Synopsis: India’s four new labour codes, in force since November 2025, promise a statutory right to minimum wages, universal social security—including for gig and platform workers—and wider ESIC and EPFO coverage, as the Centre pitches the overhaul as a big step towards formalisation and worker protection.]

 

New Delhi: The Centre has begun rolling out a sweeping reset of India’s labour framework with the implementation of four new labour codes, aimed at expanding social security, guaranteeing minimum wages and improving workplace safety across both organised and unorganised sectors, the Ministry of Labour and Employment told Parliament on Thursday.

New labour codes kick in: Govt promises universal social security, minimum wages and wider ESIC/EPFO cover
Source: Internet

The four codes—the Code on Wages, 2019, Industrial Relations Code, 2020, Code on Social Security, 2020 and the Occupational Safety, Health and Working Conditions Code, 2020—have come into effect from November 21, 2025, replacing a patchwork of legacy labour laws with a consolidated framework, the government said.

At the core of the reforms is a statutory right to minimum wages and timely payment of wages for all workers, alongside a push to universalise social security by extending coverage to unorganised, gig and platform workers. The government will also set up a Social Security Fund to design schemes for these categories of workers.

Coverage under the two key pillars of employee welfare—ESIC and EPFO—is being widened. ESIC will be mandatory for establishments with more than 10 employees, voluntary for those with fewer than 10, and applicable even for a single employee in hazardous processes.

EPFO provisions will now apply to all establishments employing 20 or more workers, effectively expanding the social security net.

The codes also introduce annual health check-ups, mandate issuance of appointment letters, and create a Workers’ Re-Skilling Fund for retrenched employees. In a significant change, women are allowed to work in all types of jobs and at night, subject to consent and safety conditions.

For migrant labour, the definition of Inter-State Migrant Worker has been expanded to include those hired by contractors as well as self-migrated workers, making them eligible for annual lump-sum travel allowance and portability of benefits.

The government said the overhaul is intended to strengthen worker protection while nudging greater formalisation of employment—though industry and states will now be watching closely how the rules are implemented on the ground.

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