Code on Wages Lakshadweep explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
The Code on Wages (Lakshadweep) Rules, 2025 are the Union Territory's rules under the Code on Wages, 2019. For an employer in the islands they say what criteria the Administration applies when it fixes minimum wages, who sits on the technical committee that advises on skill categories, what a normal working day is, and how the weekly rest day, a substituted rest day and a night shift are treated.
Minimum wages are fixed on a day basis; the day rate is divided by eight for an hour and multiplied by twenty-six for a month (rule 3(2)). A normal working day is eight hours of work plus rest intervals of not more than one hour in total, with a spread-over of not more than twelve hours (rule 6). The weekly rest day is ordinarily Sunday, and a worker called in on the rest day must get a substituted whole-day rest within the five days before or after (rule 7). The rules print no overtime multiplier.
The notification and commencement
The rules are the Code on Wages (Lakshadweep) Rules, 2025, as notified on 15 June 2026 (F. No. 08/01/2024-LE&T, Lakshadweep Gazette Extraordinary of the same date). Later amendments and State notifications under these rules should be checked in the State Gazette.
The notification is issued by the Department of Labour, Employment and Training of the Union Territory of Lakshadweep Administration. The Administrator makes the rules in exercise of the powers conferred by section 67 of the Code on Wages, 2019, "in supersession of all rules on the subject corresponding thereto in force in the Union Territory of Lakshadweep, except as respects things done or omitted to be done before such supersession". The title printed in rule 1(1) carries the year 2025 although the Gazette is dated 2026; use the title as printed.
Rule 1(2) extends the rules to the whole of the Union Territory. Rule 1(3) says: "They shall come into force after the date of their final publication in the Official Gazette." The four Labour Codes were brought into force from 21 November 2025, and the rules take effect on the commencement words quoted above. Rule 2 defines the terms the rules use, including "day" as a period of 24 hours beginning at mid-night, "year" as the financial year from 1 April to 31 March, and the four skill categories of unskilled, semi-skilled, skilled and highly skilled occupation. The "normal working day" is defined as any day of a week on which the establishment is operational and the worker is required to perform duty, not including the worker's weekly off.
How the rules sit with the Central rules
The Code section under which these rules are made is explained in section 67 and 68 of the Code on Wages, 2019, and the Central rules on commencement and definitions are in rules 1 and 2 of the Central wage rules. The Central method for the minimum rate is in rule 3, and the Central working day and rest day in rules 4 and 5 and rule 6. If you want the Lakshadweep text mapped to your own payroll, our labour law compliance team can do that. The sections below give only what the Lakshadweep text prints. Payment of wages, claims and registers are in our companion article on the Lakshadweep wage rules: payment of wages, claims, registers and forms.
Rule 3: criteria and arithmetic
Under rule 3(1), for section 6(5) of the Code the minimum rate of wages is fixed on the day basis, keeping in view these criteria: a standard working-class family of a spouse and two children apart from the earning worker, equal to three adult consumption units; a net intake of 2700 calories per day per consumption unit; 66 meters of cloth per year per standard working class family; housing rent expenditure at 10 percent of food and clothing expenditure; fuel, electricity and other miscellaneous items at 20 percent of minimum wage; and expenditure for children's education, medical requirement, recreation and contingencies at 25 percent of minimum wage.
Rule 3(2) says that when the rate of wages for a day is fixed, the amount is divided by eight for the hourly rate and multiplied by twenty-six for the monthly rate. In that division and multiplication, a fraction of one-half or more is rounded up to the next figure and a fraction of less than one-half is ignored.
Rule 4: the technical committee and skill categories
While fixing the minimum rate under section 6, the Administration fixes a rate applicable within the territorial limits of the Lakshadweep islands (rule 4(1)). It constitutes a technical committee to advise on skill categorisation (rule 4(2)): the Secretary (Labour, Employment and Training) as Chairperson; the Director (Labour, Employment and Training); the Assistant Director (Statistics) of the Directorate of Planning, Statistics and Training; the Labour Enforcement Officer of the Department; the Mission Director (Skill Development); and the Junior Employment Officer of the Department as Member Secretary.
On the committee's advice, the Administration categorises occupations as unskilled, semi-skilled, skilled and highly skilled by modifying, deleting or adding entries in Schedule A (rule 4(3)), with the committee taking into account, to the possible extent, the national classification of occupation or the national skills qualification framework (rule 4(4)). Two practical points for payroll follow from rule 4:
- An employee in a scheduled employment whose trade or job is not named in any category is paid the minimum wages of the category where the employee can be most accurately placed, and in a disagreement about the category of an occupation in Schedule A the technical committee's decision is final (rule 4(5)).
- For hotels, restaurants, tea-stalls, halwais, the listed ahatas and domestic workers, rule 4(6) says that where two meals, two times tea and lodging are provided the amount payable is less than the minimum wages fixed for the category, and where two meals and tea are given without lodging, less than other employees in the category who get none of these. The rule prints no figure for the reduction.
Rule 5 says endeavour shall be made to compute the cost-of-living allowance and the cash value of the concession on essential commodities once before 1st April and again before 1st October every year, to revise the dearness allowance payable on minimum wages. The rules print no minimum wage rate; our overview of minimum wages in Lakshadweep is a general note and not a rate table.
Rule 6: the normal working day
| Point | Rule | As printed |
|---|---|---|
| Normal working day | 6(1) | Eight hours of work and one or more rest intervals totalling not more than one hour |
| Spread-over | 6(2) | Not more than twelve hours on any day, inclusive of rest intervals |
| Agricultural employment | 6(3) | Subject to modifications the Government determines from time to time |
| Factories Act, 1948 | 6(4) | Not affected by the rule |
Rule 7: the weekly day of rest
Each employee is allowed one day of rest every week, ordinarily Sunday, though the employer may fix any other day for any employee or class (rule 7(1)). The employee is entitled to the rest day if the employee has worked under the same employer for a continuous period of not less than six days. The employee must be told of the rest day and of any later change before the change is made, by a notice displayed at the place of employment that the Inspector-cum-Facilitator specifies. For counting the six days, a day of attendance with only an attendance allowance, a day of lay-off on compensation under the Industrial Disputes Act, 1947, and any leave or holiday in the six days before the rest day count as days worked. "Week" is seven days beginning at midnight on Saturday night.
An employee is not required or allowed to work on the rest day unless there is, or will be, a substituted rest day for a whole day on one of the five days immediately before or after, and no substitution may leave the employee working more than ten days consecutively without a whole-day rest (rule 7(2)). The rest day worked is counted in the week of the substituted day for weekly hours (rule 7(3)).
Under rule 7(4), rest day wages are calculated at the rate applicable to the next preceding day. Where the employee works on the rest day and is given a substituted rest day, the rest day worked is paid at the overtime rate and the substituted rest day at the rate of the next preceding day. The proviso removes rest-day wages where the notified minimum monthly rate was worked out by dividing by twenty-six, or the actual daily rate was so worked out and is not less than the notified minimum daily rate; in that case an employee who works the rest day and has a substituted rest day is paid only the overtime-rate amount for the day worked. A dispute on whether the daily rate was correctly worked out is decided by the Labour Commissioner of the Union Territory on application, after the parties make written representations. For piece-rate employees the Administration determines the rest-day wages. Rule 7(5) protects more favourable terms under other law, an award, agreement or contract of service.
The rules print no overtime multiplier; overtime follows section 14 of the Code, explained in our post on section 14 of the Code on Wages, 2019.
Rules 8 to 10: night shifts, special categories and wage period
Where a shift extends beyond midnight, a whole-day rest means 24 consecutive hours beginning when the shift ends, and the hours after midnight count towards the previous day (rule 8). For employees engaged in an unforeseen emergency, preparatory or complementary work, intermittent employment, work that must be finished before the duty is over for technical reasons, or work dependent on the irregular action of natural forces, rules 6, 7 and 8 apply with a spread-over of not more than 16 hours in any day and actual hours of work, excluding rest intervals and periods of inaction, of not more than 9 hours in any day (rule 9). The longer wage period for minimum wages under section 14 is by the month (rule 10).
A worked example
A dive and tour operator in Kavaratti runs a six-day week. When an employee is asked to work on the Sunday before a festival, the manager gives a substituted whole-day rest within five days before or after, pays the Sunday at the overtime rate under rule 7(4), and displays the change at the place the Inspector-cum-Facilitator has specified before it takes effect. The employee's wage rate comes from the minimum wages the Administration has notified for the category, not from the rules.
Common lapses
- Changing the rest day without displaying the notice before the change.
- Letting more than ten days pass without a whole-day rest.
- Treating the twelve-hour spread-over in rule 6 as optional for ordinary employees.
- Applying the longer 16-hour spread-over of rule 9 to employees who are not in one of the listed classes.
Need help with Lakshadweep wage rules?
If your establishment in the islands needs its working-day, rest-day and minimum wage practices checked against these rules, our labour law compliance service can review them with you and note what to display and record.
Key takeaways
- The rules are notified on 15 June 2026 and come into force "after the date of their final publication in the Official Gazette".
- Minimum rate is fixed on a day basis; hour is the day rate divided by eight; month is the day rate multiplied by twenty-six, with half-and-above rounded up.
- A technical committee chaired by the Secretary (Labour, Employment and Training) advises on skill categories in Schedule A.
- Normal day is eight hours of work with rest intervals up to one hour and a spread-over of twelve hours.
- Rest day is ordinarily Sunday, with a substituted rest day within five days and never ten days without a whole-day rest.
Read next
- Code on Wages (Lakshadweep) Rules, 2025: payment of wages, claims, registers and forms
- Occupational Safety, Health and Working Conditions (Lakshadweep) Rules, 2025: registration, duties, hours and registers
- State rules under the four Labour Codes: which States have notified final rules
- Sections 1 and 69 of the Code on Wages, 2019: commencement
Disclaimer: Based on the State or Union territory rules named above, as notified under the Labour Codes and consulted on 4 October 2026. Later amendments, State notifications, fees and forms should be checked in the State Gazette and on the State labour department website. This article is general information, not legal advice; check the official text before acting.