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Labor Codes 2025: Will trade unions be closed due to the introduction of new labor laws? The government made it clear

November 29, 2025 by Uma Shankar

Do the new labor codes remove workers’ right to form trade unions and impose strict conditions on striking? Are 90% unorganized workers outside the scope of these codes? Is the claim that the Labor Code will ensure minimum wages and social security for workers baseless? Such messages are being spread a lot on social media these days. These created so much confusion that even the Press Information Bureau Fact Check team had to clarify about them on its X account. Let us tell you the truth of these messages.

PIB Fact Check team posted on its social media 90 percent of the workers are in the unorganized sector and are outside the scope of these codes. These codes eliminate workers’ right to form trade unions and impose strict conditions on striking. These claims are false.

It is circulating on social media that Samyukt Kisan Morcha claims that:

The new labor codes will ensure minimum wages and social security for workers are unsubstantiated.

90 per cent of workers are in the unorganized sector and out of the ambit of these codes.

The pic.twitter.com/TJA4JcQ2Jn

— PIB Fact Check (@PIBFactCheck) November 25, 2025

this is the truth

According to the new labor rules, employees will get some important facilities such as minimum wage will be applicable to all employees in all sectors. The national floor wage ensures that no state can set a minimum wage below the fixed floor. Apart from this, for the first time, all workers in the organized and unorganized sector have been covered under the social security framework, including gig, platform and domestic workers. Also, trade unions have been given legal recognition as negotiating councils. The right to form a trade union will remain. Facility is given to work 12 hours for four days a week, the remaining three days are paid holidays.

About Uma Shankar

Uma Shankar writes about finance, business, and investment topics. He simplifies complex subjects like stock market, banking, tax, and cryptocurrency to help readers make informed financial decisions. Data-driven reporting is his strength.

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