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Trade union urges Centre to increase EPF and ESI cap

07 Jan 2026 GS 1 Social Issues
Trade union urges Centre to increase EPF and ESI cap Click to view full image

Context

  • A delegation of the Bharatiya Mazdoor Sangh (BMS) met Union Labour Minister Mansukh Mandaviya in New Delhi.

  • The delegation demanded that the Indian Labour Conference (ILC) be convened at the earliest.

Key demands raised by BMS

Social security related

  • Increase in ceiling limits of:

    • Employees Provident Fund (EPF)

    • Employees State Insurance (ESI)

  • Substantial hike in minimum PF pension (currently ₹1,000 per month).

  • Enhancement of bonus calculation ceiling.

  • Increase in gratuity entitlement from 15 days’ wages to 30 days’ wages.

Workers’ welfare

  • Increase in honorarium and incentives for all scheme workers.

  • Establishment of welfare boards for drivers in the private transport service sector.

  • Addressing the plight of contract workers across private, public, and government sectors.

Indian Labour Conference

The Indian Labour Conference (ILC) is a national tripartite forum in India that brings together representatives of workers, employers, and the government to deliberate on labor policy and welfare issues. Established in 1942, it serves as the country’s highest consultative body on labor matters, shaping major social and economic legislation over decades.

Key facts

  • Founded: 1942

  • Participants: Government, employers’ organizations, and workers’ unions

  • Organizer: Ministry of Labour and Employment (India)

  • Nature: Advisory and consultative body

  • Frequency: Typically annual or biennial sessions.

  • Dr. B.R. Ambedkar transformed the Indian Labour Conference (ILC) by introducing tripartite representation (government, employers, workers) in 1942 . He reduced the number of working hours from 14 to 8 and announced the same at the 7th session of the Indian Labour Conference in New Delhi

International Labour Conference (ILC)

The 113th session of the International Labour Conference (ILC) or Parliament of Labour, the highest decision-making body of the International Labour Organization (ILO), was held from 2nd to 13th June 2025 in Geneva, Switzerland. The annual conference brought together tripartite delegations from all 187 ILO member countries, comprising representatives from governments, employers, and workers.

The ILC 2025 concluded with the historic adoption of the first international labour standards focused on preventing workplace exposure to biological hazards.

Prelims Practice MCQs

Q. The Indian Labour Conference (ILC) is best described as:

(a) A judicial body for settling industrial disputes
(b) A tripartite consultative forum on labour issues
(c) A statutory authority under the Labour Codes
(d) A parliamentary committee on labour reforms

Answer: (b)

Explanation:
ILC is a tripartite body comprising representatives of government, employers, and workers, meant for consultation and consensus-building.



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