India implements 4 labour codes in biggest overhaul in decades: What changes for workers?

India on Friday put into effect four long-pending labour codes that consolidate 29 central labour laws, in what the government described as the country’s most significant overhaul of employment regulations in decades.

The Code on Wages, 2019, Industrial Relations Code, 2020, Code on Social Security, 2020 and the Occupational Safety, Health and Working Conditions (OSHWC) Code, 2020 come into effect from November 21, 2025, the labour ministry said in a statement.

They replace legislation dating back to the pre-Independence and early post-Independence era, which the government said had become fragmented, complex and inconsistent with current forms of work.

"These reforms are not just ordinary changes, but a major step taken by Prime Minister Shri Narendra Modi for the welfare of the workforce. These new labour reforms are an important step towards a self-reliant India and will give new momentum to the goal of a developed India by 2047," Labour and Employment Minister Mansukh Mandaviya posted on X.

What changes for workers?

The measures introduce mandatory written appointment letters for all workers, universal minimum wages, timely wage payments and an expanded definition of employees eligible for social security benefits such as provident fund, pensions, insurance and Employees’ State Insurance Corporation (ESIC) coverage.

Gig and platform workers, covered for the first time in India’s labour framework, will receive social-security benefits funded partly through contributions of 1%–2% of an aggregator’s annual turnover, capped at 5% of payments made to such workers.

The new provisions widen ESIC coverage across India and make the scheme mandatory for even a single worker in hazardous industries. Establishments with fewer than 10 workers may join voluntarily.

The codes also streamline employer compliance through single registration, a national licence and a single return.

Women workers will be allowed to work night shifts subject to consent and safety measures, and the codes make equal pay and non-discrimination legally enforceable, including protection for transgender persons.

Grievance redressal committees will require mandatory female representation.

Fixed-term employees will receive benefits equal to permanent staff, including gratuity after one year of service.

Contract workers must receive health benefits, social security and free annual health check-ups, which the codes make compulsory for all workers aged above 40.

Sector-specific changes include mandatory safety training in plantations, expanded medical and welfare facilities for dock workers, full OSH and social-security coverage for audio-visual and digital media workers, and uniform working-hour limits across mines, beedi and cigar manufacturing, textile units, export-oriented facilities and hazardous industries.

The government said the reforms bring India’s labour ecosystem in line with global standards, and will be accompanied by further consultations as rules and schemes are drafted.

During the transition, provisions under existing laws will continue to operate until replaced by corresponding rules under the new codes.

Sector-specific changes

Plantations with more than 10 workers or over five hectares will be covered under the new safety and social-security codes for the first time. Employers must provide safety training on chemical handling, protective equipment and full ESIC medical benefits for workers and their families. Education facilities for workers’ children will also be mandatory.

Working hours in mines have been capped at 8–12 hours a day and 48 hours a week. Free annual health check-ups will be compulsory, and the central government will issue national safety standards. Women will be allowed to work in hazardous operations, including underground mines, subject to safety measures and consent.

Textile and export workers will receive double wages for overtime and may claim unpaid dues for up to three years. Migrant workers will be eligible for equal wages, welfare benefits and public-distribution portability. Women will be allowed to work night shifts under conditions requiring consent, CCTV surveillance, transport and security arrangements.

Workers in the beedi and cigar industry will receive minimum wages and capped working hours at 8–12 hours per day. Overtime must be compensated at double the regular wage. Workers become eligible for bonuses after 30 days of work in a year.

IT and ITES workers must receive salaries by the seventh day of each month. Employers are required to provide appointment letters and ensure equal pay for equal work. Women may take night shifts with consent, and companies must have mechanisms for faster handling of harassment, discrimination and wage disputes.

Workers such as electronic-media journalists, dubbing artists and stunt performers will be covered under social-security and safety codes. Written appointment letters, time-bound wage payments and consent-based overtime at double pay become mandatory.

All dock workers, including temporary and contract labour, will gain access to provident fund, pension and insurance benefits. Employers must provide annual health check-ups, first-aid rooms, sanitation facilities and drinking water at worksites.