The Government of India announced the implementation of 4 Lbour Codes in which 29 labour laws were consolidated.
The four Labour Codes include- 1. The Code on Wages, 2019, 2. The Industrial Relations Code, 2020, 3. The Code on Social Security, 2020 and the Occupational Safety, 4. Health and Working Conditions Code, 2020.
Code 1: The Code of Wages, 2019– The act was implemented to strengthen workersโ rights while promoting simplicity and uniformity in wage-related compliance for employers. by consolidate 4 existing laws – The Payment of Wages Act, 1936; The Minimum Wages Act, 1948; The Payment of Bonus Act, 1965; and The Equal Remuneration Act, 1976. Universal Minimum Wages.
The Highlights features of Act –
Minimum Wages
Introduction of Floor Wage
Criteria for Wage Fixation
Gender Equality in Employment
Universal Coverage for Wage Payment
Overtime Compensation
Responsibility for Wage Payment
Inspector-cum-Facilitator
Compounding of Offences
Decriminalization of Offences
Code 2: The Industrial Relations Code, 2020
The Industrial Relations Code (IR Code) has been prepared after amalgamating, simplifying and rationalizing the relevant provisions of the Trade Unions Act, 1926, the Industrial Employment (Standing Orders) Act, 1946 and the Industrial Disputes Act, 1947.
The Code simplifies laws related to trade unions, conditions of employment in industrial establishment or undertaking, investigation and settlement of industrial disputes.
Main features of the Code –
Fixed Term Employment (FTE)
Trade Union Recognition
Expanded Worker Definition
Broader Definition of Industry
Higher Threshold for Lay-off/Retrenchment/Closure
Womenโs Representation
Standing Orders Threshold
Work-from-Home Provision
Industrial Tribunals
Direct Tribunal Access
Notice for Strikes/Lockouts
Expanded Definition of Strike
Decriminalization & Compounding
Digital Processes
Code 3: The Code on Social Security, 2020
The Code on Social Security incorporates existing nine Social Security Acts – The Employee’s 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 and; The Unorganised Workers’ Social Security Act, 2008.
The main goal of the Code is to provide social security to all workers- including unorganized, gig, and platform workers-covering life, health, maternity, and provident fund benefits, while introducing digital systems and facilitator-based compliance for greater efficiency.
Main features of the Code –
Expanded ESIC (Employees’ State Insurance) Coverage
Time-bound EPF (Employeesโ Provident Fund) Inquiries
Reduced EPF Appeal Deposit
Self-assessment for Construction Cess
Inclusion of Gig and Platform Workers
Social Security Fund
Expanded Definition of Dependents
Uniform Definition of Wages
Commuting Accidents Covered
Gratuity for Fixed-Term Employees
Inspector-cum-Facilitator System
Decriminalization & Monetary Fines
Compounding of Offences
Digitization of Compliance
Vacancy Reporting
Code 4: The Occupational Safety, Health and Working Conditions Code 2020
The Code has been drafted after amalgamation, simplification and rationalization of the relevant provisions of the 13 Central Labour Acts- The Factories Act, 1948; The Plantations Labour Act, 1951; The Mines Act, 1952; The Working Journalists and other Newspaper Employees (Conditions of Service and Miscellaneous Provisions) Act, 1955; The Working Journalists (Fixation of Rates of Wages) Act, 1958; The Motor Transport Workers Act, 1961; The Beedi and Cigar Workers (Conditions of Employment) Act, 1966; The Contract Labour (Regulation and Abolition) Act, 1970; The Sales Promotion Employees (Conditions of Service) Act, 1976; The Inter-State Migrant Workmen (Regulation of Employment and Conditions of Service) Act, 1979; The Cine-Workers and Cinema Theatre Workers (Regulation of Employment) Act, 1981; The Dock Workers (Safety, Health and Welfare) Act, 1986 and; The Building and Other Construction Workers (Regulation of Employment and Conditions of Service) Act, 1996.
The Code has twin objectives of safeguarding worker rights and safe working conditions, and creating a business-friendly regulatory environment.
Main features of the Code –
Unified Registration
Extension to Hazardous Work
Simplified Compliance
Wider Definition of Migrant Workers:
Health and Formalization
Formalization via appointment letters
Womenโs Employment
Expanded Media Worker Definition:
National Database for Unorganised Workers
Victim Compensation
Contract Labour Reform
Safety Committees
National Occupational Safety & Health Advisory Board
Decriminalisation & Compounding of Offences
Revised Factory Threshold
Social Security Fund
Contract Labour- Welfare & Wages
Working Hours & Overtime
Inspector-cum-Facilitator System
Writing Skills –
1 . Write a newspaper report based on the implementation of 4 new Labour Codes . 10
2. Write a paragraph on the implementation of 4 new Labour Codes . 10
3. Suppose you are in a Group Discussion based on the implementation of 4 new Labour Codes in India. Write five points of your discussion. 10
4. Write a notice as the Head the Department of Management of an educational institution inviting all the students to attend a seminar on the implementation of 4 new Labour Codes in India. Write five points of your discussion. 10
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