For millions of working professionals in India, payday is not just a number on a calendar. It is stability. It is school fees. It is EMI payments. Now, with India’s new labour codes coming into effect, companies across the country are facing a fresh compliance framework. This is not just about paperwork. It directly impacts workers’ rights, wage timelines, and workplace accountability.
The Ministry of Labour and Employment has released a comprehensive compliance checklist to help businesses transition smoothly. Here’s what it really means — for employers and for employees.
The intention is to eliminate misunderstanding rather than establish new regulations. Although many of these duties were already covered by previous legislation, the new handbook outlines exactly what companies need to do under the unified framework that took the place of 29 central labor regulations on November 21, 2025.
This is an easy-to-read summary of the new system’s implications for employers.
The Four New Labor Codes: What Are They?
Four important statutes serve as the framework for the compliance checklist:
- Wage Code
- Social Security Code
- Code of Industrial Relations
- Code on Workplace Safety, Health, and Working Conditions
These codes work together to make compliance easier, enhance worker protection, and lessen conflict between employers and employees.
Employers are required to fulfill seven fundamental compliances from the very beginning, whether they are starting a business or recruiting a new employee.
Among them are:
- Registering the business and obtaining the required permits
- Keeping accurate records of attendance, pay, overtime, and deductions
- Establishing pay periods
- Maintaining fundamental criteria for workplace safety
- Applying for Social Security benefits for qualified employees
- Establishing grievance redressal mechanisms and work committees
To put it briefly, transparency and documentation start right away.
Monthly Compliance For Labours
Each month, companies are required to make sure:
- On-time wage payout
- Contributions are deposited with the Employees’ Provident Fund Organization
- Contribution deposits made to the Employees’ State Insurance Corporation
- Pay stubs are distributed to workers
Any of these delays could result in fines or disagreements.
Yearly Compliance
Every year, companies must:
- Submit a single annual return
- Where appropriate, raise the minimum wage
- Renew their licenses
- Perform safety audits
- Set up yearly physicals for workers 40 years of age and older, if applicable
This guarantees that worker welfare and compliance stay on course.
Things To Remember
Certain occurrences set off certain duties. Employers need to take prompt action in situations like:
Reporting illnesses or accidents at work within 24 to 72 hours
Settling outstanding dues within two days of a worker’s departure
- Gratuity payment within 30 days
- Before implementing layoffs, retrenchments or closures in units with more than 300 employees, obtaining government approval
- Providing maternity benefits when appropriate
- Notifying authorities and staff of a lockdown
The purpose of these event-based compliances is to safeguard employees in times of vulnerability.
Why Did The Government Issue This Checklist?
Senior authorities claim that the goal is to remove uncertainty as the old labour rules give way to the new codes. The government intends to lower litigation and promote early compliance by outlining employer obligations.
In essence, the checklist serves as a useful “to-do list” that makes sure companies don’t overlook important criteria when adjusting to India’s revised labour laws.
Conclusion
This is not just regulatory reform. It is a structural shift in how workplaces operate in India. For employers, it means tighter documentation and clearer accountability. For employees, it promises stronger safeguards and time-bound rights. The new compliance checklist is meant to reduce confusion. But it also signals something bigger — the labour ecosystem is evolving. And in this new era, compliance is not optional. It is foundational.
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