The Government of India has consolidated over 40 legislations pertaining to Labour and Employment laws into 4 Codes. These Codes are likely to become operational with effect from 1st of April, 2022.
Is your wage structure aligned?
Are your HR policies in Sync with requirements under the Codes?
LCAP - Labour Code Alignment Program
Every organization, no matter the size, will have to align with the requirements of the new Labour Codes. Fundamental changes will be warranted across the organization to be compliant with the law.
key impacts of the code
Wage Structure & Payroll
HR Policies & Processes
Social Security Benefits
Health & Safety
What is changing?
- The Code on Wages, 2019 has a new definition of “Wages” that is likely to disrupt the current wage structure of the organisation and requires restructuring in order to optimize the cost impact
- Several other key changes have been introduced by the Codes, including a wider applicability of the law by virtue of defining “employee”, changing norms around fixed term employment and bringing in criminal prosecution
- Along with the wage structure, HR policies and processes, from selection to separation, will need to be reviewed and revamped to align with the requirements under the Occupational Safety, Health and Working Conditions (OSH) Code, 2020, The Social Security Code(SS) Code, 2020 and the Industrial Relations (IR) Code, 2020
What is going to be critical with this entire exercise is the interpretation of the law and its logical implementation within the framework of an organization’s policies, while always keeping in mind the 360 degree implications when they are rolled out. BCPA is best positioned to conduct this exercise because of its extensive expertise in Labour Laws and a distinct understanding of the practical issues arising out of policy and process changes. Our team of experts have been instrumental in interpreting the Codes and have been part of the Labour Law policy think tank for State & Central Governments.
Our core LCAP team comprises of Legal experts with over 50 years of practice in the domain, HR experts with industry experience of over 25 years and Compensation & Benefit and Payroll experts with over 30 years of industry experience. This truly unique combination of Legal and HR SMEs is what every organization needs to ensure that the changes made are not only legally compliant but also practically feasible and employee friendly.
BCP Associates is helping several organizations, from 500 employees to more than 60,000 employees, across India get Labour Code ready.