Telangana minimum wage hike: Check the new zone-wise salary scales for private, unorganised sector workers

In a move aimed at improving wages for workers in the unorganised and private sectors, the Telangana government has revised minimum wage rates, announcing new monthly salary scales for nearly 1.11 crore workers across the state. The Labour, Employment, Training and Factories Department issued G.O. No. 6 on May 31, bringing the revised wage structure into effect from June 1.

The government said the new wage rates were finalised in accordance with the provisions of the Code on Wages, 2019, enacted by the Centre.

The decision was taken under the government led by Chief Minister A. Revanth Reddy, who has in recent months undertaken a series of labour-related measures, including efforts to extend social security coverage to workers in emerging sectors of the economy.

The revised wage structure provides increases across all skill categories, with hikes ranging from about 25.5 per cent for unskilled workers to nearly 36.9 per cent for highly skilled workers. However, the actual minimum wages vary by skill category and location of employment. The government has notified revised wages for 77 recognised trades. For wage determination, municipal corporation areas have been classified as Zone-I, municipal areas as Zone-II, and urban panchayat and rural areas as Zone-III. The detailed break-up of revised minimum wages by skill category and zone is given below.

Officials said the revised structure would also simplify implementation for industries by replacing the earlier district-wise and trade-wise classifications, which often created confusion over wage and salary scales. With the state now divided into three zones and workers grouped into four categories — unskilled, semi-skilled, skilled and highly skilled — compliance is expected to become easier for employers.

The revision comes at a time when Telangana is attracting workers from neighbouring and eastern states due to expanding employment opportunities and relatively higher wages in sectors such as construction, manufacturing, logistics, hospitality and services. Hyderabad's ongoing infrastructure expansion, real estate activity, and industrial growth have sustained strong labour demand, particularly for migrant workers.

The announcement follows the state government's recent move to introduce legislation for gig and platform workers. The proposed law seeks to establish a framework for the registration, welfare and social security of workers engaged by app-based platforms, including delivery personnel and drivers. If implemented, Telangana would be among the early states to create a dedicated welfare framework for gig workers.

The government has also made salary payments through bank accounts mandatory to reduce underpayment and improve transparency. In addition, trainees and apprentices must receive at least 75 per cent of the applicable wage rate. Workers will also be entitled to overtime and double-duty payments for work performed on holidays and beyond prescribed working hours.

Trade unions welcomed the move but said its success would depend on enforcement. “The hike is mostly aimed at unorganised and private sector workers. The new scales could serve as a benchmark and as leverage for workers to bargain if they are not already getting this wage. How the government is going to implement them is yet to be seen,” said Kadigalla Bhaskar, secretary of the Centre of Indian Trade Unions, Ranga Reddy district.

Labour rights activists said the revised wage structure could improve earnings for low-income workers and strengthen Telangana's position as an employment destination. However, they stressed that regular inspections and effective compliance monitoring would be necessary to ensure that workers receive the benefits envisaged under the new framework.