Factory Acts 1948

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# FACTORY ACTS 1948

There has been rise of large scale factory/ industry in India in the later half
of nineteenth century. Major Moore, Inspector-in- Chief of the Bombay
Cotton Department, in his Report in 1872-73 first of all raised the question
for the provision of legislation to regulate the working condition in factories;
the first Factories act was enacted in 1881.

Since then the act has been amended on many occasions. The Factories Act
1934 was passed replacing all the previous legislation in regard to factories.
This act was drafted in the light of the recommendations of the Royal
Commission on Labour. This Act has also been amended suitably from time
to time.

The experience of working of the Factories Act, 1934 had revealed a number
of defects and weakness which have hampered effective administration of
the Act, and the need for wholesale revision of the act to extend its
protective provisions to the large number of smaller industrial
establishments was felt.

Therefore, the Factories Act, 1948 consolidating and amending the law
relating to labour in factories, was passed by the Constituent Assembly on
August 28, 1948. The Act received the assent of Governor General of India
on 23 September 1948 and came into force on April 1, 1949.

Objective of Factories Act ,1948


The main objectives of the Indian Factories Act, 1948are to regulate the
working conditions in factories, to regulate health, safety welfare, and
annual leave and enact special provision in respect of young persons,
women and children who work in the factories.

1.Working Hours:
According to the provision of working hours of adults, no adult worker shall
be required or allowed to work in a factory for more than 48 hours in a week.
There should be a weekly holiday.

2.Health:
For protecting the health of workers, the Act lays down that every factory
shall be kept clean and all necessary precautions shall be taken in this
regard. The factories should have proper drainage system, adequate
lighting, ventilation, temperature etc.

Adequate arrangements for drinking water should be made. Sufficient latrine


and urinals should be provided at convenient places. These should be easily
accessible to workers and must be kept cleaned.

3. Safety:
In order to provide safety to the workers, the Act provides that the
machinery should be fenced, no young person shall work at any dangerous
machine, in confined spaces, there should be provision for manholes of
adequate size so that in case of emergency the workers can escape.

4. Welfare:
For the welfare of the workers, the Act provides that in every factory
adequate and suitable facilities for washing should be provided and
maintained for the use of workers.

Facilities for storing and drying clothing, facilities for sitting, first-aid
appliances, shelters, rest rooms’ and lunch rooms, crèches, should be there.

5. Penalties:-
The provisions of The Factories Act, 1948, or any rules made under the Act,
or any order given in writing under the Act is violated, it is treated as an
offence. The following penalties can be imposed:-
(a) Imprisonment for a term which may extend to one year;
(b) Fine which may extend to one lakh rupees; or
(c) Both fine and imprisonment.

If a worker misuses an appliance related to welfare, safety and health of


workers, or in relation to discharge of his duties, he can be imposed a
penalty of Rs. 500/-.

Applicability of Factories Act, 1948


The Act is applicable to any factory whereon ten 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 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 without the
aid of power, or is ordinarily so carried on; but this does not include a mine,
or a mobile unit belonging to the armed forces of the union, a railway
running shed or a hotel, restaurant or eating place.

Importance of Factories Act, 1948


The Factories Act, 1948 is a beneficial legislation. The aim and object of the
Act is essentially to safeguard the interests of workers, stop their
exploitation and take care of their safety, hygiene and welfare at their
places of work. It casts various obligations, duties and responsibilities on the
occupier of a factory and also on the factory manager. Amendments to the
Act and court decisions have further extended the nature and scope of the
concept of occupier, especially vis-a-vis hazardous processes in factories.

Definitions
1.Who is an Occupier?
According to section 2(n) "occupier" of a factory means the person, who has
ultimate control over the affairs of the factory,

Provided that-
(i) in the case of a firm or other association of individuals, any one of the
individual partners or members thereof shall be deemed to be the occupier;

(ii) in the case of a company, any one of the directors, shall be deemed to be
the occupier:

(iii) 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, as the case may be, 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,

(1) the owner of the dock shall be deemed to be the occupier for the
purposes of any matter provided for by or under-

(a) section 6, section 7, section 7A, section 7B, section 11 or section 12;

(b) section 17, in so far as it relates to the providing and maintenance of


sufficient and suitable lighting in or around the dock;

(e) section 18, section 19, section 42, section 46, section 47 or section 49, in
relation to the workers employed on such repair or maintenance;

(2) the owner of the ship or his agent or master or other officer-in-charge of
the ship or any person who contracts with such owner, agent or master or
other officer-in-charge to carry out the repair or maintenance work shall be
deemed to be the occupier for the purposes of any matter provided for by or
under section 13, section 14, section 16 or section 17 (save as otherwise
provided in this proviso) or Chapter IV (except section 27) or section 43,
section 44 or section 45, Chapter VI, Chapter VII, Chapter VIII or Chapter IX
or section 108, section 109 or section 110, in relation to-

(a) the workers employed directly by him or by or through any agency; and

(b) the machinery, plant or premises in use for the purpose of carrying out
such repair or maintenance work by such owner, agent, master or other
officer-in-charge or person.

ION Exchange India Ltd. V.Deputy Chief Inspector of factories, Salem


(1996).It was held that owner can nominate any person tobe in ultimate
control over the affairs of a factory. If no one else has been nominated to be
in ultimate control over the affairs of the company, Director of a company or
any partner of partnership is deemed to be the occupier.

2. What is a factory?
According to section 2(m) "factory" means any premises including the
precincts thereof-

(i) whereon ten 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

(ii) 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 without the aid of power, or is
ordinarily so carried on, - but does not include a mine subject to the
operation of the Mines Act, 1952 (XXXV of 1952) or a mobile unit belonging
to the armed forces of the Union, a railway running shed or a hotel,
restaurant or eating place;

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 to make it a factory if no
manufacturing process is being carried on in such premises or part thereof;

3. Who is a Worker?
According to section 2(l) ”worker" means a person employed directly or by
or through any agency (including a contractor) with or without the
knowledge of the principal employer whether for remuneration or not in any
manufacturing process, or in cleaning any part of the machinery or premises
used for a manufacturing process, or in any other kind of work incidental to,
or connected with the manufacturing process, or the subject of the
manufacturing process but does not include any member of the armed
forces of the Union;

4. What is a Manufacturing Process?


According to section 2(k) "manufacturing process" means any process for-

(i) making, altering, repairing, ornamenting, finishing, packing, oiling,


washing, cleaning, breaking up, demolishing or otherwise treating or
adopting any article or substance with a view to its use, sale, transport,
delivery or disposal; or

(ii) Pumping oil, water, sewage, or any other substance; or

(iii) Generating, transforming or transmitting power; or

(iv) composing types for printing, printing by letter press, lithography,


photogravure or other similar process or book-binding; or

(v) Constructing, reconstructing, repairing, refitting, finishing or breaking up


ships or vessels; or

(vi) Preserving or storing any article in cold storage;

5. What is hazardous process?


According to section 2(cb) "hazardous process" means any process or
activity in relation to an industry specified in the 'First Schedule where,
unless special care is taken, raw materials used therein or the intermediate
or finished products, bye-products, wastes or effluents thereof 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:- Provided that the State Government may, by notification in
the official Gazette, amend the First Schedule by way of addition, omission
or variation of any industry specified in the said Schedule;

Duties of Occupier
The Duties of Occupier have been clearly mentioned in the following
sections of Factories Act, 1948: -

1. Notice by Occupier (Section 7)


The occupier shall, send to the Chief Inspector a written notice in respect of
all establishments which come within the scope of the Act for the first time,
before a factory engaged in a manufacturing process which is ordinarily
carried on for less than one hundred and eighty working days in the year
resumes working, whenever a new manager is appointed. During any period
for which no person has been designated as manager of a factory or during
which the person designated does not manage the factory, any person found
acting as manager, or if no such person is found, the occupier himself, shall
be deemed to be the manager of the factory for the purposes of this Act.

2. General Duties of the Occupier(Section7A)


# To ensure the health, safety and welfare of all workers while they are at
work in the factory.

# To provide and maintain the plant and systems of work in the factory that
are safe and without risk to health of the workers.

# To provide arrangements in the factory for ensuring safety and absence of


risk to health in connection with the use, handling, storage and transport of
articles and substances

# To provide such information, instruction, training and supervision as are


necessary to ensure the health and safety of all workers at work.

# To maintain all places of work in the factory in a condition that is safe and
without risks to health and to provide and maintain such means of access to,
and egress from, such places as are safe and without such risks.

# To provide, maintain or monitor such working environment in the factory


for the workers that is safe, without risk to health and adequate as regards
facilities and arrangements for their welfare at work.

# To prepare a written statement of his general policy with respect to the


health and safety of the workers at work and the organization and
arrangements in force for carrying out that policy.

3. Appointment of Safety officers. (Section 40-B)


It shall be the duty of the of the Occupier to Appoint a Safety officer in a
factory:-

(i) Wherein one thousand or more workers are ordinarily employed, or

(ii) Wherein, in the opinion of the State Government, any manufacturing


process or operation is carried on, which process or operation involves any
risk of bodily injury, poisoning or disease, or any other hazard to health, to
the persons employed in the factory, if so required by the State Government
by notification in the official Gazette.

4. Compulsory Disclosure of Information by the Occupier. (Section


41-B)
Compulsory disclosure of information by the occupier -

# The occupier of every factory involving a hazardous process shall disclose


in the manner prescribed to the Chief Inspector and the local authority.

# 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 intimates such policy to the
Chief Inspector and the local authority.

# Every occupier shall, with the approval of the Chief Inspector, 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.

# The occupier of a factory involving a hazardous process shall, with the


previous approval of the Chief Inspector, 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 among the workers
and the general public living in the vicinity.

5. Specific Responsibility of the occupier in relation to Hazardous


Process. (Section 41-C)
Every occupier of a factory involving any hazardous process shall-

# maintain accurate and up-to-date health records or, as the case may be,
medical records, of the workers in the factory

# appoint persons who possess qualifications and experience in handling


hazardous substances

# Provide for medical examination of every worker.

6. Worker’s Participation in safety management. (Section 41-G)


The occupier shall, in every factory where a hazardous process takes place,
or where hazardous substances are used or handled, set up a Safety
Committee consisting of equal number of representatives of workers and
management to promote co-operation between the workers and the
management in maintaining proper safety and health at work and to review
periodically the measures taken in that behalf.

7. Right of Workers to be warned about imminent dangers. (Section


41-H)
It shall be the duty of such occupier, agent, manager or the person in charge
of the factory or process to take immediate remedial action if he is satisfied
about the existence of such imminent danger and send a report forthwith of
the action taken to the nearest Inspector.

8. Facilities for sitting and Canteens. (Section 42 to 49)


It is the duty of occupier to provide welfare facilities like Lunch rooms,
Canteen, Crèche, Washing facilities, first-aid appliances etc. to all workers
and to appoint a welfare officer.

9. Annual Leave with Wage.(Section 79)


For the purpose of ensuring the continuity of work, the occupier or manager
of the factory, in agreement with the Works Committee of the factory
constituted under section 3 of the Industrial Disputes Act, 1947 (14 of 1947),
or a similar Committee constituted under any other Act or if there is no such
Works Committee or a similar Committee in the factory, in agreement with
the representatives of the workers therein chosen in the prescribed manner,
may lodge with the Chief Inspector a scheme in writing whereby the grant of
leave allowable under this section may be regulated.

10. Safety and Occupational Health Survey. (Section 91-A)


The occupier or manager of the factory or any other person who for the time
being purports to be in charge of the factory, undertake safety and
occupational health surveys, and such occupier or manager or other person
shall afford all facilities for such every, including facilities for the
examination and testing of plant and machinery and collection of samples
and other data relevant to the survey.

Duties of Factory Manager


The Duties of Factory Manager are mentioned in the following Sections of
Factory Act, 1948: -

1. Right of Workers to be warned about imminent danger. (Section


41-H)
It shall be the duty of such occupier, agent, manager or the person in charge
of the factory or process to take immediate remedial action if he is satisfied
about the existence of such imminent danger in the factory where the
worker is engaged in any hazardous process and send a report forthwith of
the action taken to the nearest Inspector.

2. Notice of periods of work for adults. (Section 61)


The manager of the factory shall display correctly and maintained in every
factory in accordance with the provisions of sub-section (2) of section 108, a
notice of periods of work for adults, showing clearly for every day the
periods during which adult workers may be required to work, fix the periods
during which each relay of the group may be required to work, classify them
into groups according to the nature of their work indicating the number of
workers in each group, shall draw up a scheme of shifts where under the
periods during which any relay of the group may be required to work.

3. Register of Adult Workers. (Section 62)


The manager of every factory shall maintain a register of adult workers, to
be available to the Inspector at all times during working hours, or when any
work is being carried on in the factory.

In State of Maharashtra v. Sampat Lal Mensukh Bothra (1992),it was


held that the obligation to maintain registers is imposed on the manager and

4. Annual Leave with Wage. (Section 79)


For the purpose of ensuring the continuity of work, the occupier or manager
of the factory, in agreement with the Works Committee of the factory
constituted under section 3 of the Industrial Disputes Act, 1947 (14 of 1947),
or a similar Committee constituted under any other Act or if there is no such
Works Committee or a similar Committee in the factory, in agreement with
the representatives of the workers therein chosen in the prescribed manner,
may lodge with the Chief Inspector a scheme in writing whereby the grant of
leave allowable under this section may be regulated.

5. Notice of Certain Dangerous Occurrences. (Section 88A)


Notice of certain dangerous occurrences. —Where in a factory any
dangerous occurrence of such nature as may be prescribed occurs, whether
causing any bodily injury or disability or not, the manager of the factory
shall send notice thereof to such authorities, and in such form and within
such time, as may be prescribed.

6. Notice of Certain Disease. (Section 89)


Where any worker in a factory contracts any disease specified in 1[the Third
Schedule], the manager of the factory shall send notice thereof to such
authorities, and in such form and within such time, as may be prescribed.

7. Safety and Occupational Health Survey. (Section 91-A)


The occupier or manager of the factory or any other person who for the time
being purports to be in charge of the factory, undertake safety and
occupational health surveys, and such occupier or manager or other person
shall afford all facilities for such every, including facilities for the
examination and testing of plant and machinery and collection of samples
and other data relevant to the survey.

8. Notice of Certain Accidents. (Section 88)


Where in any factory 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 in this behalf,
the manager of the factory shall send notice thereof to such authorities, and
in such form and within such time, as may be prescribed to the Chief
Inspector.

General Procedure As To Filing of Cases In Case of Factory


Accidents
Whenever an accident takes place in a factory the Occupier or Factory
Manager shall inform the Chief Inspector within a period of forty eight hours
or so (Section 88) and shall send Form No. 22 containing all the information
regarding the said accident to Labour Department, Industrial Health And
Safety, which shall inquire into the matter by factory inspector who shall
inspect the accident spot, take the witness of the victims, then he shall issue
a show cause notice to the Occupier and Factory Manager to reason out the
causes of the mis happening. If the Factory Inspector is not satisfied with the
reply given by the factory management he shall institute a case against the
Occupier and Factory Manager before Judicial Magistrate First Class, Labour
Court (Section 105).Then in case if the party to the disputes are not satisfied
with the judgement they shall refer the case to the High Court or and to the
Supreme Court respectively.

Penalties under factory act, 1948


Section 92. General penalty for offences. -
Save as is otherwise expressly provided in this Act and subject to the
provisions of section 93, if in, or in respect of, any factory there is any
contravention of the provisions of this Act or of any rules made there under
or of any order in writing given there under, the occupier or manager of the
factory shall each be guilty of an offence and punishable with imprisonment
for a term which may extend to two years or with fine which may extend to
one lakh rupees or with both, and if the contravention is continued after
conviction, with as further fine which may extend to one thousand rupees for
each day on which the contravention is so continued.
Provided that where contravention of any of the provisions of Chapter IV or
any rule made there under or under section 87 has resulted in an accident
causing death or serious bodily injury, the fine shall not be less than twenty-
five thousand rupees in the case of an accident causing death, and five
thousand rupees in the case of an accident causing serious bodily injury.

Explanation. - in this section and in section 94 "serious bodily injury"


means an injury which involves, or in all probability will involve, the
permanent loss of the use of, or permanent injury to, any limb or the
permanent loss of, or injury to sight or hearing, or the fracture of any bone,
but shall not include, the fracture of bone or joint (not being fracture of more
than one bone or joint) of and phalanges of the hand or foot.

General Manager, Wheel & A. P, Bangalore v. State of Karnataka


(1996) .It was held in this case that the requirement of obtaining sanction to
prosecute is mandatory and taking cognizance of an offence in the absence
of sanction cannot be allowed to stand and has to be quashed.

Provincial Government v. Ganpat, AIR 1943 Nag 243.It was held in this
case where the occupier or the manager of the factory admits the guilt
under Section 92 of the Act, but alleges the clerk of the Factory to be the
actual offender, the onus of establishing the innocence is on such occupier
or the manager as the case maybe.

Section 94. Enhanced penalty after previous conviction. -


(1) If any person who has been convicted of any offence punishable under
section 92 is again found guilty of an offence involving a contravention of
the same provision, he shall be punishable on a subsequent conviction with
imprisonment for a term which may extend to three years or with fine, which
shall not be less than ten thousand rupees but which may extend to two
lakh rupees or with both;

Provided that the Court may, for any adequate and special reasons to be
mentioned in the judgment, impose a fine of less than ten thousand rupees:

Provided further that where contravention of any of the provisions of


Chapter IV or any rule made there under or under section 87 has resulted in
an accident causing death or serious bodily injury, the fine shall not be less
than thirty-five thousand rupees in the case of an accident causing death
and ten thousand rupees in the case of an accident causing serious bodily
injury.

(2) For the purpose of sub-section (1), no cognizance shall be taken of any
conviction made more than two years before the commission of the offence
for which the person is subsequently being convicted.

Section 95. Penalty for obstructing inspector. -


Whoever wilfully obstructs an Inspector in the exercise of any power
conferred on him by or under this Act, or fails to produce on demand by an
Inspector any register or other documents kept in his custody in pursuance
of this Act or of any rules made there under, or conceals or prevents any
workers, in a factory from appearing before, or being examined by, an
inspector, shall be punishable with imprisonment for a term which may
extend to six months or with fine which may extend to ten thousand rupees
or with both.

Section 96A. Penalty for contravention of the provisions of sections


41B, 41C and 41H.-
(1) Whoever fails to comply with or contravenes any of the provisions of
sections 41B, 41C or 41H or the rules made there under, shall, in respect of
such failure or contravention, be punishable with imprisonment for a term
which may extend to seven years and with fine which may extend to two
lakh rupees, and in case the failure or contravention continues, with
additional fine which may extend to five thousand rupees for every day
during which such failure or contravention continues, after the conviction for
the first such failure or contravention.

(2) If the failure or contravention referred to in sub-section (1) 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 ten years.

Section 97. offences by workers. -


(1) Subject to the provisions of section 111, if any worker employed in a
factory contravenes any provision of this Act or any rules or orders made
thereunder, imposing any duty or liability on workers, he shall be punishable
with fine which may extend to five hundred rupees.

(2) Where a worker is convicted of an offence punishable under sub-section


(1) the occupier or manager of the factory 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.

Exemptions of occupier or manager from liability in certain cases

Section 101. Exemption of occupier or manager from liability in certain


cases.-
Where the occupier or manager of a factory is charged with an offence
punishable under this Act he shall be entitled, upon complaint duly made by
him and on giving to the prosecutor not less than three clear days' notice in
writing of his intention so to do, to have any other person whom he charges
as the actual offender brought before the Court at the time appointed for
hearing the charge; and if, after the commission of the offence has been
proved, the occupier or manager of the factory, as the case may be, proves
to the satisfaction of the Court -

(a) that he has used due diligence to enforce the execution of this Act, and
(b) that the said other person committed the offence in question without his
knowledge, consent or connivance,

that other person shall be convicted of the offence and shall be liable to the
like punishment as if he was the occupier or manager of the factory, and the
occupier or manager, as the case may be, shall be, discharged from any
liability under this Act in respect of such offence:

Provided that in seeking to prove as aforesaid, the occupier or manager of


the factory, as the case may be, may be examined on oath, and his
evidence and that of any witness whom he calls in his support, shall be
subject to cross-examination on behalf of the person he charges as the
actual offender and by the prosecutor:

Provided further that, if the person charged as the actual offender by the
occupier or manager, cannot be brought before the court at the time
appointed for hearing the charge, the court shall adjourn the hearing from
time to time for a period not exceeding three months and if by the end of
the said period the person charged as the actual offender cannot still be
brought before the court, the court shall proceed to hear the charge against
the occupier or manager and shall, if the offence be proved, convict the
occupier or manager.

Changes brought about by the Factory Act,1948


The following changes were made by the factories Act, 1948: -
# The definition of the term “Factory” was widened to cover all industrial
establishments employing ten or more workers where power was used and
20 or more workers in all other cases.

# The distinction between seasonal and non-seasonal factories was


abolished.

# Under the Act of 1934 the State Governments had power to extend the
application of the Act to establishments where more than 10 Workers were
employed. Under the Act of 1948, the State Government may extend the
provisions of this Act to any establishment irrespective of the number of the
workers employed therein and irrespective of the number of the workers
employed on therein and irrespective of the fact that manufacturing work is
carried by power or otherwise. The only exception is an establishment where
the work is done solely by the members of a family.

# Chapter III of the Act of 1934 was split into three parts, dealing with
health, safety and welfare of workers. The Act specifies very clearly the
minimum requirements under three heads stated above.

# The basic provisions of the old Act relating to Health,

safety, and welfare are extended to all work places irrespective of the
number of workers employed, except premises where processes are carried
on by the occupier with the sole aid of his family.

# The minimum age for the admission of children to employment has been
raised from 12 to 14 years and the minimum permissible daily hours of work
of children were reduced from five to four and a half hour.

# Provisions are made for the licensing and registration of factories and the
prior scrutiny by the Factories Inspectorate of the Plans and specifications of
factory buildings.

# Employment of Children and women between 7 p.m. and 6 a.m. is


prohibited. For overtime work the workers are entitled to twice their normal
rate of wages.

# The State Government are empowered to make rules requiring the


association of the workers in the management of arrangements for the
welfare of the workers.

# State Government is obliged to see that all the factories are registered
and take a licensing for working, which should be periodically renewed. Prior
approval of the State Government has been made necessary for every New
The installation of a Factory or for the extension of an existing factory.
Besides mines, the new Act also excludes railway running sheds from the
definition of Factories.

Changes made in Factories Act, 1948in 2016


The Factories (Amendment) Bill, 2016
The Factories Act 1948was an Act of Parliament passed in the United
Kingdom by the Labour government of Clement Attlee. It was passed with
the intention of safeguarding the health of workers and adopted by India.
The Factories (Amendment) Bill, 2016 was introduced in Lok Sabha on
August 10, 2016 by the Minister for Labour and Employment, Mr. Bandaru
Dattatreya. The Bill amends the Factories Act, 1948. The Act regulates the
safety, health and welfare of factory workers. The Bill amends provisions
related to overtime hours of work.

Key Amendments
# (Section 2) Power to make rules on various matters: The Act permits the
state government to prescribe rules on a range of matters, including double
employment, details of adult workers to be included in the factory’s register,
conditions related to exemptions to certain workers, etc.The Bill gives such
rule making powers to the central government as well.

Powers to make rules for exemptions to workers:Under the Act, the state
government may make rules to (i) define persons who hold management or
confidential positions; and (ii) exempt certain types of adult workers (e.g.
those engaged for urgent repairs) from fixed working hours, periods of rest,
etc. The Bill gives such rule making powers to both, the central and state
governments.

Under the Act, such rules will not apply for more than five years. The Bill
modifies this provision to state that the five-year limitation will not apply to
rules made after the enactment of this Bill.

# (Section 64) Overtime hours of work in a quarter: The Act permits


the state government to make rules related to the regulation of overtime
hours of work. However, the total number of hours of overtime must not
exceed 50 hours for a quarter. The Bill raises this limit to 100 hours. Rules in
this regard may be prescribed by the central government as well.

# (Section 65) Overtime hours if factory has higher workload: The


Act enables the state government to permit adult workers in a factory to
work overtime hours if the factory has an exceptional work load. Further the
total number of hours of overtime work in a quarter must not exceed 75. The
Bill permits the central or state government to raise this limit to 115

Overtime in public interest: The Bill introduces a provision which permits


the central or state government to extend the 115-hour limit to 125 hours. It
may do so because of (i) excessive work load in the factory and (ii) public
interest

Conclusion
The present Factories Act in operation for the last 37 years has provided
ample benefits to the factory workers. It has considerably improved their
working and employment conditions. The Government is actively
considering the introduction of some vital amendments to the Act to keep it
in tune with time and make it more effective While dealing with the duties of
the Occupier and Factory Manager under Factories Act 1948, altogether we
can conclude that the Occupier and Factory Manager has a vital role to play
in assuring the health, safety and welfare of the workers as they are the
backbone of the industrial sector. It is, however necessary that the workers
and their representatives make themselves aware of the various provisions
of the Act and safeguard their interests on their own and force the defaulting
employer to be conscious of his legal obligations.

# Factories Act 1948

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