Occupational Safety, Health and Working Conditions Code, 2020

The Occupational Safety, Health, and Working Conditions Code (“Code”) is enacted to consolidate and amend the laws regulating the occupational safety, health, and working conditions of the persons employed in an establishment, and for the connected and incidental matters.

Key Objectives

The Code comprises amalgamates, subsumes, and simplifies the below-mentioned laws under its 14 Chapters 143 Sections 3 Schedules.

The following 13 Central Acts will be repealed by this Code:

  • The Factories Act, 1948,
  • The Mines Act, 1952,
  • The Dock Workers (Safety, Health and Welfare) Act, 1986,
  • The Building and Other Construction Workers (Regulation of Employment and Conditions of Service) Act, 1996,
  • The Plantations Labour Act, 1951,
  • The Contract Labour (Regulation and Abolition) Act, 1970,
  • The Inter-State Migrant Workmen (Regulation of Employment and Conditions of Service) Act, 1979,
  • The Working Journalist and other Newspaper Employees (Conditions of Service and Miscellaneous Provision) Act, 1955,
  • The Working Journalist (Fixation of Rates of Wages) Act, 1958,
  • The Motor Transport Workers Act, 1961,
  • The Sales Promotion Employees (Condition of Service) Act, 1976,
  • The Beedi and Cigar Workers (Conditions of Employment) Act, 1966, and
  • The Cine Workers and Cinema Theatre Workers Act, 1981.

State-wise Rules for Occupational Safety, Health and Working Conditions Code

Check out the specifics by clicking on one of the states shown below.

Key Highlights

  • The Code simplifies the registration process prescribing that the establishment having ten or more employees are required to be registered with the registering officer appointed by the appropriate Government thereby minimizing the statutory compliances.
  • Defines factory with increase in the threshold on number of workers from ten and twenty workers to twenty and forty workers respectively and fixed the maximum limit of daily working hours for the factory workers as eight hours per day.
  • Mandates issuance of appointment letters to the employees and workers.
  • Defines core activity of establishment as any activity which is the purpose of constituting an establishment and activities that are incidentally essential and thereby prohibits employment of contract labour in such core activities, however, exempts a few situations such as, (i) the normal functioning of the establishment is such that the activity is ordinarily done through contractor, (ii) the activities are such that they do not require full time workers for the major portion of the day, or (iii) there is a sudden increase in the volume work in the core activity which needs to be completed in a specified time.
  • Expands the list of benefits to the inter-state migrant workman such as the benefits of the insurance and provident fund benefits either in the native state or the state of employment, portability of benefits of the inter-state migrant worker working for building or other construction work out of the building and other construction cess fund in the destination State where such inter-state migrant worker is employed.
  • Mandates free health check-ups for who attained the age of forty five years for prescribed industries such as factories, mines, plantations, workers employed in hazardous process.
  • Introduces the concept of limiting the carryover of annual leaves (paid leaves) to a maximum of 30 days but provision made for encashment of leave in excess of 30 days. Therefore, the concept of leave lapse will cease to exist by virtue of encashment.
  • Introduced the penalty provisions more strictly such as contravention of any provision of the Code shall attract a fine up to Rs. 2 Lakhs to 3 Lakhs.

Applicability

The Central Government will notify in the Official Gazette the date on which the Code will become effective and operational. It may be a single date appointed to bring the entire Code operational, or there may be different dates appointed for different provisions to come into force.

The Code is not applicable to the offices of the Central Government, offices of the State Government and any ship of war of any nationality, provided that the Code shall apply in case of contract labour employed through contractor in the offices of the Central Government or in the offices of the State Government, where the Central Government or, as the case may be, the State Government is the principal employer.

Registration of Establishment

Every employer of any establishment, that comes into existence after the commencement of this Code, and to which this Code is applicable, should, within sixty days from the date of such applicability of this Code, make an application electronically to the registering officer appointed by the appropriate Government for the registration of such establishment.

Any change in the ownership or management or in any that occurs after the registration of an establishment under this Code, should be intimated by the employer electronically to the registering officer within thirty days of such change in such form as may be prescribed and such amendment will be carried out in the certificate of registration electronically.

The employer of an establishment should, within thirty days of the closing of the establishment inform the closing of such establishment and certify payment of all dues to the workers employed in such establishment, to the registering officer and the registration will be cancelled in 60 days.

The employer of an establishment who has not registered the establishment as prescribed in this Code; or has not preferred appeal against the cancellation or revocation of the registration certificate of the establishment or the appeal so preferred has been dismissed, should not employ any employee in such establishment.

The establishment to which this Code applies, that has been already registered under any Central labour law, or any other law that may be notified by the Central Government and that applies to such establishment which is in existence at the time of the commencement of this Code, shall be deemed to have been registered under the provisions of this Code, subject to the condition that the registration holder provides the details of registration to the concerned registering officer within such time and in such form as may be prescribed.

Duties of Employer & Employees

Employers

Every employer should:

  • ensure that workplace is free from hazards which cause or are likely to cause injury or occupational disease to the employees;
  • comply with the occupational safety and health standards declared under the rules, regulations, bye-laws, or orders made under this Code;
  • provide such annual health examination or test free of costs to such employees of such age or such class of employees of establishments or such class of establishments, as may be prescribed by the appropriate Government;
  • provide and maintain, as far as is reasonably practicable, a working environment that is safe and without risk to the health of the employees;
  • ensure the disposal of hazardous and toxic waste including disposal of e-waste;
  • issue a letter of appointment to every employee on his/her appointment in the establishment, with such information and in such form as may be prescribed by the appropriate Government and where an employee has not been issued such appointment letter on or before the commencement of this Code, he/she shall, within three months of such commencement, be issued such appointment letter;
  • ensure that no charge is levied on any employee, in respect of anything done or provided for maintenance of safety and health at workplace including conduct of medical examination and investigation for the purpose of detecting occupational diseases;
  • relating to factory, mine, dock work, building or other construction work or plantation, ensure and be responsible for the safety and health of employees, workers and other persons who are on the work premises of the employer, with or without his knowledge, as the case may be.

Without affecting the above-mentioned, the duties of an employer shall particularly in respect of factory, mines, dock, building or other construction work or plantation include:

  • the provision and maintenance of plant and systems of work in the workplace that are safe and without risk to health;
  • the arrangements in the workplace for ensuring safety and absence of risk to health in connection with the use, handling, storage and transport of articles and substances;
  • the provision of such information, instruction, training, and supervision as are necessary to ensure the health and safety of all employees at work;
  • the maintenance of all places of work in the workplace in a condition that is safe and without risk to health and the provision and maintenance of such means of access to, and egress from, such places as are safe and without such risk;
  • the provision, maintenance or monitoring of such working environment in the workplace for the employees that is safe, without risk to health as regards facilities and arrangements for their welfare at work.

Duties and responsibilities of owner, agent, and manager in relation to mine

The owner and agent of every mine are jointly and severally responsible for making financial and other provisions and for taking such other steps as may be necessary for compliance with the provisions of this Code and the rules, regulations, bye-laws, and orders made thereunder, relating to mine.

In the event of any contravention by any person whosoever of any of the provisions of this Code or of the rules, regulations, bye-laws or orders made thereunder, relating to mine, except those which specifically require any person to do any act or thing or prohibit any person from doing an act or thing, besides the person who contravenes, then, each of the following persons shall also be deemed to be guilty of such contravention unless he/she proves that he/she had used due diligence to secure compliance with the provisions and had taken reasonable means to prevent such contravention, namely, the official or officials appointed to perform duties of supervision in respect of the provisions contravened; the manager of the mine; the owner and agent of the mine; the person appointed, if any, to carry out the responsibility.

Duties of designers, manufacturers, importers, or suppliers

To the extent it is applicable in the course of business carried on and to the matters within his/her control, every person who designs, manufactures, imports, or supplies any article for use in any establishment, should:

  • ensure so far as is reasonably practicable, that the article is so designed and constructed in the establishment as to be safe and without risk to the health of the workers when properly used; carry out or arrange for the carrying out of such tests and examination in the establishment as may be considered necessary to make this effective;
  • take steps as may be necessary to ensure that adequate information will be available:
  • in connection with the use of the article in any establishment;
  • about the use for which such article is designed and tested; and
  • about any conditions necessary to ensure that the article, when put to such use, shall be safe, and without risk to the health of the workers, provided that where an article is designed or manufactured outside India,then it shall be obligatory on the part of the importer to see:
  • that the article conforms to the same standards of such article manufactured in India; or
  • if the standards adopted in the country outside India for the manufacture of such article is above the standards adopted in India, that the article conforms to such standards in such country;
  • if there is no standard of such article in India, then, the article conforms to the standard adopted in the country from where it is imported at its national level.

The designer, manufacturer, importer, or supplier shall also comply with such duties as the Central Government may, in consultation with the National Occupational Safety and Health Advisory Board by regulations specify.

Every person, who undertakes to design or manufacture any article and substance for use in any factory, may carry out or arrange for the carrying out of necessary research with a view to the discovery and, so far as is reasonably, practicable, the elimination or minimisation of any risks to the health or safety of the workers to which the design or manufacture of article and substance may give rise to such risk.

Every person who erects or installs any article for use in a factory, shall ensure, so far as practicable, that such article so erected or installed does not make it unsafe or a risk to health when that article is used by the persons in such factory;

Who manufactures, imports, or supplies any substance for use in any factory should:

  • ensure, so far as practicable, that such substance when used in the factory does not make it unsafe or a risk to health of persons working in such factory;
  • carry out or arrange for carrying out of such tests and examination in relation to such substance as may be necessary;
  • take such steps as are necessary to secure that the information about the results of tests carried out in connection with the use of the substance as referred to in sub-clause (ii) is available in a factory along with conditions necessary to ensure its safe use and no risks to health;
  • who undertakes the manufacture of any substance for use in any factory shall carry out or arrange for carrying out of any necessary research with a view to discover and, so far as practicable, to ensure the elimination or minimisation of any risks to health or safety to which the substance may give rise out of such manufacture * or research;

Explanation:

  • article shall include plant and machinery;
  • substance means any natural or artificial substance whether in a solid or liquid form or in the form of a gas or vapour; and
  • substance for use in any factory means such substance, whether or not intended for use by persons working in a factory.

Duties of architect, project engineer and designer

The architect, project engineer or designer are responsible for any building or other construction work or the design of any project or part thereof relating to such building or other construction work to ensure that, at the planning stage, due consideration is given to the safety and health aspects of the building workers and employees who are employed in the erection, operation and execution of such projects and structures as the case may be.

Adequate care should be taken by the architect, project engineer and other professionals involved in the project, not to include anything in the design which would involve the use of dangerous structures or other processes or materials, hazardous to health or safety of building workers and employees during the course of erection, operation and execution as the case may be.

It shall also be the duty of the professionals, involved in designing the buildings structures or other construction projects, to take into account the safety aspects associated with the maintenance and upkeep of the structures and buildings where maintenance and upkeep may involve such hazards as may be notified by the appropriate Government.

Notice of certain accident, dangerous occurrences, certain diseases

Where at any place in an establishment, an accident occurs which causes death, or which causes any bodily injury by reason of which the person injured is prevented from working for a period of forty-eight hours or more immediately following the accident or which is of such nature as may be prescribed by the appropriate Government, then, employer or owner or agent or manager of such establishment if it is mine; or employer or manager in relation to such establishment if it is factory or relates to dock work; or the employer of a plantation or an establishment relating to building or other construction or any other establishment, should send notice to such authorities, in such manner and within such time, in the prescribed manner.

Where a notice given relates to an accident causing death in a plantation or an establishment relating to building or other construction work or any other establishment, the authority to whom the notice is sent should make an inquiry into the occurrence within two months of the receipt of the notice or if there is no such authority, the Chief Inspector-cum-Facilitator shall cause the Inspector-cum-Facilitator to make an inquiry within the said period.

Where in an establishment there is any dangerous occurrence of such nature, (whether causing any bodily injury or disability, or not) the employer should send notice thereof to such authorities, and in such form and within such time, in the prescribed manner.

Where any worker in an establishment contracts any disease specified in the Third Schedule, the employer of the establishment should send notice to such authorities, within prescribed timeline in the prescribed manner.

If any qualified medical practitioner attends on a person, who is or has been employed in an establishment, and who is, or is believed by the qualified medical practitioner, to be suffering from any disease specified in the Third Schedule, the medical practitioner should without delay send a report in writing to the office of the Chief Inspector-cum-Facilitator in the prescribed manner failing which shall be punishable with penalty which may extend to ten thousand rupees.

Duties of employee

Every employee at workplace should:

  • take reasonable care for the health and safety of himself/herself and of other persons who may be affected by his/her acts or omissions at the workplace;
  • comply with the safety and health requirements specified in the standards;
  • co-operate with the employer in meeting the statutory obligations of the employer under this Code;
  • if any situation which is unsafe or unhealthy comes to his/her attention, as soon as practicable, report such situation to the employer or to the health and safety representative and in case of mine, agent or manager, safety officers or an official for the workplace, who shall report it to the employer in the prescribed manner.
  • not wilfully interfere with or misuse or neglect any appliance, convenience or other thing provided at workplace for the purpose of securing the health, safety, and welfare of workers;
  • not do, wilfully and without reasonable cause, anything, likely to endanger himself/herself or others; and
  • perform such other duties as may be prescribed by the appropriate Government.

Rights of employee

Every employee in an establishment shall have the right to obtain from the employer information relating to employee's health and safety at work and represent to the employer directly or through a member of the Safety Committee as constituted under this Code, if constituted by the employer for such purpose, regarding inadequate provision for protection of the safety or health in connection with the work activity in the workplace,and if not satisfied, to the Inspector-cum-Facilitator.

Where such employee in any workplace has reasonable apprehension that there is a likelihood of imminent serious personal injury or death or imminent danger to health, the employee may bring the same to the notice of his employer directly or through a member of the Safety Committee and simultaneously bring the same to the notice of the Inspector-cum-Facilitator.

The employer or any employee should take immediate remedial action if he/she is satisfied about the existence of such imminent danger and send a report forthwith of the action taken to the Inspector-cum-Facilitator in the manner prescribed.

If the employer is not satisfied about the existence of any imminent danger as apprehended by his employees, he/she shall, nevertheless, refer the matter forthwith to the Inspector-cum-Facilitator whose decision on the question of the existence of such imminent danger shall be final.

National & State Occupational Safety and Health Advisory Board

The Central Government will constitute the National Occupational Safety and Health Advisory Board to discharge the functions conferred on it by or under this Code and to advise the Central Government on the matters relating to:

  • standards, rules, and regulations to be declared or framed under this Code;
  • implementation of the provisions of this Code and the standards, rules and regulations relating thereto;
  • the issues of policy and programme relating to occupational safety and health referred to it, from time to time, by the Central Government; and
  • any other matter in respect of this Code referred to it, from time to time, by the Central Government.

The State Government shall constitute a Board to be called the State Occupational Safety and Health Advisory Board to advise the State Government on such matters arising out of the administration of this Code as may be referred to it by the State Government.

Occupational safety and health standards

The Central Government shall declare, by notification, standards on occupational safety and health for workplaces relating to factory, mine, dock work, beedi and cigar, building and other construction work and other establishments.

Such standards shall relate to:

  • physical, chemical, biological and any other hazards to be dealt with for the working life of employee to ensure to the extent feasible on the basis of the best available evidence or functional capacity, that no employee will suffer material impairment of health or functional capacity even if such employee has regular exposure
  • to such hazards;
  • the norms, appraising the hazards to employees and users to whom such hazards are exposed; relating to relevant symptoms and appropriate energy treatment and proper conditions and precautions of safe use or exposure; for monitoring and measuring exposure of employees to hazards; for medical examination and other tests which shall be made available, by the employer or at his cost, to the employees exposed to hazards; and
  • for hazard evaluation procedures like safety audit, hazard and operability study, fault free analysis, event free analysis and such other requirements;
  • medical examination including criteria for detection and reporting of occupational diseases to be extended to the employees even after he ceases to be in employment, if he is suffering from an occupational disease which arises out of or in the course of employment;
  • such aspects of occupational safety and health relating to workplaces which the Central Government considers necessary on the report of the authority designated by such Government for such purpose;
  • such safety and health measures as may be required having regard to the specific conditions prevailing at the workplaces relating to mine, factory, building and other construction work, beedi and cigar, dock work or any other establishments notified; and
  • matters specified in the Second Schedule to this Code.

Safety Committee and Safety Officers

The appropriate Government may, require any establishment or class of establishments to constitute a Safety Committee consisting of representatives of employers and workers engaged in such establishment in prescribed manner.

In every establishment which is a:

  • factory wherein five hundred workers or more; or
  • factory carrying on hazardous process wherein two hundred fifty workers or more; or
  • building or other construction work wherein two hundred fifty workers or more; or
  • mine wherein one hundred workers or more, are ordinarily employed.

The employer shall also appoint such number of safety officers, who shall possess such qualifications and perform such duties, as may be prescribed by appropriate Government.

Responsibility of employer for maintaining health, safety and working conditions

The employer is responsible to maintain in the establishment such health, safety and working conditions for the employees as may be prescribed by the Central Government. The Central Government may prescribe for providing all or any of the following matters in the establishment or class of establishments, namely:

  • cleanliness and hygiene;
  • ventilation, temperature, and humidity;
  • environment free from dust, noxious gas, fumes, and other impurities;
  • adequate standard of humidification, artificially increasing the humidity of the air, ventilation, and cooling of the air in work rooms;
  • potable drinking water;
  • adequate standards to prevent overcrowding and to provide sufficient space to employees or other persons, as the case may be, employed therein;
  • adequate lighting;
  • sufficient arrangement for latrine and urinal accommodation to male, female, and transgender employee separately and maintaining hygiene therein;
  • effective arrangements for treatment of wastes and effluents; and
  • any other arrangement which the Central Government considers appropriate.

Welfare facilities in the establishment

The employer is responsible to provide and maintain in his establishment such welfare facilities for the employees as may be prescribed by the Central Government, including,

  • adequate and suitable facilities for washing to male and female employees separately;
  • bathing places and locker rooms for male, female, and transgender employees separately;
  • place of keeping clothing not worn during working hours and for the drying of wet clothing;
  • sitting arrangements for all employees obliged to work in a standing position;
  • facilities of canteen in an establishment for employees thereof, wherein one hundred or more workers including contract labourers are ordinarily employed;
  • in case of mines, medical examination of the employees employed or to be employed in the mines, before their employment and at specific intervals;
  • adequate first-aid boxes or cupboards with contents readily accessible during all working hours; and
  • any other welfare measures which the Central Government considers, under the set of circumstances, as required for decent standard of life of the employees.

The Central Government may also prescribe for the following matters, namely:

  • ambulance room in every factory, mine, building or other construction work wherein more than five hundred workers are ordinarily employed;
  • medical facilities at the operating centres and halting stations, uniforms, raincoats, and other like amenities for protection from rain or cold for motor transport workers;
  • adequate, suitable, and separate shelters or rest-rooms for male, female and transgender employees and lunch-room in every factory and mine wherein more than fifty workers are ordinarily employed and in motor transport undertaking wherein employee is required to halt at night;
  • the appointment of welfare officer in every factory, mine, or plantation wherein two hundred and fifty or more workers are ordinarily employed and the qualification, conditions of service and duties of such welfare officer;
  • for providing by the employer temporary living accommodation, free of charges and within the work site or as near to it as may be possible, to all building workers employed by him and for causing removal or demolition of such temporary living accommodation and for returning by the employer the possession of any land obtained by him for such purpose from Municipal Board or any other local authority;
  • for payment by the principal employer the expenses incurred on providing the accommodation to the contractor, where the building or other construction work is done through the contractor;
  • any other matter which may be prescribed.

The Central Government may make rules to provide for the facility of creche having suitable room or rooms for the use of children under the age of six years of the employees at suitable location and distance either separately or along with common facilities in establishments wherein more than fifty workers are ordinarily employed, provided that an establishment can avail common crèche facility of the Central Government, State Government, municipality or private entity or provided by non-Governmental organisation or by any other organisation or group of establishments may pool their resources for setting up of common crèche in the manner as they may agree for such purpose.

Hours of Work and Annual Leave with Wages

No worker shall be required or allowed to work, in any establishment or class of establishment for more than:

  • eight hours in a day; and
  • the period of work in each day shall be so fixed, as not to exceed such hours, with such intervals and spread overs , as may be notified by the appropriate Government:

Subject to the above, in the case of mines,

  • the persons employed below ground in a mine shall not be allowed to work for more than such hours as may be notified by the Central Government in any day;
  • no work shall be carried on below ground in any mine except by a system of shifts so arranged that the period of work for each shift is not spread over more than the daily maximum hours as mentioned above;
  • no person employed in a mine shall be allowed to be present in any part of a mine below ground except during the periods of work shown in respect of him in the register maintained.

The hours of work in case of motor transport worker include:

  • the time spent in work done during the running time of the transport vehicle;
  • the time spent in subsidiary work; and
  • period of mere attendance at terminals of less than fifteen minutes.

Explanation:

Running time in relation to a working day means the time from the moment a transport vehicle starts functioning at the beginning of the working day until the moment when the transport vehicle ceases to function at the end of the working day, excluding any time during which the running of the transport vehicle is interrupted for a period exceeding such duration as may be prescribed by the Central Government during which period the persons who drive, or perform any other work in connection with the transport vehicle are free to dispose of their time as they please or are engaged in subsidiary work;

Subsidiary work means the work in connection with a transport vehicle, its passengers or its load which is done outside the running time of the transport vehicle, including in particular:

  • the work in connection with accounts, paying of cash, signing of registers, handover of service sheets, the checking of tickets and other similar work;
  • taking over and garaging of the transport vehicles; travelling from the place where a person signs on to the place where he takes over the transport vehicle and from the place where he leaves the transport vehicle to the place where he signs off;
  • work in connection with the upkeep and repair of the transport vehicle; and
  • the loading and unloading of the transport vehicle.

Period of mere attendance means the period during which a person remains at his post solely in order to reply to possible calls or to resume action at the time fixed in the duty schedule.

The hours of work for working journalist shall, subject to a maximum of one hundred and forty-four hours of work during any period of four consecutive weeks and a period of not less than twenty-four consecutive hours of rest during any period of seven consecutive days, be such as may be prescribed by the Central Government.

A sales promotion employee or the working journalist,in addition to such holidays, casual leave, or other kinds of leave as may be prescribed by the Central Government, shall be granted, if requested for:

  • earned leave on full wages for not less than one-eleventh of the period spent on duty;
  • leave on medical certificate on one-half of the wages for not less than one-eighteenth of the period of service;
  • may accumulate earned leave up to such maximum limit as may be prescribed by the Central Government;
  • shall be entitled for the limit up to which the earned leave may be either encashed or availed of at a time by him and the reasons for which such limit may be exceeded shall be such as may be prescribed by the Central Government;

shall,

  • when he voluntarily relinquishes his post or retires from service; or
  • when his services are terminated for any reason whatsoever (not being termination as punishment),
  • be entitled to cash compensation, subject to such conditions and restrictions as may be prescribed by the Central Government (including conditions by way of specifying the maximum period for which such cash compensation shall be payable), in respect of the earned leave earned by him and not availed of;
  • who dies while in service, his heirs shall be entitled to cash compensation for the earned leave earned by him and not availed of his heirs shall be paid the cash compensation in respect of any period of earned leave for which he or his heirs, is or are entitled to cash compensation which shall be an amount equal to the wages due to him for such period.

The working hours of an adolescent worker shall be regulated in accordance with the provisions of the Child and Adolescent Labour (Prohibition and Regulation) Act, 1986.

Weekly and compensatory holidays

No worker shall be allowed to work in an establishment for more than six days in any one week: Provided that in any motor transport undertaking, an employer may, in order to prevent any dislocation of a motor transport service, require a worker to work on any day of weekly holiday which is not a holiday so arranged that the worker does not work for more than ten days consecutively without a holiday for a whole day intervening.

Extra wages for overtime

There shall be paid wages at the rate of twice the rate of wages in respect of overtime work, where a worker works in an establishment or class of establishment for more than such hours of work in any day or in any week as may be prescribed by the appropriate Government and the period of overtime work shall be calculated on a daily basis or weekly basis, whichever is more favourable to such worker, provided that a worker shall be required to work overtime by the employer subject to the consent of such worker for such work: provided further that the appropriate Government may prescribe the total number of hours of overtime.

Night shifts

Where a worker in an establishment works on a shift which extends beyond midnight,

  • for the purposes of section 26, a weekly holiday for a whole day shall mean in his case a period of twenty-four consecutive hours beginning when his shift ends;
  • the following day for him shall be deemed to be the period of twenty-four hours beginning when such shift ends, and the hours he has worked after midnight shall be counted in the previous day.

Prohibition of overlapping shifts

The work shall not be carried on in any establishment by means of a system of shifts so arranged that more than one relay of workers is engaged in work of the same kind at the same time.

The appropriate Government or subject to the approval of the appropriate Government, the Chief Inspector-cum-Facilitator, may, by written order and for the reasons specified therein, exempt on such conditions as may be deemed expedient, any establishment or class of establishments or any department or section of an establishment or any category or description of workers therein provided that the provisions of this sub-section shall not apply to mines.

Restriction on double employment in factory and mine

No worker shall be required or allowed to work in a mine or factory if he has already been working in any other such similar establishment within the preceding twelve hours, save in such circumstances as may be prescribed by the appropriate Government.

Notice of periods of work

There shall be displayed and correctly maintained in every establishment a notice of periods of work, showing clearly for every day the periods during which workers may be required to work in accordance with the provisions of this Code.

The form of notice required, the manner of display of such notice and the manner in which such notice shall be sent to the Inspector-cum-Facilitator shall be such as may be prescribed by the appropriate Government.

Any proposed change in the system of work in any establishment which will necessitate a change in the notice shall be intimated to the Inspector-cum-Facilitator before the change is made, and except with the previous sanction of the Inspector-cum-Facilitator, no such change shall be made until one week has elapsed since that last change.

Annual leave with wages

Every worker employed in an establishment shall be entitled for leave in a calendar year with wages subject to the following conditions, namely:

  • that he has worked one hundred and eighty days or more in such calendar year;

  • that he shall be entitled for one-day leave for every twenty days of his work, in the case of adolescent worker for fifteen days of his work, and in case of worker employed below ground mine, at the rate of one day for every fifteen days of his work, in such calendar year;

  • any period of layoff, maternity leave or annual leave availed by such worker in such calendar year shall be counted for calculating the period of one hundred and eighty days or more, but he shall not earn leave for the period so counted;

  • any holidays falling between the leave availed by such worker (in a calendar year or prefixed or suffixed holiday) shall be excluded from the period of leave so availed;

  • in case of such worker whose service commences otherwise than on the first day of January shall be entitled to leave with wages at the rate specified, if he has worked for one-fourth of the total number of days in the remainder of the calendar year;

  • in case such worker is discharged or dismissed from service or quits employment or is superannuated or dies while in service, during the course of the calendar year, such worker or his heir or nominee, shall be entitled to wages in lieu of the quantum of leave to which such worker was entitled immediately before his discharge, dismissal, quitting of employment, superannuation, or death, calculated as specified in preceding clauses, even:

  • if such worker has not worked for the required period under this sub-section making such worker eligible to avail such leave, and such payment shall be made;

  • where such worker is discharged or dismissed or quits employment before the expiry of the second working day from the date of such discharge, dismissal or quitting; and

  • where such worker is superannuated or dies while in service, before the expiry of two months from the date of such superannuation or death;

  • if such worker does not in any one calendar year take the whole of the leave allowed to him under this sub-section and the rules made thereunder, then, any leave not taken by him shall be added to the leave to be allowed to him in the succeeding calendar year so that:

  • the total number of days of leave that may be carried forward to a succeeding year shall not exceed thirty days; and

  • such worker, who has applied for leave with wages but has not been given such leave in accordance with this sub-section and the rules made thereunder shall be entitled to carry forward the leave refused without any limit;

  • such worker shall be entitled on his demand for encashment of leave at the end of calendar year;

  • such worker shall be entitled, where his total number of leave exceeds thirty days to encash such exceeded leave.

These provisions not operate to the prejudice of any right to which a person employed in a mine may be entitled under any other law or under the terms of any award, agreement or contract of service: Provided that if such award, agreement or contract of service, provides for longer annual leave with wages than that provided the quantum of leave, which the person employed shall be entitled to, shall be in accordance with such award, agreement or contract of service but leave shall be regulated in accordance with the aforesaid provisions with respect of matters not provided for in such award, agreement, or contract of service: Provided further that where the Central Government is satisfied that the leave rules applicable to persons employed in any mine provide benefits which in its opinion are not less favourable than those stated above it may, by order in writing and subject to such conditions as may be specified therein exempt the mine from all or any of the aforesaid provisions.

Maintenance of Registers, Records, and Returns

An employer of an establishment should:

  • maintain register in prescribed form, electronically or otherwise, containing such particulars of workers as may be prescribed by the appropriate Government including,

  • work performed by them;

  • number of hours of work constituting normal working hours in a day;

  • day of rest allowed in every period of seven days;

  • wage paid and receipts given therefor;

  • leave, leave wages, overtime work, attendance, and dangerous occurrences; and

  • employment of adolescent;

  • display notices at the work place of the workers in such manner and form as may be prescribed by the appropriate Government;

  • issue wage slips to the workers, in electronic forms or otherwise; and

  • file such return electronically or otherwise to the Inspector-cum-Facilitator in such manner and during such periods as may be prescribed by the appropriate Government.

Inspector-Cum-Facilitators and Other Authorities

The appropriate Government may appoint Inspector-cum-Facilitators who shall exercise the powers conferred on them throughout their respective jurisdiction and apart from other duties to be discharged by them, may conduct web-based inspection and calling of information under this Code, electronically as specified.

Special Provision relating to Women employment

Women shall be entitled to be employed in all establishments for all types of work under this Code and they may also be employed, with their consent before 6 a.m. and beyond 7 p.m. subject to such conditions relating to safety, holidays and working hours or any other condition to be observed by the employer as may be prescribed by the appropriate Government.

Where the appropriate Government considers that the employment of women is dangerous for their health and safety, in an establishment or class of establishments or in any particular hazardous or dangerous processes in such establishment or class of establishments, due to the operation carried out therein, such Government may in the prescribed manner, require the employer to provide adequate safeguards prior to the employment of women for such operation.

Special Provisions for Contract Labour and Inter-State Migrant Workers

Contract Labour

These provisions apply to:

  • every establishment in which fifty or more contract labours are employed or were employed on any day of the preceding twelve months through contract;
  • every manpower supply contractor who has employed, on any day of the preceding twelve months, fifty or more contract labour.

These provisions do not apply to the establishment in which work only of an intermittent or casual nature is performed: Provided that if a question arises as to whether work performed in an establishment is of an intermittent or casual nature, the appropriate Government shall decide that question after consultation with the National Board or a State Advisory Board and its decision thereon shall be final.

Explanation: Work performed in an establishment shall not be deemed to be of an intermittent nature:

  • if it was performed for more than one hundred and twenty days in the preceding twelve months; or
  • if it is of seasonal character and is performed for more than sixty days in a year.

No contractor to whom these provisions apply shall supply or engage contract labour in any establishment; or undertake or execute the work through contract labour, except under and in accordance with a licence issued to him by the authority. Where the contractor does not fulfil the requisite qualifications or criteria the authority may issue work specific licence electronically renewable within such period as may be prescribed by the Central Government to supply or engage the contract labour, or execute the work through contract labour, only for the concerned work order as may be specified in such licence and subject to such conditions as may be specified in such licence.

The contractor shall not charge directly or indirectly, in whole or in part, any fee or commission from the contract labour.

Prohibition of employment of contract labour

The Code prohibits, employment of contract labour in core activities of any establishment except where the principal employer may engage contract labour through a contractor to any core activity, if:

  • the normal functioning of the establishment is such that the activity is ordinarily done through contractor; or
  • the activities are such that they do not require full time workers for the major portion of the working hours in a day or for longer periods, as the case may be;
  • any sudden increase of volume of work in the core activity which needs to be accomplished in a specified time.

If a question arises as to whether any activity of an establishment is a core activity or otherwise, the aggrieved party may make an application in such form and manner as may be prescribed, to the appropriate Government for decision; the appropriate Government may refer any such question suo motu or refer the application to the designated authority, which on the basis of relevant material in its possession, or after making such an enquiry as it deems fit, shall report to the appropriate Government, within such period and thereafter the appropriate Government shall decide the question within such period as may be prescribed.

Inter-State Migrant Workers

These provisions apply to every establishment in which ten or more inter-State migrant workers are employed or were employed on any day of the preceding twelve months.

It shall be the duty of every contractor or the employer, of an establishment employing inter-State migrant workers in connection with the work of that establishment:

  • to ensure suitable conditions of work to such worker having regard to the fact that he is required to work in a State different from his own State;
  • in case of fatal accident or serious bodily injury to any such worker, to report to the specified authorities of both the States and also the next of kin of the worker;
  • to extend all benefits to such worker which are available to a worker of that establishment including benefits under the Employees' State Insurance Act, 1948 or the Employees' Provident Funds and Miscellaneous Provisions Act, 1952 or any other law for the time being in force and the facility of medical check-up as available
  • to a worker under this Code.

The employer shall pay to every inter-State migrant worker employed in his establishment, in a year a lump sum amount of fare for to and fro journey to his native place from the place of his employment, in the manner taking into account the minimum service for entitlement, periodicity and class of travel and such other matters as may be prescribed by the appropriate Government.

The appropriate Government shall make schemes to provide:

  • option to an inter-State migrant worker for availing benefits of public distribution system either in his native State or the destination State where he is employed; and
  • for portability of the benefits of the inter-State migrant worker working for building or other construction work out of the building and other construction cess fund in the destination State where such inter-State migrant worker is employed.

Audio-Visual Workers

No person shall be employed as an audio-visual worker in or in connection with production of any audio-visual programme unless,

  • an agreement in writing is entered into

  • with such person by the producer of such audio-visual programme; or

  • with such person by the producer of such audio-visual programme with the contractor, where such person is employed through such contractor; or

  • with such person by the contractor or other person through whom such person is employed; and

  • such agreement is registered with the competent authority, to be notified by the appropriate Government, by the producer of such audio-visual programme.

Every such agreement shall,

  • be in the prescribed form;
  • specify the name and such other particulars as may be prescribed by the appropriate Government with respect to, such person to be employed under the agreement as audio-visual worker;
  • include, where such audio-visual worker is employed through a contractor, a specific condition to the effect that in the event of the contractor failing to discharge his obligations under the agreement to the audio-visual worker with respect to payment of wages or any other matter, the producer of the audio-visual programme shall also be liable to discharge such obligations and shall be entitled to be reimbursed with respect thereto by the contractor.

A copy of such agreement with respect to the employment of the audio-visual worker shall, if such audio-visual worker is covered under the provision of an enactment for the time being in force for providing the benefit of provident fund to him, also be forwarded by the producer of the audio-visual programme to such authority as may be prescribed by the appropriate Government.

The agreement shall include,—

  • nature of assignment;
  • wages and other benefits (including provident fund, if covered under the Employees’ Provident Fund and Miscellaneous Provisions Act, 1952);
  • health and working conditions;
  • safety;
  • hours of work;
  • welfare facilities; and
  • dispute resolution process or mechanism, the constitution and other details of which shall be prescribed by the appropriate Government: Provided that in case of failure of the resolution of the dispute in such dispute resolution process or mechanism, either party in the dispute may invoke the jurisdiction of the Industrial Tribunal established by the appropriate Government under section 7A of the Industrial Disputes Act, 1947 and for such purpose such dispute shall be deemed to be industrial dispute within the meaning of that Act and it shall be the responsibility of the producer of the audio-visual programme to provide the facilities specified in the agreement to the audio-visual worker and the payment of wages shall be through electronic mode.

Mines

Every mine shall be under a sole manager who shall have such qualifications as may be prescribed by the Central Government and the owner or agent of every mine shall appoint a person having such qualifications to be the manager: Provided that the owner or agent may appoint himself as manager if he possesses the prescribed qualifications.

Subject to any instructions given to him by or on behalf of the owner or agent of the mine, the manager shall be responsible for the overall management, control, supervision, and direction of the mine and all such instructions when given by the owner or agent shall be confirmed in writing forthwith.

Except in case of an emergency, the owner or agent of a mine or anyone on his behalf shall not give, otherwise than through the manager, instructions affecting the fulfilment of his statutory duties, to a person, employed in a mine, who is responsible to the manager.

The provisions of this Code, except those contained in sections 35, 38, 40, 41 and 44, shall not apply to:

  • any mine or part thereof in which excavation is being made for prospecting purposes only and not for the purpose of obtaining minerals for use or sale subject to such conditions relating to number of employees, depth of excavation and other matters as may be prescribed by the Central Government;
  • any mine engaged in the extraction of kankar, murrum, laterite, boulder, gravel, shingle, ordinary sand (excluding mouldings and glass sand and other mineral sands), ordinary clay (excluding kaolin, China clay, white clay, or fire clay), building stone, slate, road metal, earth, fullers earth (marl, chalk) and lime stone subject to such conditions relating to workings, open cast workings and explosives as may be prescribed by the Central Government.

In case of an emergency involving serious risk to the safety of the mine or of persons employed therein, or in case of an accident, whether actual or apprehended, or in case of any act of God or in case of any urgent work to be done to machinery, plant or equipment of the mine as a result of breakdown of such machinery plant or equipment, the manager may, subject to the provisions of the Code as may be necessary to protect the safety of the mine or of the persons employed therein: Provided that in case of any urgent work to be done to machinery, plant or equipment under this section, the manager may take the action permitted by this section, although the production of mineral would thereby be incidentally affected, but any action so taken shall not exceed the limits necessary for the purpose of avoiding serious interference with the ordinary working of the mine.

No person below eighteen years of age shall be allowed to work in any mine or part thereof. The apprentices and other trainees, not below sixteen years of age, may be allowed to work, under proper supervision, in a mine or part thereof by the manager: Provided that in the case of trainees, other than apprentices, prior approval of the Chief Inspector-cum-Facilitator or an Inspector-cum-Facilitator shall be obtained before they are allowed to work.

The Central Government may prescribe the provisions for medical examination of apprentice, other trainee, and employee in the mine to ensure their fitness to work and to prevent the persons below sixteen years of age to work as apprentice or trainee and those who are not adults to work as such employee.

Beedi and Cigar Workers

No employer shall use or allow to use any place or premises as an industrial premises unless he holds a valid licence issued under this Code for the purposes of these provisions, and no such premises shall be used except in accordance with the terms and conditions of such licence.

Subject to the provisions of section 119, any person who intends to use or allows to use any place or premises shall make an application to the authority in prescribed manner, for a licence to use, or allow to use, such premises as an industrial premises. Such application shall specify the maximum number of employees proposed to be employed at any time of the day in the place or premises and shall be accompanied by a plan of the place or premises prepared. The authority, in deciding whether to grant or refuse to grant a licence, have regard to:

  • the suitability of the place or premises which is proposed to be used for the manufacture of beedi or cigar or both;
  • previous experience of the applicant or he has employed experienced person or has entered into agreement with the experienced person for employment for the period of licence;
  • the financial resources of the applicant including his financial capacity to meet the demands arising out of the provisions of the laws for the time being in force relating to welfare of labour;
  • whether the application is made bona fide on behalf of the applicant himself or in benami of any other person;
  • welfare of the labour in the locality, the interest of the public generally and such other matters as may be prescribed by the State Government.

A licence granted shall be valid for five years and may be renewed thereafter. An application for the renewal of a licence for the purposes of these provisions shall be made at least thirty days before the expiry of the period thereof, on payment of such fees as may be prescribed by the State Government, and where such an application has been made, the licence shall be deemed to continue, notwithstanding the expiry of the period thereof, until the renewal of the licence, or, as the case may be, the rejection of the application for the renewal thereof: Provided that the authority shall not grant or renew a licence unless it is satisfied that the provisions of this Part and the rules made thereunder have been complied with.

Nothing contained in this Part shall apply to the owner or occupier of a private dwelling house, not being an employee of an employer to whom this Part applies, who carries on any manufacturing process in such private dwelling house with the assistance of the members of his family living with him in such dwelling house and dependent on him.

Explanation:

Family does not include child, as defined in the Child and Adolescent (Prohibition and Regulation) Act, 1986, for this section; Private dwelling house means a house in which persons engaged in the manufacture of beedi or cigar or both reside.

Building or Other Constructions Workers

No person, about whom the employer knows or has reasons to believe that he is a deaf or he has a defective vision, or he has a tendency to giddiness, shall be required or allowed to work in any such operation of building or other construction work which is likely to involve a risk of any accident either to the building worker himself or to any other person.

Factories

The appropriate Government may make rules in respect of factory or class or description of factories for:

  • the submission of plans including specifications, nature, and certification thereof;
  • the previous permission for the site on which the factory is to be situated and for the construction or extension thereof; and
  • subject to the provision of sub-section 119, licensing and renewal thereof including fees to be payable for such, licensing, and renewal, if required, as the case may be.

If on an application for permission accompanied by the plans and specifications required by the rules, sent to the State Government or Chief Inspector-cum-Facilitator in the electronic mode, no order is communicated to the applicant within such period not exceeding thirty days, the permission applied for in the said application shall be deemed to have been granted.

Where a State Government or a Chief Inspector-cum-Facilitator refuses to grant permission to the site, construction or extension of a factory and licensing of a factory, the applicant may within thirty days of the date of such refusal appeal to the Central Government if the decision appealed from was of the State Government and to the State Government in any other case.

Explanation: A factory shall not be deemed to be extended within the meaning of this section by reason only of the replacement of any plant or machinery or within such limits as may be prescribed, of the addition of any plant or machinery if such replacement or addition does not reduce the minimum clear space required for safe working around the plant or machinery or adversely affect the environmental conditions from the evolution or emission of steam, heat or dust or fumes injurious to health.

Where any premises or separate buildings are leased to different occupiers for use as separate factories, the owner of the premises and occupiers of the factories utilising such common facilities which include safety and fire prevention and protection,access, hygiene, occupational health, ventilation, temperature, emergency preparedness and response, canteens, shelter, rest rooms and crèches shall jointly and severally be responsible for provision and maintenance of such common facilities and services as may be prescribed by the appropriate Government.

The appropriate Government may by rules make the provisions relating to any factory or class or description of factories in which manufacturing process or operation is carried on which exposes any of the persons employed in it to a serious risk of bodily injury, poisoning or disease, for:

  • specifying the manufacturing process or operation and declaring it to be dangerous;
  • prohibiting or restricting the employment of pregnant women in the manufacturing process or operation;
  • the periodical medical examination before, or at any time during the employment to ascertain the fitness of a worker or employee for such employment on the cost of the occupier; and
  • welfare amenities, sanitary facilities, protective equipment and clothing, and any other requirement necessary for dangerous operations.

The occupier of every factory involving a hazardous process shall disclose in the manner prescribed by the State Government all information regarding dangers, including health hazards and the measures to overcome such hazards arising from the exposure to or handling of the materials or substances in the manufacture, transportation, storage and other processes, to the workers employed in the factory, the Chief Inspector-cum-Facilitator or Inspector-cum-Facilitator, the local authority within whose jurisdiction the factory is situate and the general public in the vicinity.

The occupier shall, at the time of registering the factory involving a hazardous process, lay down a detailed policy with respect to the health and safety of the workers employed therein and intimate such policy to the Chief Inspector-cum-Facilitator or Inspector-cum-Facilitator and the local authority and, thereafter, at such intervals as may be prescribed by the State Government, inform the Chief Inspector-cum-Facilitator or Inspector-cum-Facilitator and the local authority of any change made in the said policy.

The information furnished shall include accurate information as to the quantity, specifications and other characteristics of wastes and the manner of their disposal.

Every occupier shall, with the approval of the Chief Inspector-cum-Facilitator, draw up an on-site emergency plan and detailed disaster control measures for his factory and make known to the workers employed therein and to the general public living in the vicinity of the factory the safety measures required to be taken in the event of an accident taking place.

Every occupier of a factory shall, if such factory proposes to engage in a hazardous process at any time after the commencement of this Code, within a period of thirty days before the commencement of such process, inform the Chief Inspector-cum-Facilitator about the nature and details of the process in such form and in such manner as may be prescribed by the State Government. Where any occupier of a factory contravenes this provision the licence issued to such factory shall, notwithstanding any penalty to which the occupier of factory shall be subjected to under the provisions of this Code, be liable for cancellation.

The occupier of a factory involving a hazardous process shall, with the previous approval of the Chief Inspector-cum-Facilitator, lay down measures for the handling, usage, transportation, and storage of hazardous substances inside the factory premises and the disposal of such substances outside the factory premises and publicise them in the manner prescribed by the State Government among the workers and the general public living in the vicinity.

Every occupier of a factory involving any hazardous process should:

  • maintain accurate and up-to-date health records or, as the case may be, medical records, of the workers in the factory who are exposed to any chemical, toxic or any other harmful substances which are manufactured, stored, handled, or transported and such records shall be accessible to the workers subject to such conditions as may be prescribed by the State Government;
  • appoint persons who possess prescribed qualifications and experience in handling hazardous substances and are competent to supervise such handling within the factory and to provide at the working place all the necessary facilities for protecting the workers in the manner prescribed by the State Government: Provided that where any question arises as to the qualifications and experience of a person so appointed, the decision of the Chief Inspector-cum-Facilitator shall be final;
  • provide for medical examination of every worker:-
  • before such worker is assigned to a job involving the handling of, or working with, a hazardous substance; and
  • while continuing in such job, and after he has ceased to work in such job, at intervals not exceeding twelve months, in such manner as may be prescribed by the State Government.

Plantation

The State Government may prescribe requiring every employer to make provisions in his plantation for:

  • necessary housing accommodation including drinking water, kitchen and toilet to every worker employed in the plantation (including his family);
  • crèches facilities where in the plantation fifty or more workers (including workers employed by any contractor) are employed or were employed on any day of the preceding twelve months:

Provided that,

  • an establishment may avail common crèche facility of the Central Government, State Government, municipality, or private entity or provided by non-Governmental organisation or by any other organisation; or
  • a group of establishments may agree to pool their resources for setting up of common crèche;
  • educational facilities for the children of the workers employed in the plantation where the children between the ages of six to twelve of the workers exceed twenty-five in number;
  • health facilities to every worker employed in the plantation (including his family) or provide coverage under the Employees State Insurance Act, 1948; and
  • recreational facilities for the workers employed in the plantation.

An employer of a plantation shall be responsible to provide and maintain welfare facilities for which the workers in the plantation are entitled under this Code either from his own resources or through the schemes of the Central Government or State Government, Municipality or Panchayat for the locality in which the plantation is situated.

In every plantation, arrangement shall be made by the employer to provide for the safety of a worker in connection with the use, handling, storage and transport of insecticides, pesticides and chemicals and toxic substances.

The State Government may prescribe for special safeguards for employment of women or adolescents in using or handling hazardous chemicals.

The employer of a plantation shall appoint persons possessing the prescribed qualifications to supervise the use, handling, storage and transportation of insecticides, chemicals, and toxic substances in his plantation.

Every employer of a plantation shall ensure that every worker in plantation employed for handling, mixing, blending, and applying insecticides, chemicals, and toxic substances, is trained about the hazards involved in different operations in which he is engaged, the various safety measures and safe work practices to be adopted in emergencies arising from spillage of such insecticides, chemicals and toxic substances and such other matters as may be prescribed by the State Government.

Every worker in a plantation who is exposed to insecticides, pesticides, chemicals, and toxic substances shall be medically examined periodically, in such manner as may be prescribed by the State Government.

Every employer of a plantation shall maintain health record of every worker in plantation who is exposed to insecticides, pesticides, chemicals, and toxic substances which are used, handled, stored, or transported in a plantation, and every such worker shall have access to such record.

Every employer of a plantation shall provide washing, bathing, and clock room facilities; and protective clothing and equipment, to every worker engaged in the handling insecticides, pesticides, chemicals, and toxic substances in such manner as may be prescribed by the State Government.

Every employer of a plantation shall display in the plantation, a list of permissible concentrations of insecticides, pesticides, chemicals, and toxic substances in the breathing zone of the workers engaged in the handling and application of insecticides, pesticides, chemicals, and toxic substances in the plantation.

Every employer of a plantation shall exhibit such precautionary notices in the plantation as may be prescribed by the State Government indicating the hazards of insecticides, pesticides, chemicals, and toxic substances.

Offences and Penalties

Any establishment, if contravenes the provisions of this Code or regulations or rules, or bye-laws or any of standards, made thereunder or of any order in writing given under this Code or such regulations or rules or bye-laws or standards, the employer or the principal employer of the establishment, as the case may be, shall be liable to penalty which shall not be less than two lakhs rupees but which may extend up to three lakh rupees, and if the contravention is continued after the conviction, then, with further penalty which may extend to two thousand rupees for each day till such contravention continues.

Whoever wilfully:

  • prevents or causes obstruction to a Chief Inspector-cum-Facilitator or Inspector-cum-Facilitator or an officer of the appropriate Government or a person authorised to discharge any duty or to exercise any powers under this Code or the rules or the regulations or the bye-laws made thereunder from discharging such duty or exercising such power; or
  • refuses entry to the Chief Inspector-cum-Facilitator or the Inspector-cum-Facilitator or person or public authority referred to in section 35 (1) (i) or expert referred to in section 37, to any place where such Chief Inspector-cum-Facilitator or Inspector-cum-Facilitator or such person or authority or expert is entitled to enter; or
  • fails or refuses to produce any document which he is required to produce; or (iv) fails to comply with any requisition or order issued to him, under this Code or the rules, regulations or bye-laws made thereunder he shall be punishable with imprisonment for a term which may extend to three months, or with fine which may extend to one lakh rupees, or with both. Where any person convicted of an offence punishable as mentioned here, if is again convicted of an offence under the same provision, then, he shall be punishable with imprisonment for a term which may extend to six months, or with fine which shall not be less than one lakh rupees, but which may extend to two lakh rupees, or with both.

Any person, who is required under this Code or the rules or regulations or bye-laws or order made thereunder, to maintain any register or other document or to file returns, omits or fails to maintain such register or document or to file such returns; or produce any register or plan or record or report or any other document, omits or fails to produce such register or plan or record or report or such other document, he shall be liable to penalty which shall not be less than fifty thousand rupees, but which may extend to one lakh rupees. Where any person convicted of an offence punishable as mentioned here, if is again convicted of an offence under the same provision, then, he shall be liable to penalty which shall not be less than fifty thousand rupees, but which may extend to two lakh rupees.

Any person, who, save as permitted by or under this Code, contravenes, any provision of this Code or of any rule, regulation, or bye-laws; or order made under this Code prohibiting, restricting, or regulating the employment of workers including women, audio-visual worker and contract labour and employee below eighteen years of age in case of mines he shall be liable to penalty which shall not be less than fifty thousand rupees, but which may extend to one lakh rupees. Where any person convicted of an offence punishable as mentioned here, if is again convicted of an offence under the same provision, then, he shall be punishable with imprisonment for a term which may extend to three months, or with fine which may extend to two lakh rupees, or with both.

Whoever:

  • produces false records or counterfeits or knowingly makes or produces or uses a false statement, declaration or evidence regarding any document in connection with compliance of any of the provisions of this Code or any rules, regulations or bye-laws or any order made thereunder; or
  • falsifies any plan or section, the maintenance of which is required by or under this Code or produces before any authority such plan or section, knowing the same to be false; or
  • makes, gives or delivers knowingly a false plan, section, return, notice, record or report containing a statement, entry or detail, he shall be punishable with imprisonment for a term which may extend to three months, or with fine which may extend to one lakh rupees, or with both.

Where any person convicted of an offence punishable as mentioned here, if is again convicted of an offence under the same provision, then, he shall be punishable with imprisonment for a term which may extend to six months, or with fine which shall not be less than one lakh rupees, but which may extend to two lakh rupees, or with both.

Any person who, without reasonable excuse the burden of proving which shall lies upon him, omits to make, or furnish in the prescribed form or manner or at, or within, the prescribed time any plan, section, return, notice, register, record, or report required by or under any provision of this Code to be made or furnished, he shall be liable to penalty which shall not be less than one lakh rupees, but which may extend to two lakh rupees.

Whoever being the Chief Inspector-cum-Facilitator or Inspector-cum-Facilitator, or any other person referred to in section 39 or section 121 discloses, contrary to the provisions of that section, any such information as is referred to in that section without the consent of the appropriate Government, he shall be punishable with imprisonment for a term which may extend to three months, or with fine which may extend to one lakh rupees,or with both.

Whoever, except in so far as it may be necessary for the purposes of a prosecution for any offence punishable under this Code, publishes or discloses to any person the results of an analysis, of a sample of substance used or intended to be used in any process under this Code, shall be punishable with imprisonment for a term, which may extend to six months, or with fine, which may extend to fifty thousand rupees, or with both.

Whoever fails to comply with or contravenes any of his duties specified under section 6(1) or (2) (a) to (h) or section 13 (d) in so far as such duty relates to hazardous processes; or section 80, shall, in respect of such failure or contravention, be punishable with an imprisonment for a term which may extend to two years and with fine which may extend to five lakh rupees, and in case the failure or contravention continues, with additional fine which may extend to twenty-five thousand rupees for every day during which such failure or contravention continues, after the conviction for the first such failure or contravention. If the failure or contravention referred here continues beyond a period of one year after the date of conviction, the offender shall be punishable with imprisonment for a term which may extend to three years or with a fine of twenty lakh rupees, or with both.

If a person fails to comply with or contravenes any duties under this Code or the regulations, rules, bye-laws or orders made thereunder and such non-compliance or contravention has resulted in an accident or dangerous occurrences causing:

  • death, he shall be punishable with imprisonment for a term which may extend to two years, or with a fine which shall not be less than five lakh rupees, or with both; or
  • serious bodily injury to any person within the establishment,

He shall be punishable with imprisonment for a term which may extend to one year, or with a fine which shall not be less than two lakh rupees but not exceeding four lakh rupees, or with both: Provided that while imposing the fine under this section, the court may direct that a portion of the fine, which shall not be less than fifty per cent. thereof, shall be given as compensation to the victim or to the legal heirs of the victim, in the case of his death. Where a person having been convicted as mentioned here, if is again convicted, shall be punishable with double the punishment provided under that sub-section for first conviction.

Whoever continues to work in contravention of any general or special order issued under the provisions of section 38, shall be punishable with imprisonment for a term which may extend to two years and shall also be liable to fine which may extend to five lakh rupees: Provided that the court shall not impose a fine under this section which shall be less than two lakh rupees without recording in the judgment the reasons for imposing such fine.

Whoever in compliance of the provisions of section 67, fails to appoint a manager shall be punishable with imprisonment for a term which may extend to three months, or with fine which may extend to one lakh rupees, or with both.

Subject to the provisions of section 13, except clause (d) thereof, if any employee employed in a workplace contravenes any provision of this Code or any rules or orders made thereunder, imposing any duty or liability on employee, he shall be punishable with penalty which may extend to ten thousand rupees. Where an employee is convicted of an offence punishable as mentioned here the employer of the establishment shall not be deemed to be guilty of an offence in respect of that contravention, unless it is proved that he failed to take all reasonable measures for its prevention.

Social Security Fund

There shall be established by the appropriate Government a social security fund for the welfare of the unorganised workers to which there shall be credited the amount received from composition of the offence and the amount of the penalty. The fund may also be funded by such other sources as may be prescribed by the appropriate Government. The fund shall be administered and expended for welfare of the unorganised workers in such manner as may be prescribed by the appropriate Government including the transfer of the amount in the fund to any fund established under any other law for the time being in force for the welfare of the unorganised workers.

Explanation: Unorganised worker shall have the same meaning as is assigned to it under clause (m) of section 2 of the Unorganised Workers Social Security Act, 2008

Effect of law and agreements inconsistent with Code

The provisions of this Code shall have effect notwithstanding anything inconsistent therewith contained in any other law for the time being in force or in the terms of any award, agreement or contract of service whether made before or after the commencement of this Code: Provided that where under any such award, agreement, contract of service or otherwise an employee is entitled to benefits in respect of any matters which are more favourable to him than those to which he will be entitled to under this Code, the employee shall continue to get the former notwithstanding that he receives benefits in respect of other matters under this Code.

Nothing contained in this Code shall be construed as precluding any employee from entering into an agreement with an employer for granting him rights or privileges in respect of any matter which are more favourable to him than those to which he would be entitled under this Code.

Draft Rules

The Draft of Occupational Safety, Health and Working Conditions (Central) Rules, 2020, when comes into force shall subsume:

  • The Dock Workers (Safety, Health and Welfare) Rules, 1990;
  • The Building and Other Construction Workers (Regulation of Employment and Condition of Services) Rules, 1998;
  • The Model Factories Rules;
  • The Mines Rules, 1955;
  • The Mines Rescue Rules, 1985;
  • The Mines Vocational Training Rules, 1966;
  • The Pithead Bath Rules, 1959;
  • The Mines Crèche Rules,1966;
  • The Contract Labour (Regulation and Abolition) Central Rules, 1971;
  • The Inter-State Migrant Workmen (Regulation of Employment and Conditions of Service) Central Rules,1979.
  • The Working Journalists (Conditions of Service) and Miscellaneous Provisions Rules, 1957;
  • The Cine-Workers and Cinema Theatre Workers (Regulation of Employment) Rules, 1984;
  • The Sales Promotion Employees (Conditions of Service) Rules, 1976.

Key Definitions

Core activity of an establishment means any activity for which the establishment is set up and includes any activity which is essential or necessary to such activity: Provided that the following shall not be considered as essential or necessary activity, if the establishment is not set up for such activity, namely:

  • sanitation works, including sweeping, cleaning, dusting and collection and disposal of all kinds of waste;
  • watch and ward services including security services;
  • canteen and catering services;
  • loading and unloading operations;
  • running of hospitals, educational and training Institutions, guest houses, clubs and the like where they are in the nature of support services of an establishment;
  • courier services which are in nature of support services of an establishment;
  • civil and other constructional works, including maintenance;
  • gardening and maintenance of lawns and other like activities;
  • housekeeping and laundry services, and other like activities, where these are in nature of support services of an establishment;
  • transport services including ambulance services;
  • any activity of intermittent nature even if that constitutes a core activity of an establishment;

Employee means,

  • in respect of an establishment, a person (other than an apprentice engaged under the Apprentices Act, 1961) employed on wages by an establishment to do any skilled, semi-skilled, unskilled, manual, operational, supervisory, managerial, administrative, technical, clerical or any other work, whether the terms of employment be express or implied; and
  • a person declared to be an employee by the appropriate Government, but does not include any member of the Armed Forces of the Union:

Provided that notwithstanding anything contained in this clause, in case of a mine a person is said to be employed in a mine who works as the manager or who works under appointment by the owner, agent or manager of the mine or with the knowledge of the manager, whether for wages or not:

  • in any mining operation (including the concomitant operations of handling and transport of minerals up to the point of dispatch and of gathering sand and transport thereof to the mine);
  • in operations or services relating to the development of the mine including construction of plant therein but excluding construction of buildings, roads, wells and any building work not directly connected with any existing or future mining operations;
  • in operating, servicing, maintaining or repairing any part of any machinery used in or about the mine;
  • in operations, within the premises of the mine, of loading for dispatch of minerals;
  • in any office of mine;
  • in any welfare, health, sanitary or conservancy services required to be provided under this Code relating to mine, or watch and ward, within the premises of the mine excluding residential area; or
  • in any kind of work, whatsoever, which is preparatory or incidental to, or connected with, mining operations;

Employer means a person who employs, whether directly or through any person, or on his behalf, or on behalf of any person, one or more employees in his establishment and where the establishment is carried on by any Department of the Central Government or the State Government, the authority specified, by the head of such Department, in this behalf or where no authority, is so specified, the head of the Department and in relation to an establishment carried on by a local authority, the Chief Executive of that authority, and includesL

  • in relation to an establishment which is a factory, the occupier of the factory;
  • in relation to mine, the owner of the mine, agent or manager referred to in section 67;
  • in relation to any other establishment, the person who, or the authority which has ultimate control over the affairs of the establishment and where said affairs are entrusted to a manager or managing director, such manager or managing director;
  • contractor; and
  • legal representative of a deceased employer;

Establishment means:

  • (i) a place where any industry, trade, business, manufacturing or occupation is carried on in which ten or more workers are employed; or
  • (ii) motor transport undertaking, newspaper establishment, audio-video production, building and other construction work or plantation, in which ten or more workers are employed; or
  • (iii) factory, for the purpose of Chapter II, in which ten or more workers are employed, notwithstanding the threshold of workers provided in clause (w); or
  • (iv) a mine or port or vicinity of port where dock work is carried out:

Provided that in sub-clauses (i) and (ii), the threshold of worker specified therein shall not be applicable in case of such establishment or class of establishments, in which such hazardous or life threatening activity is being carried on, as may be notified by the Central Government:

Provided further that notwithstanding any threshold provided in the definition of factory in clause (w), for the purposes of Chapter II, the establishment specified in sub-clause (i) or sub-clause (ii) or sub-clause (iii) shall be deemed to be the establishment within the meaning of this clause though the number of employees employed are ten or more;

Factory means any premises including the precincts thereof:

  • whereon twenty or more workers are working, or were working on any day of the preceding twelve months, and in any part of which a manufacturing process is being carried on with the aid of power, or is ordinarily so carried on; or
  • whereon forty or more workers are working, or were working on any day of the preceding twelve months, and in any part of which a manufacturing process is being carried on without the aid of power, or is ordinarily so carried on, but does not include a mobile unit belonging to the armed forces of the Union, railways running shed or a hotel, restaurant or eating place:

Provided that where under any law for the time being in force in a State immediately before the commencement of this Code, the number of workers specified is more or less than the number specified above, then, the number specified under the law of the State shall prevail in that State till it is amended by the competent Legislature.

Explanation I For computing the number of workers for the purposes of this clause all the workers (in different groups and relays) in a day shall be taken into account.

Explanation II For the purposes of this clause, the mere fact that an Electronic Data Processing Unit or a Computer Unit is installed in any premises or part thereof, shall not be construed as factory if no manufacturing process is being carried on in such premises or part thereof;

Family, when used in relation to a worker, means:

  • spouse;
  • children including adopted children of the worker who are dependent upon him and have not completed the age of eighteen years; and
  • parents, grand-parents, widowed daughter, and widowed sister dependent upon such worker.

Explanation - For the purposes of this clause, such dependents shall not be included who are, for the time being, getting such income from such sources, as may be prescribed by the appropriate Government;

Hazardous means involving danger or potential danger;

Hazardous process means any process or activity in relation to an industry or plantation specified in the First Schedule where, unless special care is taken, raw materials used therein or the intermediate or finished products, bye-products, hazardous substances, wastes or effluents thereof or spraying of any pesticides, insecticides or chemicals used therein, as the case may be, would—(i) cause material impairment to the health of the persons engaged in or connected therewith, or (ii) result in the pollution of the general environment;

Hazardous substance means any substance, or such quantity of the substance as may be prescribed by the appropriate Government or preparation of which by reason of its chemical or physio-chemical properties or handling is liable to cause physical or health hazards to human being or may cause harm to other living creatures, plants, micro-organisms, property, or the environment;

Industrial premises means any place or premises (not being a private dwelling house), including the precincts thereof, in which or in any part of which any industry, trade, business, occupation or manufacturing is being ordinarily carried on with or without the aid of power and includes a godown attached thereto;

Industry means any systematic activity carried on by co-operation between an employer and worker (whether such worker is employed by such employer directly or by or through any agency, including a contractor) for the production, supply or distribution of goods or services with a view to satisfy human wants or wishes (not being wants or wishes which are merely spiritual or religious in nature), whether or not,

  • any capital has been invested for the purpose of carrying on such activity; or
  • such activity is carried on with a motive to make any gain or profit,

but does not include:

  • institutions owned or managed by organisations wholly or substantially engaged in any charitable, social or philanthropic services; or
  • any activity of the appropriate Government relatable to the sovereign functions of the appropriate Government including all the activities carried on by the Departments of the Central Government dealing with defence research, atomic energy and space; or
  • any domestic service; or
  • any other activity as may be notified by the Central Government;

Inter-State migrant worker means a person who is employed in an establishment and who:

  • has been recruited directly by the employer or indirectly through contractor in one State for employment in such establishment situated in another State; or
  • has come on his own from one State and obtained employment in an establishment of another State (hereinafter called destination State) or has subsequently changed the establishment within the destination State, under an agreement or other arrangement for such employment and draws wages not exceeding the amount of rupees eighteen thousand per month or such higher amount as may be notified by the Central Government from time to time;

Manufacturing process means any process for:

  • making, altering, repairing, ornamenting, finishing, packing, oiling, washing, cleaning, breaking up, demolishing, or otherwise treating or adapting any article or substance with a view to its use, sale, transport, delivery or disposal; or
  • pumping oil, water, sewage or any other substance; or
  • generating, transforming or transmitting power; or
  • composing, printing, printing by letter press, lithography, offset, photogravure screen printing, three Dimensional or four Dimensional printing, prototyping, flexography or other types of printing process or book binding; or
  • constructing, reconstructing, repairing, refitting, finishing or breaking up ships or vessels; or
  • preserving or storing any article in cold storage; or
  • such other processes as the Central Government may notify;

Motor transport worker means a person who is employed in a motor transport undertaking directly or through an agency, whether for wages or not, to work in a professional capacity on a transport vehicle or to attend the duties in connection with the arrival, departure, loading or unloading of such transport vehicle and includes a driver, conductor, cleaner, station staff, line checking staff, booking clerk, cash clerk, depot clerk, time-keeper, watchman or attendant,

but does not include any such person:

  • who is employed in a factory;
  • to whom the provisions of any other law for the time being in force regulating the conditions of service of persons employed in shops or commercial establishments apply;

Occupier of a factory means the person who has ultimate control over the affairs of the factory:

Provided that:

  • in the case of a firm or other association of individuals, any one of the individual partners or members thereof;
  • in the case of a company, any one of the directors, except any independent director within the meaning of section 149 (6) of the Companies Act, 2013;
  • in the case of a factory owned or controlled by the Central Government or any State Government, or any local authority, the person or persons appointed to manage the affairs of the factory by the Central Government, the State Government or the local authority or such other authority as may be prescribed by the Central Government, shall be deemed to be the occupier:

Provided further that in the case of a ship which is being repaired, or on which maintenance work is being carried out, in a dry dock which is available for hire, the owner of the dock shall be deemed to be the occupier for all purposes except the matters as may be prescribed by the Central Government which are directly related to the condition of ship for which the owner of ship shall be deemed to be the occupier;

Ordinarily employed with reference to any establishment or part thereof, means the average number of persons employed per day in the establishment or part thereof during the preceding calendar year obtained by dividing the number of man days worked by the number of working days excluding rest days and other non-working days;

Owner, in relation to a mine, means any person who is the immediate proprietor or lessee or occupier of the mine or of any part thereof and in case of a mine the business whereof is being carried on by a liquidator or receiver, such liquidator or receiver; but does not include a person who merely receives a royalty, rent or fine from the mine, or is merely the proprietor of the mine, subject to any lease grant or licence for the working thereof, or is merely the owner of the soil and not interested in the minerals of the mine; but any contractor or sub-lessee for the working of a mine or any part thereof shall be subject to this Code in like manner as if he were an owner but not so as to exempt the former from any liability;

Principal employer, where the contract labour is employed or engaged, means:

  • in relation to any office or Department of the Government or a local authority, the head of that office or Department or such other officer as the Government or the local authority, may specify in this behalf;
  • in a factory, the owner or occupier of the factory and where a person has been named as the manager of the factory, the person so named;
  • in a mine, the owner or agent of the mine;
  • in relation to any other establishment, any person responsible for the supervision and control of the establishment;

Relay means a set of two or more persons carrying out the same kind of work during different periods of the day and each such period is called a shift;

Serious bodily injury means any injury which involves, or in all probability will involve, the permanent loss of any part or section of a body or the use of any part or section of a body, or the permanent loss of or injury to the sight or hearing or any permanent physical incapacity or the fracture of any bone or one or more joints or bones of any phalanges of hand or foot;

Wages means all remuneration whether by way of salaries, allowances or otherwise, expressed in terms of money or capable of being so expressed which would, if the terms of employment, express or implied, were fulfilled, be payable to a person employed in respect of his employment or of work done in such employment, and includes (i) basic pay; (ii) dearness allowance; and (iii) retaining allowance, if any, but does not include (a) any bonus payable under any law for the time being in force, which does not form part of the remuneration payable under the terms of employment; (b) the value of any house-accommodation, or of the supply of light, water, medical attendance or other amenity or of any service excluded from the computation of wages by a general or special order of the appropriate Government; (c) any contribution paid by the employer to any pension or provident fund, and the interest which may have accrued thereon; (d) any conveyance allowance or the value of any travelling concession; (e) any sum paid to the employed person to defray special expenses entailed on him by the nature of his employment; (f) house rent allowance; (g) remuneration payable under any award or settlement between the parties or order of a court or Tribunal; (h) any overtime allowance; (i) any commission payable to the employee; (j) any gratuity payable on the termination of employment; (k) any retrenchment compensation or other retirement benefit payable to the employee or any ex gratia payment made to him on the termination of employment:

Provided that, for calculating the wages under this clause, if payments made by the employer to the employee under sub-clauses (a) to (i) exceeds one-half, or such other per cent. as may be notified by the Central Government, of all remuneration calculated under this clause, the amount which exceeds such one-half, or the per cent. so notified, shall be deemed as remuneration and shall be accordingly added in wages under this clause:

Provided further that for the purpose of equal wages to all genders and for the purpose of payment of wages, the emoluments specified in sub-clauses (d), (f), (g) and (h) shall be taken for computation of wages.

Explanation Where an employee is given in lieu of the whole or part of the wages payable to him, any remuneration in kind by his employer, the value of such remuneration in kind which does not exceed fifteen per cent. of the total wages payable to him, shall be deemed to form part of the wages of such employee; worker means any person employed in any establishment to do any manual, unskilled, skilled, technical, operational, clerical or supervisory work for hire or reward, whether the terms of employment be express or implied, and includes working journalists and sales promotion employees, but does not include any such person— (i) who is subject to the Air Force Act, 1950, or the Army Act, 1950, or the Navy Act, 1957; or (ii) who is employed in the police service or as an officer or other employee of a prison; or (iii) who is employed mainly in a managerial or administrative capacity; or (iv) who is employed in a supervisory capacity drawing wage exceeding eighteen thousand rupees per month or an amount as may be notified by the Central Government from time to time.

References

Notifications

Reforms under Contract Labour Act subsumed by OSHWC Code, 2020

10 Feb, 2022
The Ministry of Labour & Employment has issued a press release on 10 Feb 2022 stating that the reforms carried out under Contract Labour Act has been subsumed in the OSHWC Code, 2020.
Read More →

Center proposes Draft Rules to set up Technical Committees under OSH & WC Code

15 Jun, 2021
The Draft Rules under the Occupational Safety, Health and Working Conditions Code, 2020 are notified to set up the Technical Committee. This Draft Notification will be taken into consideration after the expiry of 45 days from the date on which the copies of published notifications in the Official Gazette are made available to the public. Any objections and suggestions may be addressed to the Under Secretary in a proforma as prescribed before the expiry of 45 days.
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