Rule 19 explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
Rule 19 sets out how an employer gives notice of a change in service conditions on a Third Schedule matter. The notice is in Form IV, goes to the workers likely to be affected, is uploaded on the establishment's designated portal if any, is displayed at the main entrance and is copied to union secretaries. The Code itself adds a twenty-one day wait.
An employer who intends to change conditions of service on a matter in the Third Schedule must give notice in Form IV to the workers likely to be affected, electronically, by speed post or in person, and upload it on the designated portal, if any. It must also be displayed conspicuously on the notice board or electronic board at the main entrance. Where there is a registered union, negotiating union or negotiating council, a copy goes to the secretary too. Under s.40 of the Code the change cannot take effect within twenty-one days of the notice. Central-sphere establishments only.
What section 40 says
Section 40 of the Industrial Relations Code, 2020 bars an employer who proposes to change conditions of service on any matter in the Third Schedule from effecting the change (i) without giving the affected workers a notice, in the prescribed manner, of the nature of the change, or (ii) within twenty-one days of giving the notice. It gives four cases where no notice is needed: change under a settlement or award; workers governed by the listed government service rules or other rules notified for the purpose; an emergent change of shift or shift working otherwise than under the standing orders, made in consultation with the Grievance Redressal Committee; and a change made under the orders of the appropriate Government or a settlement or award. For the section see sections 40 and 41, and for the subject-matter list see Schedule 3.
Because a change without a proper notice, or within the twenty-one days, is a breach of section 40, employers usually get the notice reviewed first. Our labour law compliance team can check the Third Schedule matter, draft the Form IV annexure and plan service.
Rule 19 at a glance
| Sub-rule | Requirement |
|---|---|
| 19(1) | Notice in Form IV to the workers likely to be affected, electronically, or by speed post, or in person; and upload the notice on the designated portal, if any, of the establishment |
| 19(2) | The notice is displayed conspicuously on the notice board or electronic notice board at the main entrance of the establishment |
| Proviso | Where there is a registered Trade Union, several unions, or a negotiating union or council, a copy is also served in the same manner on the secretary of the union, each secretary, or the secretary of the negotiating union or constituent of the negotiating council |
What Form IV contains
Form IV is titled "Notice of Change of Service Conditions". It gives the employer's name and address and the date. It says that, under sub-section (1) of section 40 of the Code, the employer gives notice to all concerned of the intention to effect the change or changes specified in the annexure with effect from a stated date in conditions of service applicable to workers on matters in the Third Schedule. It is signed with name and designation. The annexure is where the intended change is specified. The form ends with "Copy forwarded to": the Secretary of the registered Trade Union, if any, or of the negotiating union or constituent of the negotiating council; and the concerned Deputy Chief Labour Commissioner (Central).
Note the second copy line. Rule 19 itself speaks of union secretaries; the form also lists the Deputy Chief Labour Commissioner (Central) as a recipient. Follow the form's copy list as well as the rule.
Putting the twenty-one days and the dates together
| Step | Source |
|---|---|
| Serve Form IV on affected workers (electronic, speed post or in person), upload on portal if any | Rule 19(1) |
| Display at main entrance | Rule 19(2) |
| Copy to union secretary or secretaries | Proviso to rule 19 |
| Copy to Deputy Chief Labour Commissioner (Central) | Form IV |
| Change takes effect no earlier than after twenty-one days from giving the notice | s.40(ii) |
The effective date in Form IV should therefore sit after the twenty-one days counted from the date of giving the notice. If you serve notice by different modes on different dates, the safest view is to count from the last of the service steps; the text does not settle the point, so build in margin.
What is a "Third Schedule matter"?
Only changes on matters listed in the Third Schedule need this notice. Read the list in Schedule 3 before deciding whether a proposed change needs a notice at all. If the change is not in the list, section 40 is not triggered, although other obligations, such as contracts or standing orders, may still apply.
Example. A manufacturer in a Central-sphere establishment wants to alter a condition of service falling within the Third Schedule with effect from 1 June. It signs Form IV on 5 May, specifying the change in the annexure, emails it to the affected workers, uploads it on the company's portal, posts it on the electronic board at the main entrance and sends a copy to the union secretary and to the Deputy Chief Labour Commissioner (Central). Twenty-one days from 5 May ends before 1 June, so the effective date is safe. Had it wished to change on 15 May, the notice would have been too late.
Common mistakes
- Giving the notice and making the change on the same day.
- Serving only the union and not the affected workers.
- Forgetting the display at the entrance.
- Using the change-of-shift exception without consulting the Grievance Redressal Committee.
- Assuming the State rules are the same. They may not be.
Need help with a notice of change?
A clean Form IV, with the change stated clearly in the annexure and all copies served, lowers the risk of a dispute. Our labour law compliance team can test whether the change is a Third Schedule matter, prepare the notice and track the twenty-one days.
Key takeaways
- Form IV is the notice of change in service conditions under s.40.
- Serve it on affected workers by electronic means, speed post or in person; upload on the designated portal if any.
- Display it at the main entrance; copy it to union secretaries.
- The change cannot take effect within twenty-one days of the notice (s.40).
- Exceptions exist for settlements, awards, government orders, specified government service rules and an emergent change of shift.
Read next
- Sections 40 and 41: notice of change and exemption
- Schedule 3: conditions of service requiring notice of change
- Forms III, IV and V
- Rules 17 and 18: register and modification of standing orders
Disclaimer: Based on the Industrial Relations Code, 2020 (as enacted) and, where noted, the Industrial Relations (Central) Rules, 2026 (G.S.R. 342(E), 8 May 2026), as on 30 September 2026. The Code is in force from 21 November 2025; some provisions may be notified later, and State Governments make their own rules for establishments where the State is the appropriate Government. Verify the current position before acting.