Overview of Indian Labour Laws and the New Labour Codes

Labour laws in India fall under the Concurrent List of the Constitution, meaning both Parliament and State Legislatures have the authority to enact laws governing labour and employment matters. Currently, there are 91 state-level and 43 central laws that regulate various aspects of labour. 

To streamline and lower the burden of compliances on Employers as well as employees, the Government of India has introduced four significant Labour codes, which are as follows:

• The Codes on Wages, 2019
  Have introduced significant changes to wage regulations, providing enhanced clarity on the inclusion and exclusion of remuneration, particularly which is given through salaries and allowances, hence it standardizes wage-related laws.
• The Industrial Relations Code (2020)
  Introduces easier dispute resolution, limits strike, and simplifies the process for hiring and layoffs, improving industrial relations.
• The Code on Social Security (2020)
  Expands social security benefits to a wider range of workers, including gig and platform workers, and strengthens employee insurance schemes.
• The Occupational Safety, Health, and Working Conditions Code (2020)
  Enhances workplace safety standards, regulates working conditions, and ensures protection for a broader set of workers, including those in unorganized sectors.