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November 26, 2025 India Unveils Major Policy Reforms Across Labor, Climate, Health, and Digital Sectors

In a significant wave of policy initiatives, the Indian government has enacted comprehensive labor reforms, launched a new employment-linked incentive scheme, established a unified climate finance mechanism, introduced measures to combat obesity, and initiated a cybersecurity innovation challenge. These developments, largely announced or becoming effective in late November 2025, aim to boost formal employment, enhance social security, address climate change, improve public health, and strengthen digital resilience. Additionally, updates to pension and capital gains schemes, alongside a legal literacy campaign, underscore a broad governmental push for reform and citizen welfare.

India has implemented a series of crucial government schemes and policies over the past few days, marking a concerted effort towards economic growth, social welfare, and national development. A major highlight is the operationalization of four new labor codes on November 21, 2025, which consolidate 29 fragmented labor laws into a more coherent framework. These codes aim to simplify compliance for businesses, enhance worker welfare, and accelerate the formalization of the informal economy. Key provisions include a uniform 10-employee threshold for establishments, a single registration and licensing framework, and expanded social security coverage for gig and platform workers. The codes also ensure equal wages for equal work, explicitly including transgender persons, and provide fixed-term employees with benefits equivalent to permanent workers.

Complementing the labor reforms, the government released guidelines and Standard Operating Procedures (SOPs) for the Employment-Linked Incentive (ELI) Scheme, announced in the Union Budget 2024–25. Approved by the Union Cabinet on July 1, 2025, with an allocation of INR 99,446 crore (approximately USD 11.7 billion), the ELI scheme targets the creation of 35 million formal jobs between August 1, 2025, and July 31, 2027. It offers incentives for employers hiring new employees, with benefits including EPF wage contributions and a savings component to foster financial discipline.

In a significant step towards environmental sustainability, India announced a unified climate finance mechanism on November 25, 2025, to implement its climate action strategy. Unveiled at COP30 alongside 14 other country platforms, this initiative involves establishing a country platform supported by the Green Climate Fund. This platform will serve as the operational vehicle for India's first National Adaptation Plan, focusing on governance setup, updating the GCF Country Programme, building an investable pipeline, and strengthening institutional capacities.

Public health also saw new policy interventions, with India doubling down on anti-obesity measures. Following Prime Minister Modi's warning earlier in 2025 about obesity becoming a "silent crisis," a new "sin tax" was introduced on sugary drinks in September 2025. The government has also commenced work on national obesity guidelines to holistically address prevention, screening, and treatment across the country.

To bolster national digital resilience, the government launched the Cyber Security Innovation Challenge (CSIC) 1.0 on November 25, 2025. This initiative invites students and researchers to develop product-oriented solutions for real-world cyber challenges, positioning cybersecurity as a viable career path and fostering a "whole-of-nation" approach to cybersecurity.

Additionally, the Ministry of Finance reminded eligible Central Government employees and National Pension System (NPS) subscribers about the approaching deadline of November 30, 2025, to opt for the Unified Pension Scheme (UPS). Notified on January 24, 2025, the UPS offers benefits such as a switch option, tax exemptions, and provisions for resignation and compulsory retirement. Furthermore, the Capital Gains Accounts (Second Amendment) Scheme, 2025, was notified, expanding the scope of banks authorized to receive deposits and maintain CGAS accounts to include non-rural branches of 19 major private banks.

Finally, the "Hamara Samvidhan- Hamara Swabhiman" campaign, building on the DISHA scheme launched in 2021, continued its efforts to enhance legal literacy and provide access to justice. This campaign, which transitioned into its current chapter on January 24, 2025, integrates constitutional literacy with legal aid services like Tele-Law and Nyaya Bandhu, aiming to make constitutional ideals accessible and cherished by citizens.

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