In a major step toward labour reform, the Ministry of Labour and Employment has shared progress on the implementation of India’s four new Labour Codes. These landmark reforms are designed to streamline and modernize labour regulations across the country, ensuring better protection and social security for workers, especially in the unorganized and gig sectors.
The update was provided by Minister of State for Labour and Employment, Sushri Shobha Karandlaje, in a written reply to a question in the Rajya Sabha on July 24, 2025.
Labour: A Concurrent Subject
Labour is a subject under the Concurrent List of the Indian Constitution, allowing both the Central and State Governments to legislate. Accordingly, both levels of government are empowered to formulate rules under the new Labour Codes.
Status of Implementation
To enable implementation, the Central Government has pre-published the draft rules for all four Labour Codes. As per the Ministry, 32 States and Union Territories have also pre-published their draft rules under at least one or more of the codes.
However, the following gaps remain:
- West Bengal and Lakshadweep have not pre-published any draft rules under any of the Codes.
- Delhi has only pre-published draft rules under the Code on Wages, 2019.
- Tamil Nadu has not pre-published draft rules under the Code on Social Security, 2020.
The Four Labour Codes
The new Labour Codes consolidate 29 existing central labour laws into the following four comprehensive codes:
- Code on Wages, 2019
- Code on Social Security, 2020
- Industrial Relations Code, 2020
- Occupational Safety, Health and Working Conditions Code, 2020
These codes are aimed at:
- Ensuring timely payment of statutory minimum wages
- Enhancing social security coverage
- Improving occupational safety and health
- Protecting rights of unorganized, gig, and platform workers
Focus on Social Security
Particular emphasis has been placed on the Code on Social Security, 2020, which significantly broadens the net of social protection. Key provisions include:
- Social security benefits extended to all workers, including gig and platform workers, as well as their families.
- Formal definitions of gig and platform workers to help design effective welfare schemes.
- Establishment of a Social Security Fund dedicated to the welfare of unorganized, gig, and platform workers.
No Amendments Proposed
The Ministry clarified that there is no current proposal to amend any of the four Labour Codes.
With significant participation from the States and progress on the Central front, the implementation of these transformative Labour Codes appears imminent. These changes are expected to bring greater transparency, inclusivity, and uniformity to India’s labour landscape, impacting millions of workers across the country.