Learn About the Minimum Wages in MP
In this blog, we have detailed the minimum wages for employees in MP as shared by the MP government for the year 2024-25. The blog will help you calculate the expected gross salary based on the level of skills and knowledge of the employee. Moreover, you will also be able to understand the basic components of gross salary in MP.
Minimum Wages, MP
In Madhya Pradesh, the government has made it mandatory to provide an employee with minimum wages as per the government notification. It makes it necessary for the employer to pay its employees at least a monthly salary equal to the minimum wage or more than that. This minimum wage notification includes the wages for different categories of employee, which is based on their skill or knowledge. So, if you also want to know about the minimum wages in Madhya Pradesh in detail and the expected gross salaries for various levels of employment, keep reading the blog till the end.
What is the Minimum Wage Act, MP?
The Minimum Wages Act of MP is a follow-up of the Minimum Wages Act of 1948, which comes under the central government. The MP Act came into existence in 1958, and after four years, the MP Minimum Wages Fixation Act of 1962 came into existence, which provisions some acts of the 1958 Act. As per the law, the MP government has released the updated minimum wages and dearness allowance for the year 2024-25.
As per the new notification, an unskilled MP labor rate is ₹6500 per month and a DA of ₹141. The semi-skilled worker must be given a monthly salary of ₹7057 and ₹152 as DA. Moreover, the skilled worker should be provided with ₹8435 per month with a DA of ₹152. Lastly, the highly skilled workers should get ₹9735 monthly and DA of ₹152.
Now, let’s have a detailed look at the monthly salary of these four categories of workers and the gross salary with an addition of a few allowances.
1) Unskilled Workers
The minimum wages and DA for unskilled labor with expected gross salary are as follows:
| Component | Amount |
| Basic Pay | 6,500 |
| Variable Dearness Allowance | 141 |
| Component | Calculation | Amount |
| Basic Pay | Fixed | 6,500 |
| Dearness Allowance | Variable | 141 |
| House Rent Allowance (HRA) | 50% of Basic Pay | 3250 |
| Conveyance Allowance | Fixed at ₹1,600 per month | 1,600 |
| Gross Salary | Basic Pay + HRA + Conveyance | 11,491 |
2) Semi-skilled Workers
The minimum wages and DA for semi-skilled labor with expected gross salary are as follows:
| Minimum Wages | Amount |
| Basic Pay | 7,057 |
| Variable Dearness Allowance | 152 |
| Component | Calculation | Amount |
| Basic Pay | Fixed | 7,057 |
| Dearness Allowance | Variable | 152 |
| House Rent Allowance (HRA) | 50% of Basic Pay | 3,528.50 |
| Conveyance Allowance | Fixed at ₹1,600 per month | 1,600 |
| Gross Salary | Basic Pay + HRA + Conveyance | 12,338 |
Read Also:- Minimum wage in Haryana
3) Skilled Workers
The minimum wages and DA for skilled employees with expected gross salary are as follows:
| Minimum Wages | Amount |
| Basic Pay | 8,435 |
| Variable Dearness Allowance | 152 |
| Component | Calculation | Amount |
| Basic Pay | Fixed | 8,435 |
| Dearness Allowance | Variable | 152 |
| House Rent Allowance (HRA) | 50% of Basic Pay | 4217.5 |
| Conveyance Allowance | Fixed at ₹1,600 per month | 1,600 |
| Gross Salary | Basic Pay + HRA + Conveyance | 14,405 |
4) HIghly Skilled Workers
| Minimum Wages | Amount |
| Basic Pay | 9,735 |
| Variable Dearness Allowance | 152 |
| Component | Calculation | Amount |
| Basic Pay | Fixed | 9,735 |
| Dearness Allowance | Variable | 152 |
| House Rent Allowance (HRA) | 50% of Basic Pay | 4867.5 |
| Conveyance Allowance | Fixed at ₹1,600 per month | 1,600 |
| Gross Salary | Basic Pay + HRA + Conveyance | 16,355 |
The minimum wages and DA for highly skilled employees with expected gross salary are as follows:
In the above tables, every component except for basic salary is variable and can vary as per the employee. However, the basic salary can also be higher than the given figure but can’t be lesser than the given figure. The DA is calculated exactly the same as given in the official notification, and other allowances are fixed by figure or percentage.
Read Also- Minimum Wages, Delhi
What are the Components of Gross Salary in MP?
Apart from minimum wages and DA, there are many other components in an individual’s salary. If we add some of the main allowances to the minimum wages along with DA, we get the gross salary. Here are the main components of gross salaries in MP.
1) Basic Pay
The basic pay can either be minimum wage, as mentioned in the notification, or more than the minimum wage. However, it can not be a smaller figure than the minimum wage.
2) Dearness Allowance
The MP government also shares the minimum dearness allowance for an employee. Dearness Allowance refers to the money that is added to the basic salary to help employees defeat the inflation rate. The government shares a VDA or variable DA, which can differ for the company based on factors like location, position, etc.
3) House Rent Allowance (HRA)
HRA is given to employees who live in rented accommodations. It can vary depending on similar factors, and we have calculated it as 50% of the basic pay.
4) Conveyance Allowance
This allowance covers the daily travel costs to and from work. We have set the conveyance allowance at Rs.1600.
Read Also:- Minimum Wages In Karnataka 2025
Conclusion
To sum up, these are the minimum wages of the employees in MP based on their skill levels. You must get this salary for your monthly work. Moreover, the net salary for employees differs as it includes multiple other components and deductions like PF. What you get after the deductions and addition of other allowances is called your in-hand salary or net salary.
