India’s new labour codes evolving labour framework is undergoing one of its biggest transformations in decades. The introduction of the new labour codes aims to restructure working conditions, redefine employee rights, and ensure better protection across full-time, part-time, gig, and platform-based work.
In a rapidly changing economy, employees must stay updated on how these rules may impact their wages, benefits, work-from-home policies, contractual terms, and overall workplace rights.
Standardised Minimum Wage Across Sectors
India’s new labour codes introduce a uniform minimum wage structure that applies across industries and skill levels. This ensures that workers receive fair compensation, regardless of their geographical location or job nature.
Compulsory Health Checkups
Employees in certain sectors will now be entitled to regular health examinations. This aims to improve workplace safety and early identification of occupational illnesses.
Work-From-Home (WFH) Regulations
With remote work becoming a permanent fixture, the new labour rules empower companies to frame WFH policies, covering working hours, overtime, equipment reimbursement, and employee well-being.
Universal Social Security
For the first time, gig workers, platform workers, and unorganized sector employees are covered under social security benefits including insurance and pension.
Increased Gratuity Benefits
Fixed-term employees will now be entitled to gratuity even if they don’t complete five years in a company, offering financial relief to temporary workers.
Stricter Rules on Working Hours
They propose a maximum of 48 working hours a week. Companies may adopt a 4-day work week, provided the daily hours do not exceed the maximum limit.
Definition of Wages Standardised
The new wage definition ensures that basic pay constitutes at least 50% of total salary. This will affect PF contributions, gratuity calculations, and take-home salaries.
Enhanced Safety and Working Conditions
With the Occupational Safety, Health and Working Conditions (OSH) Code, employers must ensure safer working environments, especially in industries prone to physical risks.
Contractual and Fixed-term Employee Protection
Fixed-term employees will now enjoy the same benefits as permanent workers, including working conditions, hours, and social security.
Flexible Hiring and Firing Policies
The new rules allow companies with up to 300 employees to hire or reduce staff without government permission, providing flexibility while still protecting worker interests.
Clear Guidelines for Gig and Platform Workers
The codes officially recognize gig workers, ensuring they receive social benefits. Companies like food delivery apps and e-commerce platforms will need to contribute to welfare funds.
Improved Maternity and Family Benefits
Female employees receive enhanced protection, including maternity leave, work-from-home provisions, and safeguards against termination during pregnancy.
Conclusion: India’s new labour codes
India’s new labour codes represent a transformative moment in the country’s employment landscape. While employers gain operational flexibility, employees receive stronger rights, fairer wages, and improved workplace protections. Whether you’re a full-time employee, gig worker, freelancer, or digital platform worker, these changes are designed to shape a more equitable and future-ready labour environment.
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Author: Team BTP
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