Unions call India’s new labor codes as ‘war on working masses’

India’s main central unions (except the right-wing pro-BJP BMS etc.) have slammed the new four labor codes made law by a Modi government notification on 21 November, 2025  and called nationwide protests on 26 November, 2025. The four new labor codes consolidate 29 earlier laws that governed wage, workplace safety, social security, and industrial relations, and the government saying  they are aimed to protect workers, promote inclusion, and attract investment, while simplifying systems for businesses and regulators.

A statement by the unions says, “The Joint Platform of Central Trade Unions, express strong condemnation against the blatantly unilateral implementation of anti-worker, pro employer labour codes from today. In unequivocal terms we call it the Union Govt’s deceptive fraud committed against the working people of the nation.

“This arbitrary and undemocratic notification of the four so called “labour codes” notified on 21st November 2025, defies all democratic ethos and has wrecked the character of welfare state of India to rubbles.”

Statement by the Joint Platform of Central Trade Unions on the labour codes notification pic.twitter.com/30xQuBzUfe

— CPI (M) (@cpimspeak) November 21, 2025

So, what the central unions are opposing or concerned about:

• The new codes allow companies to hire and dismiss employees with greater ease, reducing job security.

• Increase in the threshold for companies requiring government approval for layoffs from 100 to 300 workers, enabling easier mass layoffs.

• Permitting extended factory hours and night shifts for women, which unions argue raises safety concerns, especially for women from lower middle-class backgrounds.

• The reforms dilute protections against fixed-term employment and reduce entitlements that were previously assured under older labor laws.

• The central unions  view the implementation as undemocratic and anti-worker, calling the move a “war on the working masses” amid rising unemployment and inflation.

• They demand repeal of the laws, wider social security coverage, increased minimum pension, enhanced welfare funding, and reversal of certain deregulations that favor employers.

• There is concern that the new rules may increase operational costs for small and medium enterprises and disrupt industry continuity.

Summary of Old 27 (29) Labor Laws

These laws were sector-specific and fragmented, often duplicating compliance and definitions:barandbench​

Wages Acts (4):

• Payment of Wages Act (1936): Ensured timely payment to employees.

• Minimum Wages Act (1948): Mandated minimum wage for listed employments.

• Payment of Bonus Act (1965): Provided bonuses based on profits/productivity.

• Equal Remuneration Act (1976): Guaranteed equal pay for equal work.barandbench​

Industrial Relations Acts (3):

• Industrial Disputes Act (1947): Addressed disputes, layoffs, retrenchments.

• Trade Unions Act (1926): Regulated registration, powers of unions.

• Industrial Employment (Standing Orders) Act (1946): Required service conditions codification.barandbench​

Safety & Working Conditions Acts (13):

• Factories Act (1948): Workplace safety in factories.

• Mines Act (1952): Regulated safety for miners.

• Dock Workers Act (1986): Safety for dockworkers.

• Building and Other Construction Workers Act (1996): Construction worker safety.

• Contract Labour Act (1970): Oversaw contractor-employed labor.

• Inter-State Migrant Workmen Act (1979): Protections for migrant workers.

• Plantations Labour Act (1951): Regulated plantation working conditions.

• Working Journalists Acts (1955, 1958): Media workers’ rights.

• Beedi and Cigar Workers Act (1966): Protections for beedi/cigar workers.

• Motor Transport Workers Act (1961): Transport workers’ welfare.

• Sales Promotion Employees Act (1976): Covered sales staff.

• Cine Workers & Cinema Theatre Workers Act (1981): Welfare for film industry workers.barandbench​

Social Security Acts (9):

• Employees’ Compensation Act (1923): Compensation for work injuries.

• Employees State Insurance Act (1948): Health insurance, medical benefits.

• Employees Provident Fund Act (1952): Retirement savings.

• Maternity Benefit Act (1961): Paid leave for mothers.

• Payment of Gratuity Act (1972): Lump-sum post-service benefits.

• Cine Workers Welfare Fund Act (1981): Welfare for film workers.

• Construction Workers Welfare Cess Act (1996): Welfare for construction workers.

• Unorganised Workers Social Security Act (2008): Basic social security for informal workers.

• Employment Exchanges Act (1959): Regulated job exchanges.barandbench​

Summary of Four New Labor Codes

1. Code on Wages (2019):

• Unifies wage, payment, bonus, and equal pay laws.

• Defines “wages” inclusively; sets floor wage nationwide.

• Mandates minimum wages, timely payment, wage slips, registers.

• Overtime rate doubled, strong penalties for delays or underpayment.labour+1​

2. Industrial Relations Code (2020):

• Unifies rules on disputes, retrenchment, layoffs, union recognition.

• Stricter regulations for strikes; prior notice required, expanded definition includes mass casual leave.

• Layoff/retrenchment permissions needed for establishments with 300+ workers.

• Sets up re-skilling fund for retrenched employees.labour+1​

3. Occupational Safety, Health and Working Conditions Code (2020):

• Covers safety, health standards, working conditions for factories, mines, construction, journalism, cinema, transport, etc.

• Single registration for establishments; mandatory health check-ups.

• Women allowed night shifts with protections; appointment letters required.

• National database for unorganised workers and migrant labor.labour+1​

4. Code on Social Security (2020):

• Consolidates EPF, ESI, maternity benefits, welfare funds.

• Expands coverage to fixed-term employees, gig and platform workers.

• Statutory gratuity after one year for fixed-term; national worker database.

• Aggregators to contribute to gig worker insurance/social security.labour+1​

Key Differences & Impacts

• Simplification: From 29 laws with varying definitions and compliance to four streamlined codes, reducing regulatory burden.

• Uniform protections: All sectors, including unorganised, gig, and platform workers, now get minimum wage and basic social security.

• Women’s inclusion: Legalised night shifts, stronger maternity protections, appointment letters for all.

• Digital transition: National database, Aadhaar-based registration, easier portability of benefits.

• Employer compliance: New documentation, payment timelines, safety duties for remote/on-site work.

• Criticisms: Stricter strike rules, increased retrenchment threshold, and dependence on future subordinate rules to fully operationalize benefits.labour+1​

New Labor codes​