How Are India’s New Labour Reforms Shaping a Future-Ready Economy?

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How Are India’s New Labour Reforms Shaping a Future-Ready Economy?

Synopsis

Prime Minister Narendra Modi's recent address sheds light on the transformative labour reforms aimed at crafting a future-ready economy and solidifying India's role on the global stage. These changes not only empower workers but also modernize the outdated legal framework to foster growth and stability in a rapidly evolving economic landscape.

Key Takeaways

  • Labour reforms aim to empower workers while fostering economic growth.
  • New Codes replace 29 outdated laws.
  • Focus on universal social security and safer workplaces.
  • Recognition of gig and platform workers.
  • Shifting from a colonial mindset to a future-ready approach.

New Delhi, Nov 24 (NationPress) Prime Minister Narendra Modi emphasized on Monday the government’s groundbreaking labour reforms that are preparing India for a future-ready economy and bolstering the nation’s standing in the global value chain.

The PMO India account shared on X: “The world recognizes India’s emergence as a credible global partner. The government’s new labour reforms showcase our dedication to a future-ready economy, streamlining compliance, empowering women workers, and enhancing Bharat’s role in the global value chain!”

It referenced an article by Labour and Employment Minister Mansukh Mandaviya regarding the four Labour Codes implemented by the Narendra Modi government on November 21, which replaced 29 outdated labour laws.

These Codes support both workers and economic growth, laying a robust framework for universal social security, fair and timely wages, safer workplaces, formal acknowledgment for emerging segments like gig and platform workers, and empowering Yuva and Nari Shakti, according to the minister.

“Driven by the vision of Prime Minister Modi, these reforms represent a pivotal moment in our journey toward becoming an Atmanirbhar and Viksit Bharat,” he noted.

Mandaviya asserted that the new labour codes provide a contemporary framework demonstrating India’s preparedness to respond to the demands of a dynamic and swiftly evolving global economy.

He further mentioned that for decades, India faced challenges of weak economic growth, persistent corruption, and a lack of commitment to job creation and workers' welfare. Politically motivated disruptions frequently hindered industrial activity, deterring investments and undermining trust in the system. It is regrettable that prior governments treated labour welfare as mere rhetoric, failing to genuinely address the pressing issues faced by workers.

A significant shift in national leadership was necessary to overcome this inertia. From the historic Red Fort, Prime Minister Modi proclaimed “Shramev Jayate” (labour alone triumphs), asserting that the dignity of labour should be at the core of India’s developmental journey. This proclamation was not merely a slogan; it marked the dawn of a new national consciousness that prioritized workers in policymaking, Mandaviya highlighted.

He remarked that such a shift was long overdue. Much of India’s labour law framework originates from the 1920s-1950s and was influenced by a colonial perspective. In contrast, the world of work has dramatically transformed. The emergence of gig and platform economies, digitalization, flexible work arrangements, and modern enterprises have redefined global labour systems. Yet, India’s labour laws remained stagnant, unable to accommodate a contemporary workforce or a competitive economy.

Through his panch pran (five resolves), PM Modi urged the nation to abandon its colonial mindset and adopt a future-ready approach. The persistence of outdated laws was not due to their efficacy, but rather the previous governments' lack of political resolve, courage, and vision to modernize them in line with evolving realities and national requirements.

Mandaviya emphasized that under PM Modi’s leadership, India’s global stature has reached unprecedented levels. The world now recognizes that India is not just participating in defining the future; it is actively shaping it. However, to truly capitalize on this historic opportunity and transform potential into sustained prosperity, India must not remain tethered to a colonial-era labour framework designed for control rather than empowerment.

Point of View

India's labour reforms represent a significant stride toward modernizing its workforce regulations. The government's proactive approach under PM Modi's leadership reflects an understanding of the need for adaptability in a globalized economy, ensuring workers' rights and promoting growth simultaneously.
NationPress
24/11/2025

Frequently Asked Questions

What are the key features of the new labour reforms?
The new labour reforms include the establishment of universal social security, fair wages, safer workplaces, and formal recognition for gig and platform workers, aiming to empower both workers and the economy.
When were the new labour codes implemented?
The new labour codes were implemented on November 21, replacing 29 outdated labour laws.
How do these reforms affect women workers?
The reforms empower women workers by simplifying compliance and creating a more supportive work environment.
Why were previous labour laws considered outdated?
Previous labour laws were largely influenced by a colonial mindset and did not accommodate the modern workforce or evolving economic needs.
What does 'Atmanirbhar Bharat' mean in the context of these reforms?
'Atmanirbhar Bharat' or 'self-reliant India' aims to foster independence and growth by modernizing India's economic and labour landscape.
Nation Press