Labor Regulations, Welfare & Social Security

Labor Regulations, Welfare and Social Security

Under the Constitution of India, labor is a subject on the Concurrent List, where both the Central and State Governments are competent to enact legislation.1 As a result, India has a plethora of laws (44 labor-related statutes by the Central Government alone) addressing various aspects, such as industrial relations, the formation of trade unions, occupational safety and health, labor welfare, minimum wages, conditions of employment, disciplinary action, employment and training, accidental and social security benefits, etc.2

The Ministry of Labor and Employment aims to simplify, rationalize, and amalgamate these 44 labor laws into four Labor Codes in line with the recommendations of the Second National Commission on Labor:

  • Code on Wages;
  • Code on Industrial Relations;
  • Code on Social Security and
  • Code on Occupational Safety, Health, and Working Conditions.

The Code on Wages has been approved by both the houses of parliament and received the assent of the President on 8 August 2019, but the effective date is yet to be notified, and the Code on Occupational Safety, Health, and Working Conditions has been introduced in the Lok Sabha3 .

India is a founding member of the International Labor Organization (ILO) and has ratified 47 conventions and 1 protocol, of which 39 are in force, 5 conventions have been denounced, and 4 instruments abrogated4.

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Manik Abbott
Strategic Initiatives Management
(Greenfield, Market Research and Special Projects)

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