New Delhi: The implementation of the four Labour Codes on November 21, 2025, has ignited a political debate, with the government touting them as progressive reforms and the opposition and trade unions expressing concerns over potential erosion of worker rights.

Prime Minister Narendra Modi has hailed the codification as "one of the most comprehensive and progressive labour-oriented reforms since Independence". He emphasized that the codes would "empower workers while simplifying compliance and easing business processes". Modi also stated the changes would establish a "strong foundation for universal social security, minimum and timely payment of wages, safe workplaces and remunerative opportunities," especially for women and young people, accelerating India's progress. Union Labour Minister Mansukh Mandaviya echoed this sentiment, highlighting provisions such as appointment letters for the youth, equal pay for women, gratuity for fixed-term employees after one year, free annual health check-ups for workers over 40, and social justice.

The four codes consolidate 29 existing central labour laws, aiming to modernize India's labor governance and align it with global standards. The government has emphasized that the codes will expand social security coverage, simplify compliance procedures for industries, and promote formalization of employment. Key changes include:

• Universal Social Security: Extending Employees' State Insurance (ESI) benefits pan-India, even to establishments with a single employee in hazardous work, and recognizing gig and platform workers for social security benefits.
• Minimum Wage: Guaranteeing minimum wages for all categories of workers and establishing a national floor wage to ensure parity across states.
• Women's Rights: Permitting women to work night shifts across sectors with safety measures and consent, and mandating equal wages.
• Fixed-Term Employment (FTE): Placing FTEs on par with permanent staff, ensuring equal benefits, gratuity eligibility after one year, and equal wages.
• Compliance: Introducing a single registration, license, and return system, replacing labor inspections with an "inspector-cum-facilitator" approach.
• Health & Safety: Providing free annual health check-ups for workers above 40 and prescribing national safety standards across industries.

However, opposition parties and trade unions have voiced strong criticism. Ten central trade unions have declared the move a "deceptive fraud" and announced a nationwide protest. They allege the codes are "anti-worker, pro-employer" and undermine worker welfare. Concerns raised include the dilution of industrial safety compliance, wage and welfare requirements, and raising thresholds in ways that reduce protections for many workers. The CPI(ML) Liberation stated the codes "codify modern slavery and exploitation for the benefit and profiteering of big businesses and corporate interests".

Specifically, some unions are against the Industrial Relations Code and the Occupational Safety, Health and Working Conditions Code. They claim the industrial relations code only recognizes unions representing 51% of the workforce, potentially wiping out smaller unions.

Despite the opposition, the RSS-affiliated Bharatiya Mazdoor Sangh (BMS) has welcomed the reforms as "historical and revolutionary". They believe the codes are dynamic and future-ready, addressing the evolving labor market.

The implementation of these Labour Codes marks a significant moment for India's workforce. While the government projects increased worker protections and simplified compliance, opposition groups fear the changes will erode hard-won rights and favor employers. The coming months will be crucial in observing the actual impact of these codes on workers and industries across the country.