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Construction Worker VDA Wages Revised w.e.f. 01.10.2026 | Labour Bureau Order

Construction Worker VDA Wages Revised w.e.f. 01.10.2026 | Labour Bureau Order
Revised Wages for Construction Worker 2026

REVISED WAGES FOR CONSTRUCTION WORKERS w.e.f. 01.10.2026

Ministry of Labour & Employment, Labour Bureau, Chandigarh – File No. 6/1/2026-VDA, Dated 30.09.2026
File No. 6/1/2026-VDA
Issuing Authority Labour Bureau, Ministry of Labour & Employment
Issued By Shyam Singh Negi, Director General
Date 30th September 2026

CPI-IW Index

431.42
From 424.80 (Base 2016=100)

VDA Increase

+6.62 points
Over previous quarter

Effective From

01.10.2026
Payable from this date

Wage Range

₹565 – ₹1,111
Per day, across areas & categories

Revised Variable Dearness Allowance (VDA) w.e.f. 01.10.2026 (Area-wise)

Unskilled Worker
Area A ₹317
Area B ₹267
Area C ₹215
Semi-Skilled / Unskilled Supervisory
Area A ₹354
Area B ₹300
Area C ₹251
Skilled / Clerical
Area A ₹387
Area B ₹354
Area C ₹300
Highly Skilled
Area A ₹418
Area B ₹387
Area C ₹354
The VDA has been rounded off to the next higher rupee as per the decision of the Minimum Wages Advisory Board.

Minimum Wages (Basic + VDA) w.e.f. 01.10.2026 (Area-wise)

Unskilled Worker
Area A
₹523 + ₹317
₹840
Area B
₹437 + ₹267
₹704
Area C
₹350 + ₹215
₹565
Semi-Skilled / Unskilled Supervisory
Area A
₹579 + ₹354
₹933
Area B
₹494 + ₹300
₹794
Area C
₹410 + ₹251
₹661
Skilled / Clerical
Area A
₹637 + ₹387
₹1,024
Area B
₹579 + ₹354
₹933
Area C
₹494 + ₹300
₹794
Highly Skilled
Area A
₹693 + ₹418
₹1,111
Area B
₹637 + ₹387
₹1,024
Area C
₹579 + ₹354
₹933

Applicable Employments (Construction & Infrastructure)

  • Construction or maintenance of roads or runways
  • Building operations
  • Laying down underground electric, wireless, radio, television, telephone, telegraph and overseas communication cables
  • Similar other underground cabling work
  • Electric lines, water supply lines and sewerage pipe lines

Area Classification (Annexure I)

A
Area "A" – Metro Cities
Ahmedabad, Hyderabad, Faridabad, Bengaluru, Kanpur, Ghaziabad, Delhi, Chennai, Noida, Greater Mumbai, Nagpur, Secunderabad, Kolkata, Lucknow, Gurgaon, Navi Mumbai, Pune.
B
Area "B" – Major Cities (incl. Bhubaneswar, Cuttack, Rourkela)
Agra, Gwalior, Port Blair, Ajmer, Hubli-Dharwad, Puducherry, Aligarh, Indore, Raipur, Allahabad, Jabalpur, Raurkela, Amravati, Jaipur, Rajkot, Amritsar, Jalandhar, Ranchi, Asansol, Jalandhar-Cantt., Saharanpur, Aurangabad, Jammu, Salem, Bareilly, Jarnagar, Sangli, Belgaum, Jamshedpur, Shillong, Bhavnagar, Jhansi, Siliguri, Bhiwandi, Jodhpur, Solapur, Bhopal, Kannur, Srinagar, Bhubaneshwar, Kochi, Surat, Bikaner, Kolhapur, Thiruvanantapuram, Bokaro Steel City, Kollam, Thrissur, Chandigarh, Kota, Tiruchirappalli, Coimbatore, Kozhikode, Tiruppur, Cuttack, Ludhiana, Ujjain, Dehradun, Madurai, Vadodara, Dhanbad, Malappuram, Varanasi, Durgapur, Malegaon, Vasai-Virar City, Durg-Bhilai Nagar, Mangalore, Vijayawada, Erode, Meerut, Vishakhapatnam, Firozabad, Moradabad, Warangal, Goa, Mysore, Gorakhpur, Nanded Waghala, Greater Visakhapatnam, Nasik, Gulbarga, Nellore, Guntur, Panchkula, Guwahati, Patna.
C
Area "C" – All Other Areas
Area "C" shall comprise all areas not mentioned in Area A and Area B, but to which the Minimum Wages Act, 1948 extends.
Note: U.A. means Urban Agglomeration.

Important Points to Note

  • Effective Date: Revised VDA is payable from 01.10.2026.
  • CPI-IW Index: Average CPI-IW reached 431.42 from 424.80 (Base 2016=100).
  • VDA Increase: Resulted in an increase of 6.62 points.
  • Wage Range: Minimum wages now range from ₹565 (Area C Unskilled) to ₹1,111 (Area A Highly Skilled).
  • Categories: Unskilled, Semi-Skilled/Unskilled Supervisory, Skilled/Clerical, Highly Skilled.
  • Area-wise VDA: Higher VDA in Area A, followed by B, then C.
  • Rounding: VDA rounded off to the next higher rupee.
  • Legal Basis: Issued under Section 69(2) of the Code on Wages, 2019 (29 of 2019).
  • Worker Classification: Same as Part I of Notification No. S.O. 188(E) dated 19.01.2017.
  • City Classification: Area A, B, C classification as per Part II of notification dated 19.01.2017.
  • Issued By: Shyam Singh Negi, Director General, Labour Bureau.

Download the Official Order or share this update:

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Frequently Asked Questions

What is this order about?
This order from the Labour Bureau, Ministry of Labour & Employment, revises the rates of Variable Dearness Allowance (VDA) for construction workers employed in road construction, building operations, and underground cable/utility work, effective from 01.10.2026.
When does the revised VDA come into effect?
The revised VDA is payable from 01.10.2026.
What is the CPI-IW index on which this revision is based?
The average Consumer Price Index for Industrial Workers (CPI-IW) reached 431.42 from 424.80 as on 30.06.2026, linked to Base 2016=100. This resulted in an increase of 6.62 points.
What are the new minimum wages for Unskilled workers?
For Unskilled workers: ₹840 (Area A), ₹704 (Area B), and ₹565 (Area C) per day.
What are the new minimum wages for Skilled/Clerical workers?
For Skilled/Clerical workers: ₹1,024 (Area A), ₹933 (Area B), and ₹794 (Area C) per day.
What are the new minimum wages for Highly Skilled workers?
For Highly Skilled workers: ₹1,111 (Area A), ₹1,024 (Area B), and ₹933 (Area C) per day.
Which employments are covered under this order?
The order covers workers employed in Construction or Maintenance of Roads/Runways or in Building Operations including laying down Underground Electric, Wireless, Radio, Television, Telephone, Telegraph and Overseas Communication Cables and similar other underground cabling work, Electric Lines, Water Supply Lines and Sewerage Pipe Lines.
How is the VDA rounded off?
The VDA has been rounded off to the next higher rupee as per the decision of the Minimum Wages Advisory Board.
What is the legal basis for this order?
The order is issued in pursuance of sub-section (2) of Section 69 of the Code on Wages, 2019 (29 of 2019).
How are cities classified for the purpose of minimum wages?
Cities are classified into Area A, Area B, and Area C. Area A includes metro cities like Delhi, Mumbai, Kolkata, Chennai, Bengaluru, Hyderabad, etc. Area B includes Bhubaneswar, Cuttack, Rourkela, and other major cities. Area C comprises all other areas.
Who issued this order?
The order has been issued by Shyam Singh Negi, Director General, Labour Bureau, Ministry of Labour & Employment, Chandigarh.
Where can I download the official order?
You can download the official order using the Download PDF button provided on this page.