Archive · 21 Jul 2026
India to set first national floor wage
The Indian government is working on setting a national floor wage, which will be the lowest legal wage that all states must follow.
This wage will be set based on the cost of living and inflation in different areas.
If a state already has a higher minimum wage, that state's wage will still apply.
The goal is to make sure all workers, whether they are full-time, part-time, or temporary, get paid fairly.
However, some people think that having different wages for different states might be better because it takes into account local costs and inflation.
The government will also need to make sure that everyone follows these new rules.
The Indian government is setting a national floor wage under the Code on Wages.
The national floor wage will be the minimum wage standard, but states with higher minimum wages will keep their own rates.
The wage will consider living standards and inflation in different regions.
The Code on Wages covers all types of workers, including full-time, part-time, and temporary employees.
Compliance and enforcement of the new wage standards may be challenging.
- Who
- Indian government and state governments
- What
- Setting a national floor wage under the Code on Wages
- When
- Process has begun; no specific date mentioned
- Where
- India
- Why
- To reduce disparities in minimum wages across states and ensure a minimum wage right for all workers
Uniform National Wage
State-Specific Wages
Wage Uniformity
Uniform National Wage
A national floor wage ensures uniformity and reduces disparities across states.
State-Specific Wages
State-specific wages better reflect local cost of living and inflation dynamics.
Compliance and Enforcement
Uniform National Wage
A national standard simplifies compliance and enforcement mechanisms.
State-Specific Wages
State-level enforcement may be more effective as it aligns with local conditions.
- Legislation
- Code on Wages
- Effective Date
- Not specified
- Coverage
- Organised and unorganised sectors
- Worker Categories
- Full-time, part-time, temporary, casual, and contractual workers
- Current Minimum Wage (Central Sphere, Unskilled Workers, Area 'A')
- Rs 528 (as of March 30, 2026)
- National Floor Level Minimum Wage (NFLMW) Last Revised
- 2017 (Rs 176/day)