India's Labour Codes: A Pathway to Increased Women's Participation in the Workforce, Reveals New Report

India's new labour codes, which came into effect in November 2025, are expected to significantly boost women's participation in the workforce by improving their safety, security, and accessibility in the workplace. These reforms consolidate 29 existing labour laws into four codes, modernizing labour regulations and aligning them with the evolving world of work. The codes include the Code on Wages, the Industrial Relations Code, the Code on Social Security, and the Occupational Safety, Health and Working Conditions Code.

Key Provisions and Benefits

The new labour codes include several provisions designed to promote gender equality and empower women in the workplace:

  • Equal Pay and Opportunities: The Code on Wages, 2019, reinforces the principle of equal pay for equal work, prohibiting gender-based discrimination in recruitment, wage structures, and employment terms. Women are now permitted to work in all establishments, including traditionally restricted sectors like underground mining and those involving heavy machinery, subject to their consent and mandatory safety measures. This provision aims to remove an "invisible ceiling" on women's earnings and advancement.
  • Safety and Security: The Occupational Safety, Health and Working Conditions Code allows women to work in night shifts, subject to their consent and the implementation of adequate safety arrangements, including secure transport, CCTV surveillance, and grievance redressal mechanisms. The government will frame national standards for better worker safety, and mandatory safety committees will be established at each site for on-site safety monitoring and the safe handling of hazardous chemicals.
  • Maternity Benefits and Social Security: The Social Security Code, 2020, maintains robust maternity protections, with 26 weeks of paid leave for eligible employees and 12 weeks for adoptive and commissioning mothers. The code also expands Employees' State Insurance (ESI) coverage across all industries and districts, including plantations that employ a large number of women. Gig and platform workers are also included within the social security framework, which is particularly beneficial for women who rely on flexible work arrangements to balance caregiving responsibilities.
  • Grievance Redressal and Representation: The Industrial Relations Code, 2020, mandates equal representation of women in Grievance Redressal Committees (GRCs) in establishments with 20 or more employees. This ensures that women's voices are included in workplace dispute resolutions and promotes inclusive leadership and policy input. The code also encourages women's participation in trade unions and advisory bodies.
  • Formalization of Employment: The new codes mandate the issuance of appointment letters to all workers, ensuring transparency, job security, and formal employment. This is expected to promote social security and provide workers with employment history.
  • Inclusivity: The definition of "family" for female employees has been expanded to include parents-in-law, ensuring inclusivity and expanding dependent coverage.

Impact and Challenges

The implementation of these labour codes is expected to have a wide-ranging impact:

  • Increased Women's Workforce Participation: By addressing safety concerns, providing equal opportunities, and ensuring social security, the codes are expected to encourage more women to enter and remain in the workforce.
  • Economic Empowerment: The reforms aim to empower women economically by enabling them to access higher-paying job roles and safer working conditions.
  • Modernization of Labour Laws: The codes consolidate and streamline existing labour laws, reducing complexity and promoting ease of compliance for businesses.
  • Alignment with Global Standards: The reforms align India's labour ecosystem with global standards, ensuring social justice for all workers.

However, the success of these reforms depends on effective implementation by employers, responsiveness of markets, and the effectiveness of supporting institutions. The government is engaging with the public and stakeholders in the framing of the corresponding rules and regulations.

Ongoing Transition

While the Labour Codes have come into force, the implementation remains uneven. A recent press release from the central government clarifies that the existing labor laws will continue to apply during this transitional period. Employers are advised to monitor state notifications closely and maintain flexibility in HR policies to accommodate future changes.


Written By
Gaurav Khan is a seasoned business journalist specializing in market trends, corporate strategy, and financial policy. His in-depth analyses and interviews offer clarity on emerging business landscapes. Gaurav’s balanced perspective connects boardroom decisions to their broader economic impact. He aims to make business news accessible, relevant, and trustworthy.
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