All states, barring Kerala, have begun implementation of new labour codes: Official

All states have begun implementation of the overhauled Labour Codes, except Kerala, a senior government official familiar with the matter said on Wednesday, adding that the southern state has not opposed implementation but has decided to hold consultations before putting the new rules in place

All states have begun implementation of the overhauled Labour Codes, except Kerala, a senior government official familiar with the matter said on Wednesday, adding that the southern state has not opposed implementation but has decided to hold consultations before putting the new rules in place.

“Kerala has not said no to its implementation, and will likely do it soon,” the official said.

According to the official, even West Bengal, which had held back so far, is formulating the rules and will begin implementation soon.

The ministry of labour and employment, the official said, is also open to feedback from states and is willing to tweak the rules based on their experience once the law is implemented.

Talking to HT, Kerala minister for labour Bindhu Krishna said: “We held deliberations with trade unions about the new labour codes last month. We are also planning an extensive workshop with the participation of legal experts and all stakeholders associated with the labour sector. Since the central statute is already in effect, we cannot oppose it. But we will definitely raise our concerns and demand solutions. We fear that the new labour codes will exacerbate exploitation especially at small establishments. Our state has a unique social background and we cannot go ahead without taking everyone on board.”

India consolidated 29 central labour laws into four comprehensive codes covering wages, industrial relations, social security and occupational safety. They were passed by the Parliament between 2019 and 2020, formally notified on November 21, 2025, and saw active, nationwide enforcement roll out from April 1, this year.

As labour remains a concurrent subject, both the Centre and state governments must notify rules before the codes can be fully operational. While some states, including Arunachal Pradesh, Gujarat, Bihar and Meghalaya, instantly notified the labour codes, many others remained at different stages of implementation.

The codes require employers to ensure equal pay for equal work. Ensure safety measures for women working in night shifts, overturning earlier state restrictions on night work in certain industries.

The codes extend maternity benefits, including 26 weeks of paid leave to all women workers in unorganised sectors. The labour codes also define gig and platform work for the first time, expanding social security to categories previously outside formal labour regulation.

The codes also redefine the break-up of wages to increase the share of the basic pay component, a provision to enable higher provisioning for social security for establishments, especially in the service sector. Similarly, aggregators employing gig workers must contribute 1-2% of the annual turnover for social security, with the total contribution not exceeding 5% of the amount payable by the aggregator.

(With inputs from Vishnu Varma from Kerala)