Tough Task

After plucking lowhanging fruits, the Modi government is now focusing on compiling over 44 labour laws into four broad codes.

- Kamal Kishore Shankar

The government is not looking at slowing down on labour reforms even though general election is just over a year away. The government is likely to get at least two codes on wages as well as industrial relations passed by the Parliament this year.

The Union Ministry of Labour and Employment has already compiled over 44 labour laws into four broad codes related to wages, industrial relations, social security and occupational safety, health and working conditions. The codification of the labour laws will remove multiplicity of definitions and authorities, leading to ease of compliance without compromising wage security and social security to workers.

Labour Secretary M Sathiyavathy notes that the ministry intends to push all four codes for passage in the Parliament this year. "The government is not going slow on labour reforms. All four codes would be pushed in 2018," she adds.

Final drafts

The draft Code on Wages Bill, 2017 was introduced in the Lok Sabha in August 2017. The Bill will be pushed for consideration and passage in the Lok Sabha and subsequently in the Rajya Sabha in 2018.

The Code on Wages rationalises, amalgamates and simplifies the relevant provisions of the four labour laws - the Minimum Wages Act, 1948; the Payment of Wages Act, 1936; the Payment of Bonus Act, 1965; and the Equal Remuneration Act, 1976.

Similarly, the Code on Industrial Relations Bill has been finalised by a group of ministers headed by Finance Minister Arun Jaitley. The Bill is likely to be approved soon for placing it before the Union Cabinet so that it can be introduced in the Parliament this year.

The Trade Unions Act, 1926; the Industrial Employment (Standing Orders) Act, 1946; and the Industrial Disputes Act, 1947 will be combined into the Code on Industrial Relations.