The Centre is likely to roll out the new labour codes from April 1, 2026, as the labour and employment ministry have finalised the rules under all four codes and is expected to notify them after vetting by the law ministry.
The four labour codes, the Code on Wages, the Code on Social Security, the Industrial Relations Code, and the Occupational Safety, Health and Working Conditions Code, aim to streamline India's regulatory framework by consolidating 44 labour laws into a simplified framework with 29 provisions.
The government had notified the labour codes with effect from Nov. 21, 2025, and had placed draft rules for public consultation. Feedback was received till January, following which the ministry finalised the rules for implementation in the central sphere.
Work Hours And Flexibility
Under the new labour codes, the standard daily working hours will remain at 8 hours, while the weekly cap will continue to be 48 hours. However, the new framework introduces greater flexibility in work arrangements.
Employers may offer flexible working schedules, and additional overtime options will be available depending on weekly work-hour management. The overtime framework is aligned with international labour practices and aims to provide flexibility to both employers and employees while ensuring labour protections remain in place.
Social Security Expansion
One of the major focus areas of the new labour codes is expanding social security coverage. The government aims to extend social security benefits to 100 crore workers by March 2026, up from around 94 crore currently.
Social security coverage has already increased significantly from 19% in 2015 to over 64% in 2025. The expanded coverage is expected to include workers from the unorganised sector, gig and platform workers, as well as self-employed individuals.
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Equality And Workplace Protection
The new labour codes also introduce several measures aimed at improving transparency and worker protection. Appointment letters will be mandatory for all employees, ensuring formal recognition of employment.
The codes also mandate equal pay for equal work and equal opportunities for women, including the ability to work across different shifts with appropriate safety provisions. Additionally, workers aged 40 years and above will be entitled to free annual health check-ups.
Regulated Overtime Framework
The new framework provides for regulated overtime, which will be offered as an option to workers in line with international labour standards. The move is expected to help industries manage workload fluctuations while ensuring workers are compensated appropriately for additional hours.
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