New Labour Code: Salary structure, overtime rules likely to change from April 2022

In a major development working hours of employees  may be reduced from next financial year i.e. 1st April, 2022. The work culture in the country may change and employees will have to work 4 days a week and get 3 days off. That is, the leave of the employees will be from Friday to Sunday. Meanwhile, if you work more than 15 minutes in office, then the overtime money will have to be paid to the company.According to media reports, the Modi government may implement the rules of the Labor Code from next financial year, i.e. 2022-23. The four labour codes -- the Code on Wages, Industrial Relations Code, Social Security Code and the Occupational Safety, Health and Working Conditions Code -- are set to replace 29 labour laws.
Earlier, the central government wanted to implement these rules from April 2021 this year, but the state governments could not implement the rules of the Labor Code due to unwillingness. The central government has finalized the rules of the Labor Code and now the states have to work. These can be implemented from next financial year i.e. April 2022.Union Labor Minister Bhupendra Yadav, in reply to a question in the Rajya Sabha earlier this week, said that so far 13 states have prepared draft rules of labor code on occupational safety, health and working conditions. Apart from this, the remaining 24 States and Union Territories are working on the draft rules.
These changes will come into effect after implementation of Labour Laws

Overtime rules will change

There is a provision in the draft rules of the OSH code to include extra work between 15 and 30 minutes in overtime by counting 30 minutes. Under the current rule, less than 30 minutes is not considered eligible for overtime.

Deduction in net salary

The implementation of labor laws will reduce the wages in the hands of employees and companies will have to bear the burden of higher PF liability. According to the new draft rule, the basic salary should be 50% or more of the total salary. This will change the pay structure of most employees. Increasing the basic salary will increase the deductible money for PF and gratuity as the money in it is in proportion to the basic salary. If this happens then the in hand salary will be reduced.

 4 days working
 

The new draft law proposes to increase the maximum working hours to 12. However, if you work 12 hours, you will have to work 4 days a week and you will get 3 days off. Under the current rule, less than 30 minutes is not considered eligible for overtime. The draft rules prohibit any employee from working more than 5 hours continuously. Every five employees

Parliament has passed

 These four codes have been passed by the Parliament, but apart from the Center, the state governments also need to be notified of these codes, rules. Only then will these rules be implemented in the states. These rules were to be implemented from April 1, 2021, but they were postponed due to incomplete preparation by states states.