Section 40: Notice of change
Reviewed by Finin2min Editorial Desk · Last reviewed 30 August 2026
Section 40 — Sets the statutory notice requirement for notice of change, including the relevant trigger, recipient and timing conditions. Key operative text: No employer, who proposes to effect any change in the conditions of service applicable to any worker in respect of any matter specified in the Third Schedule, shall effect such change,— (i) without giving to the workers likely…
All provisions were brought into force from 21 November 2025 under S.O. 5320(E); use the current India Code consolidation because the Code also reflects the 2026 amendment/transition framework.
Provision / India Code ↗ · Official Act PDF ↗ · 2026 Central Rules ↗
Finin2min analysis — what the section actually does
Operative clauses
- No employer, who proposes to effect any change in the conditions of service applicable to any worker in respect of any matter specified in the Third Schedule, shall effect such change,— (i) without giving to the workers likely to be affected by such change a notice in such manner as may be prescribed of the nature of the change proposed to be effected; or (ii) within twenty-one days of giving such notice:
- Provided that no notice shall be required for effecting any such change— (a) where the change is effected in pursuance of any settlement or award;
- (b) where the workers likely to be affected by the change are persons to whom the Fundamental and Supplementary Rules, Civil Services (Classification, Control and Appeal) Rules, Civil Services (Temporary Service) Rules, Revised Leave Rules, Civil Services Regulations, Civilians in Defence Services (Classification, Control and Appeal) Rules or the Indian Railway Establishment Code or any other rules or regulations…
Provisos, explanations & qualifications
- Provided that no notice shall be required for effecting any such change— (a) where the change is effected in pursuance of any settlement or award; (b) where the workers likely to be affected by the change are persons to whom the Fundamental and Supplementary Rules, Civil Services (Classification, Control and Appeal) Rules, Civil Services (Temporary…
Thresholds and timelines in the text
- Notice of change.—No employer, who proposes to effect any change in the conditions of service applicable to any worker in respect of any matter specified in the Third Schedule, shall effect such change,— (i) without giving to the workers likely to be affected by such change a notice in such manner as may be prescribed of the nature of the change proposed…
Actors expressly appearing in the text
Employer, Worker, Appropriate Government
Full statutory text — Section 40
40. Notice of change.—No employer, who proposes to effect any change in the conditions of service
applicable to any worker in respect of any matter specified in the Third Schedule, shall effect such
change,—
(i) without giving to the workers likely to be affected by such change a notice in such manner
as may be prescribed of the nature of the change proposed to be effected; or
(ii) within twenty-one days of giving such notice:
Provided that no notice shall be required for effecting any such change—
(a) where the change is effected in pursuance of any settlement or award;
(b) where the workers likely to be affected by the change are persons to whom the
Fundamental and Supplementary Rules, Civil Services (Classification, Control and Appeal)
Rules, Civil Services (Temporary Service) Rules, Revised Leave Rules, Civil Services
Regulations, Civilians in Defence Services (Classification, Control and Appeal) Rules or the
Indian Railway Establishment Code or any other rules or regulations that may be notified in this
behalf by the appropriate Government in the Official Gazette, apply;
(c) in case of emergent situation which requires change of shift or shift working, otherwise
than in accordance with standing orders, in consultation with Grievance Redressal Committee;
(d) if such change is effected in accordance with the orders of the appropriate Government
or in pursuance of any settlement or award.How to apply this provision
- Primary statutory test — No employer, who proposes to effect any change in the conditions of service applicable to any worker in respect of any matter specified in the Third Schedule, shall effect such change,— (i) without giving to the workers likely to be affected by such change a notice in such manner as may be prescribed of the nature of the change proposed to be effected; or (ii) within twenty-one days of giving such notice:
- Additional operative limb — Provided that no notice shall be required for effecting any such change— (a) where the change is effected in pursuance of any settlement or award;
- Qualification / exception to test — Provided that no notice shall be required for effecting any such change— (a) where the change is effected in pursuance of any settlement or award; (b) where the workers likely to be affected by the change are persons to whom the Fundamental and Supplementary Rules, Civil Services (Classification, Control and Appeal) Rules, Civil Services (Temporary…
- Numerical or timing control — Notice of change.—No employer, who proposes to effect any change in the conditions of service applicable to any worker in respect of any matter specified in the Third Schedule, shall effect such change,— (i) without giving to the workers likely to be affected by such change a notice in such manner as may be prescribed of the nature of the change proposed…
- Central Rule mapping — 19. Read the mapped provision together with this text rather than treating the concordance as a substitute for it.
- Prescribed-form link recorded in the corpus — IV. Confirm the current notified form/version before filing.
Rules, forms and cross-references
Direct 2026 Central Rule mapping
Forms mapped
IV
Other sections cited in this text
Related Labour Hub resources
A direct concordance is not exhaustive. Central/State jurisdiction, schemes, authority appointments, saved instruments and later notifications may change the practical route without changing the section wording.
Worked example
Suppose an industrial establishment reaches a step governed by notice of change. HR/IR should create a dated file showing coverage, the competent authority/union status, required notice or application, service proof and the result. One operative text point to test is: “Notice of change.—No employer, who proposes to effect any change in the conditions of service applicable to any worker in respect of any matter specified in the Third Schedule, shall effect such change,— (i) without giving to the workers likely to be affected by such change a not” Also test the express qualification/proviso before concluding the result. Read the mapped Central Rule(s) 19. Use the current notified IV where the process requires it.
Illustration only; it is not statutory text or a substitute for applying the actual facts, jurisdiction, current rule/scheme and official instrument.
Q&A — Section 40
What does Section 40 of the Industrial Relations Code cover?
Section 40 — Sets the statutory notice requirement for notice of change, including the relevant trigger, recipient and timing conditions. Key operative text: No employer, who proposes to effect any change in the conditions of service applicable to any worker in respect of any matter specified in the Third Schedule, shall effect such change,— (i) without giving to the workers likely…
What is the main legal requirement or power in Section 40?
The first operative clause identified from the official text is: “No employer, who proposes to effect any change in the conditions of service applicable to any worker in respect of any matter specified in the Third Schedule, shall effect such change,— (i) without giving to the workers likely to be affected by such change a notice in such manner as may be prescribed of the nature of the change proposed to be effected; or (ii) within twenty-one days of giving such notice:” Read it with the remaining subsections and any proviso below.
Does Section 40 contain a proviso or explanation?
Yes. A qualification extracted from the official text is: “Provided that no notice shall be required for effecting any such change— (a) where the change is effected in pursuance of any settlement or award; (b) where the workers likely to be affected by the change are persons to whom the Fundamental and Supplementary Rules, Civil Services (Classification, Control and Appeal) Rules, Civil Services (Temporary…”
What time limit, percentage or amount appears in Section 40?
The provision contains this numerical/time expression: “Notice of change.—No employer, who proposes to effect any change in the conditions of service applicable to any worker in respect of any matter specified in the Third Schedule, shall effect such change,— (i) without giving to the workers likely to be affected by such change a notice in such manner as may be prescribed of the nature of the change proposed…” Apply it only in the clause and context in which it appears.
Which 2026 Central Rules are linked to Section 40?
The current concordance maps Section 40 to Central Rule(s) 19.
Is a prescribed form mapped to Section 40?
The current corpus records: IV. Confirm the current notified version before filing or service.
Is Section 40 currently operative?
All provisions were brought into force from 21 November 2025 under S.O. 5320(E); use the current India Code consolidation because the Code also reflects the 2026 amendment/transition framework.
Source & verification trail
Act: Industrial Relations Code, 2020 — official India Code PDF ↗
Central Rules: Industrial Relations (Central) Rules, 2026 — G.S.R. 342(E), 8 May 2026 ↗
Official library: Ministry of Labour & Employment — Labour Codes ↗
Source check: 20 August 2026. Individual professional interpretation should be re-reviewed when the section, rules, notification, scheme, State overlay or controlling judgment changes.