New labor codes from July 1, 2022: Everything you need to know

Here’s everything you need to know about the new labor codes that will be in place from July 1.

The new labor code will be enforced nationwide from July 1. This change could result in some differences in pay in hand, weekly holidays and daily working hours. The Government of India has fixed four codes which states can implement as per their choice. The codes are based on wages, social security, industrial relations and occupational safety.


Employees will be allowed to take three weeks off.

They will have to work for a period not exceeding 48 hours. Those who work 8 hours a day will only have one week off.

People who work 12 hours a day in an organization will get three weeks off, and those who work 9 hours a day will get 2 weeks off.

The Labor Codes will make a complete change to the complete and final rules.

Professionals leaving the country must be sorted with the final count made within 2 days of leaving the company.

Employees will benefit from an increase in maternity leave to 26 weeks. Companies must obtain permission from female workers for night work.

Adequate facilities and security should be provided for the female forces of an organization.

The salary structure will be different depending on the changes made.

Even the basic salary component will be increased, where the provident fund will be calculated on the basis of the basic salary which will be increased.

This implies that the employees’ provident fund would increase and the salary on hand would be reduced.

After the codes are implemented, labor forces will get furloughed every 180 days instead of the 240 days that used to occur. But in India, full and final payment is credited 45 days after a company exits.

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