Women and New Labour Codes: Employer Guide 2026

Women and new labour codes explained for Indian employers: equal pay, night shifts, maternity leave, crèche duties, penalties and a 2026 action checklist.

Refusing a lawful maternity benefit can now expose an employer to a fine of up to ₹50,000, imprisonment of up to six months, or both under Sections 133(i) and 133(iii) of the Code on Social Security, 2020. The four labour codes have been effective since 21 November 2025, so the old excuse that they are “not implemented yet” is finished. If you employ women, your payroll, shift roster, transport, crèche and hiring processes need a documented review now.

This guide explains what women and new labour codes mean for an Indian SME in 2026. It focuses on the central codes and Central Rules. Labour is in the Concurrent List of the Constitution, which means both the Centre and states make rules. A factory or shop must therefore check the rules and notifications of the state where each establishment operates, not blindly copy a head-office policy.

What Changed for Women When the Labour Codes Took Effect?

The Ministry of Labour and Employment brought four codes into force on 21 November 2025:

• the Code on Wages, 2019;
• the Industrial Relations Code, 2020;
• the Code on Social Security, 2020; and
• the Occupational Safety, Health and Working Conditions Code, 2020, usually called the OSH Code.

Together they replaced or consolidated 29 central labour laws. For women employees, four business duties matter most:

1. Equal pay and equal opportunity: Section 3 of the Code on Wages prohibits gender discrimination in wages for the same or similar work. It also restricts sex discrimination in recruitment and conditions of employment.
2. Access to all types of work: Section 43 of the OSH Code permits women to work in all establishments and all types of work, including before 6 a.m. and after 7 p.m., with consent and prescribed safeguards.
3. Maternity protection: Chapter VI, Sections 59 to 72 of the Code on Social Security covers paid leave, nursing breaks, crèche access and protection from dismissal.
4. Safe work remains mandatory: The Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013, or POSH Act, continues alongside the codes. The new rules do not replace it.

The Labour Ministry’s implementation announcement confirms that all four codes took effect on 21 November 2025. The Ministry subsequently notified the Central Rules in May 2026. A policy last updated in 2024 is therefore not a compliance system; it is an archived document wearing formal clothes.

Can Women Work Night Shifts Under the New Labour Codes?

Yes, but “permitted” does not mean “put her on the roster and arrange safety later.” Section 43 of the Occupational Safety, Health and Working Conditions Code, 2020 says women are entitled to work in every establishment and every type of work. Employment before 6 a.m. and beyond 7 p.m. requires the woman’s consent and compliance with conditions prescribed by the appropriate government.

For establishments under the Central Government’s jurisdiction, Rule 83 of the Occupational Safety, Health and Working Conditions (Central) Rules, 2026 requires:

• written consent from the woman employee;
• compliance with maternity-benefit provisions;
• transport that picks her up from and drops her at her residence;
• well-lit entrances, exits, passages, toilets, washrooms and drinking-water areas;
• nearby sanitation and drinking-water facilities, with suitable CCTV coverage on routes to those facilities;
• safe, secure and healthy working conditions;
• dedicated emergency telephone numbers displayed at the workplace and inside vehicles;
• at least three women on duty at a place in a below-ground mine; and
• compliance with the POSH Act, wherever it applies.

The consent should be real, specific and revocable. Do not bury it in a generic appointment letter or treat refusal as a performance problem. Keep the signed consent, shift roster, vehicle log, driver details, emergency escalation record and CCTV retention policy together. An inspector should be able to connect the policy to what actually happened on a particular shift.

State jurisdiction is the usual trap. The Central Rules apply where the Central Government is the “appropriate government,” such as specified central-sphere establishments. A state-regulated factory, shop or commercial establishment must check that state’s OSH rules, Shops and Establishments law and night-shift notification. Timings, transport conditions, staffing and filing requirements can differ.

How Do Equal Pay and Recruitment Rules Apply in 2026?

Section 3 of the Code on Wages, 2019 prohibits gender discrimination in wages for the same employer when employees perform the same work or work of a similar nature. It also prohibits discrimination on the ground of sex in recruitment and conditions of employment, except where another law prohibits or restricts women from that work.

“Similar nature” is not decided by job title alone. Compare the skill, effort, experience and responsibility required under similar working conditions. Calling one employee “operator” and another “associate operator” will not cure a pay gap if both run the same machine, meet the same output standard and carry the same responsibility.

Run a documented pay audit:

• group roles by actual duties, not titles;
• compare fixed pay, variable pay and allowances across genders;
• record legitimate factors such as experience, location, shift or measured performance;
• correct unexplained gaps prospectively and calculate any arrears;
• remove gendered restrictions from job advertisements and promotion criteria; and
• retain the analysis used to decide whether work is the same or similar.

Section 54 of the Code on Wages sets the consequence. Paying less than the amount due can attract a fine up to ₹50,000 under Section 54(1)(a). Contravening another provision of the Code can attract a fine up to ₹20,000 under Section 54(1)(c). A repeat contravention within five years can bring imprisonment or a higher fine, depending on the offence. The official Code on Wages text should be the baseline for the audit.

Which Maternity Benefits Must an Employer Provide?

Chapter VI of the Code on Social Security applies to every factory, mine and plantation, including government establishments. It also applies to a shop or establishment that employed 10 or more employees on any day in the preceding 12 months, plus any other establishment notified by the appropriate government.

Section 60 gives maternity benefit at the average daily wage. The employee must generally have worked at least 80 days in the 12 months immediately before the expected delivery date. Paid holidays and lay-off days specified by the section count when testing that 80-day condition.

The principal entitlements are:

• 26 weeks: for a woman with fewer than two surviving children, with no more than eight weeks before expected delivery.
• 12 weeks: for a woman with two or more surviving children, with no more than six weeks before expected delivery.
• 12 weeks for adoption or surrogacy: for a woman who legally adopts a child below three months of age or is a commissioning mother, counted from the date the child is handed over.
• Six weeks after miscarriage or medical termination: paid at the maternity-benefit rate under Section 65(1), subject to prescribed proof.
• Two weeks after tubectomy: paid leave under Section 65(2), subject to prescribed proof.
• Up to one additional month: for illness arising from pregnancy, delivery, premature birth, miscarriage, medical termination or tubectomy under Section 65(3).
• Two nursing breaks: in addition to normal rest intervals until the child reaches 15 months, under Section 66.

Section 59 also prohibits an employer from knowingly employing a woman during the six weeks immediately after delivery, miscarriage or medical termination of pregnancy. On her request, an employer must not assign arduous work, long standing hours or work likely to harm the pregnancy during the protected period set by that section.

Work from home is not an automatic 26-week extension. Section 60(5) allows it after maternity leave only where the nature of work permits and the employer and employee mutually agree on the period and conditions. Put that agreement in writing, including hours, reporting, equipment, data security and the return date.

Do not terminate an employee because she takes protected maternity absence. Section 68 restricts dismissal, discharge and adverse variation of service conditions during that absence. Under Section 133, failure to provide maternity benefit or penalising a woman contrary to Chapter VI can attract up to six months’ imprisonment, a fine up to ₹50,000, or both. A repeated failure to pay maternity benefit after conviction can attract two to three years’ imprisonment and a ₹3 lakh fine under Section 134.

When Does the Crèche Rule Apply?

Section 67 of the Code on Social Security requires a crèche where 50 employees, or another prescribed number, are employed in an establishment covered by Chapter VI. The facility may be separate or shared as permitted by the rules. The employer must allow four visits a day, including rest intervals.

The threshold is employees, not 50 women employees or 50 mothers. Do not exclude men, contract workers or particular categories without checking the statutory definition and the applicable rules. If several units share a facility, document its distance, operating hours, staffing, handover procedure and access for every covered shift.

Section 67(2) also requires every covered establishment to tell each woman, in writing and electronically at initial appointment, about every maternity benefit available under the chapter. Add a benefit notice to onboarding, keep delivery evidence and update it when the law or state rule changes.

ESI coverage adds another layer. Section 61 preserves maternity entitlement under Chapter VI until the employee qualifies to claim ESI maternity benefit under Section 32. Payroll should verify contribution history and eligibility instead of automatically shifting liability because an ESI number exists.

Does POSH Compliance Change Under the Labour Codes?

No. Rule 83 of the 2026 Central OSH Rules expressly requires compliance with the POSH Act for night work. The POSH Act applies much more broadly than night shifts.

Under Section 4 of the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013, every workplace must constitute an Internal Committee by written order where the legal threshold applies. The committee needs a senior woman Presiding Officer, at least two employee members, an external member familiar with the issue, and at least half its membership must be women.

The employer must also provide a safe workplace, display the consequences of sexual harassment and the committee order, organise awareness programmes, assist the inquiry, treat proved harassment as misconduct and monitor annual reporting. Section 26 permits a fine up to ₹50,000 for failure to constitute the committee or comply with specified duties. A repeat offence can double the punishment and may affect a licence or registration.

Use the India Code text of the POSH Act for committee and inquiry requirements. A transport vendor’s complaint channel is not a substitute for the employer’s Internal Committee.

What Should an Employer Fix in the Next 30 Days?

Use this order so the highest-risk gaps close first:

1. Map jurisdiction: list every establishment, worker category and the central or state authority governing it.
2. Audit night work: identify shifts before 6 a.m. or after 7 p.m.; obtain written consent and test transport, lighting, CCTV and emergency controls.
3. Test maternity coverage: flag every factory, mine and plantation, plus shops and establishments that reached 10 employees in the preceding 12 months.
4. Review payroll: compare same or similar roles by gender and document reasons for differences.
5. Check the crèche threshold: count employees correctly and verify facility access across shifts.
6. Repair POSH governance: confirm committee composition, external-member independence, training, displays and annual reporting.
7. Update documents: revise appointment letters, benefit notices, maternity policy, shift-consent forms and vendor contracts.
8. Create evidence: retain rosters, payslips, notices, transport logs, training records and corrective actions by establishment.
9. Assign owners: name one accountable person for payroll, safety, maternity and POSH obligations; “HR” is a department, not an owner.
10. Set review dates: track Central and state notifications monthly because implementation details can change separately.

Frequently Asked Questions

Are women legally allowed to work after 7 p.m. in India?

Yes. Section 43 of the OSH Code permits night work with the woman’s consent and prescribed safeguards. Under the 2026 Central Rules, safeguards include written consent, residential pick-up and drop, lighting, CCTV on routes to facilities, emergency numbers and POSH compliance. State rules may add conditions.

Is 26 weeks of maternity leave available for every pregnancy?

No. Section 60 provides up to 26 weeks where the woman has fewer than two surviving children. A woman with two or more surviving children is entitled to up to 12 weeks. The usual 80-days-worked eligibility test also applies.

Is a crèche mandatory only when 50 women work in the company?

No. Section 67 refers to an establishment with 50 employees, not 50 women. Applicability, employee counting and facility standards must be checked against the Code and the relevant central or state rules.

Can an employer refuse to hire women for a night-shift role?

A blanket refusal is risky. Section 3 of the Code on Wages restricts sex discrimination in recruitment, while Section 43 of the OSH Code allows women to work at night with consent and safeguards. A specific legal prohibition or restriction must be identified; operational inconvenience is not one.

Does an ESI number end the employer’s maternity responsibility?

Not automatically. Section 61 of the Code on Social Security preserves Chapter VI entitlement until the woman qualifies for ESI maternity benefit under Section 32. Verify actual qualification and contribution records.

Do small workplaces need an Internal Committee under the POSH Act?

Section 4 requires an Internal Committee at each qualifying workplace. Where an Internal Committee is not constituted because the workplace has fewer than 10 workers, complaints go to the district Local Committee. Employers still owe the Act’s broader duty to provide a safe workplace.

Turn Women’s Labour-Code Rights Into an Operating System

Women and new labour codes are not one HR circular. They connect payroll, hiring, maternity, safety, transport, facilities, POSH and state-level rules. The fastest safe approach is an establishment-by-establishment obligation register with an owner, evidence and review date for every duty.

Check your compliance posture free at complianceradar.in to identify the central, state and sector-specific obligations that apply to your workforce before an inspection, grievance or missed benefit exposes the gap.