Uttar Pradesh minimum wages from 1 October 2026: VDA added for 74 scheduled employments
TaxByKK · Compliance News · taxbykk.com21 Oct 2026
In short
The Uttar Pradesh Labour Department has notified variable dearness allowance (VDA) payable with minimum wages for 74 scheduled employments from 1 October 2026 to 31 March 2027. The VDA is worked out on the average All-India Consumer Price Index (base 2001=100) for January to June 2026, which is 431 points against the base of 400 points.
- Authority
- Government of Uttar Pradesh, Labour Department (Shram Anubhag-2)
- Order
- Office memorandum dated 21 October 2026
- Type
- Notification
- Effective from
- 1 October 2026 to 31 March 2027
- Basic rates
- Notification No. 374/36-2-2026 dated 17 April 2026 (74 scheduled employments)
- Formula
- VDA = (431 − 400) / 400 × basic wage; daily wage = monthly wage ÷ 26
What changed
| Item | Before | Now |
|---|---|---|
| Gautam Buddh Nagar and Ghaziabad (Category I): unskilled | ₹12,885 | ₹13,883.59 a month (₹533.98 a day) |
| Category I: semi-skilled | ₹14,173 | ₹15,271.41 a month (₹587.36 a day) |
| Category I: skilled | ₹15,876 | ₹17,106.39 a month (₹657.94 a day) |
| Districts with municipal corporations (Category II): unskilled | ₹12,241 | ₹13,189.68 a month (₹507.30 a day) |
| Category II: semi-skilled | ₹13,464 | ₹14,507.46 a month (₹557.98 a day) |
| Category II: skilled | ₹15,082 | ₹16,250.86 a month (₹625.03 a day) |
| Other districts (Category III): unskilled | ₹11,629 | ₹12,530.25 a month (₹481.93 a day) |
| Category III: semi-skilled | ₹12,791 | ₹13,782.30 a month (₹530.09 a day) |
| Category III: skilled | ₹14,328 | ₹15,438.42 a month (₹593.79 a day) |
"Before" is the basic monthly wage fixed from 1 April 2026; "Now" adds the VDA from 1 October 2026 (₹998.59 for an unskilled worker in Category I). The VDA is revised every April and October on the average index of the previous six months.
Who it applies to
- Employers in Uttar Pradesh in the 74 scheduled employments
- Contractors supplying workers to these establishments
- Payroll teams, HR and CAs handling UP payroll and compliance
What to do
- Map each worker to the right district category (I, II or III) and skill level.
- Pay at least the new monthly rate (basic + VDA) from the October 2026 wage period; pay arrears if October wages were paid at the old rate.
- Recheck PF, ESI and bonus calculations that depend on the minimum wage.
- Update the wage registers and the minimum wage notice displayed at the workplace.
Reference
Government of Uttar Pradesh, Shram Anubhag-2, office memorandum dated 21 October 2026, under notification No. 374/36-2-2026-2041256 dated 17 April 2026 issued under section 3(kha) of the UP Industrial Disputes Act, 1947 read with section 21 of the UP General Clauses Act, 1904. The original is in Hindi.
Read the official PDF: UP notification (Hindi)Written by TaxByKK from the official notification. Check the official text before you act on it.
Frequently asked questions
What is the minimum wage for an unskilled worker in Noida and Ghaziabad from 1 October 2026?
₹13,883.59 a month (₹12,885 basic + ₹998.59 VDA), or ₹533.98 a day.
For which period does this VDA apply?
From 1 October 2026 to 31 March 2027.
How is the UP VDA calculated?
VDA = (average index − 400) / 400 × basic wage. The January–June 2026 average is 431 points.
How is the daily wage worked out?
By dividing the monthly wage by 26.