The new four Labour Codes aim to provide minimum wage for all the workers along with providing them social security, PF, ESIC and insurance benefits. While Congress, CPI have questioned the efficiency, BJP reiterates that these will benefit the workers.
The Indian government on November 21, notified four Labour Codes overhauling the existing 29 labour-related laws, terming them as most “comprehensive and progressive” labour-oriented reforms since Independence which are aimed at empowering Indian workers.
However, the Opposition parties have questioned the timing of the laws, the intent of the reforms, and raised questions about its potential misuse by the employers. Some have even termed these as “anti-labour codes” while some say that these were introduced only for the “convenience of capitalists”. However, the governing BJP’s leaders and state chiefs have welcomed the step.
The Congress party is opposing the new labour law reforms, claiming they’re anti-worker and favour corporate interests. However, the government argues these reforms are necessary to boost economic growth, simplify labour laws, and improve worker welfare.
Key Concerns:
– Dilution of Worker Rights: The new labour codes are seen as weakening collective bargaining, making it harder for workers to strike, and reducing social security benefits.
– Increased Exploitation: Critics argue that the laws will lead to longer working hours, reduced job security, and inadequate safety measures.
– Informal Sector Neglect: The reforms are criticized for not adequately addressing the needs of informal sector workers, who make up a significant portion of India’s workforce
Congress questions efficiency and reality
Congress General Secretary of Communications, Jairam Ramesh, said that the 29 existing labour-related laws have been re-packaged into 4 codes. This is being marketed as some revolutionary reform when even the Rules have yet to be notified.
He outlined five following demands and questioned whether these codes make these demands of India’s workers for Shramik Nyay a reality, in a post on X (formerly Twitter).
1. National minimum wage at ₹400 per day, including for MGNREGA
2. Right to Health law that will provide universal health coverage of ₹25 lakhs
3. Employment guarantee act for urban areas
4. Comprehensive social security for all unorganised workers, including life insurance and accident insurance
5. A commitment to stop contractualisation of employment in core Government functions
He further advised that the Modi government should learn from the examples of the Congress government in Karnataka and the former fovernment in Rajasthan, “which have pioneered labour reform for the 21st century with their groundbreaking gig worker laws” that preceded the new codes.
Congress leader Adhir Ranjan Chowdhury resonated with the views, stating, “The new labour code being talked about in the country is being introduced only for the convenience of capitalists. These labour codes have been introduced to snatch away the legal rights that the labourers and working class in India should have received as per the Constitution…”
CPI-M MP John Brittas said that the government wants to “trample on workers’ hard-won rights” with these laws. “At a stroke, they want to undo the rights and privileges that workers in this nation have earned. Now, 75% of workers would be at the employer’s mercy,” he said, as per ANI.
“There need not be a condition that ensures permanent employment for them; the contractual labour will come into existence. 70-71% of industries do not need to consider a worker’s job security. They can hire and fire people at will,” he added.
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BJP defends, lauds and welcome the codes
Union Minister Dharmendra Pradhan welcomed the new codes stating that these will play a big role in increasing employment opportunities and will give a boost to the economy of the nation.
BJP leader Mohsin Raza said, “Prime Minister Modi is bringing laws and reforms for the benefit of the people and the country. We are advancing women’s empowerment, bringing them to the forefront. All the reforms are aimed at strengthening society overall…” as per ANI.
Goa Chief Minister Dr Pramod Sawant wrote on X: “I wholeheartedly welcome the implementation of the New Labour Codes constituted under the leadership of Hon’ble Prime Minister Shri Narendra Modi Ji and the Union Ministry of Labour and Employment.”
“These transformative reforms mark a historic step toward ensuring dignity, protection, and empowerment for every worker. A milestone in our journey toward a stronger, more resilient, and developed India,” Sawant added.
The government notified for Labour Codes — Code of Wages (2019), Industrial Relations Code (2020), Code on Social Security (2020) and Occupational Safety, Health and Working Conditions Code (2020) — on November 21, which were passed by the Parliament five years ago.
Coming into force immediately, these reforms aim to provide minimum wage for all the workers along with providing them social security, PF, ESIC and insurance benefits, among others.
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