The Indian Government is in the process of enacting 4 (four) Labour Codes (the Code on Social Security, 2020 ("Social Security Code") ; the Code on Wages, 2019 ("Wage Code"); the Industrial Relations Code, 2020 ("IR Code"); and the Occupational, Safety, Health and Working Conditions Code, 2020 ("OSHW Code")) which (along with State rules) will consolidate several key laws and bring out some far-reaching changes within the labour and employment law landscape. Initially, the Labour Codes were scheduled to be implemented from April 01, 2021. However, the implementations of the Labour Codes have been deferred for the time being and the Labour Codes are likely to be implemented end of this year or in 2022. The Central Government and the respective State Governments however continue to frame rules and notify provisions under the Labour Codes. Please find below a few of the recent key developments pertaining to the Labour Codes.

  • Draft Code on Social Security (Employee's Compensation) (Central) Rules, 2021:

The Central Government vide a notification dated June 03, 2021, published the draft Code on Social Security (Employee's Compensation) (Central) Rules, 2021 ("Draft Rules") under the Social Security Code. The Government has invited suggestions/objections from all stakeholders within a period of 45 (forty-five) days from the date of its publication, post which the Draft Rules will be finalised. The Draft Rules shall subsume: (a) the Employee's Compensation Rules, 1924; (b) the Employee's Compensation (Transfer of Money) Rules, 1935; and (c) the Employee's Compensation (Venue of Proceedings) Rules, 1996.

The Social Security Code amends and consolidates the laws relation to social security with the aim to extend social security benefits to gig workers, workers in the organized as well as unorganized sectors. Chapter VII (Employee's Compensation) of the Social Security Code inter alia envisages, provisions relating to employer's liability for compensation in case of fatal accidents, serious bodily injuries, or occupational diseases. The Draft Rules provide for the provisions relating to manner of application for claim or settlement, rate of interest for delayed payment of compensation, venue of proceedings and transfer of matters, notice and manner of transmitting money from one competent authority to another and arrangements with other countries for the transfer of money paid as compensation.

The Government of Chhattisgarh vide a notification dated May 27, 2021, has published the Draft Occupational Safety, Health and Working Conditions (Chhattisgarh) Rules, 2021 under the OSHW Code; the Draft Social Security (Chhattisgarh) Rules, 2021 under the Social Security Code; the Draft Code on Wages (Chhattisgarh) Rules, 2021 under the Wage Code; and the Draft Industrial Relation (Chhattisgarh) Rules, 2021 under the IR Code (collectively referred as 'Draft Chhattisgarh Rules"). The Draft Chhattisgarh Rules are currently in the draft stage and the Government of Chhattisgarh has invited comments/suggestions from all stakeholders within a period of 45 (forty-five) days (for the Draft Industrial Relation (Chhattisgarh) Rules, 2021 the time-period is 30 (thirty) days) post which the Draft Chhattisgarh Rules will be finalised.

  • The Government of Odisha has published draft rules under the Social Security Code:

  The Government of Odisha vide a notification dated June 09, 2021, has published the Draft Odisha Code on Social Security Rules, 2021 ("Draft Odisha Rules") under the Social Security Code. The Draft Odisha Rules are currently in the draft stage and the Government of Odisha has invited comments/suggestions from all stakeholders within a period of 45 (forty-five) days post which the Odisha Rules will be finalised.

  • The Government of Tripura has published draft rules under the Wage Code and the IR Code:

The Government of Tripura vide notifications dated June 01, 2021, and June 19, 2021, has published the Draft Tripura Code on Wages Rules, 2021 under the Wage Code; and the Draft Tripura Industrial Relations Code Rules, 2021 under the IR Code (Collectively referred to as 'Draft Tripura Rules"), respectively. The Draft Tripura Rules are currently in the draft stage and the Government of Tripura has invited comments/suggestions from all stakeholders within a period of 45 (forty-five) days and 30 (thirty) days for Draft Tripura Code on Wages Rules, 2021 and the Draft Tripura Industrial Relations Code Rules, 2021, respectively, post which the Draft Tripura Rules will be finalised.

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