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Recent Amendments in Labour Laws in India

SL ISSUES INVOLVED DETAILS OF AMENDMENTS REMARKS


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1 Labour Codes 44 Labour Laws in India will be merged 02 Bills such as The Code on Wages Bill 2019 and The
to 04 Labour Codes Occupational Safety Health & Working Conditions Code were
introduced in Parliament and out of these The Code on Wages 2019
1. The Code on Wage was notified in August, 2019
2. The Social Security Code
3. The Occupational Safety Health Draft Labour Code on Occupational Safety Health & Working
& Working Conditions Code Conditions was introduced in Parliament.
4. The Industrial Relations Code
2 The Wage Code, 2019 The Minimum Wages Act, 1948, The
Payment of Wages Act, 1936, The
Payment of Bonus Act, 1965, and the
Equal Remuneration Act, 1976 are
merged to form The Wage Code 2019
Minimum Wages Act Minimum wages to be paid to ALL (Earlier it was for Schedule
employments with more than 1000 employees)
Payment of Wages Act Provisions reg. Payment of Wages will apply to ALL employees
(Earlier applies to employees whose wages do not
exceed Rs.24000/- per month)
Payment of Bonus Act Bonus will apply to employees whose wages do not exceed a
monthly amount as notified by Central or State Governments
(Earlier it applied to employments with 20 or more persons and for
employees whose wages do not exceed Rs.21000/- per month)
Revision of Minimum Wages Mandates that minimum wages be revised in 5-year intervals
National Minimum Wages The Central Govt. may set a National Minimum Wage and may set
different national minimum wages for different States and regions
Penalties Employers who pay less than what is due under the Code will pay a
fine of upto Rs.50,000/-. If an employer is guilty of repeat offence
within five years, penalties include imprisonment up to three months
or a fine of up to Rs.1 lakh or both. Employers who do not comply
with any other provision of the Code will pay a fine of up to Rs.
20000/-. If an employer is guilty of the same offence again within
five years, penalties incl. imprisonment up to one month or a fine of
upto Rs.40,000 or both.
3 PF & Miscellaneous EPS, 95 Pension of actual wages based on Kerala High Court Judgments.
Provisions Act, 1952 However, notification in this regard is yet to come. (Earlier pension
was calculated on wage ceiling of 15000/-)
4 Maternity Benefit Act, Maternity Leave Total 26 weeks of Maternity Leave subject to maximum of 08 weeks
1961 prior to delivery date.

Crèche Crèche facility for every establishment where 50 or more employees


are employed.
5 ESI Act, 1948 Contribution Revised Contribution :
Employer-3.25% of basic wage +DA (Earlier 4.75%)
Employee- 0.75% of basic wage +DA (Earlier 1.75%)
6 The Gratuity Act, 1972 Gratuity Payment Maximum gratuity payable is Rs.20,00,000/- (Earlier it was Rs.
10,00,000/-)
LIKELY AMEMDEMENTS IN VARIOUS LABOUR LAWS

Sl. Title/Name of the Issue Involved Amendment Details Notification details


No. Act amended

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