.jpg)
Labour laws are crucial for safeguarding the interests of workers and ensuring their social welfare. In India, there are over 100 state laws and 40 central laws regulating different aspects of labour, such as working conditions, social security, wages, and industrial disputes. However, compliance with these laws has become increasingly complex due to the sheer volume of regulations, as well as the fact that both the central and state governing bodies have the right to create them.
To address this issue, the Government of India and the Ministry of Labour and Employment have proposed a unification of labour laws through four new labour codes. These codes are designed to simplify compliance and ensure uniformity in labour laws across the country.
The proposed codes are expected to be implemented by the financial year 2022-2023 and take a framework-based approach to encompass the different scenarios in the workplace. Let's take a look at an overview of the four newly proposed codes:
1. Code on Wages, 2019: This code universalizes minimum wages for all employees in both organised and unorganised sectors and amalgamates the definition of wages across all legislation.
2. Code on Social Security, 2020: The aim of this code is to improve the benefits offered to employees, such as provident fund, gratuity, or insurance, and extend the reach of social security schemes to all sectors of workers, including gig workers and platform workers.
3. Code on Industrial Relations, 2020: This code streamlines the laws related to trade unions, employment conditions for industries, and a comprehensive handling of industrial disputes. It also places a higher emphasis on building a strong employer-employee relationship, creating better working conditions, collective bargaining, and re-skilling of employees.
4. Occupational Safety, Health and Working Conditions Code, 2020: The primary goal of this code is to ensure that employees across all sectors are treated equally and have safe working conditions. It also promotes ease of doing businesses in India by reducing registration formalities.
At The Legal Insight Law Firm, we understand the importance of staying updated on the latest developments in labour laws. Our team of experienced lawyers can provide expert legal assistance and guidance on compliance with these laws, ensuring the safety and well-being of your employees while also promoting productivity and economic growth.