A very good news has emerged for lakhs of employed people and workers of Uttar Pradesh. The state government is soon going to implement four new labor codes, which is going to change the lives of the employees. According to reports, the state cabinet may give final approval to this new rule in the next one or two weeks. The purpose of this major change is not only to promote ‘ease of doing business’ but also to empower the workers by giving them their legal rights.
What are these new labor codes?
The Central Government has created four simple codes by abolishing 29 old and complex labor laws. These codes are to salary, industrial relations, social security and commercial safety, health and working conditions. The main objective of these changes is to make labor laws digital, clear and simple so that employees do not have to face any kind of trouble.
Shower of gifts for employees
Many wonderful provisions have been made for the employees in this new manual being brought by the UP government:
- New rule of gratuity: Till now, to get gratuity, it was necessary to work continuously for 5 years in a company, but in the new code, fixed term employees have been made entitled to gratuity only after 1 year of service.
- Double overtime money: If an employee works more than 8 hours, the company will have to pay him double the overtime rate at the normal rate.
- Protection of gig workers and freelancers: Delivery partners and freelancers working on platforms like Zomato, Swiggy, Ola and Uber are being brought under the ambit of social security for the first time. They will now get facilities like insurance and pension.
- Convenience for women employees: Women will now be able to work in night shifts as per their wish, provided the company makes adequate arrangements for their safety. Also, women will get equal pay as men for equal work.
- PF and retirement security: According to the new salary structure, at least 50% of the total salary will be ‘Basic Salary’. With this, the PF of the employees will be reduced more, due to which their future after retirement will be secure.
- Free Medical and Security: Free medical checkup will be mandatory every year for workers above 40 years of age. Also, in case of any accident or death at the workplace, at least 50% of the fine imposed on the company will be given directly to the victim’s family.
Big update on working hours and settlements
The government has also set limits on the working hours of employees. Now no employee will be made to work more than 48 hours a week without overtime. Also, the total duration of work in a day, including overtime, will not exceed 12 hours. At the same time, no more than a maximum of 125 to 144 hours of overtime can be done in three months (one quarter). Additionally, if an employee leaves the job or is fired, the company has to make his ‘full and final settlement’ within only 2 working days.