New Labour Codes: Will It Slash Your Take-Home Salary? Govt Clarifies Amid PF Deduction Concerns

New Labour Codes: Will it slash your take-home salary? Govt clarifies amid PF deduction concerns

The Ministry of Labour stated that the new Labour Codes will not decrease take-home pay as PF deductions are based on a ₹15,000 ceiling.

New labour codes: No, your take-home salary isn't reducing. Here's the math

Fears of reduced take-home salaries have surged since the new labour codes were notified, but a closer look at the PF calculation shows the impact may not be what many employees expect.

Labour codes to ensure frictionless supply chains, universal wage, skilling

New Delhi, Dec 12 (PTI) New Labour Codes will ensure frictionless supply chains, universal wage coverage and enhance skilling, said a senior official on Friday.The government notified the four labour codes last month and will soon notify the rules under these laws.Speaking at the 91st Annual General Meeting and Annual Convention of the All India Association of Employers (AIOE), Alok Chandra, Senior Labour and Employment Advisor at the Union Mini…

Labour Codes Will NOT Cut Take-Home Pay: Ministry Clarifies

The Union Labour Ministry has moved to quell widespread concerns among salaried workers, confirming that the new Labour Codes will not automatically reduce take-home pay. The panic stemmed from the new rule requiring basic pay to constitute at least 50% of total wages, which many assumed would lead to a mandatory increase in Provident Fund (PF) deductions. The Key Clarification (The Kicker) The Ministry clarified in a post on X that the math rem…

Will the New Labour Codes Reduce In-Hand Salary?

Worries about reduced salaries following the introduction of the new Labour Codes have been putting salaried workers on edge. The Union Labour Ministry has now clarified that for the majority of employees, monthly take-home pay will remain unaffected, provided provident fund (PF) deductions continue to follow the statutory ceiling of Rs 15,000. “The new Labour Codes do not reduce take-home pay if PF deduction is on statutory wage ceiling. PF ded…

Take-Home Pay Will Remain Same if PF Deduction is Based on Wage Ceiling: Labour Ministry Clarifies

Take-Home Pay Will Remain Same if PF Deduction is Based on Wage Ceiling: Labour Ministry Clarifies The Government of India introduced four new Labour Codes, effective November 2025, by consolidating 29 previous labour laws. By introducing these new labour codes, the government aims to provide a fair working environment and protect the working rights of […]