New labour codes: Check latest update regarding the new rules on salary, PF and working hours

Union Labour Minister Bhupender Yadav on Friday said almost all states have prepared draft rules on the four new labour codes and the new rules will be implemented at an appropriate time.

The minister also informed that the few states are still in the process of firming up draft rules. Rajasthan has firmed up draft rules on the two codes and two are left, while West Bengal is in the process of finalising those, the minister said.

There are few Northeast states, including Meghalaya, which have not completed the process of drafting rules on the four codes.

The central government has already pre-published the draft rules for all four codes. Now, states are required to frame regulations on their part as labour is a concurrent subject.

In 2019 and 2020, 29 central labour laws were amalgamated, rationalised and simplified into four labour codes on wages, occupational health, and industrial relations. But none of them has been rolled out as yet.

Four labour codes:

1. The Code on Wages, 2019

2. The Industrial Relations Code, 2020

3. The Code on Social Security, 2020

4. The Occupational Safety, Health & Working Conditions Code, 2020

Changes after implementation of the new labour codes

A change in the definition of wages may impact the take-home amount but will increase retirement savings.

1. Reduced in-hand salary, increased PF and gratuity

2. 12 hours work week

3. Modification in earned leave policy

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