Code on Social Security, 2020

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  • Code on Social Security, 2020

What is the Social Security Code?

The Social Security Code (SSC), 2020 brings together nine major labour laws related to employee social security under one unified framework. It covers key benefits and protections such as Provident Fund (PF), Employee State Insurance (ESI), maternity benefits, gratuity, workers’ compensation, and social security provisions for gig and platform workers.

By combining these laws into a single code, the SSC aims to create greater consistency, transparency, and efficiency in the administration of social security benefits for employees and workers across India.

Key Features of the Social Security Code

The Social Security Code is designed to be inclusive, employee-friendly, and employer-compliant. Some of its major features include:

  1. Universal Coverage – Expands social security benefits to all workers, including those in informal, gig, and platform-based employment.
  2. Consolidation of Laws – Streamlines multiple labour laws into a single, easy-to-understand code.
  3. Simplified Administration – Provides a centralised system for registration, contribution, and claims, reducing compliance burden.
  4. Maternity and Childcare Benefits – Ensures support for women employees and working parents.
  5. Social Security Funds – Establishes welfare funds for different categories of workers to secure financial protection during contingencies.

Who Is Covered Under the Social Security Code?

The Social Security Code, 2020 covers a wide range of employees and workers across India. Its objective is to extend social security protection beyond traditional salaried employment and include people working in organised, unorganised and emerging sectors.

The Code May Cover:
  • Employees working in factories, offices and commercial establishments
  • Permanent, temporary, contractual and fixed-term employees
  • Workers employed through contractors or third-party payroll agencies
  • Unorganised-sector and self-employed workers
  • Migrant workers and domestic workers, subject to applicable schemes
  • Building and other construction workers
  • Gig workers, such as independent service providers
  • Platform workers associated with app-based or digital platforms
  • Women employees eligible for maternity-related benefits