Major Changes for IT and ITes Workers: New Labour Code Mandates Salary Disbursement By 7th For IT Employees
Centre notifies sweeping labour reforms effective November 21, 2025, bringing major changes for IT and ITes workers.
The central government’s newly notified labour code has introduced a significant shift for India’s IT and IT-enabled services workforce: salaries must now be credited by the 7th of every month, ensuring timely wage payments across the sector. The reform, part of the Centre’s wider overhaul of 29 existing labour laws, comes into effect from November 21, 2025.
Unveiling the update, Prime Minister Narendra Modi said the implementation of the four labour codes marks one of the most “comprehensive and progressive” reforms since Independence, simplifying compliance while empowering workers and improving business efficiency.
Under the new framework—comprising the Code on Wages (2019), Industrial Relations Code (2020), Code on Social Security (2020) and Occupational Safety, Health and Working Conditions Code (2020)—employees across IT and ITes will benefit from clearer timelines, expanded protections and strengthened workplace rights.
A key provision includes mandatory equal pay for equal work, reinforcing gender parity and enhancing opportunities for women. Importantly, companies are now required to facilitate safe night-shift options for women, opening avenues for higher wages and more flexible work schedules.
The code also strengthens grievance redressal, directing companies to ensure timely resolution of harassment, discrimination and wage-related complaints. Fixed-term employees will now be guaranteed social security benefits, and all workers must receive formal appointment letters, bringing greater transparency to hiring practices.
According to the Ministry of Labour & Employment, these reforms modernise India’s labour ecosystem, align it with global standards, and create a more resilient, future-ready workforce. The government says the unified approach enhances worker welfare while improving the ease of doing business.
As the November 2025 rollout approaches, the new labour codes are set to reshape workplace norms across the IT sector, promising more stability, safety and protection for millions of employees.
