Labour Reforms Bill

The Ministry has taken steps for drafting four Labour Codes on Wages; Industrial Relations; Social Security; and Occupational Safety, Health and Working Conditions respectively, by simplifying, amalgamating and rationalizing the relevant provisions of the existing Central Labour Laws.  The 4 Labour Codes contain provisions relating to wage, social security, safety, health and grievance redressal mechanism for workers. These initiatives are expected to provide wage security, social security, occupational safety and decent working conditions to the workers. However, there is no proposal at present to dismantle and merge of Employees’ State Insurance Corporation (ESIC), Employees Provident Fund Organization (EPFO) with other central schemes and privatization of social security fund.

The process of Legislative reforms on Labour includes consultation with stakeholders including Central Trade Unions, Employers’ Associations and State Governments in the form of tripartite consultation. Besides, the draft Labour Codes were also placed on website of the Ministry, seeking comments/suggestions from all stakeholders including general public. The draft legislations are finalised after considering comments/suggestions received from various stakeholders.

The proposed labour reforms initiatives will reduce the complexity in compliance due to multiplicity of labour laws and facilitate setting up of enterprises and thus creating the environment for development of business and industry in the country and generating employment opportunities without diluting basic aspects of safety, security and health of workers.

This information was provided by Shri Santosh Kumar Gangwar, Union Minister of State (I/C) for Labour and Employment in written reply to a question in Lok Sabha today.