Why In The News?
The Centre notified all four Labour Codes, introducing major reforms and replacing 29 outdated labour laws dating back to the 1930s.
1)Introduction to the Labour Codes Notification:
- Major Reform Announcement: The Centre notified all four Labour Codes, introducing wide-ranging changes in India’s labour framework.
- Key Focus Areas: The reforms expand social security to gig workers, ensure gender pay parity, enhance women’s workplace rights, and introduce fixed-term employment.
- Replacement of Old Laws: The Codes replace 29 fragmented labour laws dating back to the 1930s–1950s.
2)Government’s Stance:
- Prime Minister’s View: PM Modi described the reforms as one of the most comprehensive labour transformations since Independence.
- Worker Empowerment: The government highlights that the Codes aim to ensure universal social security, timely wage payments, and safer workplaces.
- Simplified Compliance: The reforms are expected to promote ease of doing business through simplified compliance mechanisms.
- Minister’s Statement: Labour Minister Mansukh Mandaviya said the Codes will formalise employment and make the labour ecosystem globally aligned.
- State-Level Readiness: Most States have already issued draft rules; the Centre is supporting those still finalising rules.
3)Key Provisions:
- Women’s Safety and Rights: Expanded rights, including permission for night shifts and enhanced workplace safety.
- Health and Social Security: Free annual health check-ups for workers above 40 and nationwide ESIC coverage, including hazardous units.
- Simplified Procedures: A single registration, licensing, and return system for employers.
- Wage and Safety Standards: Introduction of a national floor wage and creation of a National OSH Board for uniform safety standards.
- Fixed-Term Employment: Allows fixed-term workers to receive all benefits equivalent to permanent workers.
- New Work Categories: Gig workers, platform workers, and aggregators are legally defined for the first time.
- Universal Account Number: Aadhaar-linked UAN ensures portability and easy access to welfare benefits.
- Inclusion of Plantation Workers: Plantation workers brought under OSHWC and Social Security Codes.
4)Responses from Stakeholders:
Trade Union Concerns:
- Opposition to Codes: Several central trade unions reject the Labour Codes, labelling them anti-worker and pro-employer.
- Issues with Timing: CTUs argue implementing the Codes amid rising unemployment and inflation will worsen workers’ hardships.
- Protest Plans: Unions have announced nationwide protests on November 26 and cite earlier strikes against the Codes.
- Fear of Exploitation: Trade unions warn the reforms could revive a “master-servant” relationship, reducing worker protections.
BMS Standpoint: The Bharatiya Mazdoor Sangh supports implementation but seeks amendments to remove perceived anti-worker provisions in OSH and Industrial Relations Codes.
Industry View: CII praises the reforms as a transformative step towards a modern and simplified labour ecosystem.
| [UPSC 2021] With reference to casual workers employed in India, consider the following statements: 1.All casual workers are entitled to Employees Provident Fund coverage.
2.All casual workers are entitled to regular working hours and overtime payment. 3.The government can, by notification, specify that an establishment or industry shall pay wages only through its bank account. Which of the above statements are correct? Options: (a) 1 and 2 only (b) 2 and 3 only* (c) 1 and 3 only (d) 1, 2, and 3 |
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