The Ministry of Labour & Employment (MoLE) on 18th July 2022, has listed the details of the State/Union Territories (UTs) which have pre-published the draft Rules of the four labour code and has invited comments of all stakeholders. The Government has enacted the four Labour Codes, namely, the Code on Wages, 2019; the Industrial Relations Code, 2020 (IR Code); the Code on Social Security, 2020 (SS Code) and the Occupational Safety, Health and Working Conditions Code, 2020 (OSH Code).
The Labour Codes strengthen the protection available to workers, including unorganized workers, in terms of statutory minimum wage, social security, working hours, healthcare, etc. The Social Security Code, 2020, provides for social security benefits for all workers including in unorganized sectors as well as gig and platform workers. Some of the new provisions envisaged in the Codes are as under:
- Setting up of Social Security Fund for formulating schemes for welfare of the unorganised workers, gig workers and platform workers.
- Extension of coverage under Employees’ State Insurance Corporation (ESIC) to pan-India, i.e., in all districts in the country.
- ESIC coverage on voluntary basis for establishments having less than 10 employees has been introduced.
- Benefits under ESIC can also be made applicable through notification to an establishment which carries on hazardous or life threatening occupation in which even a single employee is employed.
- Extension of benefits to unorganised workers, gig workers and platform workers and the members of their families through ESIC or Employees’ Provident Fund Organization (EPFO).
- For the persons engaged in Fixed Term Employment (FTE), the proportionate benefit of service has been extended without requirement of minimum service of 5 years for gratuity. The person having a contract for one year under FTE will also be eligible for gratuity.
Further, the OSH Code, 2020 consolidates and amends the laws regulating the occupational safety, health and working conditions of the persons employed in an establishment. It inter alia provides for free annual health check-up of employees and provision for formal appointment letter. Women have been empowered for employment in all establishments covering all types of works. Women are now entitled to work in the night, subject to their consent, with provisions of safety.
