History of The Factories Act, 1948

 Poor working condition

 Working hours was not fixed
 Health and safety issues
 No system of fixed wage payment
 No overtime
 No welfare facilities for workers (toilet issues,
drinking water issues, etc)
Therefore, the Factories Act 1948 consolidating and
amending the law relating to labour in factories, was
passed by the constituent assembly on 28th August,
1948 which came into force on 1st April, 1949.
 Act provided for health and safety measures and
primarily protected child labor in factories.
 Due to inherent weaknesses and to keep pace with
changing working class the act has been amended
several times.
Covers aspects regarding the factories, namely:
 Approval of the Factories.
 Licensing and Registration Procedures of factories.
 Inspecting Authorities
 Health Measures
 Safety Measures
 Welfare measures
 Working Hours
 Employment of young and adult children
 Annual Leave and Penalties.
Object of the Act:
 To regulate working conditions in factories.
  To ensure that basic minimum requirements for
safety, health and welfare of factory workers are
provided.
Scope of the Act:
 It extends to whole of India
 Applicable to all factories (Central or any state
government unless otherwise excluded)
Benefits of this act are available to persons who may be
covered within the meaning of the term “worker” as
defined in the Act.
Worker: Section 2(1)
 A person employed
 Directly
 Or by or through any agency (including a
contractor)
 With or without the knowledge of the principal
employer
 Weather 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 manufacturing process
 BUT, does not include any member of the armed
forces of the union. (Army, Navy and air force of
the Indian union)
Manufacturing Processes: Section 2(k)
Means any process for:
1. 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
2. pumping oil, water, sewage or any other substance;
or
3. generating, transforming or transmitting power; or
4. composing types for printing, printing by letter
press, lithography, photogravure or other similar
process or book binding;
5. constructing, reconstructing, repairing, refitting,
finishing or breaking up ships or vessels;
6. preserving or storing any article in cold storage

Factory: Section 2(m)  

 Factory means any premises including the

precincts (spaced enclosed by wall) thereof:
o 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
o 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-
o but does not include a mine subject to the
operation of [the Mines Act, 1952 (35 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].
o For counting 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.
o For the purposes of this clause, the installation of an Electronic Data Processing Unit
or a Computer Unit 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.
In general, Factory means any premises, where-

 10 or more workers are engaged in a

manufacturing process with the aid of power on
any day during the previous twelve months
 20 or more workers are engaged in a
manufacturing process without the aid of
power on any day during the previous twelve
months
 (Power means any form of energy which is
mechanically transmitted and is not generated by
human or animal agency)

Certain Examples of Factories are:

 Water works maintained by a municipality

 Railway workshop
 Electricity department of a municipality

Occupier: Section 2(n)

 Means the person who has ultimate control over

the affairs of the factory.
Provided that—
1. In the case of a Firm or other association of
individuals- Any one of the individual partners
or members shall be deemed/considered to be
the occupier
2. In the case of a Company- Any one of the
directors shall be deemed/considered to be the
occupier
3. In the case of a Factory which is 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 Stale Government or the local
authority, shall be deemed to be the occupier
4. 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:
a. the Owner of the dock
b. 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 this

purpose.

Approval, Licensing and registration of factories:

Section 6

1. Occupier has to obtain permission in writing of a

State Govt. or the Chief Inspector regarding:
a. Submission of plans of any class or description
of factories
b. Site on which the factory is to be situated
c. For the construction or extension of any factory
or class or description of any factories
2. Occupier is required to deposit the requisite fees for
such registration and licensing and for the renewal
of licenses
a. No such licence shall be granted or renewed
unless the notice specified in Section 7 of the
act has been given
3. Occupier is required to send the plans to the State
Government or Chief Inspector by registered post.
4. If on an application for permission accompanied by
the plans and specifications to the appropriate
authority by the occupier, no order is
 communicated to the applicant within three
months from the date on which the application is so
sent, it will be presumed that the permission is
granted.
5. On such refusal to grant permission by the State
Government or a Chief Inspector to the site,
construction or extension of a factory or to the
registration and licensing of a factory, the applicant
may within thirty days from such refusal, appeal
to the Central Government.
6. Failure to apply for the registration and a licence
under section 6 of this Act amounts to an offence
punishable under Section 92. (See Section 92)
Notice by Occupier: Section 7
 Occupier is required to serve a notice at least 15
days before:
a. He begins to occupy or use any premises as a
factory, send to the Chief Inspector a written
notice containing:
a) Name and situation of the factory
b) Name and address of the occupier
c) Name and address of the owner of the
premises or building (including the
precincts thereof)
d) Address to which communications relating
to the factory may be sent
e) Nature of the manufacturing process—
 carried on in the factory during the
last twelve months in the case of
factories in existence on the date of the
commencement of this Act
 to be carried on in the factory during
the next twelve months in the case of
all factories
 f) Total rated horsepower installed or to be
installed in the factory
g) Name of the manager of the factory
h) Number of workers likely to be employed in
the factory
i) The average number of workers per day
employed during the last twelve months in
the case of a factory in existence on the
date of the commencement of this Act
j) Such other particulars as may be
prescribed
 Occupier must send a written notice to Inspector
and to the Chief Inspector when a new manager is
appointed, within 7 days from the date on which
such person takes over charge.