TUCI’s Objections to the Chhattisgarh Industrial Relations Code, 2026
— Comrade Saura
(State Convenor, TUCI Chhattisgarh & Organising Secretary, Progressive Anganwadi Workers and Helpers Union, Chhattisgarh)
We believe that the Chhattisgarh Industrial Relations Code, 2026, which seeks to replace the existing three labour laws/rules, is an attack on the rights of workers, especially unorganised workers. It has been framed entirely in line with the four labour codes introduced by the Modi government, which are pro-corporate and anti-worker. In the name of “labour reforms,” this code grants greater concessions to capitalists and corporate houses while weakening the collective strength of workers.
An analysis of its anti-worker aspects is as follows:
1. Harsh Restrictions on the Right to Strike
Earlier, prior notice before a strike was mandatory only in “public utility services.” Now, at least 14 days’ prior notice has been made compulsory in almost all industrial establishments.
We argue that:
Its objective is to make workers’ resistance against increasing corporate attacks on labour rights almost impossible.
During the notice period, management can resort to repression, retrenchment, or police intervention.
It becomes easier to declare strikes as “illegal” and take action against workers.
In practice, this amounts to restricting the constitutional and democratic right to strike.
2. Making Retrenchment and Closure of Factories Easier
Previously, industries employing more than 100 workers were required to obtain government permission before retrenchment, lockouts, or closure. Now this threshold has been increased to 300 workers.
This means:
Thousands of factories employing up to 299 workers can dismiss workers without government approval.
Permanent employment and job security are weakened.
It may become easier to target workers active in union activities.
Since most factories in the state employ fewer than 300 workers, this will have a widespread impact.
3. Replacing Permanent Employment with Casualisation
By promoting “Fixed Term Employment,” companies can:
Employ workers on contracts for a few months or years.
Remove them once the contract period ends, without permanent absorption.
Although the law claims that such workers will receive benefits equal to permanent employees, we believe that:
Job stability is destroyed.
Workers become less confident about forming unions.
Labourers are forced to live in constant insecurity.
This is effectively a move toward a “hire and fire” model.
4. Possibility of Weakening Trade Unions
The law requires 51% membership for a union to qualify as a “Negotiating Union.”
Practical problems include:
Many factories have multiple unions.
In the absence of 51% membership, management-backed unions may gain an advantage.
The role of smaller, militant, or independent unions may be restricted.
We see this as an attempt to control union plurality and democratic labour politics.
5. Special Impact on States Like Chhattisgarh
In mining and heavy-industry states like Chhattisgarh, the impact could be even deeper:
Contract labour may increase in coal, power, steel, and mining sectors.
Employment rights of displaced people may weaken.
Casualisation may increase in SECL, NTPC, private mines, and industrial projects.
Administrative repression against union-led struggles may become easier.
6. Exclusion of Irregular and Contract Workers
We believe that the definition of “government employees’ associations” in this code is intended only for regular permanent employees. Accordingly, irregular, contractual, casual, and contract workers are being deprived of their right to organise and collectively fight for their demands. This goes against the spirit of the Constitution.
7. Part of Neoliberal Economic Policies
We believe that Chhattisgarh’s new labour code is part of neoliberal economic policies aimed at making the labour market more “flexible” for corporate capital.
Instead, the state government should discourage contract labour, “hire and fire” practices, and temporary employment arrangements, while promoting permanent employment.
8. Undermining Democratic Trade Union Struggles
At the same time, excessive importance has been given to high-level committees and grievance redressal mechanisms for the settlement of labour disputes. Instead, democratic methods such as trade union struggles, strikes, and protests should be respected.
This is because it is not grievance committees, but the long struggles of workers to build trade unions and fight collectively, that remain the primary means of securing workers’ rights, especially for unorganised labourers.
— Comrade Saura
State Convenor
Trade Union Centre of India (TUCI)
Chhattisgarh State Committee
Contact:
9425560952
8982108086
