notifications fix the hourly floor at one-sixth of the daily rate, which is higher than one-eighth.

Counting benefits towards the minimum. Employer EPF and ESI, bonus, overtime and reimbursements are on top of the minimum.

What happens if you underpay

A worker, a group of workers or a union can claim unpaid minimum wages under the Code on Wages within 3 years, and the authority can award the shortfall plus compensation of up to 10 times the claim. Paying below the minimum is an offence with a fine of up to ₹50,000 for a first offence and up to ₹1 lakh fine and/or 3 months' imprisonment for a repeat. Calculate arrears half-year by half-year at the VDA then in force.

What to do next

Add the ₹518 VDA to every scheduled employee, work out and pay any arrears back to October 2024, apply the interim rates if you run an engineering unit with 50 or more workers, and watch the department's circulars page for the October 2026 VDA. Then issue wage slips showing basic, VDA, arrears, overtime, ESI and EPF with our free salary slip generator. If you also employ people in neighbouring states, compare our Uttar Pradesh and Haryana pages, and read our Code on Wages guide.

This is general information, not legal or tax advice — confirm on the official source or with a professional.

Frequently asked questions

From 1 April 2026, an unskilled employee in a shop or commercial establishment gets at least ₹13,057 a month in towns with a population of one lakh or more and ₹12,909 elsewhere — the 2024 basic wage plus VDA of ₹518. Engineering units with 50 or more workers must pay at least ₹13,800 to unskilled workers.

Sources & verification

Figures on this page were checked against the sources below when it was last reviewed on 9 October 2026. Each rate and limit is stored once with its own official source and review date, and official update channels are monitored daily so changes are picked up. How we verify

  1. 1.VDA payable in scheduled employments from 01.04.2026 (under notification 460(1)/VIII-1/2026-228(Shram)/2001 dated 22.04.2026; circular No. 1203/4-01/2024 dated 23.04.2026) — Labour Commissioner, Uttarakhand · accessed 9 October 2026
  2. 2.VDA statements for 01.10.2024–31.03.2025, 01.04.2025–30.09.2025 and 01.10.2025–31.03.2026 (all dated 22–23 April 2026) — Labour Commissioner, Uttarakhand · accessed 9 October 2026
  3. 3.Notification dated 15.03.2024 — minimum wages for employment in commercial establishments and shops, w.e.f. 01.04.2024 — Labour Department (Shram Anubhag), Government of Uttarakhand · accessed 9 October 2026
  4. 4.Order dated 29.04.2026 (No. 391604/VIII-1/26-228(Shram)/2001) and amendment No. 510 dated 30.04.2026 — interim minimum wages in engineering units with 50+ workers — Labour Department (Shram Anubhag), Government of Uttarakhand · accessed 9 October 2026
  5. 5.Notifications dated 15.03.2024 — roads and building operations; hotels and restaurants — Labour Department (Shram Anubhag), Government of Uttarakhand · accessed 9 October 2026
  6. 6.Labour Department, Uttarakhand — Minimum Wages Notification and Circulars/Notifications pages — Labour Department, Government of Uttarakhand · accessed 9 October 2026
  7. 7.Gazette of India S.O. 5109(E) dated 17.09.2026 — wage ceiling of ₹25,000 for Chapter III of the Code on Social Security — Ministry of Labour and Employment, Government of India · accessed 9 October 2026
  8. 8.The Code on Wages, 2019 (No. 29 of 2019) — India Code, Legislative Department · accessed 9 October 2026

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