The four labour codes will not come into effect from April 1 as states are yet to finalise the relevant rules, which means that there will be no change in take home pay of employees and provident fund liability of companies for now.
Once the wages code comes into force, there will be significant changes in the way basic pay and provident fund of employees are calculated.
The labour ministry had envisaged implementing the four codes on industrial relations, wages, social security and occupational health safety & working conditions from April 1, 2021.
“Since the states have not finalised the rules under four codes, the implementation of these laws are deferred for the time being,” a source told PTI.