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TN Factory Legislations
TN Factory Legislations
Different departments of the Central Government and the State Government are entrusted with the
responsibility of enforcement of these statutes. The efforts of the enforcement agencies are also
supplemented by other organization’s such as training and research institutions, employers associations,
employees associations, etc. in promoting occupational safety and health in the state. A brief account of these
organizations is given in the following paragraphs.
8.3.5 State Level High Power Tripartite Safety Committee And The State Level Task Force/Expert Committee
The Government of Tamil Nadu constituted a Task Force Expert Committee under the Chairmanship of
Dr.N.Santhappa, Ex-Vice Chancellor, Madras University during the year 1985 after the Bhopal disaster, to study
and submit a report about the adequacy of safety measures taken by the hazardous chemical industries in Tamil
Nadu to protect health and safety of the workers as well as the general public. The Committee made several
valuable recommendations to Government.
Accepting the recommendations of the Committee, the Government of Tamil Nadu has constituted two
Committee for updating the information of occupational health hazards and implementation of safety provisions
in chemical and other industries which are using hazardous chemicals and processes involving highly toxic
substances. They are the State Level High Power Tripartite Safety Committee and the State level Task
Force/Expert Committee.
8.4 Office of the Regional Labour Commissioner(Central)
The organization of the Chief Labour Commissioner (Central) or the Central Industrial Relations Machinery
(CIRM) as it is often referred to, performs various functions which, inter-alia, include prevention and settlement of
industrial disputes in industries, in respect of which the Central Government is the ‘appropriate Government’
under the Industrial Disputes Act, 1947; implementation of the settlements and tribunal awards in the Central
Sphere as also the recommendations of the Central Wage Board, administration of various labour laws to the
extent which their administration is a Central responsibility, verification of membership of unions affiliated to
Central Trade Union Organization of Workers and those operating in the nationalized banks and the State Bank of
India and its seven associated banks, Ports and Docks and under Code of Discipline for the purpose of according
representations in conferences/ committees/ ILO and of unions to determine the representative character for
recognition under Code of Discipline of the Union. It also undertakes investigation into breaches of Code of
Discipline.
The Chief Labour Commissioner (Central) is also responsible for the enforcement of labour laws, such as the
Payment of Wages Act 1936, the Child Labour (Prohibition and Regulation) Act, 1986, the Industrial Employment
(Standing Orders) Act, 1946; the Industrial Disputes Act, 1947, the Minimum Wages Act, 1948; the Dock Workers
(Regulation of Employment) Act, 1948; the Maternity Benefit Act 1961 in the Circus Industry; Hours of
Employment Regulation framed under the Railways Act, 1890; the Payment of Bonus Act, 1965; the Contract
Labour (Regulation and Abolition) Act, 1970; the Payment of Gratuity Act, 1972; the Equal Remuneration Act 1976
and the Inter-State Migrant Workmen (Regulation of Employment and Conditions of Service) Act, 1979 in their
application to establishments falling in the Central Sphere. Besides, the C.L.C. © is also the implementing
authority for Fair Wage Clause and MES Contract Labour Regulations.
The Regional Labour Commissioner (Central) is the head of the Regioal Industrial Relations Machinery. The
regional commissioner for the southern region is located at Chennai.
8.5 Office of the Regional Labour Commissioner (State)
The Labour and Employment Department is administering matters relating to Industrial relations, Safety of
workers, Labour Welfare, Employment Exchanges and Technical training. There are three Heads of Department.
The Commissioner of Labour looks after Industrial Relations and Labour Welfare. The Chief Inspector of
Factories deals with safety in Factories. The Commissioner of Employment and Training heads two wings. The
Employment Wing deals with Employment Services through a network of Employment Exchanges. The Training
Wing deals with technical training through a number of Industrial Training Institutes and similar institutions.
Social Security is provided in a large measure, by two Central Organisations viz., The Employees Provident Fund
Organisation and the Employees State Insurance Corporation. The State Labour Welfare Board provides welfare
services to workers in the organised sector.
The Construction Workers Board, Manual Workers Board and other Boards provide Welfare services to workers in
the unorganised sector. The Tamil Nadu Institute of Labour Studies conducts courses in Labour Management
and also special courses for managements, workers and officials on labour laws. The Overseas Manpower
Corporation helps find placements for workers willing to work overseas. Abolition of Child Labour is an important
goal of the State Government. All these aspects are dealt with in the subsequent chapters.
Since independence, in addition to the Industrial Disputes Act, a number of other laws have been enacted by
Parliament and the State Legislature to protect rights of workers and provide for their welfare. Many of the laws
are being enforced by the Labour Department. They are listed below:-
Industrial Relations
§ The Tamilnadu Shops And Establishments Act, 1947
§ The Tamil Nadu Catering Establishments Act, 1958
§ The Tamil Nadu Industrial Establishments (National And Festival Holidays) Act, 1958
§ The Trade Unions Act, 1926
§ The Payment Of Wages Act, 1936
§ The Industrial Employment (Standing Orders) Act, 1946
§ The Plantations Labour Act, 1951
§ The Working Journalists And Other Newspaper Employees (Conditions Of Service And Miscellaneous
Provisions) Act, 1955
§ The Motor Transport Workers Act, 1961
§ Beedi And Cigar Workers (Conditions Of Employment) Act, 1966
§ Integrated Beedi Workers Housing Scheme In Tamil Nadu
§ Contract Labour (Regulation And Abolition) Act, 1970
§ The Tamil Nadu Industrial Establishment (Conferment Of Permanent Status To Workmen) Act, 1981
§ The Standards Of Weights And Measures (Enforcement) Act, 1985
Social Security
· The Workmen’s Compensation Act, 1923
§ The Maternity Benefit Act, 1961
§ The Payment Of Bonus Act, 1965
§ The Payment Of Gratuity Act, 1972
§ The Equal Remuneration Act, 1976
§ The Tamil Nadu Payment Of Subsistence Allowance Act, 1981
8.6 The Tamil Nadu Institute Of Labour Studies
This Institute conducts Training Programmes, Seminars, Refresher Courses, Orientation Programmes, etc.,
periodically to suit the needs of supervisory and managerial personnel of private and public sector industries.
Trade Unionists and officials of Labour and Factories Departments. This Institute also offers a Part-Time one-
year course called “Post Graduate Diploma in Labour Administration” (P.G.D.L.A) and two full time academic
courses viz. “B.L.M” and “M.L.M.” Both these courses are affiliated to the University of Madras. The University of
Madras has also recognised this Institute as a Research Institute to conduct both part-time and full time Ph.D.
programmes from the year 2001-2002 onwards. During the year 2002-2003, three Part-time and six Full-time
candidates have been admitted in the Ph.D. Programme. This year, 47 students in B.L.M., 31 students in M.L.M.
and 43 students in P.G.D.L.A. have been admitted, through a common entrance test conducted by this Institute.
During the year 2002, 31 seminars / training programmes were conducted for the workers, managerial persons
and traders in Tamilnadu and nearly 1930 participants benefited through these training programmes. The number
of candidates who have successfully completed the above academic course during the year is given below:-
B.L.M.- 47, M.L.M.- 31, P.G.D.L.A.- 36, TOTAL = 114.
8.7 Employees’ Provident Fund Organisation
The Employees Provident Fund Organisation is vested with the responsibility of administering the three Social
Security Schemes under the Employees Provident Fund and Miscellaneous Provisions Act,1952 viz.
i) Employees Provident Funds Scheme, 1952
ii) Employees Deposit Linked Insurance Scheme, 1976
iii) Employees Pension Scheme, 1995.
The primary objective of these three schemes is to provide social security and to inculcate amongst the workers
a spirit of savings while they are gainfully employed and to make provision for their benefit after they retire from
service and their family members if they die in harness. Tamil Nadu Regional Office in Chennai serves the
members in the State of Tamil Nadu and the Union Territory of Pondicherry. It is headed by a Regional Provident
Fund Commissioner (Grade-I).
8.8 Employees State Insurance Scheme
Employees State Insurance Scheme of India is an integrated Social Security Scheme tailored to provide
protection to workers in the organised sector and their dependents in contingencies such as sickness, maternity,
death and disablement due to an employment injury or occupational disease as detailed below:-
Medical Benefit
Medical facilities for self and dependents are admissible from day one of entering insurable employment.
Primary, Specialist and Super Specialty services are provided through a network of ESI Dispensaries and ESI
Hospitals.
Sickness Benefit
Sickness Benefit is payable to an Insured Person in cash in the event of sickness resulting in absence from work
and duly certified by an authorised Insurance Medical Officer
Maternity Benefit
Maternity Benefit is payable to Insured Women in case of confinement or miscarriage or sickness related to
Maternity (Maximum 85 Days).
Disablement Benefit
Disablement Benefit is payable to Insured Employees suffering from physical disablement due to employment
injury or occupational disease. In addition, the Insured person is eligible for coverage under Workmen’ s
Compensation Act.
Dependent’s Benefit
Dependent’ s Benefit is payable to dependent of a deceased Insured Person where death occurs due to
Employment injury or occupational disease.
Extended Sickness Benefit
Extended sickness Benefit is payable to Insured Person for the period of certified sickness in case of specified 34
long term diseases that need prolonged treatment and absence from work on Medical advice.
Enhanced Sickness Benefit
Enhanced Sickness Benefit is payable to Insured Persons in the productive age group for undergoing Sterilization
operation - Vasectomy/ Tubectomy.
Temporary Disablement Benefit
Temporary Disablement Benefit at 70% of wages is payable till temporary disablement lasts and is duly certified
by authorized Insurance Medical Officer.
Permanent Disablement Benefit
Permanent Disablement Benefit is payable for life.
Funeral Benefit
Funeral Benefit on death of an Insured Person is payable to a maximum of Rs. 2,500/-.
Others Benefits
Free supply of physical aids such as Crutches, Wheel Chairs, Dentures, Spectacles and such physical aids are
offered by this scheme.
Preventive Health Care Services such as Immunization, Family Welfare Services, HIV/AIDS Detection Treatment
etc. are available.
Medical Bonus at Rs. 250/- is paid to an Insured Woman or the wife of an Insured Person, in case she does not
avail hospital facilities of the scheme for child delivery.
The Scheme is implemented in this State in accordance with the provisions of the ESI Act, 1948. Towards this
objective, the scheme of health insurance provides full medical facilities to insured persons and their dependents,
as well as, cash benefits to compensate for any loss of wages or earning capacity in times of physical distress.
The scheme is administered by a duly constituted corporate body called the Employees State Insurance
Corporation as provided under the ESI Act,1948.
In Tamil Nadu, Medical facilities are provided through a network of 180 ESI Dispensaries, 9 ESI Hospitals, 5
Mobile Dispensaries and 2 Utilisation Dispensaries. In all 2,363 beds are available.
ESI Hospital, K.K. Nagar (Occupational Research Centre)
ESI Hospital, K.K. Nagar is run by ESI corporation, New Delhi. The Occupational Research Centre for South is
established in this hospital. The Bed Strength of this hospital is 330. Employees covered under the scheme are
entitled to medical benefits for self and their family members. They are also entitled to cash benefits in the event
of specified contingencies; resulting in loss of wages or earning capacity. The insured women are entitled to
maternity benefit for confinement. In the event of death of an insured employee due to employment injury or
occupational disease, the dependents are entitled to family pension. During the year 2002-2003, 11 new ESI
Dispensaries were opened.
The details of the dispensaries region-wise is given in Table-8.5.
TABLE-8.5
REGION WISE BREAK UP OF ESI DISPENSARIES
Name of the
S. Static Mobile Utilisation Total
Regional
No. Dispensary Dispensary Dispensary Dispensaries
Dispensary
1 Chennai 39 - - 39
2. Madurai 54 1 - 55
3. Coimbatore 37 2 - 39
4. Salem 50 2 2 54
Total 180 5 2 187
8.9 Labour Bureau
The Labour Bureau is responsible for (a) Collection, Compilation and dissemination of various facets of Labour
Statistics on all India basis; (b) Construction and Maintenance of Working Class Consumer Price Index Numbers
for selected centers and the all-India Consumer Price Index Numbers for Industrial Workers; (c) Construction of
Consumer Price Index Numbers for Agricultural Workers; (d) Construction of Consumer Price Index Numbers for
Rural Labour, (e) Maintenance of up-to-date data relating to working conditions of Industrial Workers collected
earlier by the Labour Investigation Committee; (f) Undertaking research into specific problems with a view to
supplying data required for the formulation of labour policy (g) bringing out reports, pamphlets and brochures on
various aspects of labour by conducting country-wise field studies and enquiries to ascertain the working and
living conditions of various classes of labour such as, unorganized labour, scheduled castes and scheduled
tribes labour, women workers; contract labour, and child labour, etc. and (h) publication of the ‘Indian Labour
Journal’(Monthly); the ‘Indian Labour Statistics’ (Annual); the ‘Indian Labour Year Book’ (Annual) and the ‘Pocket
Book of Labour Statistics’(Annual).
It also brings out reports on the Working of the Factories Act, 1948; the Minimum Wages Act 1948 which are
compiled and published (both annual), ‘The Trade Unions Act, 1926 (biennial) annual reviews on Industrial
Disputes, Closures, Lay-off and Retrenchment; the working of the Workmen’s Compensation Act, 1923; the
Maternity Benefit Act, 1961; the Industrial Employment (Standing Orders) Act 1946; the Motor Transport Workers
Act, 1961; the Shops and Commercial Establishments Act; the Payment of Wages Act, 1936 and the Plantations
Labour Act, 1951 . Employment in factories under the Factories Act, 1948, industrial disputes, monthly statistics
of absenteeism, etc., are also published in the Indian Labour Journal. The Bureau also issues, from time to time
special publications on matters of labour interest and compiles and publishes the all-India list of Factories.
8.10 Tamil Nadu Pollution Control Board:
Tamilnadu Pollution Control Board (TNPCB), established in 1982, enforces the following pollution control laws
and rules relating to environmental protection in the state.
§ The Water (Prevention and Control of Pollution) Act, 1974 as amended in 1978 and 1988.
§ The Water (Prevention and Control of Pollution) Cess Act, 1977 as amended in 1991.
§ The Air (Prevention and Control of Pollution) Act, 1981 as amended in 1987.
§ The Environment (Protection) Act, 1986.
§ The Environment (Protection) Rules, 1986
§ The Hazardous Wastes (Management and Handling) Rules, 1989 as amended in 2000.
§ The Manufacture, Storage and Import of Hazardous Chemical Rules, 1989 as amended in 2000.
§ The Bio-Medical Wastes (Management and Handling) Rules, 1998 as amended in 2000.
§ The Recycled Plastic Manufacture and Usage Rules, 1999.
§ The Municipal Solid Wastes (Management and Handling) Rules, 2000.
§ Noise Pollution (Regulation and Control) Rules, 2000.
§ The Batteries (Management and Handling) Rules, 2001.
TNPCB functions with its head office at Chennai. There are 25 district offices at Chennai, Coimbatore, Vellore,
Madurai, Tiruchirapalli, Ambattur, Tambaram, Hosur,Vaniyambadi, Cuddalore, Thanjavur, Karur, Salem, Namakkal,
Erode, Tiruppur, Dindigul, Thirunelveli, Virudhunagar, Thoothukudi, Uthagamandalam, Nagercoil, Pudukkottai,
Villupuram and Nagapattinam.
TNPCB has established 3 Advanced Environmental Laboratories at Chennai, Salem and Madurai, 10 District
Environmental Laboratories at Ambattur, Vellore, Cuddalore, Tiruchirapalli, Dindigul, Thirunelveli, Coimbatore,
Tiruppur, Hosur and Manali and one Mobile Environmental Laboratory at Thoothukudi.
TNPCB, interacts with other concerned departments/ institutions to take a coordinated action for the protection
of environment. TNPCB extends effective assistance to local bodies in urban solid waste management, by
providing training and technical assistance.
8.11 Department of Environment
The Department of Environment was created in G.O.Ms.No.335, Environment and Forests Department dated
13.10.95 as the nodal Department for dealing with Environmental Management of the State. The Department is
entrusted with the implementation of major projects like pollution abatement in the river Cauvery, Vaigai and
Tamiraparani; Pollution abatement in Chennai City waterways; National Lake Conservation Programme and all
aspects of Environment other than those dealt with by Tamil Nadu Pollution Control Board. Recycling of solid and
liquid wastes, bio-composting, rainwater harvesting, tree planting, etc., are important in achieving environmental
conservation. Environmental conservation requires attitudinal change and generation of awareness among the
people. This is best done by infusing these ideals in the young minds of school children.
8.12 Department of Industries
The Government of Tamil Nadu has set itself an ambitious target of 8% growth in the state economy for the 10 th
Plan period and the secondary sector has an important role to play in this regard. It is imperative for industrial
development to provide for employment for its energetic work force and its highly skilled and educated
population and to provide a strong base for the services sector to develop. The flourishing of the manufacturing
sector is crucial to promote direct opportunities of employment and to diversify the primary sector which is
burdened by a huge dependency of 62% of the population. The Industrial Policy of Tamil Nadu is accordingly
redefined to meet the challenges of globalisation and the demands of the new areas of development. Tamil Nadu
has great strength in its traditional industries of pharmaceuticals, leather, machine tools, automobile
manufacturing and auto component industry, power, pumps and light engineering.
8.13 Department Of Explosives
The Department of Explosive is a department attached to the Ministry of Industrial Development, Government of
India. The department with its head office at Nagpur has 5 Regional offices known as Circle Offices. Apart from
regional offices there are a number of factory specific offices also. The Chief Controller of Explosives is the head
of the department. The Regional Office of the department is located at Chennai.
The Department of Explosive is entrusted with the administration of the Explosive Act, 1884, Petroleum Act, 1934
and Inflammable Substances Act, 1952 and the rules framed thereunder. Beside these activities it has additional
responsibilities pertaining to grant of licenses in respect of the transportation of hazardous chemicals under
Petroleum Rules, 1976.
8.14 Central Board of Workers Education
Regional Directorate, Central Board for Workers Education, Chennai, is a tripartite society and was established in
1958 by Ministry of Labour, Government of India to undertake workers education activities. The headquarter of
the Board is located at Nagpur, Maharashtra.
The main objectives of the Board are to conduct training programmes on topics which help to improve the quality
of work life and to develop a positive attitude among all sections of employees.
The Regional Directorate is carrying out its activities through professional and education officers and is equipped
with Library and training room facilities. Monographs, periodicals etc. on Occupational Safety & Health are being
published by the Regional Directorate.
8.15 National Safety Council of India, Tamilnadu Chapter
The National Safety Council was set up on 4 March 1966 as a non-profit making, non-political voluntary
organization. The main objective of the Council is to generate, develop and sustain a voluntary movement at the
national level to promote awareness of safety, health and environment, so as to supplement and strengthen the
government efforts in the field. The Management of the Council is vested in a tripartriate Board of Governors
which has 51 Members . The Chairman is appointed by the Govt. of India in consultation with Board. The
Director General is Chief Executive and Secretary to the Board.
The activities of the Council include Conferences, Seminars, Training Programme, Risk Analysis, Safety Audit for
Hazardous Industries, Technical Advice, Film Library, National Safety Calendar, National Safety Day Campaign,
National Safety Publication of periodicals, Technical Literature and Liaison with Internal Safety Organisations.
8.16 Loss Prevention Association of India Ltd., Chennai
Loss Prevention Association of India Ltd., Chennai with its headquarters at Mumbai is a non-profit and Non-
Government organization. The Association was established in 1978 with an aim to promote safety and loss
control through education training and consultancy. The main broad objectives of the association are :
§ To publicize cause and magnitude of losses and create an awareness of the need for loss prevention.
§ To provide education, training, consultancy and advisory services.
§ To build and maintain a data bank on loss prevention.
The Association works in the areas of Chemical Safety, Fire protection, Training & education, Work place
inspection & Fire investigation. The Association regularly brings out publications on various aspect of safety
covering fire prevention, material handling and road safety.
8.17 Safety Engineers’ Association (India), Chennai
The Safety Engineers’ Association (India) was established in June 2001 as a registered Society under the
Society’s Act 1975. The administration of the Society lies with an Executive Committee comprising 9 Members.
The principle objectives of the Association include:
§ To serve as a vital link between safety engineers at national level
§ To share knowledge and experience to protect lives, property and environment
§ To interact with the other organizations for overall improvement of safety, health and environment
§ To provide advice/guidance/help to industries and safety professionals on safety health and related matters
§ To assist statutory bodies to enact safety Regulations, Standards, requirements, etc.
8.18 Confederation of Indian Industry
Confederation of Indian Industry, Southern region was set up by the Confederation of Indian Industry to advice
the industries on various industry related issues. The association has State level Council with various sectoral
panels.
The main aim of Confederation of Indian Industry is to advice the industry on all key relevant issues including
occupational safety and health. The association is competent in the areas of technical guidance and training &
education. The association has in-house faculty for conducting training programmes and workshop. The contact
person is the Director.
8.19 National Productivity Council, Chennai:
The National Productivity Council of India is an autonomous, multi-partite Organisation established as a
registered society in 1958. It has been catalyzing productivity movement and providing productivity
improvement services in all spheres of economic activity.
The aims of the council are to increase productivity by adopting productivity technique and by preventing
occupational accident and diseases by providing Industrial Engineering Services such as work study, method
study, job evaluation etc., and by training programmes and workshops. The council is competent with chemical
safety, machine safety, fire protection, workplace inspection and training & education. In relation to occupational
safety and health activities the council provide technical guidance and training & education. These activities are
carried out by the professional and technical consultants supported by the administrative staff.
The council is equipped with the library having well collection of reference publications in the field of industrial
safety & health and reading room, training room and a conference hall. The council has also produced a number
of materials on the above field. The organisation is headed by a Director.
8.20 Madras Management Association:
The Madras Management Association is affiliated to the All India Management Association, New Delhi. The
objectives of the association are management development and training & education in the areas related to
industrial relations, safety, health, environment, etc. The association address the economic sectors of
manufacturing, transport, construction, electricity, gas & water, financing, insurance, real estate and business
services, social and personal services. The association is competent with the training & education and
information. It has library facilities and publish a quarterly journal. The contact person is the Executive Director.