The Centre is looking to implement a series of labour reforms from July 1. The new rules, if implemented, will bring sweeping and drastic changes to all industries and sectors in India. Most importantly, under the new regulations the working hours of employees, employee provident fund contributions from the employee and salary structures will see massive changes.
While reports indicate that the government is looking to implement these rules as soon as possible, no official notification has been issued yet. The reforms tackle areas like wages, social security (pension, gratuity), labour welfare, health, safety and working conditions (including that of women), where regulation in India had stagnated in the face of accelerated global corporate progress.
So far 23 states have framed state labour codes and rules based on the new Code on Wages, 2019, and the Industrial Relations Code, 2020, the Code on Social Security, 2020, and the Occupational Safety, Health and Working Conditions Code, 2020, all of which have been passed by the Parliament.
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Working Hours
One of the most talked-about changes that the new rules would bring is working hours for employees. Currently, working hours are governed by the Factories Act, 1948 at the national level for workers in factories and other such workplaces, and by the Shops and Establishment Acts of each...
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