5 Labour Code Changes That Could Boost Your Paycheck in 2026

Antara Bhattacharyya

Flexible Working Hours With Overtime Benefits: New rules ensure higher overtime payouts and flexible weekly schedules, allowing employees to earn more while maintaining a healthier work-life balance.

Higher Basic Salary Means Bigger PF and Gratuity: An enhanced basic pay structure boosts Provident Fund contributions and gratuity accumulation, ensuring higher take-home pay and stronger long-term financial growth.

Universal Social Security for Gig & Platform Workers: Gig and platform workers gain access to social security benefits, including PF, insurance, and pensions, significantly improving income protection and stability.

Earned Leave Encashment Becomes More Rewarding: Revised leave encashment rules promise larger payouts, enabling employees to convert unused leaves into extra money during job transitions or retirement.

Faster Bonus Settlements Across All Sectors: Timely bonus settlement requirements require employers to process payments more quickly, ensuring employees receive their rightful bonuses without long waiting periods.

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