Section 159: Power of Central Government to modify Schedules

The Code on Social Security, 2020 (Act No. 36 of 2020) • Official Statutory Text & Plain English Practice Guide

Statutory Mandate
Chapter XIV: Miscellaneous
Competent Labour Forum
Act No. 36 of 2020

Legal Commentary & Landmark Judgments: Section 159

Section 159 of the Code empowers the Central Government to amend the Schedules to the Code by notification in the Official Gazette, ensuring agile administrative updating of covered industries, relevant factors, and occupational diseases.

  • Executive Power to Update Statutory Schedules: Authorizes the Central Government to add to, modify, or omit any entry in the First Schedule (applicability thresholds), Second Schedule (BOCW cess limits), Third Schedule (occupational diseases), or Fourth Schedule (relevant factors for compensation).
  • Responsiveness to Socio-Economic Evolution: Enables the regulatory framework to expand social security coverage to new emerging industries and newly diagnosed occupational health hazards without parliamentary amendment.
  • Requirement of Gazette Notification & Public Notice: Requires all schedule modifications to be published in the Official Gazette, taking effect from the date of publication or a specified forward date.
Key Landmark Precedents:
  • Consumer Education & Research Centre v. Union of India (1995) 3 SCC 42: Supreme Court directed central authorities to update occupational disease schedules continuously in line with international scientific discoveries.
  • Regional Provident Fund Commissioner v. Hooghly Mills Co. Ltd. (2012) 2 SCC 489: Supreme Court affirmed that expanding coverage schedules to bring new commercial establishments within social security is a constitutional imperative under Article 39.
  • Gammon India Ltd. v. Union of India (1974) 4 SCC 396: Affirmed the constitutionality of executive powers to expand labor welfare schedules.
Courtroom Practice & Strategic Litigation Guidance:

Track Official Gazette notifications under Section 159: if the Central Government modifies the First Schedule to lower the headcount applicability threshold for specific service sectors, audit payroll headcounts immediately to ensure timely compliance.