New labour rules kick in: Better pay, job security and social benefits for all workers
The government says this is an update to old labour laws and will make the system more modern and worker-friendly.
PTC News Desk: India on Friday brought four new labour codes into effect. These rules promise minimum wages, gratuity, and social security for more than 40 crore workers. The government says this is an update to old labour laws and will make the system more modern and worker-friendly.
In a detailed post on social media platform X (formerly Twitter), Union minister Mansukh Mandaviya wrote: “From today, the new labour codes have been implemented in the country. These reforms are not just ordinary changes, but a major step taken by Prime Minister Narendra Modi for the welfare of the workforce.”
“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,” he added.
Key points of the updated labour codes:
More formal jobs: Every worker must now receive a written appointment letter. This will make jobs more transparent and secure.
Social security for all: Under the Social Security Code, 2020, all workers — including gig workers and app-based workers — will get benefits like PF, ESIC, and insurance.
Minimum wages: Under the Wages Code, 2019, all workers are guaranteed a legal minimum wage and timely salary payments, helping them stay financially stable.
Health check-ups: Employers must give free yearly health check-ups to all workers above 40, helping promote early detection of health issues.
Timely salaries: Employers are required to pay wages on time, reducing stress and improving worker morale.
More opportunities for women: Women can now work at night and in any type of job, provided they agree and proper safety steps are taken. This will help them access higher-paying roles.
Wider ESIC coverage: ESIC benefits will now be available across India. It is optional for businesses with fewer than 10 workers but compulsory for any establishment with even one worker doing hazardous work.
Reduced paperwork: Companies will have a single registration, single licence, and single return across India, making compliance easier.
Workplace safety: A national OSH (Occupational Safety and Health) Board will be created to standardise safety rules.
Safety committees: Workplaces with more than 500 employees must have safety committees to ensure accountability.
Easier rules for small factories: Limits for factory registration have been raised, reducing pressure on small businesses while keeping workers protected.