India, April 2 -- India's four new labour codes on wages, social security, industrial relations and occupational safety have been delayed and did not become effective on April 1, 2021, as was earlier planned by the government.

According to an ET report, the government would notify the new dates to usher in the sweeping changes. The deferment would come as a relief for some companies, which would have to spend higher on mandatory employee benefits when the new rules kick in. Under the new wage code, 50% of an employee's gross pay would have to move under the basic pay umbrella, while India Inc's expenditure on provident fund and gratuity will also likely increase.

While this would mean higher expenditure on the payroll for businesses, it...