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India: Useful information - key future employment law developments

Updating author: Trilegal

A brief summary of significant developments that will impact on employment law in India.

Development Key practical implications Status Expected date
New code on wages.

The central government will be required to fix a minimum floor wage, taking into account the skills and/or location of workers.

State governments will retain the right to set their own minimum wage rates but these rates may not be lower than the floor wage set by the central government.

The Bill that introduces the code is awaiting assent of the President (passed by Parliament in July 2019). The code is expected to come into effect in late 2019.
New code on health and safety.

The new code will consolidate and replace labour laws relating to health and safety, and working conditions and rights, into a single code that requires employers to comply with prescribed health and safety standards.

The code will apply to employers with 10 or more workers.

The Bill that will introduce the code is under consideration by the lower house (Lok Sabha) of Parliament. It is not known when the new code will come into effect.
New code on industrial relations.

The new code will consolidate and replace statutes dealing with industrial relations.

The Bill that will introduce the code has not been submitted to Parliament for consideration yet. It is not known when the new code will come into effect.
New code on social security.

The new code will consolidate and replace statutes dealing with social security to create a single social security code covering the entire workforce in the country, including self-employed and agricultural workers.

The Bill that will introduce the code has not been submitted to Parliament for consideration yet. It is not known when the new code will come into effect.