Section 158
Section 158 of the Code on Social Security, 2020 governs the “Prior publication of rules, regulations, etc.”[1, 2]
- General Rule (45-Day Notice): Under Section 158(a), whenever the government proposes to frame rules, regulations, or schemes under the Code (excluding certain EPF schemes under Chapter III), it must first publish a draft in the Official Gazette for public information. The notice period to invite objections and suggestions from stakeholders cannot be less than 45 days from the date of publication.[1, 2]
- The Dispensation Proviso (Pandemic/Disaster): The proviso to Section 158 creates an express emergency exception:“Provided that the Central Government may, in the circumstances of epidemic, pandemic or disaster, dispense with the condition of previous publication under this section.”
1. The Power to Defer or Reduce PF and ESI Contributions (Section 144)
This is the most direct financial intervention tool introduced in the Code. [1, 2]
- Scope of Power: Notwithstanding any permanent mandates in Chapter III (Employees’ Provident Fund) or Chapter IV (Employees’ State Insurance), the Central Government can pass an executive order to defer or reduce the employer’s contribution, the employee’s contribution, or both. [1, 2]
- Time-Bound Nature: Any relief granted under Section 144 can only run for a maximum period of three months at a time. For prolonged emergencies, the government must issue a fresh discretionary order every quarter. [1, 2]
- Jurisdiction: The government can selectively apply this relaxation to the whole of India or just to specific disaster-affected states/regions, or restrict it to targeted classes of establishments. [1, 2]
2. Discretionary Funding for Unorganised, Gig, and Platform Workers (Section 141)
The Code mandates the setting up of dedicated Social Security Funds. [1, 2]
- During an emergency or nationwide distress, the Central Government has the operational flexibility to bypass normal bureaucratic funding criteria to allocate special grants to these funds. [1]
- This allows the National Social Security Board to deploy immediate, direct cash transfers or health relief schemes tailored specifically for vulnerable gig and unorganised workers who lack corporate safety nets. [1]
3. Broad Power to Exempt Establishments (Section 143)
While not exclusively an emergency clause, Section 143 allows the “appropriate government” to exempt any new or existing industrial establishment (or class of establishments) from the operational purview of specific chapters of the Code. During an acute national disaster or economic collapse, this power can be leveraged to temporarily relieve stressed business sectors from rigid statutory compliance, preventing mass bankruptcies and sudden layoffs. [1, 2]
4. Overriding Relaxations in Scheme Regulations (Section 158 Proviso)
As previously noted, the proviso to Section 158 allows the government to bypass the 45-day wait time. This applies to altering existing benefit rules—such as fast-tracking advance PF withdrawals, relaxing medical treatment rules under ESIC, or modifying eligibility criteria for dependents—enabling relief measures to be drafted and legally enacted within 24 hours