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India Implements Four New Labour Codes, Simplifying 29 Existing Labour Laws.

National | Dated: 22 Nov 2025

The Union Government announced that the four new Labour Codes have officially come into effect from November 21, 2025, marking a historic and massive reform in India's labour sector. These codes consolidate 29 existing central labour laws into simplified, modern frameworks. The key provisions include mandatory appointment letters for all employees, timely payment of wages, expanded social security coverage for gig and platform workers, and new gratuity rules. The aim of this reform is to strengthen worker protection, expand social security benefits, and create an overall business-friendly environment by reducing compliance complexities.

🎯 Key Highlights:

  • The Four New Labour Codes officially came into effect from November 21, 2025.
  • The codes consolidate 29 existing central labour laws into simplified frameworks.
  • Key provisions include mandatory appointment letters and expanded social security for gig workers.

💡 Other Important Facts:

  • The codes also modify the thresholds for strikes and retrenchment processes.
  • New rules on Gratuity calculation based on 5-year service period are also effective.
  • The implementation process requires states to adopt corresponding rules.

📚 Test Your Knowledge:

The new Labour Codes consolidate how many existing central labour laws?

Correct Answer: 29

🚀 Quick Recap:

About Labour Codes

  • (i) Number of Codes: Four (Code on Wages, Industrial Relations, Social Security, and Occupational Safety). (ii) Impact: Affects millions of formal and informal sector workers.
  • (iii) Goal: Enhance Ease of Doing Business and expand social protection. (iv) Significance: First major labour reform since Independence.