India’s 4 Labour Codes

To bring about uniform labour legislation, the central government has enacted 4 new labour codes in 2019 and 2020. This will remove the overlapping 24 labour legislation which currently exists in our country and will bring a new era of change for the organization and its employees. The four labour codes are

  1. Code on wages 2019
  2. Industrial relations code 2020
  3. Occupational health, safety and working conditions code 2020
  4. Code on social security 2020

Code on wages 2019

It was the first code legislated by the Labour ministry and it initiated the emergence of modern-day labour reforms in India. It contains provisions relating to the payment of wages, minimum wages and bonuses, etc.

Industrial relations code 2020

This code contains the provisions regarding rules and regulations of trade unions, employment standing orders and settlement of industrial disputes in industrial organizations.

Occupational safety, health and working conditions code 2020

It contains provisions regarding the registration of certain categories of organizations, maintenance of safety, health and working conditions of workers, leave conditions and hours of work.

Social security code 2020

It includes provisions on employee social security, such as provident funds, insurances, maternity benefits, etc.

The labour codes were introduced to benefit employers and employees. The intention of labour codes was to simplify labour legislation by combining the best aspects from different areas. These labour reforms will contribute towards a better environment thereby accelerating the pace of economic growth. Labour codes will ensure ‘ease of doing business.

Dr.R.Sethumadhavan
Faculty, DSCE – MBA

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