By Dr. Gyan Pathak
Union Government of India led by Prime Minister Narendra Modi has finally decided to bring National Labour & Employment Policy – Shram Shakti Niti 2025, though it took 11 years to do so. Union Ministry of Labour and Employment has put the draft policy on its websites with invitation to stakeholders, institutions, and members of the pubic to submit their feedback, comments, and suggestion within 20 days by October 27, 2025.
Nevertheless, the draft National Employment Policy has been criticized by several Central Trade Unions (CTUs), who suspect the real intention of the Centre. Though the Centre has claimed that that the draft policy reflects extensive stakeholder consultations and emphasises cooperative federalism, evidence-based policymaking, and digital transparency, several CTUs, have denied consultations. Additionally, the government is yet to hold session of the Indian Labour Conference (ILC), the highest tripartite body on labour in the country, and therefore there is no question of consultation.
However, the Centre has said that the draft policy provides a long-term framework for coordinated action among the Centre, States, industry, and social partners to ensure that the benefits of growth are shared widely and equitably. The draft policy is available on the websites of the Ministry of Labour & Employment, the Directorate General of Employment (DGE), and the National Career Service (NCS).
The critiques of the draft find significant shifts in the policy, which according to them, shifts the responsibility of the government “from regulator to facilitator” and passes onus to states and the market forces. They say that the draft policy also seeks to shift orientation of the labour laws from “workers’ rights” to “workers’ duties”. The policy is sure to stir hornet’s nest in the days to come.
It is worth recalling here that the 45th session of the Indian Labour Conference (ILC), which is the highest tripartite body of the country on labour issues, held on May 17-18, 2013, has discussed the issue of unemployment, and following consultations among the representatives of workers’ and employers’ organizations and Central and State governments, and the Committee on Measures to Improve Employment and Employability, had recommended that the National Employment Policy be finalized as a matter of priority. At that time unemployment rate in the country was 4.7 per cent, and PM Narendra Modi during his campaign during the Lok Sabha Election 2014 had promised “work to every hand” that was interpreted as 2 crore jobs every year, since that munch people enter every year in the India’s labour market.
PM Narendra Modi won the election and became Prime Minister of India, but unfortunately forgot his promise. The 45th session of ILC was held in 2015, and the issue of making National Employment Policy (NEP) was reiterated there. Thereafter, his government never allowed another session of the ILC in the country. Unemployment reached 45 years high during 2017-18 to 6.1 per cent, and the NSSO report was suppressed, but leaked at the fag end of 2013, leading to resignation of its head and some other officials. Nevertheless, when Modi won the election in2019, the report was ultimately released.
The Centre brought four controversial labour codes – the Code on Wages 2019, the Industrial Relations Code 2020, the Code on Social Security 2020, and the Occupational Safety, Health and Working Conditions Code, 2020, but even without consulting ILC, that has recommended to frame a National Employment Policy for the country. Government is yet to hold any session of the ILC since 2015.
In 2021, the officials of the Union Ministry of Labour and Employment had been briefing the media that government intended to bring National Employment Policy in 2022 or latest by the Budget session of the Parliament in 2023. However, Modi government turned its back, and informed the Lok Sabha on a question by MP Beesetti Venkata Satyavathi during the Monsoon Session 2022, that there was no committee for drafting the National Employment Policy and there was no plan on developing it.
Answering the question raised by MP Satyavathi, the Union Minister of State for Labour and Employment Rameshwar Teli has stated, “At present, there is no committee for drafting of National Employment Policy. However, for evidence-based policy making, the government has launched surveys on both demand and supply side.”
Now on October 8, the government has said in a PIB press release that the Ministry of Labour and Employment, has released the draft National Labour& Employment Policy – Sharam Shakti Niti 2025 for public consultation. The draft policy presents a renewed vision for a fair, inclusive, and future-ready world of work aligned with the nation aspiration of Vikasit Bharat @2047, it read.
“Rooted in India’s civilisational ethos of śrama dharma – the dignity and moral value of work, the policy envisions a labour ecosystem that ensures protection, productivity, and participation for every worker. It seeks to create a balanced framework that upholds workers’ welfare while enabling enterprises to grow and generate sustainable livelihoods,” the government said.
The government said that Shram Shakti Niti 2025 positions the Ministry of Labour & Employment (MoLE) as a proactive Employment Facilitator, driving convergence among workers, employers, and training institutions through trusted, technology-led systems. The National Career Service (NCS)platform will serve as India’s Digital Public Infrastructure for Employment, enabling transparent and inclusive job matching, credential verification, and skill alignment. Through open APIs, multilingual access, and AI-driven innovation, the NCS-DPI will connect opportunity with talent across Tier-II and Tier-III cities, rural districts, and MSME clusters, making employment facilitation a nationwide public good.
The policy also places strong emphasis on universal social security, occupational safety and health, women and youth empowerment, and the creation of green and technology-enabled jobs. It aims to build a resilient and continuously skilled workforce capable of meeting the demands of emerging technologies, climate transitions, and global value chains. By integrating key national databases such as EPFO, ESIC, e-Shram, and NCS into a unified Labour Stack, the policy envisions an inclusive and interoperable digital ecosystem that supports lifelong learning, social protection, and income security. (IPA Service)
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