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Summary of Social Security and Labour Codes of 2020 – Legal Desire Media and Insights


There have been three Labour Codes launched in Lok Sabha on 19 Sept 2020 particularly:

1.Occupational Safety, Health & Working Conditions Code 2020

2. Industrial Relations Code 2020

3. Code on Social Security 2020


So, under Occupational Safety, Health & Working Conditions Code 2020 there are particular necessary adjustments and additions that are defined as under:

·      Occupational Safety, Health & Working Conditions Code 2020 avails free-of-cost annual well being check-ups for staff after completion of a sure age as a way to that, the illnesses may very well be detected if any and acceptable remedy of the staff can happen earlier than it’s too late.

·      Under Occupational Safety, Health & Working Conditions Code 2020 it’s specified that girls can work in all institutions late evening that’s past 7pm and earlier than 6am though there are particular security protocols to be adopted and this won’t happen with out their consent.


So, under Industrial Relations Code 2020 there are particular necessary adjustments and additions that are defined as under:

·      If we examine Industrial Relations Code 2020 with Industrial Relations Code 2019, 2020 invoice requires the institutions with over 300 staff to hunt the permission of the govt.. earlier than making any selections associated with closure (that’s everlasting closing down of a spot of employment), lay-off (that’s the discount of an organization’s workforce or worker workers) or retrenchment (that’s termination by the employer of the service of a workman). Whereas in 2019 invoice it was on condition that the institution with over 100 staff has to seek the advice of the govt.. earlier than going forward with closure, layoff or retrenchment.

·      If we examine Industrial Relations Code 2020 with Industrial Relations Code 2019, a brand new provision is added in code 2020, concerning Disputes referring to termination of particular person employee that when there may be any dispute associated with discharge, dismissal, retrenchment, or in any other case termination of the providers of any particular person employee it may be thought of under industrial dispute. The labored can apply for adjudication in industrial tribunal forty-five days after the appliance for the conciliation of the dispute was made.



Code on Social Security 2020

Last 12 months (2019) a code on social safety was launched in parliament and was despatched to the standing committee on labour for analysis. the Code on Social Security, 2020 (Code 2020) was gone alongside in parliament on 19 Sept 2020 and was handed by the parliament on 23 September 2020

This invoice was launched in Lok Sabha and is to be relevant to everybody throughout India.

Code on Social safety 2020 covers these 9 acts particularly:

The Employees’ Compensation Act, 1923;

The Employees’ State Insurance Act, 1948;

The Employees’ Provident Funds and Miscellaneous Provisions Act, 1952;

The Employment Exchanges (Compulsory Notification of Vacancies) Act, 1959;

The Maternity Benefit Act, 1961;

The Payment of Gratuity Act, 1972;

The Cine Workers Welfare Fund Act, 1981;

The Building and Other Construction Workers Welfare Cess Act, 1996;

and The Unorganised Workers’ Social Security Act, 2008.

·      This act covers a variety from organised sector e.g.: EPF (Employees Provident Fund) to miscellaneous act to gratuity act to unorganised employee social safety act which is a more moderen profit standards launched in India, these all are amalgamated on this code of social safety.

·      This code defines giant variety of staff and apparently introduces new sort of staff (e.g.: gig staff)

·      Under this code “employee” has been extensively elaborated and has enclosed multiple different staff to realize benefit of this social safety code, and to help them to safe their employment in numerous components.

·      As per the code “employee” means “any person employed on wages by an establishment, either directly or through a contractor, to do any skilled, semi-skilled or unskilled, manual, operational, supervisory, managerial, administrative, technical, clerical or any other work, whether the terms of employment be express or implied, and also includes a person declared to be an employee by the appropriate Govt., but does not include any member of the Armed Forces of the Union”

·      Under this code the definition of the wages has been revised, bifurcating it into courses like fundamental salaries, compensation, allowances, advantages.

·      In addition to these, it moreover specifies sure particular exclusions that can’t exceed 50% whole remuneration.

·      This code is launched to amend, fortify the legal guidelines, and to keep away from destitution of fundamental wants of staff, for not solely gig staff (that’s freelancers, staff employed on venture primarily based work, brief time period work, that’s staff who earns from offering particular service – things to eat supply and many others.) platform employee (there isn’t a such distinction between gig employee and platform employee), unorganised employee, but in addition constructing staff, contract labours, dependents, exempt worker, residence primarily based staff, interstate migrant employee, medical practitioner, self-employed employee, wage employee and ladies.

·      According to the present invoice even the employees, in institutions, what place there are minimal variety of staff like ten to twenty staff, can anticipate advantages equivalent to pension, medical insurance coverage and many others. nevertheless, they’re necessary to staff working for above a sure wage (as notified by the govt..).

·      The code as well as edicts the central govt. to make new schemes for unorganised staff to cowl life and incapacity, previous age safety, maternity leaves or the opposite related advantages, and in addition employment harm profit, academic schemes for youngsters, funerial help and talent upgradation for staff.

·      It is made necessary for each unorganised employee, gig employee or platform employee to register and to supply his Aadhaar quantity to obtain Social Security advantages.

·      There needs to be help given to the employees in type for compensation if the employee faces any critical bodily harm by chance or an occupational illness

·      And if demise outcomes from such accidents fifty to sixty % of the month-to-month wages of the deceased as defined within the code needs to be given as help to his household unit.

·      According to the invoice EPF (Employees Provident Fund) relevant to all or any institutions with twenty or extra staff

·      According to the invoice gratuity is made relevant to factories, oil subject, port railways, firms with over twenty employers on any day within the 12 months, even as soon as the employer make use of an worker for a set time period of employment or the deceased worker, he’s certain to pay the gratuity.





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