Minimum Wage Revisions in Uttar Pradesh & Bihar: 2025 Update

Keeping up with the latest labour law changes helps employers, HR teams, and workers stay compliant and informed. In 2025, both Uttar Pradesh and Bihar revised their minimum wage structures under the Minimum Wages Act, 1948 to reflect rising living costs and inflation. These updates include increases in the Variable Dearness Allowance (VDA) aimed at protecting worker earnings against inflation.

Key Highlights: Uttar Pradesh 2025 Wage Revisions

• State Notification: Government of Uttar Pradesh issued revisions for 74 scheduled employments covering diverse sectors including retail, manufacturing, construction and services.
• Effective Periods:
  • April 1 – September 30, 2025: Revised minimum wages based on updated VDA.
  • October 1, 2025 – March 31, 2026: Further adjustments issued by UP Labour Department.
• Category-wise Wages (approx.):
  • Unskilled: ~₹423–₹424 per day
  • Semi-Skilled: ~₹466 per day
  • Skilled: ~₹522 per day
    (Figures include Basic + VDA)
• Applicability: Covers both daily and monthly pay scales for establishments under scheduled employment categories.

Key Highlights: Bihar 2025 Wage Revisions

• Major Revisions Effective:
  • April 1 – September 30, 2025: Initial wage updates for 77 scheduled employments.
  • October 1, 2025 – March 31, 2026: Expanded wage revisions covering 89 scheduled employments.
• Category-wise Wages (October 2025):
  • Unskilled: ₹428 per day (~₹11,128/month)
  • Semi-Skilled: ₹444 per day (~₹11,544/month)
  • Skilled: ₹541 per day (~₹14,066/month)
  • Highly Skilled: ₹660 per day (~₹17,160/month)
• VDA Impact: Variable Dearness Allowance has been updated based on inflation data to maintain real wage value.
• Scope: Applies to industries from handloom to private hospitals, security agencies, shops, and more.

Why These Revisions Matter

• Worker Protection: Higher minimum wages help workers cope with rising living costs.
• Inflation Adjustment: VDA ensures real earnings are preserved as prices change.
• Statutory Compliance: Employers must update payrolls or face penalties.
• Better Living Standards: Wage boosts aim to uplift low-income households.

FAQs on Minimum Wage Revisions 2025 – UP & Bihar

Q. When did the 2025 wage revisions start in Uttar Pradesh?

A: The initial revision was effective from April 1, 2025, with further updates from October 1, 2025.

Q. What is VDA and how is it calculated?

A: VDA stands for Variable Dearness Allowance — a component that adjusts wages based on changes in the Consumer Price Index to mitigate inflation.

Q. Are these wage rates applicable to all sectors?

A: These revisions apply to scheduled employments under labour laws, which include a wide range of industries. Specific applicability depends on the sector and state notification.

Q. How often are minimum wages reviewed?

A: States generally review wage rates every six months to align with CPI changes and economic conditions.

Q. What should employers do after these revisions?

A: Employers must update payroll systems, communicate changes to workers, and ensure legal compliance by the effective dates.

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