Implementation of labour codes deferred beyond April 1 : Report

Twenty nine central labour laws governing occupational safety, minimum wages, and social security have been consolidated into four codes

March 31, 2021 / 06:50 PM IST

The implementation of four labour codes passed by Parliament in September 2020 will get deferred beyond April 1, as a result of the delay on the part of the states in finalising the rules, Economic Times reported on March 31.

The Industrial Relations Code, 2020, the Code on Social Security, 2020, and the Occupational Safety, Health and Working Conditions Code, 2020, were passed by Parliament in 2020, whereas the Code on Wages was passed during the monsoon session of Parliament in 2019.

 Twenty nine central labour laws governing occupational safety, minimum wages, and social security have been consolidated into four codes.


 The four labour codes were earlier expected to be rolled out by April 1.




As per the report, only the state of Jammu and Kashmir has notified the rules for the four codes whereas the states of Madhya Pradesh, Uttar Pradesh, Uttarakhand and Bihar have prepared the draft rules for two codes while the state of Karnataka has prepared for one code.


According to Prashant Singh, Vice President and Business Head-Compliance and Payroll Outsourcing, TeamLease Services, the deferment is expected to give the companies and HR Heads much needed time rework the HR and salary policies as per the incoming Codes.


"Since the industry and employers were not clear about the notification and states were still to announce, now this would give some time for them to rework and remodel their CTC structure and help minimize  the financial implications on both the employers and the employees," Singh said.




 
Shreeja Singh
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