The Government of Gujarat has revised the minimum wages applicable in the State by increasing the Variable Dearness Allowance / Special Allowance by Rs. 12 per day.
The revised VDA is Rs. 72.50 per day, and the new rates are applicable from 1 October 2026 to 31 March 2027.
Zone | Category | Basic / Day | VDA / Day | Total / Day | Monthly for 26 Days |
Zone-I | Skilled | 474.00 | 72.50 | 546.50 | 14,209 |
Zone-I | Semi-Skilled | 462.00 | 72.50 | 534.50 | 13,897 |
Zone-I | Unskilled | 452.00 | 72.50 | 524.50 | 13,637 |
Zone-II | Skilled | 462.00 | 72.50 | 534.50 | 13,897 |
Zone-II | Semi-Skilled | 452.00 | 72.50 | 524.50 | 13,637 |
Zone-II | Unskilled | 441.00 | 72.50 | 513.50 | 13,351 |
What has changed?
The key change is the increase in the VDA component:
Earlier VDA: Rs. 60.50 per day
Revised VDA: Rs. 72.50 per day
Increase: Rs. 12 per day
For 26 working days, the increase works out to:
12 × 26 = Rs. 312 per month
Zone Classification
Zone-I generally covers establishments located within Municipal Corporation limits, Municipality limits, Urban Development Authority areas and Nagar Palika areas.
Zone-II covers all other areas in Gujarat that do not fall under Zone-I.
Employers should verify the correct zone based on the actual location of the establishment.
Employer Action Required
Employers, HR teams and payroll departments should review wages payable from October 2026 and ensure that no employee covered under the applicable scheduled employment is paid below the revised minimum wage.
Contractors and manpower agencies should also update wages for outsourced employees. Principal employers should verify wage registers, bank-payment records and contractor compliance from the October 2026 wage period onwards.
Compliance Takeaway
The Gujarat minimum wage revision is effective from 1 October 2026, with the VDA increased by Rs. 12 per day to Rs. 72.50 per day.
Payroll systems and contractor wage structures should be updated to ensure compliance for the period 01 October 2026 to 31 March 2027.
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