Transforming India’s Labour Landscape: Understanding the Impact of the New Labour Codes

For many years, India’s workforce has grappled with an outdated and fragmented labour system that often failed to safeguard their wages, security, and dignity at work. Workers in the unorganised, contract, and emerging gig sectors were particularly vulnerable, lacking basic social protection and visibility in policy decisions. The introduction of the four Labour Codes represents a significant step towards rectifying these historical injustices.

The National Front of Indian Trade Unions (NFITU), a dedicated trade union organisation committed to the well-being and social security of workers, believes that participating in a strike against the Labour Codes on 12 February is unnecessary and not in the best interests of the working class.

The Labour Codes are the culmination of a reform process that has spanned over two decades. The consolidation of 29 scattered labour laws into four comprehensive Codes aims to simplify compliance, reduce ambiguity, and modernise India’s labour framework to align with the evolving nature of work and employment.

While there may be concerns about certain provisions, outright rejection of the Labour Codes overlooks the substantial benefits they offer to workers. The Code on Wages guarantees universal minimum wage coverage and timely payment of wages, addressing longstanding gaps in wage protection. The Code on Social Security introduces a statutory framework to extend social security to previously excluded workers, representing a significant expansion of workers’ rights and social security coverage in India.

The Industrial Relations Code and the Occupational Safety, Health and Working Conditions Code aim to foster industrial harmony, expedite dispute resolution, and create safer, healthier, and more dignified workplaces. While differences of opinion are natural in a democratic system, constructive dialogue and issue-specific discussions are more effective in safeguarding worker interests than blanket opposition and strikes.

Trade unions play a crucial role in shaping reforms to enhance workers’ rights and dignity at work through effective implementation and continuous improvement. By prioritizing dialogue, cooperation, and constructive engagement, trade unions can contribute to a system that provides job security, social protection, and dignity for workers, aligning with India’s vision for progress by 2047.

(The writer is President, National Front of Indian Trade Unions (NFITU))