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India implements 4 labour codes starting Nov 21

22 Nov '25
2 min read
India implements 4 labour codes starting Nov 21
Pic: srs1191995/Shutterstock

Insights

  • Textile industry workers in India can now raise claims for up to three years for settlement of pending dues, and all migrant workers in this sector will get equal wages, welfare benefits and PDS portability benefits, as four labour codes became effective from November 21.
  • The step rationalises 29 existing labour laws.
  • Textile workers will also receive double wages for overtime work.
Textile industry workers in India can now raise claims for up to three years for settlement of pending dues, facilitating flexible and easy resolution, and all migrant workers in this sector—direct, contractor-based and self-migrated—will get equal wages, welfare benefits and public distribution system (PDS) portability benefits, as four labour codes became effective from November 21.

Textile workers will now receive double wages for overtime work.

The Indian government recently announced that the Code on Wages, 2019, the Industrial Relations Code, 2020, the Code on Social Security, 2020, and the Occupational Safety, Health and Working Conditions Code, 2020, became effective from November 21. The step rationalises 29 existing labour laws, an official release said.

Many of India’s labour laws were framed in the pre-Independence and early post-Independence era (1930s–1950s).

Fixed-term employees (FTEs) will now receive all benefits equal to those of permanent workers, including leave, medical and social security. They will be eligible for gratuity eligibility after just a year, instead of five, and will receive equal wages as the permanent staff.

All workers will receive free annual health check-up.

Gender discrimination is legally prohibited now and equal pay for equal work will be ensured.

Women will be permitted to work night shifts and in all types of work, subject to their consent and mandatory safety measures. There will be mandatory women’s representation in grievance redressal committees.

A provision has been incorporated to add parents-in-law in the definition of family of female employees, expanding dependent coverage and ensuring inclusivity.

All workers in micro, small and medium enterprises (MSMEs) are now covered under the Social Security Code, 2020, and the eligibility is based on employee count. Minimum wage is guaranteed for all such workers.

ALCHEMPro News Desk (DS)

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