India enacts labor codes mandating 50% statutory wages in CTC
Big news for anyone working on contract: India just rolled out fresh labor codes on June 11, 2026.
The goal? Make things fairer for contract workers by updating wage rules, work hours, and workplace standards.
Now, the combined statutory wage elements — basic pay, dearness allowance, and retaining allowance — must make up at least 50% of CTC, and if you've worked 30 days in a year, you're eligible for bonuses.
Workweek capped at 48 hours
Workweeks are now capped at 48 hours, with overtime paid at double the usual rate, and there's a limit so you're not stuck working endless extra shifts.
The principal employer/host enterprise has to provide essentials like clean water, rest areas, canteens, first-aid stations, and annual health checkups are an employer-funded requirement arranged through ESIC.
Plus, women can take night shifts in any sector if safety measures like CCTV and secure transport are in place and the worker's explicit written consent is obtained.