Centre is likely to implement the four new labour codes on wages, social security, industrial relations and occupation safety, health and working conditions, in the next financial year.
Under these new codes, a number of aspects related to work culture, including take-home salary of the employees, working hours and the number of weekdays will be changed, a leading news agency reported, citing a senior government official.
The report claims that the Centre has already finalised the rules under these codes and now states are required to frame regulations on their part as labour is a concurrent subject.
The ministry has made it clear that even if the proposal comes through, employees have to work 12-hours on these four days, which is a 48-hour weekly work requirement that has to be met.
An important change that will be introduced in the four-day workweek would be a reduction in taking homey pay and the employees and firm will have to bear a higher provident fund liability.
As per reports, there will be more money in PF’s and less in-hand salary.
If the new labour codes are implemented, it is likely that employees in India may be able to enjoy a four-day workweek from next year, as opposed to the current five-day workweek. It will also drastically alter the way industrial houses treat their employees and also impact the working hours, take home salary and other rights of employees. For instance, once the wages code comes into force, there will be significant changes in the way basic pay and provident fund of employees are calculated.