Overview
The Congress has accused the Centre of delivering the biggest setback to workers’ rights since Independence by fully operationalising the four Labour Codes. The criticism centres on the timing of the gazette notifications, the perceived erosion of job security, and the lack of stakeholder consultation.
Key Developments
- On May 8‑9, 2026, the Union Government issued gazette notifications finalising the rules for the four Labour Codes.
- The Codes officially came into force on November 21, 2025.
- Mallikarjun Kharge, President of the Congress, labelled the move a “cowardly” delay awaiting state‑assembly elections.
- Kharge warned that the Codes would usher in “hire‑and‑fire” practices, expand contract employment and curtail union space.
- The party reiterated its five‑point ‘Shramik Nyay’ agenda, including extending MGNREGA to urban areas, a national minimum wage of ₹400 per day, and a Right to Health law.
Important Facts
The four Codes are:
- Code on Wages, 2019 – consolidates wage‑related statutes and mandates a minimum wage across sectors.
- Industrial Relations Code, 2020 – revises rules on trade unions, collective bargaining and dispute resolution.
- Code on Social Security, 2020 – expands social security benefits to gig and informal workers.
- Occupational Safety, Health and Working Conditions Code, 2020 – sets uniform standards for workplace safety.
The government argues that the Codes simplify 29 disparate laws, promote ease of doing business, and ensure universal social security. Critics, however, point to the absence of a convened Indian Labour Conference and the lack of consultation with trade unions.
Exam Relevance
Understanding the Labour Codes is essential for GS III (Economy) as they affect employment patterns, wage structures, and social security. The political debate touches GS II (Polity) – the role of Parliament versus the executive in labour law reform, and the federal‑state dynamics in implementation. The social welfare components (MGNREGA, Right to Health) intersect with GS III’s focus on inclusive growth and poverty alleviation.
Way Forward
Parliamentary scrutiny is likely to intensify, with opposition parties demanding amendments to protect union rights and prevent contractualisation. Civil‑society groups may push for the revival of the Indian Labour Conference to ensure broader stakeholder participation. For aspirants, tracking subsequent legislative debates, court challenges, and the impact on informal sector workers will be crucial for answering UPSC questions on labour reforms and social security.