The five-year gratuity rules will end from next year; the four labor codes will be implemented in FY 2021-22
The four labour codes brought by the
central government can come into force simultaneously from April 1, 2021. Labor
Secretary Apoorva Chandra has said this. In the last session of Parliament only
1 - Industrial Relations Code,
2- Social Security Code,
3- Occupational Safety
4- Health and Working Condition Code
Is approved. While the wedge code was
approved only in 2019. The central government has prepared these four codes by
combining 44 Central Labor Acts.
Speaking to reporters, Labor
Secretary Apoorva Chandra said that we have recently started working on draft
rules to implement the three Labor Codes passed by Parliament. He said that
there will be an attempt to notify the draft rules by mid-November. 45 days
time will be given for feedback. After this, the final notification will be
issued to implement the four codes from April 1, 2021.
The Central Labor Minister Santosh
Gangwar had said last month that the four labour codes can be implemented by
December 2020. Last year, the Labor Ministry issued draft rules to implement
the wedge code bill. But the draft rules were withdrawn by the ministry to
implement the four labour codes simultaneously. The ministry wants to implement
these together to interlink the four labour code rules.
The central government has set a
target of bringing India into the top-10 countries in the World Bank's Ease of
Doing Business list. For this, the government has changed the labour laws.
According to the Doing Business 2020 report, India jumped 14 places to 63rd in
Ease of Doing Business. In the last five years (2014–19), India has improved 79
places in the Ease of Doing Business list. High ranking promotes investment in
your country.
What impact will the bill have?
Social Security Code: The features of
ESIC and EPFO have been enhanced under this code. After the implementation of
this code, workers working in the unorganized sector, Giggs workers, platform
workers will also get the facility of ESIC. Apart from this, no employee will
have to wait for five years to get gratuity.
Occupational Safety, Health and
Working Condition Code Bill 2020: This bill seeks to create a leave policy and
safe environment. After the enactment of this bill, 180 days of work instead of
240 will be entitled to labour leave. In addition, an employee will be fined at
least 50 per cent for injuries caused by the workplace.
Industrial Relations Code Bill:
Companies have been given considerable exemption in this bill. After the
implementation of the new bill, companies with less than 300 employees will be
able to lay off without government approval. The bill introduced in 2019 had a
limit of 100 employees, which has been increased to 300 in 2020.
Wage Code Bill: In this bill,
provision has been made to provide minimum wages to labourers of the entire
country. Under this, the government will fix the minimum wage for the whole
country. The government estimates that after the implementation of this bill,
50 crore workers of the country will get timely and fixed wages. This bill was
passed in 2019 itself.
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