New Labour Codes in India: Key Reforms, Legal Framework & Constitutional Backing
The Government of India has officially brought into force the four Labour Codes —a comprehensive reform designed to simplify, modernize, and consolidate 29 existing labour laws. These changes significantly impact worker welfare, employer obligations, and national labour standards. 1. Introduction to the New Labour Codes On Friday, the Union Government notified the implementation of the four Labour Codes passed between 2019–2020: The Code on Wages, 2019 The Industrial Relations Code, 2020 The Occupational Safety, Health and Working Conditions (OSH) Code, 2020 The Code on Social Security, 2020 These codes aim to redesign India’s labour governance, ensuring uniformity, transparency, and expanded social security across the workforce—including organized, unorganized, gig, and platform workers. 2. Gratuity Eligibility Reduced to One Year for Fixed-Term Workers Under the Code on Social Security, 2020 , fixed-term employees now become eligible for gratuity after just one y...