As many as five states/Union Territories are yet to publish the draft rules under three labour codes and four states on a fourth one, the government said in Parliament on Monday, indicating that the roll-out of the reformist laws could be delayed further.
These codes – industrial Relations, Social Security and Occupational Safety and Wages – were passed by Parliament in 2019 and 2020.
Minister of state for labour & employment Shobha Karandlaje informed the Lok Sabha on Monday that meetings were held with the states/UTs to urge them to frame the draft rules within the ambit of Labour Codes. The Centre has, however, pre-published their draft rules under the four codes, as a step towards their implementation, she added.
Among the states that haven’t formulated rules are: West Bengal, Meghalaya and Nagaland. An official source had earlier told FE that the Centre aims to announce the date for implementation of the labour codes by next year.
To be sure, labour laws fall under the concurrent list of the Constitution.
Hence, both the Centre and states are empowered to make rules. But in the event of a conflict between state and central laws, central legislation generally takes precedence, unless the state’s law has obtained Presidential assent.
The four labour codes are a judicious combination of reforms aimed at easing labour market rigidities, and reinforcing workers’ rights and welfare.
As many as 44 labour related Acts were consolidated into the four codes in 2019-2020 with the objective of reinforcing trade and investment, facilitating ease of doing business and easing compliance. Several minor offences were decriminalised via the codes, while skill development and dispute resolution have been accorded due priority.
Meanwhile, Karandlaje also said that with a view to strengthen collective bargaining power, the government has incorporated the concept of Negotiating Union and Negotiating Council for industrial establishments in the Industrial Relations Code, 2020. “Further, provisions for extending the coverage of social security benefits to unorganized workers, including gig workers and platform workers have also been envisaged in the Code on Social Security, 2020,” she said.