Impact of India’s New Labour Codes 2025 on Security Guard Employment

Compiled by Satyajit Roy. Open source, news articles and official publications

Key Impacts on Security Services.

The implementation of the New Labour Codes 2025 in India is poised to bring significant changes to the security guard business, primarily impacting the cost of operations and the welfare of the guards. The codes emphasize enhanced social security benefits, potentially including mandatory provident fund contributions, health insurance, and gratuity, which could increase the financial burden on security agencies.

Additionally, provisions related to working hours, overtime pay, and leave entitlements might necessitate a restructuring of duty schedules and an increase in labor costs. While aiming to improve the working conditions and job security of security personnel, these changes could lead to a rise in the overall cost of security services for businesses and individuals employing security guards.

One notable aspect is the potential for standardization in wage definitions and the emphasis on a minimum wage, ensuring a baseline income for security guards across different regions. Furthermore, the inclusion of gig and platform workers under the social security net for the first time might extend certain benefits to security guards employed through such platforms, although the direct impact on traditional security guard agencies remains to be fully seen.

The phased implementation of these codes, with different timelines for large, medium, and small enterprises, will also require security agencies to adapt their practices and budgets accordingly over the coming years.

Overall, the New Labour Codes 2025 signal a move towards greater formalization and enhanced benefits for workers in the security guard industry, albeit with potential cost implications for employers.

Read more : https://surakshitbharatabhiyan.org/beyond-the-8-hour-day-the-impact-of-indias-new-labour-codes-2025/

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