India’s Labour Codes seek to replace the traditional inspection system with a facilitative compliance ecosystem: Shri Mansukh Mandaviya 

At the special plenary session on “Next-Gen Labour Reforms: Driving Industry Growth & Job Creation” during the CII Annual Business Summit 2026, Dr Mansukh Mandaviya, Union Minister for Labour & Employment and Youth Affairs & Sports, Govt of India highlighted that the four Labour Codes have now been fully operationalised, consolidating 29 labour laws into a simplified and contemporary framework aimed at improving ease of doing business while expanding worker protections. He stated that the new framework seeks to replace the traditional inspection system with a facilitative compliance ecosystem through single registration and single-window systems for industry. He noted that the reforms ensure equal pay for equal work, universal social security coverage, mandatory appointment letters and stronger workplace welfare provisions for workers across sectors. 

Dr Mandaviya highlighted that industry associations like CII have proactively partnered with the Government in strengthening employment facilitation mechanisms. Referring to his recent visit to the Model Career Centre (MCCs), he appreciated its structured and effective implementation and encouraged Ministry officials to undertake visits to observe and replicate the operational best practices being demonstrated by these employment exchanges.  

He acknowledged that the MCCs are supporting youth through counselling, skill development, job matching and placement opportunities, and emphasized that this industry-led model should be scaled further, with government acting as a catalyst to strengthen employment linkages aligned with industry needs. Dr Mandaviya outlined that CII MCCs can play a pivotal role in advancing international mobility through skilling and reskilling India’s workforce to meet global requirements.  

He further stressed that labour and industry must work in partnership to strengthen India’s growth trajectory and create sustainable employment opportunities. Calling for closer collaboration between industry and government, he urged stakeholders to jointly support workers during periods of global economic uncertainty and external disruptions.  

Highlighting the government’s expanding social security initiatives, he stated that the social security coverage in India has increased significantly over the past decade, reflecting the government’s commitment towards formalisation and inclusive growth.  

He also underlined the importance of Pradhan Mantri Viksit Bharat Rozgar Yojana (PM-VBRY) and announced that the government is working towards a comprehensive national employment policy aimed at strengthening workforce participation, job creation and labour market resilience in the coming years.  

Mr R Mukundan, CII President Designate, thanked the Hon’ble Minister for his insightful address and visionary perspectives on India’s evolving labour ecosystem. He reiterated CII’s strong commitment towards supporting the Ministry of Labour & Employment’s reform agenda, particularly the implementation of the Pradhan Mantri Viksit Bharat Rozgar Yojana (PMVBRY), Labour Codes, EPFO 3.0 and the National Career Service (NCS) Portal. 

He noted that CII has been actively engaging with the Ministry on these initiatives and will continue to extend wholehearted industry support through policy recommendations, industry consultations and implementation facilitation to strengthen employment generation, formalisation and ease of doing business. 

Mr Chandrajit Banerjee, Director General, CII described the Labour Codes as a landmark reform aimed at simplifying compliance, boosting employment generation and building a modern, inclusive workforce ecosystem. He also appreciated continued engagement with industry and government’s emphasis on skilling, employability and workforce development aligned with emerging economic opportunities. 

The discussions at the summit reinforced the critical role of labour reforms in enhancing India’s competitiveness, accelerating formalisation, improving productivity and positioning the country as a leading global workforce and manufacturing economy.  

India’s labour reforms are emerging as a transformative force for economic growth, employment generation and worker welfare, with Dr Mansukh Mandaviya,underscoring the government’s commitment to building a labour ecosystem that is both worker-centric and industry-friendly.  

The session commenced with a short film showcasing initiatives in skilling, employment generation and workforce development.