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Minimum Wages in Telangana Apr 2026 - Sep 2026

Current Telangana Shops & Commercial Establishments rates. Two zones, four skills, Basic plus VDA breakdown.

Source: Telangana Labour Department. VDA effective 1 April 2026.

Wage Range / Month

Rs 12,778 to Rs 14,965

Across 4 skill levels and 2 zones | Shops & Commercial Establishments

Effective

Apr 2026 - Sep 2026

Zones

2 zones

Notified Rates

Complete Rate Card: All Skills and Zones

Shops & Commercial Establishments rates. Monthly and daily (26 days). VDA Rs 9,408 uniform. Source: Telangana Labour Department, effective April 2026.

Zone UnskilledSemi-SkilledSkilledHighly Skilled
Zone I
Per month

Rs 13,108

Rs 504 / day

Rs 13,510

Rs 520 / day

Rs 13,928

Rs 536 / day

Rs 14,965

Rs 576 / day

Zone II
Per month

Rs 12,778

Rs 491 / day

Rs 13,294

Rs 511 / day

Rs 13,710

Rs 527 / day

Rs 14,765

Rs 568 / day

Zone Coverage

Zone I: All Municipal Corporations, Selection Grade and Special Grade Municipalities (GHMC, Warangal, Karimnagar, Nizamabad, Khammam, Ramagundam)

Zone II: Rest of the State

Wage Composition

How the Telangana Wage Is Built Up

Example: Zone I Unskilled worker, monthly figures. Telangana Basic is low; VDA carries most of the wage.

Basic Wage

Rs 3,700

Government-notified base rate. Largely unrevised for years under the 1948 Act.

VDA

Rs 9,408

Variable Dearness Allowance linked to CPI. Revised every April and October. Forms most of the wage.

Total / Month

Rs 13,108

Floor wage payable. Cannot fall below this under Section 22.

Basic and VDA must appear as separate line items on the payslip under the Payment of Wages Act, 1936.

Employer Cost Guide

True Cost of 1 Minimum-Wage Worker in Telangana

Statutory add-ons on top of Rs 13,108 Zone I Unskilled base.

Gross monthly wage
Floor per worker
Rs 13,108
Employer EPF (12 percent of Basic + DA)
EPF Act 1952, Section 6
Rs 1,573
Employer ESI (3.25 percent if gross <= Rs 21,000)
ESI Act 1948
Rs 426
Statutory bonus (8.33 percent)
Payment of Bonus Act 1965, Section 10
Rs 1,092
Gratuity provisioning (4.81 percent)
Payment of Gratuity Act 1972
Rs 630
Total employer cost per worker / month Rs 16,829
Compliance Checklist

4 Things Every Telangana Employer Must Do

01

Pay at or above the notified rate

Apply current Zone I or II rate per worker. Update payroll on 1 April and 1 October when new VDA takes effect. Compute arrears for back-dated effective dates.

02

Maintain statutory registers

Keep Muster Roll, Wage Register with Basic + VDA separated, Deductions and Overtime registers under the Telangana Minimum Wages Rules. Preserve for 3 years.

03

Pay within the wage cycle

Wages payable by 7th of next month (under 1,000 workers) or 10th (1,000 plus) under the Payment of Wages Act, 1936. Overtime at twice the ordinary rate under Section 14.

04

Display the wage notice

Post the current Telangana minimum wage notice in Telugu and English at the workplace within 30 days of revision.

Category Guide

Which Skill Category Does Your Worker Fall Under?

Telangana Shops & Establishments notification uses 4 skill levels.

Unskilled

Peon, Cleaner, Helper, Loader, Attender

Semi-Skilled

Store keeper, Operator assistant, Salesman

Skilled

Electrician, Cashier, Accountant, Technician

Highly Skilled

Supervisor, Senior accountant, Manager

Penalty

Cost of Underpayment in Telangana

Section 22 of the Minimum Wages Act, 1948 applies. Telangana Labour Department inspects Hyderabad IT and pharma corridors closely.

Fine up to Rs 1 lakh per offence
Imprisonment up to 5 years, or both
Arrears + compensation up to 10x the shortfall
Continuing offence: extra daily fine

High-Risk Telangana Sectors

  • IT and ITES support staff (HITEC City)
  • Pharma and life sciences (Genome Valley)
  • Retail and hospitality (Hyderabad)
  • Security and housekeeping (statewide)
  • Construction (metro and IT corridor)

Rate applies by employee work location zone, not employer registered zone.

Revision History

Telangana VDA Trend

Six-month VDA notification, latest first.

Period VDA / Month Change
Apr 2026 - Sep 2026CURRENT Rs 9,408 Current
Oct 2025 - Mar 2026 Rs 9,102 +3.4%
Apr 2025 - Sep 2025 Rs 8,806 +3.4%
factoHR India

Auto-apply Telangana wages on every payslip

factoHR India tracks Telangana April and October VDA notifications, splits Basic and VDA per zone and skill, and flags any payslip below the floor wage.

Book a Demo

Apr / Oct auto-update

Zone + skill aware

Floor wage guardrail

Register-ready

Other State Wage Pages

FAQ

Telangana Minimum Wages FAQ

What is the minimum wage in Telangana for Shops & Establishments April 2026?
Telangana notified Shops & Commercial Establishments minimum wages between Rs 12,778 and Rs 14,965 per month effective 1 April 2026 to 30 September 2026. Rates split by skill (Unskilled, Semi-Skilled, Skilled, Highly Skilled) and zone (I, II). VDA of Rs 9,408 is uniform across all zones and categories.
How is the Telangana minimum wage calculated?
Total monthly wage = Basic + VDA. For a Zone I Unskilled worker, Basic is Rs 3,700 and VDA is Rs 9,408, totalling Rs 13,108. The Basic component is low and largely unrevised, so VDA forms the bulk of the wage. VDA is revised every six months.
How many zones does Telangana use?
Telangana uses two zones. Zone I covers all Municipal Corporations including GHMC Hyderabad, Warangal, Karimnagar, Nizamabad, Khammam, and Ramagundam. Zone II covers the rest of the state with marginally lower Basic rates.
How often does Telangana revise minimum wages?
Telangana revises the Variable Dearness Allowance every six months in April and October linked to the Consumer Price Index. The Basic component has stayed largely unchanged for years, so VDA growth drives wage increases.
How does factoHR India automate Telangana minimum wage payroll?
factoHR India tracks Telangana April and October VDA notifications, splits Basic and VDA per zone and skill, flags any payslip below the floor, and maintains registers under the Telangana Minimum Wages Rules.

Run Telangana Payroll Without Spreadsheets

factoHR India auto-applies the latest Telangana wages per worker. No missed April or October VDA cycles.

If you employ staff in Telangana, the same workforce is also covered by Professional Tax in Telangana, working-hour and overtime rules in Telangana, Labour Welfare Fund rates in Telangana, and the public holiday calendar for Telangana. Keep every Telangana statutory obligation aligned across your payroll.