India has entered a historic phase in labour reforms with the implementation of all Four Labour Codes—the Code on Wages, 2019, Industrial Relations Code, 2020, Code on Social Security, 2020, and the Occupational Safety, Health and Working Conditions (OSH) Code, 2020.
As notified by the Government of India, these Codes are now effective from 21st November 2025, replacing 29 existing labour laws and modernizing India’s labour regulatory framework.
These reforms promise better wages, enhanced safety, stronger social security, and improved working conditions for India’s vast workforce—while also enabling industries to operate with clarity, ease, and global alignment.
Why the Four Labour Codes Matter
India’s labour laws were largely shaped in the pre-independence and early post-independence era (1930s–1950s), when economies and work structures were drastically different. Over decades, as workplaces evolved—especially with the growth of services, manufacturing, IT/ITeS, gig platforms, and startups—the need for simplified, unified and forward-looking labour laws became essential.
The Four Labour Codes address this long-pending need by:
- Making employment relationships more transparent
- Empowering both workers and enterprises
- Enhancing worker protection and welfare
- Promoting a skilled, productive and future-ready workforce
- Supporting the vision of Aatmanirbhar Bharat
Before vs. After: How the Four Labour Codes Transform India’s Labour Landscape
Here is a simplified understanding of the transformation, based directly on the official reference table in your attached document:
1. Formalisation of Employment
Before: No requirement for written appointment letters
After:
✔ Mandatory appointment letters for all workers
✔ Increases job security, transparency, and formal employment
2. Social Security Coverage
Before: Only limited social security coverage
After:
✔ Under the Social Security Code, 2020, all workers—including gig & platform workers—are eligible
✔ Comprehensive coverage: PF, ESIC, insurance, and other benefits
3. Minimum Wages
Before: Minimum wages applied only to scheduled industries; many workers remained outside its scope
After:
✔ Statutory right to minimum wages for all workers under the Code on Wages, 2019
✔ Ensures financial security and a national floor for fair compensation
4. Preventive Healthcare
Before: No requirement for annual medical health check-ups
After:
✔ Employers must provide free annual health check-ups to workers above 40
✔ Promotes preventive healthcare and early diagnosis
5. Timely Wages
Before: No specific mandate for timely wage payments
After:
✔ Mandatory timely payment of wages
✔ Prevents wage delays and boosts financial stability for India’s workforce
6. Women Workforce Participation
Before: Restrictions on women working at night or in certain occupations
After:
✔ Women permitted to work at night in all sectors, with adequate safety
✔ More opportunities for women in high-paying roles
✔ Encourages gender diversity in modern workplaces
7. ESIC Coverage
Before: ESIC applied only to notified areas or establishments with 10+ workers
After:
✔ Pan-India ESIC coverage
✔ Mandatory for hazardous workplaces regardless of employee count
✔ Voluntary for establishments with fewer than 10 employees
✔ Stronger social protection for workers nationwide
8. Compliance Simplification
Before: Multiple registrations, licenses, and returns across numerous laws
After:
✔ Single registration, single license, and single return
✔ Huge reduction in compliance burden for employers
✔ Improves ease of doing business
How the Four Labour Codes Empower India’s Workforce
For Employees
- Guaranteed minimum wages
- Social security for all categories of workers
- Health, safety, and welfare benefits
- Transparent employment contracts
- Better working conditions
- Enhanced job security
For Employers & Industries
- Simplified compliance structure
- Single registration & licensing framework
- Reduced regulatory complexity
- Improved labour productivity
- Flexibility in hiring, work hours, and workforce management
A Future-Ready Labour Ecosystem
The implementation of the Four Labour Codes marks a transformational shift in India’s labour framework. By aligning India with global labour standards, the Codes support a more fair, structured, and digitally enabled labour environment—benefiting workers, employers, and the economy.
They lay the foundation for:
- A resilient industrial ecosystem
- A protected and productive workforce
- Stronger social justice and welfare
- A more competitive and self-reliant nation
India now moves towards a progressive labour market that reflects the evolving world of work—driving growth, employment, and inclusive development.
