'Risks weakening worker safeguards': Congress on SC's ‘industry’ definition judgment
The Congress party has criticized a recent Supreme Court ruling that limits the application of the 1978 'industry' definition to new cases under the 2020 Industrial Relations Code. They argue that narrowing this definition threatens essential worker protections and labor rights.
Why it matters
This legal shift could significantly alter the scope of labor law protections for millions of workers in India, sparking debate over corporate versus worker interests.
The Congress on Saturday (August 22, 2026) expressed concern over a Supreme Court ruling that stated that its 1978 worker-friendly interpretation of the term "industry" will not apply to fresh cases under the Industrial Relations Code of 2020, and said any move to narrow or distance the law from the broad definition of "industry" risks weakening worker safeguards.
Congress general secretary in charge of communications, Jairam Ramesh, claimed that the Modi government's Industrial Relations Code, 2020, “significantly weakens essential safeguards for our workers”.
Against this backdrop, a narrow majority of the Supreme Court, in State of Uttar Pradesh versus Jai Bir Singh delivered on August 20, 2026, has “hypothesised” a reformulation of the Triple Test laid down in its earlier landmark February 1978 verdict in the Bangalore Water Supply and Sewerage Board versus A Rajappa case, Mr. Ramesh said on X.
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