Explained: Impact of Labour Codes on IT/ITes Companies

Introduction Under the existing scheme of labour laws in the country, there have often been doubts over whether particular laws are applicable to IT/ITes companies. For example, the question of whether the Industrial Employment (Standing Orders) Act is applicable to IT companies. Furthermore, there has been a concerted effort by several State Governments to bring IT/ITes outside the scope of certain laws to promote investment and ease of doing business. The new labour codes have…

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Transgender Persons and Labour Law: A Grey Area

Introduction Laws in India had been strictly binary in terms of their recognition of gender for a long time, recognizing only men and women. In this sense the lack of recognition could be termed a non liquet or a lacuna in the law. However, the change in global outlook towards transgender persons has resulted in a corresponding shift in India as well. The Supreme Court’s judgement in the case of National Legal Services Authority v.…

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Third Party Audit and Certification Under the OSHWC Code: Explained

Introduction India is in the midst of an overhaul of existing regulatory compliance norms, aimed at improving its ranking in the World Bank’s ease of doing business index. In the context of labour regulations, this has come in the form of four new Labour Codes that aim to deregulate and simplify wages, social security, industrial relations and occupational health and safety. Section-37 of the last Code, namely the Occupational Safety Health and Working Conditions Code,…

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Code on Social Security, 2020: Salient Features & Compliance Changes

Introduction The Code on Social Security, 2020 was born out of the recommendations of the Second National Commission on Labour, which stated in its report that the current set of labour laws must be amalgamated based on subject-matter. The Code was introduced in December 2019 and the Parliamentary Standing Committee submitted its report on 31st July 2020. Thereafter, a fresh Bill was introduced, namely the current Code on Social Security, 2020 that aims to facilitate…

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Labour Codes Passed by Parliament: What is Next for Companies?

Introduction The Parliament pushed through its long-standing reform initiative on Wednesday, with the three Codes- the Code on Social Security, 2020, the Occupational Safety, Health and Working Conditions Code, 2020 and the Industrial Relations Code, 2020 being passed by both houses. Since then, Simpliance has received numerous queries regarding the date when these Codes come into effect, whether the Codes are already law and can be enforced and questions pertaining to the changes that have…

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A Summary of Key Differences Between Labour Code Bills 2019 & 2020

Introduction The resumption of the delayed Monsoon session of Parliament was marked by the introduction of several legislations that have been pending. Amongst these are the three remaining labour codes that are part of the Central Government’s long-standing plan to untangle India’s regulatory framework. Namely, the Code on Social Security Bill, the Industrial Relations Code Bill and the Occupational Safety, Health and Working Conditions Code Bill. On 19th September, the Central Government rescinded the previous…

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‘Wages’ Under Payment of Wages Act & Code on Wages: A Comparative Analysis

Introduction The Code on Wages, 2019 has been passed by the Parliament and with the draft Central rules awaiting Parliament’s approval, India’s biggest overhaul of labour laws is imminent. The Code on Wages, 2019 subsumes four labour legislations, namely:- 1.  The Payment of Wages Act, 1936 2.  The Minimum Wages Act, 1948 3.  The Payment of Bonus Act, 1965 4.  The Equal Remuneration Act, 1976 Several changes were brought in through the Code to facilitate…

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Suspension of Labour Laws: A Fact Check

As part of the recovery plan from COVID-19, state governments see the suspension of labour laws by way of notifications/ordinance, as a policy measure that’s expected to boost economic recovery. This decision has been surrounded in hyperbole and rhetoric, with fake and ambiguous news circulating as well. There have been claims of total suspension of labour laws and employers actioning widespread exploitation. This article aims to provide an objective view of the facts surrounding the…

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