Better late than Never ⏱
FM Nirmala Sitharaman presented the idea (in her Budget speech) of converging 13 major codes into one single code as it will help us improve the ease of doing business for investors, employers & employees (including low-income earners). These will be applicable on all organisations that employ more than 10 people.
While major stakeholders have welcomed the idea (including Economic Pundits), a comprehensive plan on how the govt will achieve this has not been developed yet. This makes it difficult to analyse the pro’s and con’s of such a move in the long term.
It must be noted that the Labor Laws in India are really complex. Even media agencies have reported different stats regarding the number of laws that are currently present and the number of these that shall remain after simplification. Also, the govt attempted to achieve a similar feat in 2015 and that didn’t work out as desired.