The Four Labour Codes 2025 reforms mark a major shift in India’s labour ecosystem, merging 29 central laws into one framework to protect workers and support resilient industries.
The Four Labour Codes under the Four Labour Codes 2025 reforms
Code on Wages (2019) Under the Four Labour Codes 2025 reforms
A single definition of wages, mandatory minimum wage for all workers, and clear timelines for compensation.
Industrial Relations Code (2020) in the Four Labour Codes 2025 reforms
A streamlined dispute-resolution process, updated employment categories, and revised thresholds for smoother operations.
Social Security Code (2020)
Brings gig, platform, and unorganised workers under PF, ESIC, insurance, and welfare schemes.
Occupational Safety, Health and Working Conditions (OSHWC) Code (2020)
Consolidates safety & welfare laws and sets standards for working hours, health protection, and workplace safety.
Why India Needed Labour Law Changes Under the Four Labour Codes 2025 reforms
Most labour laws were drafted between the 1930s–1950s and became outdated for today’s workforce. The new Labour Codes replace fragmented provisions across 29 acts with a unified, modern framework suited for evolving business needs.
Key Changes Before and After the Four Labour Codes 2025 reforms
- Formal Employment: Appointment letters now mandatory for all workers.
- Social Security: PF, ESIC, and insurance extended to gig/platform/unorganised workers.
- Minimum Wages: Applicable to all workers.
- Preventive Healthcare: Free annual health check-ups for workers aged 40+.
- Timely Wages: Legal requirements for on-time salary payouts.
- Women Workforce: Women can work night shifts and in all occupations with safety measures.
- ESIC Coverage: Pan-India coverage including establishments with fewer than 10 workers.
- Compliance Simplification: Single registration, single licence, and single return.
Benefits Across Worker Categories in the Four Labour Codes 2025 reforms
Fixed-Term Employees & Contract Workers
- Equal wages and benefits as permanent staff.
- Gratuity eligibility reduced to 1 year.
- Health and social benefits through the principal employer.
Gig & Platform Workers
- Formal recognition of gig/platform work.
- Aggregators must contribute 1–2% of annual turnover.
- Aadhaar-linked Universal Account Number for portability.
Women Workers
- Equal pay for equal work.
- Permission to work night shifts with safety provisions.
- Mandatory inclusion in grievance committees.
Youth Workers
- Minimum wages for all types of workers.
- Appointment letters ensure secure employment.
- Wages payable during leave.
MSME Workers
- Protected under the Social Security Code.
- Access to canteens, drinking water, rest facilities.
- Standard working hours, double overtime, paid leave.
IT, ITES & Digital Media Workers
- Mandatory employment contracts with role and benefits.
- Double overtime for all categories.
- Equal pay for equal work across contractors.
- Women allowed in night shifts with safety measures.
Beedi, Cigar, Mines, Dock & Hazardous Industry Workers
- Guaranteed minimum wages.
- Regulated working hours with double overtime.
- Free annual health check-ups.
- Women permitted in hazardous roles.
Plantation & Textile Workers
- ESI medical facilities for workers and families.
- Equal wages and welfare benefits for migrant workers.
- Claims for pending dues allowed up to 3 years.
Export-Sector Workers
- PF and social security for fixed-term employees.
- Annual leave after 180 days.
- Double wages for holiday work.
- Safe late-night transport and security measures.
Conclusion
The Four Labour Codes 2025 reforms mark a major shift in how India handles labour regulations, bringing clarity and consistency to rules that were earlier scattered across many laws. As these changes roll out, businesses have a chance to update their systems, strengthen compliance, and create a fairer workplace. The Four Labour Codes 2025 reforms are not just a legal update—they’re an opportunity for companies to move toward smoother operations, better employee relations, and long-term stability.
Looking for a Trusted Payroll Compliance Partner?
At Futurex Management Solutions Ltd., we manage payroll compliance end-to-end—so your business stays protected from errors, penalties, and legal risks.
From statutory filings to PF/ESIC compliance and secure payroll processing, our team ensures accuracy, reliability, and peace of mind.
Partner with us today and avoid costly compliance mistakes before they happen.