According to SBI, new labor regulations will increase formalization, social security, employment, and consumption.

According to the most recent Ecowrap report by Soumya Kanti Ghosh, Group Chief Economic Adviser, State Bank of India, the implementation of India's four new labor codes is expected to increase the formalization of work, broaden social security coverage, lower unemployment, and provide a significant consumption boost over the medium term. The research assesses the macroeconomic effects of the government's November 21, 2025, implementation of the Codes on Wages, Industrial Relations, Social Security, and Occupational Safety and Health. According to the Ecowrap, the new labor laws "will empower both workers and enterprises, establishing a workforce that is protected, productive, and aligned with the evolving world of work – paving the road for a more robust