Dining out in Bengaluru may soon get costlier

• Karnataka hotels warn of steep food price hikes due to wage revisions
• Minimum wages for unskilled workers in Bengaluru will rise to Rs 23,376
• Consumers may face higher costs for idli, dosa and biryani as a result

The Karnataka State Hotels Association has warned that the state government’s decision to implement revised minimum wages could lead to a steep increase

in food prices across hotels and restaurants, with popular dishes such as idli, dosa and biryani expected to become significantly more expensive. Association president G K Shetty said the average minimum wage increase was nearly 60 per cent from the current levels and would severely impact restaurants, especially small and family-run establishments already struggling with rising operational costs. According to the association, the price of a plate of idli could rise from Rs 50 to Rs 80, while a masala dosa may increase from Rs 80-90 to nearly Rs 150. Vegetarian meals currently priced at Rs 150-200 could cost Rs 250-300, and biryani dishes in Bengaluru may jump from Rs 300-350 to almost Rs 500. “With such increases, eating out will become more expensive for ordinary citizens, impacting the hotel industry,” Shetty said.

Revised Minimum Wages Trigger Concern

Karnataka recently notified revised minimum wages for organised and unorganised sectors. Under the new structure, an unskilled worker in the Greater Bengaluru Area must be paid Rs 23,376 per month, while wages for highly skilled workers have been fixed at Rs 31,114 per month.

Outside Bengaluru, the minimum wage for unskilled workers ranges between Rs 19,300 and Rs 21,251.

Shetty said the increase would sharply raise operating costs for the hospitality sector, which was already burdened by higher fuel and utility expenses.

Hotel Industry Flags Rising Operational Costs

The association pointed out that the price of commercial LPG cylinders had increased from Rs 1,884 to Rs 3,152 within a few months. It also cited hikes in grocery prices, power tariffs and garbage cess charges.

“Hotels are not like other sectors. We provide food, lodging and other facilities to employees. The government should have considered the unique nature of the hospitality industry before imposing such a steep wage hike," Shetty said.

The association said it had urged the Karnataka government to classify the hospitality sector separately while implementing the wage revision, but the request was not accepted. It has now appealed to the government to reconsider the implementation to avoid hardship for hotel operators and consumers.

(With inputs From PTI)