New Labor Codes: New Labor Codes can fix the basic salary of the employee as 50 percent of the gross salary. However, this will benefit the employees and the money deposited by the employee and the company in PF will increase. Take home salary will decrease for some employees, especially those working in the private sector.
New Labor Codes: From July 1, a big change is going to happen in your work. With the implementation of the new Labor Code, it is possible to change the working hours, the amount deposited in the PM and the salary in hand every month. According to the new labor code, the working hours in the office and the amount deposited in PF may increase, while the in-hand salary may decrease. The government has already prepared the labor code which is to be implemented in the states. It is currently being considered in the states. But from July 1, there is every possibility of the new labor code coming into force.
The government has prepared 4 new labor codes. The preparation of the government is to implement all these labor codes as soon as possible. However, some states have not prepared their own rules regarding this labor code, due to which there is a delay in implementing it. It is believed that the states will complete this work soon and from July 1, the new rules and regulations will come into force.
Investment and employment will increase:
The government says that the new labor law will increase investment in the country, which is likely to increase employment. With the new labor law, companies will get the scope to make changes in their office hours. Companies can set office timings according to their work. At present, work is done in the office for 8-9 hours, which can be increased to 12 hours. But to compensate for these extra hours, companies will have to give 3 offs in a week. This will be done so that the limit of working hours in the week remains intact.
What will change:
Another significant change can be seen on the take-home salary and the money deposited by the companies in the provident fund. The new labor code can fix the basic salary of the employee at 50 percent of the gross salary. However, this will benefit the employees and the money deposited by the employee and the company in PF will increase. Take home salary will decrease for some employees, especially those working in the private sector.
According to a report, so far 23 states have prepared the rule of labor code. Rest 7 states are working on this. The government has divided the Central Labor Law into 4 different codes. This includes conditions such as salary, social security, relationship between industry and employees, working conditions along with safety and health at work. All these codes have been passed by the Parliament. But labor laws come under the Concurrent List, so the Center wants the states to implement these rules in one go.
