India is bracing for a major shift in employee compensation as the newly implemented labour codes introduce a unified definition of wages—an overhaul that experts say will strengthen retirement security but could reduce monthly take-home pay for millions of workers. The revised framework, part of the Code on Wages and the Code on Social Security, aims to eliminate long-standing discrepancies in salary structures and prevent employers from under-reporting basic pay for statutory contributions. Advertisement

Calling November 21 a “landmark date for Indian labour relations”, Atul Gupta, Partner – Labour and Employment Practice at Trilegal, said the rollout marks the replacement of “decades-old laws, many from the British era.” He added, “Old laws stand repealed, and work will begin on the i

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