4 Labour Codes Now in Force Across India: What Changes for Workers

4 Labour Codes Now in Force Across India: What Changes for Workers

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The Indian government has started using all four new labour codes from Friday. This is the biggest change in India’s labour laws in many decades. Earlier, there were 29 different labour laws, some even from the 1930s and 1950s. Many of these old laws overlapped or were confusing.

The government says the new labour codes will make the system simple, protect workers better, reduce paperwork for companies and match global standards.

The four new labour codes are:

  1. Code on Wages (2019)
  2. Industrial Relations Code (2020)
  3. Code on Social Security (2020)
  4. Occupational Safety, Health and Working Conditions Code (2020)

These new laws aim to make India’s labour system “future-ready”.

What Changes for Workers

1. Minimum wages for everyone

Earlier, minimum wage rules applied only to some industries. Now, every worker in every sector must get minimum wages. Employers also must pay salaries on time.

2. Better social security

More workers will now get facilities like:

  • EPF (Provident Fund)
  • ESIC (Health insurance)
  • Gratuity
  • Other insurance benefits

Even gig and platform workers (like delivery partners and app-based workers) will get social security. Companies will contribute a small part of their earnings to support these workers.

3. Health and safety

  • All workers above age 40 will get free yearly health check-ups.
  • Dangerous industries like mining and factories must follow stricter safety rules.
  • Women can now work in all jobs, even at night, but employers must ensure safety.

4. Appointment letters

Every worker must get an official appointment letter, which helps with job proof, loans and benefits.

5. Special benefits for certain groups

  • Fixed-term workers: Will get the same benefits as permanent workers. They can get gratuity after 1 year.
  • Women workers: No discrimination, equal pay, and can work night shifts with safety.
  • Youth and MSME workers: Must receive minimum wages and timely salary.
  • Textile and migrant workers: Will get equal wages and can use PDS benefits anywhere.
  • IT/ITES employees: Salary must be paid by the 7th of each month.
  • Media workers: Must get appointment letters and protection against late payments.

What Changes for Employers

  • One single registration, one licence and one return for all laws — reducing paperwork.
  • Inspectors will act more like helpers to guide companies instead of punishing them immediately.
  • A National OSH Board will make standard safety rules for all industries.
  • Small factories get relief through higher thresholds before the law applies.
  • Old rules will stay in place temporarily until new schemes are fully launched.

Why These Changes Matter for Families

For many households, these new rules will mean:

  • More regular and predictable income
  • Lower financial stress due to better social security
  • More job opportunities for women and young people
  • Better protection for gig and app-based workers

The government says the aim is to create a worker-friendly, women-friendly and job-friendly labour environment.