Labour laws in India

Under the Indian Constitution, labour regulation falls under the Concurrent List of the Indian Constitution, allowing both the central government and individual states to enact laws pertaining to labour.

Existing labour laws in India

Enacted and enforced by federal government Enacted by federal government, enforced by federal and state governments Enacted by federal government, enforced by state government
  • The Employees' State Insurance Act, 1948
  • The Employees' Provident Fund and Miscellaneous Provisions Act, 1952
  • Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013
  • The Child Labour Law (Prohibition & Regulation) Act, 1986
  • Unorganized Workers Social Security Act, 2008
  • The Contract Labour (Regulations and Abolition) Act, 1970
  • The Industrial Disputes Act, 1947
  • The Industrial Employment (Standing Orders) Act, 1946
  • The Inner State Migrant Workmen (Regulation of employment and conditions of service) Act, 1979
  • The Labour Laws (Exemption from furnishing returns and maintaining registers by certain establishments) Act, 1988
  • The Maternity Benefits (Amendment) Act, 2017 and The Maternity Benefits Act, 1961
  • The Payment of Gratuity Act, 1972
  • Code on Wages Act, 2019
  • The Employers Liability Act, 1938
  • The Trade Unions Act, 1926
  • The Weekly Holidays Act, 1942
  • The Workmen's Compensation Act, 1923
  • The Employment Exchange (Compulsory Notification of Vacancies), Act, 1959
  • The Children (Pledging of Labour) Act, 1938

Note: The list is not an exhaustive account of India's labour laws; it excludes worker and sector-specific regulation.

Status of newly enacted labour codes in India

The federal government has undertaken substantial revisions, consolidating numerous existing laws into four major labour codes. However, these codes have not been implemented yet. These new labour codes include:

  • Code on Wages, 2019: The Code on Wages aimed to simplify the definition of wages and ensure timely payment of wages to workers. It proposed to streamline the wage structure and simplify calculations related to allowances and deductions.
  • Code on Social Security, 2020: The Social Security Code aimed to provide a comprehensive framework for social security benefits to workers, including provident funds, gratuity, maternity benefits, and pensions. It aimed to extend these benefits to a broader range of workers, including gig economy workers and informal sector employees.
  • Occupational Safety, Health and Working Conditions Code Bill, 2020: The Code on Occupational Safety, Health, and Working Conditions proposed to consolidate and update regulations related to workplace safety, health, and working conditions. It aimed to enhance safety standards and improve the overall well-being of workers.
  • Industrial Relations Code Bill, 2020: The proposed Industrial Relations Code aimed to consolidate laws related to trade unions, industrial disputes, and resolution mechanisms. It aimed to simplify the process of forming and registering trade unions and introduced changes to the process of collective bargaining.

These codes are aimed at simplifying labour regulations, improving ease of doing business, and enhancing social security provisions.

New labour codes and corresponding laws they subsume

New labour code Subsumed laws
Code on Wages, 2019
  • Payment of Wages Act, 1936
  • Minimum Wages Act, 1948
  • Payment of Bonus Act, 1965
  • Equal Remuneration Act, 1976
Code on Social Security, 2020
  • The Employees' Compensation Act, 1923
  • The Employees' State; Insurance Act, 1948
  • The Employees' Provident Funds and Miscellaneous Provisions Act, 1952
  • The Employment Exchanges (Compulsory Notification of Vacancies) Act, 1959
  • The Maternity Benefit Act, 1961
  • The Payment of Gratuity Act, 1972
  • The Cine-Workers Welfare Fund Act, 1981
  • The Building and Other Construction Workers Welfare Cess Act, 1996
  • The Unorganized Workers' Social Security Act, 2008
Occupational Safety, Health and Working Conditions Code Bill, 2020
  • Factories Act, 1948
  • Mines Act, 1952
  • Dock Workers Act, 1986
  • Contract Labour Act, 1970
  • Inter-State Migrant Workers Act, 1979
  • The Plantations Labour Act, 1951
  • The Working Journalist and Other News Paper Employees (Conditions of Service and Miscellaneous Provision) Act, 1955
  • The Working Journalist (Fixation of Rates of Wages) Act, 1958
  • The Motor Transport Workers Act, 1961
  • The Sales Promotion Employees (Conditions of Service) Act, 1976
  • The Beedi and Cigar Workers (Conditions of Employment) Act, 1966
Industrial Relations Code Bill, 2020
  • Trade Unions Act, 1926
  • Industrial Employment (Standing Orders) Act, 1946
  • Industrial Disputes Act, 1947

Since the implementing rules for these Labour Codes are yet to be notified, as of August 21, 2023, human resource (HR) policies in India continue to be governed by the existing laws.

Disclaimer

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