Indian Firms Set Aside Billions for Labour Code Impact
India’s top companies have provisioned over ₹13,000 crore in anticipation of the impact of the new Labour Codes, according to data compiled by The Indian Express. The provisions, made in the October-December 2025 quarter, reflect adjustments for enhanced employee benefits.
- Total Provision: ₹13,307 crore by 41 Nifty 50 companies.
- Sector Impact: Provisions range from 3% or less of employee costs at IT firms and private banks to 13% at IndiGo.
- Key Drivers: The Labour Codes consolidate 29 laws, expanding social security and gratuity eligibility.
- Notable Exceptions: Some firms, mainly in the public sector, report minimal impact.
