Staying informed about minimum wages in Karnataka can often look like tracking a moving target, especially with new notifications coming in all the time, updates to VDA, or any changes in compliance requirements, particularly when the Code on Wages comes into play.
Whatever role you play, whether in HR, running a business, or managing payroll, this much is certain: making sure you get your minimum wage right is no longer an option; it’s important.
Rather than wasting time sorting through various circulars from government agencies and navigating through various wage tables, why not make things easier for yourself? This blog will help you understand minimum wages in Karnataka 2026 by covering zones, skill classification, wage tables, and much more.
What are the Minimum Wages in Karnataka?
Let us begin with some basic information.
Minimum wages in Karnataka imply the least amount of money that has to be paid to employees according to the law. They are fixed by the Karnataka Labour Department in accordance with the Minimum Wages Act, 1948 (being gradually replaced by the Code on Wages, 2019).
However, there is no single minimum wage.
The state uses a sectoral approach, which means that wages depend on:
- Industry (e.g., shops, construction, security services, etc.)
- Area (place of employment)
- Skill (from unskilled to highly skilled)
As for 2026, the new revisions came into force starting from 1 April 2026 due to the growth of the Variable Dearness Allowance (VDA).
What are the Different types of zone classifications in Karnataka?
With regard to minimum wages in Karnataka, the zone classification takes the lead in deciding the amount that an employee must be compensated with. This is because there is no general wage rate in Karnataka; rather, the locations are classified into four zones depending on urbanisation and cost of living.
Below is the breakdown of each zone with clear explanations of what they entail:
Zone I: Metropolitan/ BBMP Zones
This is the highest-paying zone within Karnataka.
Zone I consists mainly of areas in the jurisdiction of the Bruhat Bengaluru Mahanagara Palike (BBMP); essentially, the metropolitan cities of Bangalore.
Why do people get higher wages in Zone I?
The reason is that Bangalore:
- Has a high cost of living
- High real estate prices
- Higher business costs
The employees in Zone I earn the highest minimum wages in comparison to the rest of the zones.
Zone II: Other Municipal Corporations
Zone II includes the developed but expensive cities, excluding Bangalore.
These include other municipal corporation cities within Karnataka, such as Mysuru, Mangaluru, Hubballi-Dharwad, etc.
Why do people earn less?
- Lower cost of living in comparison to Bangalore
- Growing urban infrastructure
- Slower economy
People earn less in this zone than in Bangalore, but more than in towns.
Zone III: District Headquarters
Zone III includes district headquarters and mid-sized towns that do not belong to Zones I and II.
This zone consists of areas where:
- There is urbanization, although restricted.
- Living costs are either moderate or low.
- Industry might be active, although limited in scope.
The minimum salaries paid to workers in Zone III are at a moderate level.
Zone IV: Rural and Other Zones
Zone IV is the lowest salary category and encompasses:
- Rural settlements.
- Small towns do not fall under other categories.
- Villages.
Why minimum wages?
As:
- The cost of living is low.
- Economic activities are rare in such areas.
Zone IV has the lowest minimum wage in Karnataka state.
What are the Skill-Based Classifications in Karnataka?
Along with zones, another important consideration used to decide the minimum wage rates in Karnataka is the skill set of the employee. This classification ensures fair wages according to the requirements involved in performing a job role.
The following is a list of the skills required for employees in Karnataka, along with explanations for easier comprehension:
1. Unskilled Workers
This classification represents workers who do not possess any specialized knowledge and are able to perform tasks requiring no specific education or prior training.
These workers usually perform manual work that can be done with the help of little instruction.
Examples:
- Helpers
- Labourers
- Cleaners/sweepers
- Loaders/unloaders
- Office boys/peons
Such workers usually earn the least amount among other classifications, but must still be paid as per the notified rates by the employer.
2. Semi-Skilled Workers
This type involves workers who know something about their respective job roles but not much.
Usually, these people learn the skill through on-the-job training.
Examples:
- Shop assistants
- Machine operators (basic)
- Packers
- Security guards (not armed)
- Data entry operators (basic)
3. Skilled Workers
- These are people who are skilled in a particular area because of technical knowledge or practical experience in that field.
- Accuracy, speed, and self-reliance are some of the characteristics of their work.
Examples:
- Electricians, mechanics, and carpenters
- Salespeople and technicians
- Drivers
- Security supervisors
- Photographers, hairdressers
Skilled workers are paid much higher minimum wages than semi-skilled and unskilled workers.
4. Highly Skilled Workers
- These are highly educated and competent individuals who are skilled in a specific area or have supervisory positions.
- Decision-making and technical knowledge are two traits that they may have.
Examples:
- Supervisors and managers
- Engineers and technical specialists
- Pharmacists and chemists
- Security officers/field officers
- Technical supervisors
They get the highest minimum wages since their level of competence and responsibility is much higher.
Current Minimum Wages in Karnataka 2026
Now let’s get to what you really came for, the latest minimum wages in Karnataka 2026.
Below are the verified wage tables for key industries.
Shops & Commercial Establishments (Designation-Based Table)
1. Highly Skilled Workers
| Zone | Total/Day | VDA/Month | Basic/Month | Total/Month |
| Zone I | ₹768 | ₹4,549 | ₹15,423 | ₹19,972 |
| Zone II | ₹740 | ₹4,549 | ₹14,689 | ₹19,238 |
| Zone III | ₹713 | ₹4,549 | ₹13,989 | ₹18,538 |
| Zone IV | ₹687 | ₹4,549 | ₹13,323 | ₹17,872 |
Example Roles: Pharmacist, Technical Supervisor
2. Skilled Workers
| Zone | Total/Day | VDA/Month | Basic/Month | Total/Month |
| Zone I | ₹714 | ₹4,549 | ₹14,021 | ₹18,570 |
| Zone II | ₹689 | ₹4,549 | ₹13,354 | ₹17,902 |
| Zone III | ₹664 | ₹4,549 | ₹12,718 | ₹17,266 |
| Zone IV | ₹641 | ₹4,549 | ₹12,112 | ₹16,661 |
Example Roles: Salesperson, Mechanic, Carpenter
3. Semi-Skilled Workers
| Zone | Total/Day | VDA/Month | Basic/Month | Total/Month |
| Zone I | ₹665 | ₹4,549 | ₹12,747 | ₹17,295 |
| Zone II | ₹642 | ₹4,549 | ₹12,140 | ₹16,688 |
| Zone III | ₹620 | ₹4,549 | ₹11,562 | ₹16,110 |
| Zone IV | ₹598 | ₹4,549 | ₹11,011 | ₹15,560 |
Example Roles: Shop Assistant, Packer, Clerk
4. Unskilled Workers
| Zone | Total/Day | VDA/Month | Basic/Month | Total/Month |
| Zone I | ₹621 | ₹4,549 | ₹11,587 | ₹16,137 |
| Zone II | ₹599 | ₹4,549 | ₹11,036 | ₹15,585 |
| Zone III | ₹579 | ₹4,549 | ₹10,510 | ₹15,059 |
| Zone IV | ₹560 | ₹4,549 | ₹10,010 | ₹14,559 |
Example Roles: Helper, Cleaner, Messenger
Office Staff Minimum Wages (Karnataka 2026)
1. Manager / Senior Roles
| Zone | Total/Day | Total/Month |
| Zone I | ₹807 | ₹20,972 |
| Zone II | ₹778 | ₹20,237 |
| Zone III | ₹750 | ₹19,538 |
| Zone IV | ₹726 | ₹18,872 |
2. Junior Staff / Clerical Roles
| Zone | Total/Day | Total/Month |
| Zone I | ₹665 | ₹17,296 |
| Zone II | ₹642 | ₹16,689 |
| Zone III | ₹620 | ₹16,111 |
| Zone IV | ₹598 | ₹15,560 |
3. Support Staff (Peon, Attender, Sweeper)
| Zone | Total/Day | Total/Month |
| Zone I | ₹621 | ₹16,137 |
| Zone II | ₹599 | ₹15,585 |
| Zone III | ₹579 | ₹15,060 |
| Zone IV | ₹560 | ₹14,559 |
Driver Category Minimum Wages (Karnataka 2026)
1. Heavy Vehicle Drivers
| Zone | Total/Day | Total/Month |
| Zone I | ₹714 | ₹18,570 |
| Zone II | ₹689 | ₹17,903 |
| Zone III | ₹664 | ₹17,267 |
| Zone IV | ₹641 | ₹16,661 |
2. Light Motor Vehicle Drivers
| Zone | Total/Day | Total/Month |
| Zone I | ₹665 | ₹17,296 |
| Zone II | ₹642 | ₹16,689 |
| Zone III | ₹620 | ₹16,111 |
| Zone IV | ₹598 | ₹15,560 |
3. Three-Wheeler Drivers
| Zone | Total/Day | Total/Month |
| Zone I | ₹621 | ₹16,137 |
| Zone II | ₹599 | ₹15,585 |
| Zone III | ₹579 | ₹15,060 |
| Zone IV | ₹560 | ₹14,559 |
Security Agency Minimum Wages (2026)
1. Highly Skilled (Security Officer)
| Zone | Total/Day | Total/Month |
| Zone I | ₹794 | ₹20,640 |
| Zone II | ₹762 | ₹19,812 |
| Zone III | ₹732 | ₹19,023 |
| Zone IV | ₹703 | ₹18,272 |
2. Skilled (Supervisor / Inspector)
| Zone | Total/Day | Total/Month |
| Zone I | ₹743 | ₹19,312 |
| Zone II | ₹713 | ₹18,548 |
| Zone III | ₹685 | ₹17,819 |
| Zone IV | ₹659 | ₹17,126 |
3. Semi-Skilled (Security Guard)
| Zone | Total/Day | Total/Month |
| Zone I | ₹731 | ₹18,996 |
| Zone II | ₹702 | ₹18,247 |
| Zone III | ₹674 | ₹17,533 |
| Zone IV | ₹648 | ₹16,853 |
4. Unskilled (Helper / Cleaner)
| Zone | Total/Day | Total/Month |
| Zone I | ₹696 | ₹18,102 |
| Zone II | ₹669 | ₹17,395 |
| Zone III | ₹643 | ₹16,721 |
| Zone IV | ₹618 | ₹16,080 |
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What Changed in Minimum Wages in Karnataka 2026?
In the case of minimum wages in Karnataka in 2026, the most significant change is the hike in the VDA.
For example:
- VDA for Shops ₹4,113.60 to ₹4,549.20
- VDA for Security ₹2,818.80 to ₹3,254.40
Therefore, rather than completely changing the salary structure, the government focused on wages.
How does the Code on Wages Impact Karnataka Employers?
And here comes the crucial information.
Starting November 2025, some provisions of the Code on Wages, 2019, became applicable.
And what’s that going to mean for you?
- Applicability of minimum wages for all employees
- Salary structure to be in accordance with the 50% principle (minimum wages should be at least 50%)
- No deduction to exceed 50% of wages
- Digital and strict inspections now
There is, however, one complicated thing about it.
- The state of Karnataka is implementing the notifications in its own way.
- Which means that you have to follow both Karnataka wage notifications and Code on Wages regulations.
Common Mistakes Employers Make
1. Incorrect Industry Category
Business organizations adopt incorrect wage scales, such as applying shop rates for construction workers, thus causing problems in wage underpayment and non-compliance.
2. Failure to Differentiate Zones
Applying a uniform wage structure across all zones in Karnataka can cause incorrect payments, particularly in high-wage zones like Bangalore.
3. Inappropriately Designated Skill Category
Employers wrongly categorize skilled and semi-skilled employees as unskilled employees to save money, but this may cause serious problems later on.
4. Bad Salary Structure
The salary structure consisting of a smaller portion of the basic salary and bigger portions of allowances may not comply with wage regulations, particularly under the Code on Wages structure.
5. Dependence on Contractors
Completely depending on contractors for wage compliance leaves room for errors, and the principal employer remains legally liable for those errors.
What is the Compliance Checklist for 2026?
Here’s a simple checklist you can follow:
1. Correct Industry Schedule Identification
You should first identify the correct industry schedule relevant to your business since the minimum wage rates in Karnataka vary among different industries, such as retail shops, construction industries, security companies, etc.
2. Employee Mapping for Skill Category
It is necessary to assess the true nature of employment to categorize the employee’s skill level accurately for proper wage computation.
3. Location to Determine the Zone
Always consider the location where the worker performs their duties while calculating the minimum wages, since the zone has significant implications on wage rates in Karnataka.
4. Use Updated Basic and VDA Rates
You must use the updated basic wage and VDA rates as both elements constitute the total minimum wage of an employee.
5. Check Compliance With 50% Rule
You must examine the total salary structure of your employees to check whether it meets the 50% requirement under the Code on Wages.
6. Mandatory Records
You should maintain detailed wage registers, attendance sheets, and payslips since they are mandatory records required during inspections.
7. Update Contractor Agreements
You should also incorporate minimum wage clauses into your contracts with contractors, since you remain responsible for compliance even when hiring through vendors.
8. Regular Payroll Audit
Do regular payroll audits to help detect any problems early on, ensuring that you are able to rectify compliance violations before they become serious.
Conclusion
Minimum wages in Karnataka cannot be understood by just considering one figure; it depends on the industry type, zone, and skill level.
With the minimum wages in Karnataka 2026, here’s what you need to know:
- Updates will continue
- Enforcement is only getting tougher
- Your payroll processing is growing more complicated
Now imagine trying to manage that manually, risky!
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