India’s new labour codes, effective January 2024, mark a transformative moment for farm sector transparency by extending formal labor protections to millions of migrant agricultural workers. The consolidation of existing labor laws into four comprehensive codes—the Code on Wages, the Industrial Relations Code, the Social Security Code, and the Occupational Safety, Health and Working Conditions Code—brings long-overdue coverage to workers who were previously excluded from formal frameworks. For agricultural cooperatives, farm producers’ organizations (FPOs), and agribusinesses, these reforms demand a systematic approach to tracking and demonstrating compliance with worker rights, particularly as scrutiny from both domestic and global buyers intensifies.
One of the most significant aspects of the new labour codes is the explicit inclusion of seasonal and migrant farm labor under social security and occupational health standards. Employers and cooperatives are now required to ensure minimum wage adherence, timely payments, access to welfare benefits, and safe working conditions across dispersed rural sites. The codes mandate registration of workers and employment contracts, even for short-term engagements, thereby increasing the need for robust data systems that can capture and report on compliance at the farm level. For the agricultural sector, where informal employment arrangements have historically prevailed, this shift poses operational challenges but also offers an opportunity to build supply chain trust through transparency.
To meet these obligations effectively, agricultural cooperatives should leverage state-level farm registry data as a foundational tool for tracking compliance with the new labour codes. Many Indian states maintain open farm registry datasets that include information on land holdings, ownership, tenancy arrangements, and, increasingly, farmworker details linked to welfare schemes like the Pradhan Mantri Kisan Samman Nidhi (PM-Kisan) and the e-Shram portal. By integrating worker records with these registries, cooperatives can create a unified database that links each farm site to registered workers, contract terms, and benefits provided. This integration not only simplifies reporting but also helps identify gaps in documentation or benefits delivery that could expose the organization to legal or reputational risk.
The first practical step for cooperatives is to establish protocols for enrolling workers into state farm and labor registries at the point of hiring. This involves capturing Aadhaar-linked identity verification, contract terms, wage rates, and social security enrollment details. Digital tools, such as mobile apps used by field supervisors, can facilitate this process even in remote areas. Data collected at the farm level should be aggregated into centralized dashboards that provide real-time visibility into worker protections across multiple sites. These dashboards should include metrics such as the percentage of workers with formal contracts, wage payment compliance rates, coverage under social security schemes, and occupational safety training records.
Once internal tracking systems are in place, cooperatives and agribusinesses should take steps to publish compliance metrics on open government dashboards where available. Several Indian states have launched or piloted transparency portals that enable agricultural producers to voluntarily disclose compliance data related to labor standards, land use, and sustainability practices. These dashboards typically allow the public, including buyers and regulatory bodies, to view high-level summaries of compliance at the farm or cooperative level. By proactively publishing metrics—such as the proportion of migrant workers covered under formal contracts or the extent of occupational safety audits completed—organizations can demonstrate their commitment to ethical sourcing and align with the expectations of both government authorities and responsible supply chain initiatives.
In developing these public dashboards, cooperatives should focus on structuring data in machine-readable formats compatible with government reporting frameworks. This includes standardizing location identifiers using state geocodes, adopting consistent worker classification categories, and linking data to official scheme identifiers (such as e-Shram registration numbers). Automation of data submission processes through APIs or bulk upload tools can reduce administrative burden and improve data accuracy. The dashboards should provide filters for users to view compliance data by farm cluster, district, or cooperative group, enabling targeted oversight and continuous improvement.
The new labour codes also provide an opportunity for agricultural producers to differentiate themselves in domestic and export markets by demonstrating adherence to internationally recognized labor standards. Buyers increasingly require evidence of compliance with ethical sourcing principles, particularly in sectors like horticulture, floriculture, and plantation crops. By integrating farm-level labor compliance data with other sustainability reporting initiatives—such as organic certification or fair trade audits—cooperatives can create a holistic picture of responsible production that appeals to conscientious consumers and procurement managers.
India’s 2024 labour code reforms thus represent both a compliance mandate and a catalyst for greater transparency in agricultural supply chains. Agricultural cooperatives that invest in robust data integration, proactive disclosure, and technology-enabled monitoring will not only meet regulatory requirements but also strengthen their position in competitive markets. As consumer and buyer expectations for ethical sourcing continue to rise, these efforts will be essential to building resilient, trustworthy farm supply chains.