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Inside Story

Who benefits from India’s sweeping new labour reforms?

India rolls out simplified labour codes to modernise outdated laws.

India, home to the world’s second-largest workforce, is implementing its biggest labour changes in decades. The government has compressed dozens of laws into four simplified codes.

It says the overhaul will attract investment. This will be vital after US President Donald Trump imposed 50 percent tariffs on Indian goods.

The reforms include minimum wages, equal pay, and expanded social security. But unions say the codes will only strengthen employers’ control and accuse the government of “deceptive fraud”.

So, will the changes increase India’s global competitiveness by streamlining rules? Or could they create new risks for workers and productivity?

Presenter: Adrian Finighan

Guests:

Harshil Sharma – Labour economist who specialises in reforms and welfare

Surbhi Kesar – Senior lecturer in economics at SOAS University of London

Sudip Dutta – National secretary of the Centre of Indian Trade Unions

Published On 3 Dec 20253 Dec 2025

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