Labor Law: Under the proposed new labor law, there is no provision for leave for three days a week. The government, which has been trying to narrow the scope of 29 labor laws to four labor laws for a long time, aims to ensure social security of workers, employment generation, and a better-practical balance between industry and workers.
On Thursday, August 25, the Labor Ministers' Conference, going to be held in Tirupati, can be agreed to implement the new law. Prime Minister Modi will virtual inaugurate the conference. According to sources in the Labor Ministry, there is a possibility of agreeing to implement the new labor law in this meeting, because all the provisions related to it have been agreed upon in all the states.
Significantly, instead of 29 labor laws, the government has decided to divide it into four parts: Remuneration Code, Social Security Code, Industrial Relations Code, and Occupational Safety Code. Of these, 31 states have prepared their rules on the labor code, 27 states on the social security code, 25 on the industrial relations code, and 24 states on the code of occupational safety under the new labor laws. After discussing the disagreements of the states on some issues in the Conference of Labor Ministers, the date of implementation of the new labor laws can be agreed upon. Significantly, the new labor laws were earlier planned to be implemented from July 1.
Basic compulsory 50% of the total salary
The aim is to create a conducive environment for investment and industry by ensuring better synergy of the industry with the workers. Under this, it has been made mandatory to make the basic salary of the workers at least 50 percent of their total salary. However, along with this, after the implementation of the new law, instead of 12 percent of the basic of the workers in the head of PF, only ten percent will be deducted for PF.
The request will be made to draft rules on the labor code
The conference will request the states to immediately complete the process of drafting rules on the four labor codes. During the inauguration of the conference, the PM himself will request the states to this effect. The government plans to implement the new labor laws, in any case, this year.
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