Gandhinagar: The newly unveiled Viksit Gujarat Industrial Policy-2026 has introduced major incentives for labour welfare and women’s empowerment, including assistance of up to Rs. 40 crore for the construction of dormitories, labour hostels and women’s hostels.

The state aims to promote an inclusive and robust industrial ecosystem while improving the overall quality of life of its workforce. To support this objective, the policy provides special provisions for the accelerated development of secure and modern working women’s hostels, dormitories and labour hostels located within or adjacent to manufacturing hubs and industrial estates.

For setting up common dormitories, labour hostels or working women’s hostels, assistance of 80 per cent of the project cost, subject to a maximum of Rs. 40 crore, will be provided. In the case of dormitories, labour hostels or working women’s hostels set up by industries or within private industrial parks, eligible units will receive assistance of 40 per cent of the project cost, up to a maximum of Rs. 40 crore. The development cost of working women’s hostels, dormitories and labour hostels established within a 5-km radius of industrial units will also be considered eligible for assistance.

The Gujarat Industrial Development Corporation (GIDC) will facilitate the development of dormitories, labour hostels and working women’s hostels through various implementation models. By ensuring safe, accessible and high-quality residential infrastructure, the state aims to reduce logistical and safety barriers, enabling more women to participate in the workforce while supporting inclusive economic growth.

In addition to labour housing, special projects have been included in the policy to reduce infrastructure pressure in areas around cities such as Ahmedabad, Surat, Bharuch, Jamnagar and Rajkot, and to systematically develop new industrial zones by creating satellite townships for the relocation of industries. This is expected to boost the real estate sector through the availability of land between cities and the development of new industrial areas outside urban limits.

Housing for Workforce: Special Rental Assistance for Women Workers

The policy also provides special rental assistance for women industrial workers. Under this provision, hostel operators will receive 75 per cent of the rent for five years, subject to a maximum limit of Rs. 3 lakh per annum.

Different Models for the Project

• GIDC can build and operate the hostels.
• Hostels can also be developed under the Public-Private Partnership (PPP) model.
• Industry associations can manage the facilities.
• Private hostel operators can participate in the project.
• Companies can also build hostels for their workforce.