FOUR LABOUR CODES CONSOLIDATE LAWS

The Occupational Safety, Health and Working Conditions Code (OSH), 2020, which is among the four Labour Codes made effective from November 21, 2025, is enacted to consolidate and simplify the existing complex web of labour laws.

- CORRESPONDENT

It replaces 13 Central Labour laws with a single comprehensive legislation, thereby reducing multiplicity and bringing uniformity across industries and States/UTs.

The Code was enacted as a part of the broader labour laws reforms to improve transparency, enhance worker welfare, and promote ease of doing business in India, according to a statement from the central government.

According to the government, the Code balances the twin objectives of safeguarding worker rights and safe working conditions, and creating a business-friendly regulatory environment spur economic growth and employment thereby, making India’s labour market more efficient, fair, and future-ready.

Besides, the Code streamlines compliance through measures such as single registration, all-India licences, electronic filings, and time-bound approvals. Additionally, the code reduces the number of rules, returns among other subjects to reduce procedural hurdles and encourage investments.

The new labour codes focus on formalisation of jobs through appointment letters.

Every employee will be given appointment letters in the prescribed format specifying the details of the employee, designation, category, details of the wages, details of social security etc, the government said.

The workers employed in an establishment are entitled for paid leave in a calendar year on working of 180 days or more in such calendar year, earlier workers had to work for 240 days for becoming eligible for paid leave.

“Reduction of eligibility from 240 to 180 days along with flexibility in working hours ensures enough rest and recovery, improving productivity and job satisfaction,” the central government's statement read.

With these four labour Codes coming into effect, no employee shall be required to work for more than 8 hours in a day and 48 hours in a week. Further, the power to fix the time of interval and spread over time has been given to Appropriate Government.