On 21-11-2025, the Ministry of Labour & Employment announced the implementation of the Four Labour Codes, marking a historic step in India’s labour governance.
The Four Labour Codes will come into effect on 21-11-2025.
The Four Labour Codes:
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Code on Wages (2019): Establishes a uniform definition of wages, guarantees minimum wages for all workers, and mandates timely payment.
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Industrial Relations Code (2020): Streamlines dispute resolution, introduces fixed-term employment, and revises thresholds for standing orders and strikes.
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Code on Social Security (2020): Extends social security benefits to gig workers, platform workers, and unorganised sector employees.
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Occupational Safety, Health and Working Conditions Code (2020): Consolidates safety and welfare provisions, standardises working hours, and strengthens health protections.
Together, these codes consolidate 29 existing labour laws, marking the most significant labour reform in independent India.
By embracing modern global practices, the Four Labour Codes address long‑standing challenges, including:
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Complex compliance burdens for employers,
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Limited protections for informal and unorganised workers,
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Inflexibility in adapting to new forms of employment such as gig and platform work.
The Sectoral Benefits:
1. Fixed-Term Employees
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Equal benefits as permanent workers (leave, medical, social security).
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Gratuity eligibility after 1 year (earlier 5 years).
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Equal wages: higher income & protection.
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Encourages direct hiring, reduces contractualisation.
2. Gig & Platform Workers
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First-time legal definitions for gig work, platform work, and aggregators.
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Aggregators to contribute 1—2% of annual turnover (capped at 5% of payouts).
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Aadhaar-linked Universal Account Number: portable benefits across states.
3. Contract Workers
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FTE benefits extended to contract workers.
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Gratuity after 1 year of continuous service.
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Principal employer responsible for health & social security benefits.
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Free annual health check-up.
4. Women Workers
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Gender discrimination prohibited; equal pay ensured.
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Night shifts & all job types allowed with consent & safety measures.
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Mandatory women’s representation in grievance committees.
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Family definition expanded to include parents-in-law.
5. Youth Workers
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Guaranteed minimum wage & appointment letters.
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Mandatory wage payment during leave.
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Floor wage determined by Central Government for decent living standards.
6. MSME Workers
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Social Security Code coverage for all MSME workers.
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Minimum wage guaranteed.
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Facilities like canteens, drinking water, rest areas.
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Standard working hours, double overtime wages, paid leave.
7. Beedi & Cigar Workers
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Minimum wages guaranteed.
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Working hours capped at 8—12 hours/day, 48 hours/week.
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Overtime with consent & double wage rate.
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Bonus eligibility after 30 days of work/year.
8. Plantation Workers
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Covered under OSHWC & Social Security Codes.
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Applies to plantations with >10 workers or >5 hectares.
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Mandatory safety training & protective equipment.
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Full ESI medical facilities & education for workers’ children.
9. Audio-Visual & Digital Media Workers
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Appointment letters mandatory.
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Timely wage payment ensured.
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Overtime with consent & double wage rate.
10. Mine Workers
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Certain commuting accidents treated as employment related.
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Central standards for workplace safety.
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Free annual health check-up.
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Working hours capped at 8—12 hours/day, 48 hours/week.
11. Hazardous Industry Workers
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Free annual health check-ups.
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National safety standards framed by Central Government.
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Women allowed in hazardous jobs with safety measures.
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Mandatory safety committees at each site.
12. Textile Workers
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Equal wages and welfare benefits for all migrant workers (direct, contractor-based, self-migrated).
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Portability of PDS benefits across states.
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Workers can raise claims for pending dues up to 3 years.
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Double wages for overtime work.
13. IT & ITES Workers
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Salary release mandatory by 7th of every month.
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Equal pay for equal work; strengthened women’s participation.
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Women allowed night shifts with safety measures.
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Timely resolution of harassment, discrimination, and wage disputes.
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Social security benefits guaranteed through fixed-term employment and appointment letters.
14. Dock Workers
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Formal recognition and legal protection for all dock workers.
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Mandatory appointment letters for social security benefits.
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PF, pension, and insurance benefits for all workers (including contract/temporary).
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Employer-funded annual health check-ups.
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Mandatory medical facilities, first aid, sanitary and washing areas.
15. Export Sector Workers
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Fixed-term workers eligible for gratuity, PF, and social security benefits.
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Annual leave after 180 days of work.
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Timely wage payment; no unauthorized deductions or wage ceilings.
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Women allowed night shifts with consent; safety measures include CCTV, transport, and security.
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Double wages for overtime work.
The Systemic Reforms:
Beyond sectoral benefits, the Codes introduce structural changes:
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National Floor Wage to ensure a minimum living standard.
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Gender-neutral pay and opportunities, including protections for transgender persons.
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Inspector cum Facilitator system to promote compliance support over punitive enforcement.
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Faster dispute resolution through Industrial Tribunals.
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Single registration, licence, and return to reduce compliance burden.
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National Occupational Safety, Health Board to set harmonised safety standards.