India's Labour Reforms: IT, ITES workers' salary must be released by 7th of every month, says govt
New labour reforms for IT & ITES workers mandate salary release by the 7th, ensure equal pay, enable women to work night shifts safely, strengthen dispute resolution, and guarantee social security through fixed-term employment and mandatory appointment letters.
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The Centre has enforced the four consolidated Labour Codes—mandating, for the first time, that salaries must be released by the 7th of every month of IT & ITES workers, ensuring greater transparency and trust between employers and workers.
The reform, which merges 29 existing labour laws into four codes, aims to modernise India’s labour ecosystem and strengthen worker rights across sectors.
Under the Code on Wages, timely payment has been made a statutory right, eliminating wage delays that millions of workers previously faced. The government says the move will dramatically improve financial stability for India’s workforce.
Prime Minister Narendra Modi called the codes “one of the most comprehensive and progressive labour-oriented reforms since Independence,” adding that they empower workers while enhancing Ease of Doing Business.
Effective November 21, 2025, the Code on Wages, Industrial Relations Code, Social Security Code, and the Occupational Safety, Health and Working Conditions Code bring India’s labour framework closer to global standards.
The Ministry of Labour said the reforms create a “future-ready workforce” and strengthen industries under Aatmanirbhar Bharat.
Key Worker-Centric Reforms
- Salary release by 7th of each month made mandatory
- Equal pay for equal work now compulsory
- Women allowed to work night shifts with safety compliances
- Mandatory appointment letters for all workers
- Social security extended to fixed-term, gig, and platform workers
- Timely resolution of harassment, discrimination, and wage disputes
