New Delhi: In a landmark reform hailed as the biggest since Independence, the Centre has finally implemented the four new Labour Codes with effect from November 21, consolidating 29 archaic laws into a modern, worker-friendly framework that promises dignity, security and ease of business.
Prime Minister Narendra Modi called it “one of the most comprehensive labour-oriented reforms,” emphasising timely wages, double overtime pay, and mandatory appointment letters for every employee.
The biggest cheer came for fixed-term employees: gratuity eligibility slashed from five years to just one year of service, a boon for millions on short contracts.
Over 40 crore unorganised sector workers, including gig and platform delivery partners, now fall under social security nets with PF, ESIC, pension and accident cover. Overtime beyond regular hours must fetch double wages, while companies face stricter rules on safety committees and single-window compliance.
Though trade unions protested, alleging dilution of rights, the government insists the codes expand coverage from 19% in 2015 to over 64% now, with portable benefits for migrants and women. Businesses welcome reduced paperwork and flexible hiring, predicting a surge in formal jobs.
The coming weeks will see the fine-tuning of rules, ushering in a new era for India’s workforce that balances protection with progress.