The reaction by Rahul Mehta, Chief Mentor, Clothing Manufacturers Association of India (CMAI) on the Impact of Labour codes of Garment Industry –
“The newly introduced Labour Codes will have a mixed impact on the Garment Industry, which consists largely of Micro and Small units. On one hand, it will be beneficial to these units typically employing less than 300 workers, as they will not need prior Government permission for lay-offs and retrenchments. On the other hand, restriction of using contract labour for ‘core’ activities will affect these units as most employ labour on contract or piece rate basis especially for stitching, checking, and finishing. For labour, this is a positive move as it will increase formalization and safety net.” — Rahul Mehta, Chief Mentor, Clothing Manufacturers Association of India (CMAI).
Report from PIB:
International Organisations Welcome India’s Labour Codes; Highlight Global Momentum For Social Protection and Inclusive Growth
Prominent international organisations such as the International Labour Organization (ILO) and the International Social Security Association (ISSA) have welcomed the Government of India’s announcement on 21st November 2025 to bring the four Labour Codes into effect. Recognising the reforms as a major step towards strengthening social protection, enhancing minimum wage frameworks and building institutional capacity, these global bodies highlighted that India’s efforts contribute significantly to the wider international discourse on inclusive and modern labour systems. Their remarks further underscore India’s growing leadership in shaping global labour and social security standards.
ILO Director-General Appreciates India’s Labour Reforms
The Director-General of the International Labour Organization (ILO), in his post, stated: “Following with interest developments of India’s new Labour Codes announced today, including on social protection & minimum wages. Social dialogue among govt, employers & workers will remain essential as reforms are implemented to ensure they’re positive for workers and business.”
ISSA Welcomes India’s Labour Codes
ISSA, in its post on social media platform ‘X’, stated: “India’s Labour Codes add momentum to global efforts for stronger, more inclusive social security systems. ISSA welcomes this milestone and encourages sustained investment in coverage, protection and institutional capacity.”
These statements by key international organisations reflect the positive international response to India’s Labour Codes, particularly in advancing fair wages, expanding social protection coverage and promoting greater formalisation of the workforce. The Ministry of Labour & Employment has reaffirmed its commitment to sustained collaboration with global institutions and domestic stakeholders to further strengthen India’s labour ecosystem and ensure effective implementation of the reforms.
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