Existing labour courts, industrial tribunals to continue till new ones formed: Govt to Delhi HC

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The Bench had said it appeared that prima facie, the provisions permitting smooth transition for the new labour code have not been thought of by the central government; as a result, the labour disputes remain unattended, which might have arisen on or before November 21.

Existing labour courts, industrial tribunals to continue till new ones formed: Govt to Delhi HC

New Delhi, December 11, 2025 — The Delhi High Court on Thursday directed the central government to ensure a seamless transition from the existing labour law framework to the new Industrial Relations Code, 2020, amid concerns over pending disputes and the absence of operational tribunals.

 

A Bench comprising Chief Justice Devendra Kumar Upadhyaya and Justice Tushar Rao Gedela recorded submissions from the Centre that existing labour courts and industrial tribunals will continue to adjudicate both pending and new cases until new tribunals are formally constituted.

 

The assurance came in response to a petition challenging the government’s November 21 notification that brought the Industrial Relations Code into force without framing rules or establishing tribunals. Petitioners argued that this has created confusion and disrupted the adjudicatory machinery under the Industrial Disputes Act.

 

The Centre’s counsel, Additional Solicitor General Chetan Sharma, referred to a December 8 notification issued by the Ministry of Labour and Employment. The notification clarified that existing labour courts, industrial tribunals, and national industrial tribunals will continue functioning to avoid any legal or administrative vacuum until the new system is operational.

 

The government further assured the court that schemes for unorganised workers will remain unchanged under the new labour codes, addressing concerns raised by trade unions and worker representatives.

 

Petitioners N.A. Sebastian and Sunil Kumar, represented by advocate Ravindra S. Garia, contended that the November 21 notification was premature and unconstitutional. They argued:

  • The code mandates transfer of all pending cases to tribunals that are yet to be constituted.
  • This has paralysed the functioning of industrial tribunals and labour courts in Delhi.
  • The absence of rules and mechanisms violates Articles 14 and 21 of the Constitution, depriving workers of fair adjudication.

 

The petition urged the court to quash the notification, citing its “paralysing effect” on dispute resolution.

 

The Bench noted that prima facie, the government had not adequately considered provisions for a smooth transition. It expressed concern that labour disputes arising before November 21 remain unattended.

In its order, the court stated:

“We appreciate the efforts made by ASG Chetan Sharma and further repose our trust that at the government’s end everything required to provide a smooth transition from the old to the new labour law regime shall be done.”

 

The matter has been listed for further hearing on January 12, 2026.

 

The Industrial Relations Code, 2020, is one of four labour codes enacted to consolidate and modernize India’s labour laws. It replaces multiple legislations, including the Industrial Disputes Act, aiming to streamline dispute resolution and industrial relations.

 

However, trade unions have strongly opposed the labour codes, arguing they dilute workers’ rights and favour employers. Several unions have announced plans for a general strike in February 2026 to protest the implementation of the codes.

 

The government has indicated that the labour codes are likely to become fully operational from April 1, 2026, with draft rules to be pre-published soon. The transition will involve:

  • Constitution of National Industrial Tribunals and Industrial Tribunals under the new code.
  • Transfer of pending cases to these forums once established.
  • Ensuring continuity of adjudication through existing courts until the new system is functional.

 

The Delhi High Court’s intervention underscores the urgency of establishing a clear roadmap for implementing the Industrial Relations Code, 2020. While the government has promised continuity and eventual transition, the petition highlights the risks of legal uncertainty and disruption to workers’ rights.

With trade unions mobilizing for a nationwide strike and the court set to revisit the matter in January, the coming months will be critical in shaping India’s labour law landscape. For further insights into the evolving workplace paradigm, visit 

 

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