Minimum Wages in Uttarakhand for 2024

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Minimum Wages in Uttarakhand have been provided for the state and made effective consideration from October 1st, 2023, under the different employment categories, with due consideration of the worker’s skill and location in the state. It entails that even an unskilled worker in the leading areas is eligible to get a minimum wage rate of ₹10,031, while a highly skilled worker is further demanded to get a minimum wage rate of ₹12,220. Allowances for housing (HRA) and travel (LTA) are also included in the basic salary structure. This will help evolve a comprehensive pay structure for minimum wage earners in the state of Uttarakhand, giving due consideration to the contributions of the employee and employer to the social security schemes.

Understanding Minimum Wages for Uttarakhand

Sr No.	Employment Categories	Class of Workers	Basic (Per Month)	VDA (Per Month)	Total (Per Month)
1	Unskilled	Adult Workers	₹8,331	₹1,700	₹10,031
1	Unskilled	Rest of the State	₹8,213	₹1,700	₹9,913
2	Semi Skilled	Adult Workers	₹8,924	₹1,700	₹10,624
2	Semi Skilled	Rest of the State	₹8,788	₹1,700	₹10,488
3	Skilled	Adult Workers	₹9,518	₹1,700	₹11,218
3	Skilled	Rest of the State	₹9,370	₹1,700	₹11,070
4	Clerical Category – I	Adult Workers	₹10,520	₹1,700	₹12,220
4	Clerical Category – I	Rest of the State	₹10,328	₹1,700	₹12,028
5	Clerical Category – II	Adult Workers	₹9,772	₹1,700	₹11,472
5	Clerical Category – II	Rest of the State	₹9,611	₹1,700	₹11,311

Salary Structure for Minimum Wage in Uttarakhand

Sr No.	Component	Formula	Description
1	Basic + DA	If Max(CTC * 50%, MW * 12)	If this is less than half of the CTC but falls below the minimum wage, it should be increased to the state’s minimum wage and multiplied by 12
2	HRA	Basic * 50%	Half of (Basic + DA)
3	LTA	Basic * 5%	5% of Basic
4	SP	Gross Salary-Allowance	Subtraction of Allowances from the Gross Salary
5	Gross Salary	SUM([Basic + DA]; [HRA]; [LTA]; [SP])	Addition of (Basic Pay, HRA, LTA, and SP)
6	Monthly Bonus	0.083 * Basic	8.35% of Basic
7	PF Employee	12% of Basic Salary	If Basic pay is greater than or equal to 15,000, then the PF for employee is 1,800. Else it is 0.12% of Basic Salary Earned
8	ESI Employee	0.75% * Gross Salary	If the Gross Salary is greater than or equal to 21,000, then it should be calculated as 0.075% of Gross Salary Earned
9	PF Employer	12% of Basic Salary	If Basic pay is greater than or equal to 15,000, then the PF for employee is 1,800, Else 0.12% of Basic Salary Earned
10	ESI Employer	3.25% of Gross Salary	If the Gross Salary is greater than or equal to 21,000, then it should be calculated as 0.325% of Gross Salary Earned
11	LWF	As per the state, LWF differs	For both the Employee & Employer LWF
12	PF Admin Charge	0.01*Basic Pay	If Admin charge of 10% is greater than or equal to 150, else it is 0.01 of basic received
13	PT	As per the state, PF differs	Conditional

Pay Structure: Considering Uttarakhand’s Minimum Wages for Unskilled Workers

CTC	₹6,00,000
Minimum Wages	₹10,031

Basic Salary Structure
Sr No.		Components	Formula
1	Allowance	Basic + DA	₹25,000
		HRA	₹12,500
		LTA	₹1,250
		SP	₹11,250
		Gross Salary	₹50,000
2	Ad-hoc Allowance	Monthly Bonus	₹4,150
3	Contribution	Employee PF	₹1,800
		Employee ESI	₹0
		LWF Employee	₹3
4	Deduction	Employee PF	₹1,800
		Employee ESI	₹0
		LWF Employee	₹15
		PF Admin Charge	₹150
		PT	₹150
		Salary in Hand	₹46,082
Copy this BASIC + DA value to perform the Salary Structure Calculation
Calculated Basic + DA			₹25,000

Pay Structure: Considering Uttarakhand’s Minimum Wages for Semi Skilled Workers

CTC	₹6,00,000
Minimum Wages	₹10,624

Basic Salary Structure
Sr No.		Components	Formula
1	Allowance	Basic + DA	₹25,000
		HRA	₹12,500
		LTA	₹1,250
		SP	₹11,250
		Gross Salary	₹50,000
2	Ad-hoc Allowance	Monthly Bonus	₹4,150
3	Contribution	Employee PF	₹1,800
		Employee ESI	₹0
		LWF Employee	₹3
4	Deduction	Employee PF	₹1,800
		Employee ESI	₹0
		LWF Employee	₹15
		PF Admin Charge	₹150
		PT	₹150
		Salary in Hand	₹46,082
Copy this BASIC + DA value to perform the Salary Structure Calculation
Calculated Basic + DA			₹25,000

Pay Structure: Considering Uttarakhand’s Minimum Wages for Skilled Workers

CTC	₹6,00,000
Minimum Wages	₹11,218

Basic Salary Structure
Sr No.		Components	Formula
1	Allowance	Basic + DA	₹25,000
		HRA	₹12,500
		LTA	₹1,250
		SP	₹11,250
		Gross Salary	₹50,000
2	Ad-hoc Allowance	Monthly Bonus	₹4,150
3	Contribution	Employee PF	₹1,800
		Employee ESI	₹0
		LWF Employee	₹3
4	Deduction	Employee PF	₹1,800
		Employee ESI	₹0
		LWF Employee	₹15
		PF Admin Charge	₹150
		PT	₹150
		Salary in Hand	₹46,082
Copy this BASIC + DA value to perform the Salary Structure Calculation
Calculated Basic + DA			₹25,000

Pay Structure: Considering Uttarakhand’s Minimum Wages for Highly Skilled Workers

CTC	₹6,00,000
Minimum Wages	₹12,220

Basic Salary Structure
Sr No.		Components	Formula
1	Allowance	Basic + DA	₹25,000
		HRA	₹12,500
		LTA	₹1,250
		SP	₹11,250
		Gross Salary	₹50,000
2	Ad-hoc Allowance	Monthly Bonus	₹4,150
3	Contribution	Employee PF	₹1,800
		Employee ESI	₹0
		LWF Employee	₹3
4	Deduction	Employee PF	₹1,800
		Employee ESI	₹0
		LWF Employee	₹15
		PF Admin Charge	₹150
		PT	₹150
		Salary in Hand	₹46,082
Copy this BASIC + DA value to perform the Salary Structure Calculation
Calculated Basic + DA			₹25,000

Source: https://labourlawreporter.com/

Conclusion

Uttarakhand’s minimum wage framework, implemented alongside other government initiatives, prioritizes worker welfare through fair compensation. This lays the groundwork for a more respectful work environment. The minimum wages in Uttarakhand standards, effective October 1st, 2023, vary by category and location, ranging from Rs. 10,031 per month for unskilled workers in major areas to Rs. 12,220 for highly skilled workers. This policy fosters a fairer balance between employers and employees by ensuring a baseline level of financial security for workers.

Minimum Wages in Uttarakhand