Labor Law Reforms: Improving Working Conditions of Laborers (Download PDF)

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The Ministry of Labor and Employment has taken a number of legislative initiatives in labor laws during the last 3 years. Such initiatives include: Amendment to the Payment of Bonus Act, 1965- eligibility limit for bonus enhanced from Rs. 10,000/- to Rs. 21,000/- per month and calculation ceiling from Rs. 3,500/- to Rs. 7,000/- or the minimum wages.

Image of Labour Compliances

Image of Labour Compliances

Image of Labour Compliances

  • Payment of Wages (Amendment) Act, 2017 enabling payment of wages to employees by cash or cheque or crediting it to their bank account.
  • Child Labor (Prohibition and Regulation) Amendment Act, 2016 for complete ban on employment of children below 14 years in any occupation or process.
  • Maternity Benefit Amendment Act, 2017, increases the paid maternity leave from 12 weeks to 26 weeks.
  • The Employee Compensation (Amendment) Act, rationalizing penalties and strengthen rights of workers.
  • Ministry has notified “Ease of Compliance to maintain Registers under various Labor Laws Rules, 2017” on 21st February 2017 replacing 56 registers and forms under 9 central labor laws to 5 common registers and forms- reducing the compliance burden.
  • Model Shops and Establishments (RE&CS) Bill, 2016 has been circulated to all States and UTs providing freedom to operate an establishment for 365 days in a year without any restriction on opening or closing time and enables employment of women during night shifts with adequate safety provisions.
  • Category- “Fixed Term Employment” introduced under “Industrial Employment (Standing Orders) Act, 1946” which enables establishment to employ people in Apparel Manufacturing Sector to meet fluctuating demands.

- Published/Last Modified on: August 28, 2017

Policy/Governance

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