Labour Rights is a comprehensive legal concept and body of law that governs the relationship between employers, employees, and trade unions in India. It is implemented through various Acts and is a subject on the Concurrent List of the Constitution, allowing both Central and State governments to legislate.
The origin of labour law in India is linked to the colonial era, with the first Factories Act of 1883 introducing welfare measures like the 8-hour workday and the abolition of child labour, though its initial motivation was often to protect British economic interests. Post-independence, the focus shifted to worker protection, with laws like the Minimum Wages Act, 1948, created to solve the problem of worker exploitation.
The mechanism of Labour Rights is rooted in the Constitution, where Article 23 prohibits forced labour and Article 24 prohibits child labour under 14 in hazardous employment. Key provisions include the mandate for a minimum salary under the Minimum Wages Act, 1948, and the setting of safety standards by the Factories Act, 1948. The concept connects directly to the Directive Principles of State Policy (DPSP), particularly Article 43, which calls for a living wage. Related institutions include the Employees' Provident Fund Organisation (EPFO) and Employees' State Insurance (ESI).
The system has recently undergone a massive change, with the government consolidating 29 central labour laws into four comprehensive Labour Codes enacted between 2019 and 2020. These are: The Code on Wages, 2019; The Industrial Relations Code, 2020; The Code on Social Security, 2020; and The Occupational Safety, Health and Working Conditions Code, 2020. Major provisions of these Codes are set to be effective from November 21, 2025. A significant amendment in the Industrial Relations Code, 2020 is the increase in the threshold for requiring government permission for retrenchment/layoff from 100 to 300 workers. The Codes also extend social security benefits to gig and platform workers for the first time.