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Labour Reforms Boost Aatmanirbhar

Bhubaneswar: Shri Indramani Tripathy, Commissioner of Labour, Odisha has elaborated on the transformative role of recent labour reforms in achieving the vision of an Aatmanirbhar Bharat (Self-Reliant India), emphasising that the new unified central labour codes are key to establishing a modern, protected, and productive workforce.

Shri Tripathy highlighted that the reforms, by simplifying the archaic legal framework and universalizing benefits, will significantly boost industrial growth while safeguarding workers’ rights across the state.

The four new central labour codes—the Code on Wages, 2019; the Industrial Relations Code, 2020; the Code on Social Security, 2020; and the Occupational Safety, Health and Working Conditions (OSHWC) Code, 2020—have consolidated 29 previous laws, marking one of the most comprehensive reforms since Independence.

The Commissioner elaborated on four significant reforms under the new codes:

Universal Minimum Wage and Timely Payment: The Code on Wages guarantees a statutory right to minimum wages for all workers across all sectors, linked to a national floor wage, ensuring no worker earns below a basic standard of living. It also makes timely wage disbursement a legal mandate, ending unauthorized deductions and ensuring financial security for the entire workforce.

Expanded Social Security Coverage: The Code on Social Security extends a comprehensive social security net to all categories of workers, including unorganized, gig, and platform workers, for the first time. This ensures benefits like Provident Fund (PF), Employees’ State Insurance Corporation (ESIC) medical coverage, and pensions become universally accessible, significantly formalizing the job market.

Enhanced Worker Health and Safety Standards: The OSHWC Code mandates improved workplace safety, including a requirement for employers to provide free annual health check-ups for all workers above 40 years of age in hazardous establishments. It also harmonizes national standards for safety and occupational health across mines, factories, and other industries.

Promoting Fixed-Term Employment and Women’s Participation: The new codes treat fixed-term employees on par with permanent workers in terms of benefits, including gratuity eligibility after just one year of service, which is intended to curb excessive contractualization. Furthermore, they prohibit gender discrimination, mandate equal pay for equal work, and permit women to work night shifts and in all occupations, including heavy machinery and mining, subject to their consent and stringent safety protocols.

Shri Tripathy noted that by reducing compliance burdens for businesses through a single registration, license, and return, these reforms will enhance the Ease of Doing Business in Odisha, attracting investment and creating more formal employment opportunities, which is essential for a self-reliant economy.