The Indian Government has consolidated 29 existing labour laws into 4 Labour Codes. These codes intend to simplify compliance, promote ease of doing business, and enhance worker welfare by creating a unified, transparent, and technology-driven labour law system across the nation.
1. Code on Wages, 2019
This code ensures a uniform minimum wage for all sectors and introduces the concept of a floor wage set by the Central Government. It mandates the timely payment of wages to all employees. Additionally, it simplifies terms such as wages, employee, and employer, reduces litigation, and ensures fair wage practices.
2. Industrial Relations Code, 2020
This code aims to foster industrial harmony and reduce disputes. It changes the thresholds for layoffs, retrenchment, and closure approvals, which now apply to establishments with 300 employees. The code introduces Fixed Term Employment, providing equal benefits as permanent employees. It also establishes Industrial Tribunals for expedited dispute resolution and promotes negotiation unions/councils for collective bargaining.
3. Occupational Safety, Health & Working Conditions (OSH) Code, 2020
This code consolidates all safety and working condition laws. It applies to factories, mines, docks, transport, and construction sectors, providing health, safety, working hours, and welfare standards for workers. It mandates free health check-ups for certain categories and introduces single registration for establishments to ease compliance burden.
4. Social Security Code, 2020
This code extends social security to gig workers, platform workers, and informal workers. It encompasses EPF, ESI, maternity benefits, gratuity, and insurance. It introduces a digitized Social Security Number for portability and includes a provision for fixed-term employees to receive gratuity without requiring 5-year service.
Warm regards,
Divakar Dubey,
HR Professional,
Gurgaon, Haryana.
1. Code on Wages, 2019
This code ensures a uniform minimum wage for all sectors and introduces the concept of a floor wage set by the Central Government. It mandates the timely payment of wages to all employees. Additionally, it simplifies terms such as wages, employee, and employer, reduces litigation, and ensures fair wage practices.
2. Industrial Relations Code, 2020
This code aims to foster industrial harmony and reduce disputes. It changes the thresholds for layoffs, retrenchment, and closure approvals, which now apply to establishments with 300 employees. The code introduces Fixed Term Employment, providing equal benefits as permanent employees. It also establishes Industrial Tribunals for expedited dispute resolution and promotes negotiation unions/councils for collective bargaining.
3. Occupational Safety, Health & Working Conditions (OSH) Code, 2020
This code consolidates all safety and working condition laws. It applies to factories, mines, docks, transport, and construction sectors, providing health, safety, working hours, and welfare standards for workers. It mandates free health check-ups for certain categories and introduces single registration for establishments to ease compliance burden.
4. Social Security Code, 2020
This code extends social security to gig workers, platform workers, and informal workers. It encompasses EPF, ESI, maternity benefits, gratuity, and insurance. It introduces a digitized Social Security Number for portability and includes a provision for fixed-term employees to receive gratuity without requiring 5-year service.
Warm regards,
Divakar Dubey,
HR Professional,
Gurgaon, Haryana.