India's key labour reform prompts trade union protests

Several unions say the new laws will weaken job security, dilute workplace protections

- Debarshi Dasgupta India Correspondent

Thousands of workers and trade union representatives took to the streets on Nov 26 in different parts of India, protesting against new laws that have widely been described as the country's biggest labour reform in several decades.

The government says the new laws, which came into effect on Nov 21, promote ease of doing business while also safeguarding workers' rights and welfare.

Several unions, however, have denounced them as "anti-worker" and "pro-employer", claiming the codes will weaken job security, dilute workplace protections and whittle down the power of trade unions.

Protesting unions sent a memorandum to President Droupadi Murmu on Nov 26, demanding that the labour codes be repealed, among other demands. The government has yet to respond.

The four new codes - governing wages, industrial relations, social security and workplace safety - consolidate a complex web of 29 preexisting labour laws and trim red tape by reducing more than 1,400 rules to just 351.

"Together, they establish a modern labour framework that is pro-worker and pro-growth, demonstrating that India is ready to meet the demands of a dynamic and rapidly evolving global economy," wrote Indian Minister of Labour and Employment Mansukh Mandaviya in an opinion piece in the Hindustan Times on Nov 24.

Among the many significant changes is the statutory right to minimum wage payment for all workers and expanded social security coverage for gig and platform workers.

The new codes also remove imprisonment provisions for many routine workplace violations, reducing the burden of compliance on employers.