Based on the Joint Grouping Subcarrier-Permutation Index Modulation-DCSK (GSPIM-DCSK) system, we provide a new two-way multi-user half-duplex cooperative communication system in this work. Given its many benefits, the GSPIM-DCSK modulation is specifically selected as a choice for network coding techniques. A permutation index is used in the GSPIM-DCSK system to incorporate additional data bits with the modulating and carrier index bits. Establishing a cooperative multiuser system where users attempt to make contact with one another over a common relay is the main goal of this effort. Multi-user nodes and a single relay with a cooperative operator on staff for decoding and forwarding make up this system. To avoid interference from other users, the user’s nodes multiplex across various time intervals. We derive analytical expressions for the average bit error rate (BER) of the GSPIM-DCSK multi-user cooperative communication system in the presence of additive white Gaussian noise (AWGN) and multiple paths Rayleigh fading channels. The analytical and simulated average BER findings have been contrasted to verify the accurateness of the average BER analysis. Additionally, a comparison is presented between the average bit error rate (BER) performance of a novel GSPIM-DCSK cooperative system and an established DCSK cooperative system. The throughput and link spectral efficiency of this novel cooperative system are analyzed and compared with those of existing traditional cooperative systems. For the two-way two-user cooperative system, this comparison is done with two-way two-user systems like DCSK-CC and one-way cooperative system based on CIM-SR-DCSK-CC; for the two-way three-user cooperative system, it is done with scheme1 and scheme2. To compare and assess the performance of various systems, simulation results are employed. Furthermore, an analysis demonstrates how the proposed cooperative system, when combined with GSPIM-DCSK techniques, improves the efficiency of conventional cooperative DCSK systems.