Labour Codes in Establishments
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Labour Codes in Establishments

Posted Date:   8th  August 2022          

Relating to which Act:   Code on Wages 2020, code on social security 2020

Type:  This information was given by the Minister of State for Labour & Employment, Shri Rameswar Teli in a written reply in  Lok Sabha today.   

Pertains to  employers and employees 

Relevance of this news:   Karma Management Global Consulting Solutions Pvt. Ltd has been in the business of  Payroll, Outsourcing, and Regulatory Compliances from its inception in 2004 and since then,  has brought in a lot of efficiencies and technological upgradations with experts on its roll, to ease the hassles of Payroll Processing, Temp Staffing On-boarding, Regulatory and Payroll compliances by providing customized solutions to all its elite clients.

Karma Global maintains the establishment and vendor compliances including payroll compliances on a regular basis, month after month, which is diligently executed by well-trained staff on its rolls, and each client whose work is being done for establishment compliances has been given a dedicated key account owner who fulfills all the compliances promptly for its various clients.

The 4 Labour codes announced by the Government are already in place, however, the Government is waiting for all the States and UTs to frame the rules.  While the majority of the States and UTs have done so, there are few who are yet to complete it since Government is waiting to give effect to the rules in one go.

 In this respect, Karma Global has already geared its expert staff with the changing knowledge as well as done a massive exercise in preparation for all the changes that will take place.

 Subject:   Labour codes in Establishments

This information was given by the Minister of State for Labour & Employment, Shri Rameswar Teli in a written reply in  Lok Sabha today.

Ministry of Labour & Employment


  Labour Codes in Establishments

Posted On: 08 AUG 2022 3:15 PM by  Delhi


As per the 6th Economic Census, a sizeable number of establishments in India are small in size. 

However, irrespective of the size of the establishment, the Labour Codes strengthen the protection available to workers, including unorganized workers in terms of statutory minimum wage, social security, and healthcare of workers. 

The Code on Wages, 2020 has universalized statutory right for minimum wages and timely payment of wages to all workers to support sustainable growth and inclusive development. 

Besides, the Code on Social Security, 2020 (SS Code) aims to extend social security to all employees and workers both in the organized and unorganized sectors. 

The provisions introduced in the SS Code to enhance coverage of social security are as follows:-

  1. The coverage of Employees’ State Insurance Corporation (ESIC) has been extended pan-India as against notified districts/areas.  Further, ESIC coverage on a voluntary basis for establishments having less than 10 employees has been introduced. Further, benefits under ESIC can also be made applicable to an establishment that carries on hazardous or life-threatening occupations as notified by the Central Government, in which even a single employee is employed.
  2. Envisages a Social Security Fund for formulating schemes for the welfare of the unorganized workers, gig workers, and platform workers.
  3. The gig worker and the platform worker have been defined for the purpose of formulating schemes to provide social security benefits.
  4. The Central Government has been empowered to extend benefits to unorganized workers, gig workers, and platform workers, and the members of their families through ESIC or Employees’ Provident Fund Organization.

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