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Will new Labour Codes reduce employees' in-hand salary?
short by Vaishnavi Mishra / on Monday, 24 November, 2025
New Labour Codes introduced a uniform definition of wages, pushing it to minimum 50% of total remuneration. This adjustment will lead to higher provident fund and gratuity contributions, as these statutory deductions are based on an individual’s basic pay. If employer passes on the increase in deductions to the employee without raising the gross salary, the take-home pay will reduce.
read more at NDTV Profit