New Labour Codes
Wait for new labour codes ends, govt rolls out 4 consolidated laws
This story was originally published at 16:18 IST on 21 November 2025
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NEW DELHI – After years of waiting, the government on Friday announced the implementation of the four new labour codes to simplify and streamline labour laws in India. The new laws will ensure guarantee of timely minimum wages for all workers, guarantee social security for 4 million workers, guarantee gratuity for fixed-term employees after one year of employment, guarantee double wages for overtime, among others, Labour Minister Mansukh Mandaviya said in a post on X.
The government has consolidated 29 central labour laws into four labour codes--Code on Wages, 2019; Industrial Relations Code, 2020; Code on Social Security, 2020; and Occupational Safety, Health and Working Conditions Code, 2020. All 36 states were expected to complete the publication of harmonised draft rules of the rules in line with the labour codes by Mar. 31. Though cleared by Parliament, the labour codes were pending since 2020.
In line with the wide-ranging consultations carried out during the drafting of the labour codes, the government will likewise engage with public and stakeholders in the framing of the corresponding rules, regulations, schemes, under the new codes, the labour ministry said in a release. "During transition, the relevant provisions of the existing labour Acts and their respective rules, regulations, notifications, standards, schemes, etc. will continue to remain in force," it added.
The other guarantees under the new codes include appointment letters for the youth, equal pay and respect for women, free annual health check-ups for workers above 40 years of age, 100% health security for workers in hazardous sectors, social justice for workers as per international standards. "These new labour reforms are an important step towards a self-reliant India and will give new momentum to the goal of a developed India by 2047," Mandaviya said while announcing the implementation from Friday.
In a detailed press release, the labour ministry highlighted the benefits each sector will enjoy. Beyond that, the ministry also said that the new codes will include national floor wage in order to ensure no worker receives a wage below the minimum living standard. There will be gender neutral pay and job opportunities, faster and predictable dispute resolution, single registration and singe lincence, inspector-cum-facilifafor system to enforce awareness and compliance, mandatory health and safety committees with set rules, and higher factory applicability limits.
Bharatiya Mazdoor Sangh, a trade union in place since 1955, urged in a letter to Mandaviya that the Code on Wages and Social Security Code should be implemented at the earliest to benefit the working population. But said that Industrial Relations Code and the Occupational Safety, Health and Working Conditions Code contain several provisions that are not worker-friendly.
Few of their objections included curtailment of right to strike, lowering retrenchment notice pay to one month's wage instead of three earlier for units employing upto 300 workers, limiting workers' money claims to just one year, introduction of fixed term employent, neglect of scheme workers and domestic workers in the code, among others.
According to the labour ministry, the implementation of the four labour codes marks the next major step in widening the social-security net and embedding portability of benefits across states and sectors. "With expanded social security, stronger protections and nationwide portability of entitlements, the Codes place workers, especially women, youth, unorganised, gig and migrant workers, firmly at the centre of labour governance," it said. "By reducing compliance burden and enabling flexible, modern work arrangements, the Codes boost employment, skilling and industry growth, reaffirming the Government's commitment to a pro-worker, pro-women, pro-youth and pro-employment labour ecosystem." End
Reported by Priyasmita Dutta
Edited by Akul Nishant Akhoury
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