What do India's new labour codes guarantee for women workers? Salary gap, night-time work opportunities — Explained

New Labour Codes: The Ministry of Labour and Employment in an announcement said that the Indian government has implemented four new Labour Codes and rationalised 29 exiting labour laws, with effect from 21 November.

The new codes are — the Code on Wages, 2019, the Industrial Relations Code, 2020, the Code on Social Security, 2020, and the Occupational Safety, Health and Working Conditions Code, 2020.

The updates also include measures undertaken especially for women employees in the workforce, across different categories.

What do new Labour Codes promise for women workforce?

• Among other things, women workers are permitted to work at night in all types of work across all establishments (including underground mining and heavy machinery), subject to their consent and required safety measures.
• Women employees will also get equal opportunities to earn higher incomes – in high paying job roles.
• The labour codes also ensure that gender discrimination legally prohibited.
• The codes ensure equal pay for equal work.
• There is a now a requirement for mandatory women’s representation in grievance redressal committees.
• There is also a provision to add parents-in-law in Family Definition of female employees, expanding dependent coverage and ensuring inclusivity.
• For women workers in the export sector, women are now allowed to work in night shifts with consent, ensuring opportunity to earn higher income.
• The safety and welfare measures include mandatory written consent, double wages for overtime, safe transportation, CCTV surveillance, and security arrangements.

Why were new Labour Codes implemented?

The update aims to modernise India's labour laws, which were framed in the pre-Independence and early post-Independence era (1930s-50s), in an economy and world that was “fundamentally different”, as per the Ministry's statement.

Mansukh Mandaviya, Union Minister of Labour and Employment; Youth Affairs and Sports in a post on X (formerly Twitter), on 21 November said the new labour codes that guarantee dignity for every worker in India. “From today, the new labour codes have been implemented in the country. These reforms are not just ordinary changes, but a major step taken by Prime Minister Narendra Modi for the welfare of the workforce,” he stated.

Adding: “These new labour reforms are an important step towards a self-reliant India and will give new momentum to the goal of a developed India by 2047.”

India's new labour codes — A snapshot

• Guarantee of timely minimum wages for all workers — Under the Code on Wages, 2019, all workers will receive a statutory right minimum wage payment in timely manner to ensure financial security.
• Guarantee of appointment letters for the youth — There is now a mandatory requirement to provide appointment letters to all workers. This will serve as written proof, ensure transparency, job security, and fixed employment.
• Guarantee of equal pay and respect for women — Women allowed to work at night and in all types of work, subject to consent and safety measures. Also get equal opportunities to earn higher incomes.
• Guarantee of social security for 40 crore workers — Under Code on Social Security, 2020 all workers including gig and platform workers to get social security coverage including PF, ESIC, insurance, and other benefits.

• Guarantee of gratuity for fixed-term employees after one year of employment — For fixed workers and contract workers, gratuity eligibility will now be available after just one year, instead of five.
• Guarantee of free annual health check-ups for workers above 40 years of age — All employers must provide workers above the age of 40 with free annual health check-up to promote timely preventive healthcare culture.
• Guarantee of double wages for overtime — Provisions for standard working hours, double overtime wages, and paid leave.
• Guarantee of 100% health security for workers in hazardous sectors — A National OSH Board will be set up to harmonise safety and health standards across sectors.
• Guarantee of social justice for workers as per international standards — Safety committees will be made mandatory in establishments with more than 500 workers, improving workplace accountability.