The Government of Jharkhand has revised the Variable Dearness Allowance (VDA) component of minimum wages payable to employees across the State, with effect from 1 October 2026. The notification is issued under Section 6 of the Code on Wages, 2019. The revision is based on the average All India Consumer Price Index for January to June 2026.
Area-wise Classification
The notification classifies areas of Jharkhand into three categories:
- Category A: Specified municipal corporations and notified areas, including Ranchi, Chas, Dhanbad, Deoghar, Mango and Adityapur Municipal Corporations, Jamshedpur Notified Area and Jugsalai Municipal Council, along with the other areas specified in the notification.
- Category B: All civic body, municipal and notified areas not covered under Category A.
- Category C: Other areas of the State outside the specified municipal and notified areas.
The applicable minimum wage depends on the employee’s geographical category and skill classification.
Revised Minimum Wage Rates
The following tables set out the basic wage, revised VDA and total minimum wage applicable from 1 October 2026.
Category A
Daily rates (₹)
| Skill category | Basic wage | VDA | Total |
| Unskilled | 468 | 55 | 523 |
| Semi-skilled | 491 | 57 | 548 |
| Skilled | 647 | 75 | 722 |
| Highly skilled | 746 | 87 | 833 |
Monthly rates (₹)
| Skill category | Basic wage | VDA | Total |
| Unskilled | 12,168 | 1,418 | 13,586 |
| Semi-skilled | 12,766 | 1,487 | 14,253 |
| Skilled | 16,822 | 1,960 | 18,782 |
| Highly skilled | 19,396 | 2,260 | 21,656 |
Category B
Daily rates (₹)
| Skill category | Basic wage | VDA | Total |
| Unskilled | 446 | 52 | 498 |
| Semi-skilled | 468 | 55 | 523 |
| Skilled | 617 | 72 | 689 |
| Highly skilled | 712 | 83 | 795 |
Monthly rates (₹)
| Skill category | Basic wage | VDA | Total |
| Unskilled | 11,596 | 1,351 | 12,947 |
| Semi-skilled | 12,168 | 1,418 | 13,586 |
| Skilled | 16,042 | 1,869 | 17,911 |
| Highly skilled | 18,512 | 2,157 | 20,669 |
Category C
Daily rates (₹)
| Skill category | Basic wage | VDA | Total |
| Unskilled | 425 | 50 | 475 |
| Semi-skilled | 446 | 52 | 498 |
| Skilled | 588 | 69 | 657 |
| Highly skilled | 678 | 79 | 757 |
Monthly rates (₹)
| Skill category | Basic wage | VDA | Total |
| Unskilled | 11,050 | 1,287 | 12,337 |
| Semi-skilled | 11,596 | 1,351 | 12,947 |
| Skilled | 15,288 | 1,781 | 17,069 |
| Highly skilled | 17,628 | 2,054 | 19,682 |
Effective Date and Compliance Implications
- The revised rates are effective from 1 October 2026 and apply to establishments covered by the notification.
- During October 2026, employers with establishments in Jharkhand should assess the applicable area classification and employee skill categories against the revised rates.
- Payroll calculations should reflect the revised VDA and total minimum wage from 1 October 2026.
- Employers should also ensure that wage registers and other applicable payroll records reflect the revised rates.
The notification further provides that monthly rates are converted into daily rates by dividing it by 26, and daily rates into monthly rates by multiplying it by 26. The notified rates include remuneration for the weekly rest day. Equal rates apply to men and women performing work of a similar nature.
Key takeaway: The revision changes the VDA component, rather than the underlying basic wage rates. The immediate compliance requirement for October 2026 is to apply the revised area-wise and skill-wise totals from 1 October 2026 and address any resulting wage shortfall.
