Labor Codes: Four labor laws related to industrial disputes, social security, wages and occupational safety are not going to be implemented from July 1 amid widespread speculation and news.
Discussions and discussions on the determination of these four codes are still going on. Ignore speculations.
Ministry is in touch with states and industries
Another official said, “These are structural reforms and the ministry is balancing labor welfare on one hand and ease of doing business on the other.” The Union Labor Ministry is in touch with states, industries and other stakeholders. The progress so far is good, but it is not going to be implemented on July 1.
Is the ministry going to implement the labor law from Friday (July 1)? In response, a spokesperson of the ministry said – “No.”
There are plans to implement four labor codes
Officials of the Ministry of Labor and Employment said that a formal announcement will be made once the process is completed and the rules will be implemented, but there are no such plans immediately.
India has subsumed 29 central labor laws into four codes on wages, social security, occupational health and industrial relations. Parliament had approved the Code on Wages in August, 2019, the remaining three were passed in September, 2020. But none have been implemented so far.
Labor codes are expected to bring far-reaching changes for employers and employees. They offer wide flexibility in recruiting, implementing short term work contracts. Together they can bring flexibility in being fired and they can make it difficult to strike in the industry.