India's Labour Codes: A Catalyst for Economic Growth and Efficient Logistics

India's updated labour codes, enacted in 2019-20 and effective from November 2025, are seen as a game-changer for economic growth and employment. The codes simplify compliance, enhance social security, and align with India's burgeoning logistics sector, aiming to reduce costs and foster efficient, tech-driven supply chains.

In a landmark move, India's new labour codes, activated from November 2025, are designed to support the current employment landscape and the country's rapid economic expansion, according to Union Labour Secretary Vandana Gurnani. Speaking at the National Logistics Summit 3.0 organized by PHDCCI, Gurnani hailed the codes as transformative for a dynamic economy.

The codes, which consolidate outdated laws, simplify compliance by reducing the number of registrations and forms. They promise minimum wages and enhanced social security for workers, while also introducing business-friendly reforms like inspector-led guidance and reduced penalties. These changes are positioned to boost labour welfare significantly.

The summit, themed 'Driving Export Growth: Green, Smart & Sustainable Logistics for a Competitive India,' highlighted the surge in logistics market value from USD 120 billion a decade ago to an anticipated USD 350 billion soon. Industry leaders stressed digital infrastructure and green energy as key to reducing logistics costs and enhancing export competitiveness.

(With inputs from agencies.)