Implementation of new labour codes likely by April 2026: Labour Minister

Labour Minister Mansukh Mandaviya said draft rules under four new labour codes will be pre-published soon, with full implementation and social security coverage expected by April 2026

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Labour and Employment Minister Mansukh Mandaviya on Wednesday said that draft rules under the four new labour codes will be pre-published soon, following which the Centre expects the codes to be fully operational by the beginning of the next financial year (FY27).

 

The four labour codes in question - the Code on Wages, 2019, the Industrial Relations Code, 2020, the Code on Social Security, 2020 and the Occupational Safety, the Health and Working Conditions Code, 2020 - were notified by the Centre on November 21.

 

Speaking at an event organised by the Confederation of Indian Industry (CII), the minister said the draft rules for the same were pre-published earlier, but that was a long time ago, and now there is a need to bring the draft rules again in sync with the current times. 

 

The rules will be published to provide 45 days' time for public consultation, following which they will be framed up as a final notification. However, it also must be noted that labour is a concurrent subject, which means that the states have to notify the codes too and also have the flexibility to adapt the rules to their local context.

 

The new codes, which will replace 29 separate laws, aim to modernise labour regulations, strengthen worker welfare, and bring the labour framework in line with a rapidly evolving economic environment.

 

Responding to a question about the working hours under the new law, Mandaviya stated the standard working day under the new labour codes remains eight hours. He added that the updated framework introduces the option of overtime for workers, aligning India with global best practices. 

 

The ministry also recently clarified that under the new codes, working hours are fixed 8 to 12 hours per day and capped at 48 hours per week. This means that the flexibility of 12-hour workdays is permitted for up to 4 days a week, with the remaining three days being paid holidays.

 

The minister also said the government’s goal of extending social security coverage to 1 billion workers by March 2026, up from the current 940 million. India's social security coverage had expanded from 19 per cent in 2015 to over 64.3 per cent in 2025, according to government data.

 

The ambitious goal comes on the back of gig workers, who have been recognised in the Code on Social Security as a separate category for the first time. It includes provisions of welfare schemes covering health, pension, education and disability cover, among other things.

 

According to a NITI Aayog report, India had about 10 million gig workers in 2024–25, a number expected to rise to 23.5 million by 2029–30. This surge is driven by the rapid expansion of e-commerce, quick-commerce platforms offering 10-minute deliveries, and food delivery services. Most of these workers don't get access to any of the welfare schemes from the employers.