India's New Labour Codes 2025: Business Impact Guide for International Companies
- SD Partners
- Dec 24, 2025
- 1 min read
On November 21, 2025, India implemented four comprehensive Labour Codes, consolidating 29 central labour statutes into a unified framework. This reform represents the most significant restructuring of India's labour law landscape since independence.
The consolidation affects fundamental aspects of employment law including wage structures, social security obligations, workplace safety requirements, and industrial relations. For international companies operating in India, these changes have material implications for compliance procedures, operational costs, and workforce management.
Overview of the Indian Labour Codes
Code on Wages, 2019 – Governs payment requirements, minimum wages, bonuses, and equal pay provisions
Social Security Code, 2020 – Addresses retirement benefits, health insurance, maternity benefits, and gratuity, with expanded coverage for gig and platform workers
Occupational Safety, Health and Working Conditions Code, 2020 – Establishes workplace safety standards, working hours limits, and employment conditions
Industrial Relations Code, 2020 – Regulates trade unions, layoffs, closures, and dispute resolution mechanisms
Businesses have until November 20, 2026 to migrate existing registrations to the unified system.
We have developed a comprehensive FAQ addressing the questions international companies are asking about India's New Labour Codes. The guide provides practical explanations of:
Wage regulations and payment requirements
Social security obligations across different worker categories
Workplace safety and working conditions standards
Industrial relations provisions including layoffs and trade unions
Compliance systems and reporting requirements
Implementation timelines and transition procedures
Sector-specific considerations
Application to foreign companies and expatriate employees
The publication is intended to assist international businesses in understanding the regulatory framework and its implications for operations in India.
Download the complete FAQ:
If you have any queries, please feel free to drop an email to info@sdpartners.in
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