Uttar Pradesh Notifies New Minimum Wage Rates Across Three Categories

Citing rising cost of living, hundreds of industrial workers in Noida and Greater Noida hit the streets earlier this month and demanded a hike in their wages. They claimed that their wages had remained stagnant while prices of most daily items especially fuel and food had sky-rocketed over time. On some occasions, their protests turned violent and law enforcement authorities had to step in to control the situation. Three-category wage structure Taking into account variations in cost of living and industrial development, the government has introduced a three-tier classification for minimum wages. Category I includes high-cost districts like Gautam Buddha Nagar and Ghaziabad. Here, minimum wage rate for unskilled labour is Rs 13,690/month, for semi-skilled it is Rs 15,059/month and for skilled it is Rs 16,868/month. Category II includes other municipal corporation districts. The minimum wage rate for unskilled labour in these districts is Rs 13,006/month, for semi-skilled it is Rs 14,306/month and for skilled labour it is set at Rs 16,025/month. The Category III includes remaining districts. Here the minimum wage rate is set at Rs 12,356/month for unskilled labour, Rs 13,590/month for semi skilled labour and Rs 15,224/month for skilled labour. Balancing worker welfare and industry concerns While workers highlighted rising rents and living costs as key concerns, employers pointed to pressures from global tariffs, supply chain disruptions and geopolitical developments, particularly in West Asia, which have impacted business operations. The new wage framework reflects a calibrated approach, aimed at improving workers’ livelihoods without placing excessive financial strain on industries. Legal and policy framework The revision is aligned with provisions under the Code on Wages, 2019, which allows states to fix differential wages based on geography, cost of living and nature of work. It also addresses pending revisions under the Minimum Wages Act, 1948. The wage structure will be reviewed periodically based on inflation trends and stakeholder feedback. The move is expected to stabilise industrial relations, ensure continuity of production and strengthen employment conditions across Uttar Pradesh’s key manufacturing hubs. (KNN Bureau)