Hotel owners across Bengaluru say the Karnataka government’s move to increase minimum wages by nearly 60% has severely impacted the hospitality sector. According to the Karnataka State Hotels Association, restaurants are now struggling to manage rising employee costs while already dealing with mounting operational expenses. Industry representatives claim the sudden wage revision has left many establishments with no option but to increase food prices significantly.
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Idli, Dosa and Biryani Prices Could Rise Sharply
Hoteliers warned that the prices of popular dishes may see a major jump in the coming weeks. A plate of idli, currently available for around Rs 50, could rise sharply, while masala dosa prices may touch Rs 150. Vegetarian meals that now cost between Rs 150 and Rs 200 could increase to nearly Rs 300. Biryani dishes, currently priced around Rs 300 to Rs 350, may go up to almost Rs 500 as restaurants try to balance higher labour and fuel expenses.
Small Eateries Struggle With LPG and Transport Costs
Apart from wage hikes, hotel owners said the rising cost of commercial LPG cylinders, transportation and groceries has made daily operations increasingly difficult. Several small and family-run eateries admitted they are already cutting staff to survive. Restaurant owners said oil-based dishes and meal packages with multiple items are becoming particularly expensive to prepare. Many fear that unless prices are revised soon, sustaining their businesses will become nearly impossible.