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The Centre will finalise rules under the Industrial Relations Code by February-end. The court noted that previous labour laws would remain in effect until new tribunals are established, alleviating concerns over legal vacuums and operational issues in industrial tribunals.
Rules under the Industrial Relations Code will be finalised by the end of February, the Centre told the Delhi High Court on Monday during the hearing of a petition on the implementation of the 2020 labour laws.
The Industrial Relations Code 2020 consolidates all laws relating to trade unions, conditions of employment in an industrial establishment and settlement of industrial disputes.
According to a PTI report, Solicitor General Tushar Mehta and Additional Solicitor General Chetan Sharma informed a bench of Chief Justice DK Upadhyaya and Justice Tejas Karia that suggestions from the public had been taken into consideration, and framing of rules was under consideration.
Petitioners flag gaps in rules
Meanwhile, the petitioners, NA Sebastian and Sunil Kumar, pointed out that although the Central government published a gazette notification on 21 November 2025, notifying the Industrial Relations Code 2020, it has yet to frame the rules to implement the new regime or constitute the tribunals under it.
On Monday, Solicitor General Mehta said the Centre has already issued two separate notifications to fix the existing gaps in the new labour code and make the transition smoother.
He further explained that the old labour laws have been scrapped from 21 November 2025, but the existing tribunals established under the earlier labour laws would continue to function until such statutory bodies are set up under the new code.
The court closed the proceedings, observing that the petitioners' concerns had been addressed, according to the PTI report.
High court responds to petitioners' concerns
However, the court did not close the door on concerns and clarified that if there were any “hiccups” in the implementation of the new labour code after the new rules are framed, the petitioner would be free to raise them through a fresh petition at that stage.
The petitioners contended that in the absence of rules, there would be a legal vacuum and the authorities under the earlier laws would not be able to function. The court, however, said such apprehension was unfounded.
The petitioners argued that the code provides for transferring all pending cases to tribunals that do not yet exist. They also claimed that the entire functioning of the industrial tribunals and labour courts in Delhi had come to a standstill and is marked by widespread confusion, the agency reported.
Key things to know about new labour codes
In November, the government released new codes, merging 29 laws into four labour codes, with the aim of promoting ease of business while protecting workers' rights.
These include the Code on Wages, Industrial Relations Code, Social Security Code, and Occupational Safety Code. These codes include provisions such as equality for women in the workplace, gratuity for fixed-term employees after one year, free annual health check-ups, and double pay for overtime.
Several key provisions have been introduced under the latest labour codes, which are likely to impact more than 400 million workers across both the formal and informal sectors.
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