BENGALURU: Your favourite plate of biryani may soon cost nearly Rs 500, while go-to breakfast items such as idlis and masala dosas could become significantly more expensive.
The Karnataka State Hotels Association (KSHA) has warned that the state government’s revised minimum wages for workers could trigger a steep increase in food prices across hotels and restaurants in Karnataka, placing an additional burden on consumers and small hotel operators.
KSHA president G K Shetty said the revised wage structure, which increases minimum wages by nearly 60%, would severely impact the hospitality sector that is already struggling with rising operational costs. He said the wages now range from Rs 19,300 for unskilled workers in Zone 3 taluks to Rs 31,100 for highly skilled workers in Zone 1.
Shetty claimed that if the revised wages are implemented in the current form, the price of popular breakfast items could rise sharply. “A plate of idli, currently priced around Rs 50, may go up to Rs 80-90, while masala dosa prices could touch Rs 150 from the present Rs 80-90,” he said. He added that vegetarian meals priced at Rs 150-200 may rise to Rs 250-300, while biryani prices in Bengaluru could go up from Rs 300-350 to nearly Rs 500.
The association pointed to mounting pressure on the hospitality industry due to a sharp increase in commercial LPG cylinder prices, which, Shetty said, rose from Rs 1,884 to Rs 3,152 within a few months. Apart from LPG costs, hoteliers are also dealing with increased grocery prices, higher electricity tariffs and garbage cess charges.
Shetty said many small and family-run hotels could face severe financial strain due to the increased wage burden. He argued that the hotel sector should be treated differently as establishments already provide welfare facilities such as food, accommodation, uniforms and washing allowances to workers.
The KSHA said it had appealed to the Karnataka government to classify the hospitality sector separately while implementing revised minimum wages, but the request was not accepted. The association warned that the move could eventually lead to unemployment and force workers into the unorganised sector, including petty shops and footpath vending.
The association urged the government to reconsider the implementation of revised minimum wages for the hotel industry to avoid hardship for both hotel operators and consumers.