The new Labor Codes to be implemented in India from April 1, 2026 will bring a big change for crores of workers.

The biggest benefit will be given to gig and platform workers, who are being included in the scope of social security for the first time.

Under the rules, if a worker works for 90 days with any one aggregator or 120 days in the previous financial year on more than one platform, he will be eligible. The day on which earnings are earned will be considered a full working day.

The government has sought suggestions on draft rules. According to Labor Minister Mansukh Mandaviya, the target is to provide social security to 100 crore workers by March 2026.

Appointment letter, free health checkup, equal pay and women’s right to work in all shifts will also be ensured.

Saudi Arabia has taken the most humanitarian decision in its history in June 2025. The government officially ended the kafala (sponsorship) system, which had been a burden on migrant workers for decades. The move is part of Crown Prince Mohammed bin Salman’s Vision 2030 policy, which aims to free the country’s economy from oil dependence and modernize the labor market.

This decision will directly provide relief to about 1.34 crore foreign workers, which includes about 25 lakh Indians. The Kafala system was in force in the Gulf countries for a long time. Under this, for any foreign employee to work in the country, permission from a local sponsor i.e. employer was required. The employer not only controlled the visa and residency permit (Iqama) of the employee, but also had the right to change jobs or leave the country. This system gradually became a tool of exploitation. Many employers confiscated employees’ passports, withheld salaries and forced them to work. International organizations had described this system as akin to modern slavery.

What has changed in the new labor policy
The new law implemented by Saudi Arabia is based on a completely digital and transparent system. Workers will now have the freedom to change jobs without their employer’s permission, provided they have completed the contract or given proper notice. Employees will also not need an exit permit to leave or return to the country. All processes will now be done through online portal, which will prevent any kind of arbitrary behavior. This change presents Saudi Arabia as a modern, pro-human rights and investor-friendly country.

Big relief decision for Indian immigrants
This reform can prove to be a life-changer for Indians working in Saudi Arabia. Now, if any worker faces poor treatment or unfair wage policy, he can look for another job without any fear. Unlike earlier, impounding passports or withholding permission to go out will now be considered a crime. This will provide Indian expatriates with better security, fairer work environment and fair salary opportunities. This reform will not only increase individual freedom, but will also motivate companies to become more competitive. Will do.

Why was this reform necessary?
This step of Saudi Arabia is not only a labor policy but also a diplomatic message. The country now wants to show international investors and global institutions that it is serious in adopting the standards of human rights and transparency. The International Labor Organization (ILO) has been demanding the abolition of the Kafala system for years. Now this change will strengthen Saudi Arabia’s image globally and attract foreign talent to participate in the country’s economy.

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Kafala System: The Kafala system has been central to the labor structure in many Middle Eastern countries for many decades. It has also been criticized globally for promoting exploitation and limiting the freedom of migrant workers. After almost 50 years, Saudi Arabia has officially abolished it, but despite this, traces of this system are still present in many Gulf regions. Today we will know what Kafala system is and also in which countries this system is still applicable.

What is Kafala system?

The Kafala system, which means sponsorship in Arabic, is a system that links the legal status of a foreign worker directly to his employer or Kafeel. This system was brought into existence in the 1950s when Gulf economies became increasingly dependent on migrant workers. This system not only simplified administration for the governments but also gave a lot of powers to the employers. In this, the movement of workers, employment and even their right to leave the country was also controlled. Workers were often unable to change jobs or return home without their employer’s permission. This was the reason why workers there were abused and exploited.

why was it implemented

The objective behind implementing this was to skill the recruitment process of foreign workers and also to shift the bureaucratic responsibilities from the governments to the employers. Kafeel was expected to handle everything from visa to voice. Kafeel effectively played the role of both protector and controller. But with time it turned into a system that promoted exploitation. This placed restrictions on labor rights and forced workers into working conditions that are now compared to modern slavery.

In which countries this system is still operational

Despite mild reforms, the Kafala system still exists in Qatar. Earlier, workers needed a no objection certificate to change jobs and an exit permit to leave the country. Although many of these restrictions have now been relaxed, steps are being taken slowly towards complete reform. Minimum wage laws and better job mobility have been implemented but implementation is still inconsistent.

Along with this, the residence of a worker in UAE depends on his employer. However, there are gradual changes in labor laws here too, especially in the private sector. Now it is possible to change employer here under certain conditions. Similarly, this system was partially reformed in Bahrain in 2009. In which the purpose was transferred from individual companies to the Labor Market Regulatory Authority. But despite this step, this system did not end completely and many employers still have a lot of power over workers’ job changes and place of residence.

Even in Kuwait, employers still have complete control over workers changing jobs and leaving the country. Leaving the job without notice may result in arrest or departure. Although a domestic workers law was passed in 2015, its enforcement remained limited. Same is the situation with Oman also. Although Oman claims to have officially abolished this practice, in practice many employers continue to enforce the same restrictions.

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