Although the implementation of the four Labour Codes reveals a number of administrative impediments, they represent a significant reorganization of India’s labour governance. Both the Centre and the States must create regulations because labor is on the Concurrent List. Many states have failed to notify them, eroding unified national standards and causing regulatory asymmetry. This highlights the ongoing problem of cooperative federalism in India in the absence of coordinated capabilities.
Deficits in administrative ability are another serious problem. Inadequate digital infrastructure, antiquated monitoring systems, and a chronic inspector shortage plague labor bureaus. In order to lessen inspector-raj, the Codes suggest a “facilitator model,” although in the absence of sufficient training and IT integration, this could weaken enforcement rather than increase compliance. New data systems, registration procedures, and collaboration with private businesses — a complicated multi-stakeholder administrative network — are also necessary for platform and gig-worker inclusion.
The shift from 29 laws to 4 codes necessitates institutional and behavioral changes. Officers have to adjust to new grievance redressal procedures, time-bound conflict settlement, computerized inspections, and harmonized wage floors. Capacity building, updating SOPs, and real-time coordination between municipal, state, and federal agencies are all necessary for this transition.
Another problem in governance is striking a balance between industry flexibility and worker security. The Industrial Relations Code increases the likelihood of disputes by making layoffs simpler for companies with less than 300 employees. Administrators are responsible for maintaining labour trust, preventing collusion, and ensuring transparency.
To guarantee that reform results in both economic efficiency and social equity, effective implementation necessitates increased state capacity, digital technology, uniform regulations, and ethical, transparent regulatory procedures.
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| Topic | |
| Public Administration Syllabus | Public Administration Foundation 2025-26 |
| Public Administration Free Resources | Public Administration Crash Cum Enrichment Course 2025-26 |
| About the Author: Jyoti Verma |