With the aim to implementing the proposed labour codes as soon as possible, the Centre will hold a conference with labour ministers of all states to discuss the modalities on August 25-26.
Prime Minister Narendra Modi will inaugurate the two-day conference at Tirupati on Thursday which will deliberate on reforms, social security for informal workers, Vision-2047 for workforce and the proposed implementation of the four labour codes. A top Labour Ministry official said the Prime Minister will address the ‘National Labour Conference of Labour Ministers and Labour Secretaries of States/UTs’ virtually.
The conference is being organised to seek feedback of state counterparts after 2014, the official added. It will also discuss integrating e-Shram portal for social security schemes run by the Central and state governments to universalise social protection for workers and improve employment opportunities for all. Deliberations will also take place on improving medical care and services through ESI (employee state insurance) hospitals run by state governments and integration with Pradhan Mantri Jan Arogya Yojna (PMJAY).
On Monday, industry representatives met Labour Ministry officials over implementation of the codes. The CII sought clarity on calculation of wages, especially defining the basic component. It also sought that gratuity calculation be prospective with the new law. “Grandfather the retrospective period as it impacts all companies books of account,” it said.
Draft rules by states sought
With the implementation of the four labour codes eyed at the earliest, the Central government is aiming consensus with states in all respects as well as publishing of draft rules by all states and Union Territories.
Earlier, the industry has sought a review for the provision for basic salary. The labour codes propose to define wages with a cap for basic salary at 50 per cent of total pay, which effectively reduces take-home salaries but raises contributions towards social security components such as Employees’ Provident Fund.
The government is in the process of finalising the rules for the four labour codes. Thirty-one states and UTs have pre-published the draft rules for the Code on Wages, while 26 have done it for the Industrial Relations Code. 25 states have pre-published draft rules for the Code on Social Security and 24 have done for the Occupational Safety, Health and Working Conditions Code.