Factories Act, 1948: Comprehensive Study Material

The Factories Act, 1948 is a pivotal piece of legislation in India aimed at regulating labor conditions in factories to ensure the health, safety, and welfare of workers. Enacted on September 23, 1948, and effective from April 1, 1949, it consolidates and amends previous laws related to factory labor. The Act applies to the whole of India and covers factories where manufacturing processes are carried out, with thresholds based on the number of workers and use of power. It has been amended several times, notably in 1976 and 1987, to address emerging industrial challenges, including hazardous processes and enhanced penalties.

This study material is structured to provide a thorough understanding of the Act. It begins with the objectives, followed by key definitions as outlined in Section 2. Then, it covers a chapter-wise breakdown of the main provisions, highlighting aspects like health, safety, welfare, working hours, employment of young persons, annual leave, special provisions, penalties, and supplemental rules. This format is designed for easy reference and in-depth study, incorporating explanations, implications, and key amendments where relevant.

Objectives of the Factories Act, 1948

The primary goals of the Act are:

• To ensure safe and healthy working conditions in factories by regulating aspects like cleanliness, ventilation, and machinery safety.
• To protect workers from exploitation through limits on working hours, mandatory holidays, and provisions for leave with wages.
• To safeguard vulnerable groups, such as children, adolescents, women, and those in hazardous processes, by imposing restrictions and requiring medical oversight.
• To promote worker welfare through facilities like canteens, creches, and rest rooms.
• To enforce compliance via inspections, penalties, and reporting mechanisms, thereby preventing accidents, occupational diseases, and environmental hazards.
• To adapt to industrial growth by including provisions for hazardous processes and empowering state governments to make rules.

These objectives reflect a balance between industrial productivity and human rights, influenced by post-independence labor reforms in India.

Key Definitions as Mentioned in the Act (Section 2)

Section 2 of the Factories Act provides essential interpretations that form the foundation for applying the Act’s provisions. Below is a detailed list of key definitions, extracted directly from the Act for accuracy:

• Adult: A person who has completed his eighteenth year of age. This distinguishes adults from adolescents and children for working hour and task restrictions.
• Adolescent: A person who has completed his fifteenth year of age but has not completed his eighteenth year. Adolescents require fitness certificates and face limitations on hazardous work.
• Calendar year: The period of twelve months beginning with the first day of January in any year. Used for calculating leave entitlements and other annual obligations.
• Child: A person who has not completed his fifteenth year of age. Children under 14 are prohibited from factory employment, with strict rules for those aged 14-15.
• Competent person: A person or an institution recognized as such by the Chief Inspector for the purposes of carrying out tests, examinations, and inspections required in a factory, based on qualifications, experience, and facilities. This ensures reliable safety assessments.
• Hazardous process: Any process or activity in an industry specified in the First Schedule where raw materials, intermediate or finished products, by-products, wastes, or effluents could cause material impairment to health or pollution of the environment. Examples include chemical manufacturing or metallurgical processes (added in 1987 amendment).
• Young person: A person who is either a child or an adolescent. This category receives special protections under Chapter VII.
• Day: A period of twenty-four hours beginning at midnight. Relevant for calculating shifts and overtime.
• Week: A period of seven days beginning at midnight on Saturday night or such other night as approved by the Chief Inspector. Used for weekly holidays and hour limits.
• Power: Electrical energy or any other form of energy mechanically transmitted and not generated by human or animal agency. Determines factory classification (e.g., with or without power).
• Prime mover: Any engine, motor, or other appliance that generates or provides power. Part of machinery definitions for safety regulations.
• Transmission machinery: Any shaft, wheel, drum, pulley, system of pulleys, coupling, clutch, driving belt, or other appliance by which the motion of a prime mover is transmitted. Ensures safe power distribution.
• Machinery: Includes prime movers, transmission machinery, and all other appliances whereby power is generated, transformed, transmitted, or applied. Broad scope for safety fencing and maintenance rules.
• Manufacturing process: Any process for making, altering, repairing, ornamenting, finishing, packing, oiling, washing, cleaning, breaking up, demolishing, or treating any article or substance; pumping oil, water, sewage, or other substances; generating, transforming, or transmitting power; composing types, printing, lithography, photogravure, book binding; constructing, reconstructing, repairing, refitting, finishing, or breaking up ships or vessels; or preserving or storing articles in cold storage. This expansive definition covers diverse industrial activities.
• Worker: A person employed, directly 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, cleaning machinery or premises used for a manufacturing process, or any other work incidental to or connected with the manufacturing process. Includes apprentices but excludes armed forces personnel.
• Factory: Any premises including the precincts thereof where ten or more workers are working or were working in the preceding twelve months with power, or twenty or more workers without power, where a manufacturing process is carried on or ordinarily carried on, but excludes mines under the Mines Act, 1952, or mobile units belonging to the armed forces, railway running sheds, or hotels, restaurants, or eating places. Explanations clarify worker counting and exclusions for computer units unless manufacturing occurs.
• Occupier: The person who has ultimate control over the affairs of the factory. In cases of firms, companies, or government-owned factories, specific persons (partners, directors, or appointed managers) are deemed occupiers. Liable for compliance and penalties.
• Prescribed: Prescribed by rules made by the State Government under this Act. Allows flexibility in implementation.
• Group or relay: Sets of workers working during different periods of the day, each period called a shift. Relevant for multi-shift operations.

These definitions are crucial for legal interpretation and have been refined through amendments, such as the inclusion of “hazardous process” in 1987.

Chapter-Wise Provisions of the Factories Act, 1948

Chapter I: Preliminary (Sections 1-7)

This chapter sets the foundation with the Act’s title, extent, and commencement. It includes definitions (Section 2) and procedures for approval, licensing, and registration of factories (Section 6). Occupiers must submit plans and obtain licenses from the Chief Inspector or State Government. Notices of occupation are required (Section 7), and exemptions apply during public emergencies. Key implication: Ensures only compliant factories operate, preventing unregulated industrial setups.

Chapter II: The Inspecting Staff (Sections 8-10)

Appoints Chief Inspectors, Inspectors, and Certifying Surgeons to oversee compliance. Inspectors have broad powers, including entry, examination, sampling, and seizure (Section 9). General duties of occupiers include ensuring worker health, safety, and welfare (Section 7A, added 1987). Manufacturers must disclose safety information for articles used in factories (Section 7B). Amendments strengthened enforcement roles.

Chapter III: Health (Sections 11-20)

Focuses on maintaining hygienic conditions:

• Cleanliness: Floors, walls, and equipment must be kept clean and whitewashed periodically (Section 11).
• Disposal of wastes and effluents (Section 12).
• Ventilation and temperature control to prevent injury (Section 13).
• Dust and fume extraction systems (Section 14).
• Artificial humidification regulations (Section 15).
• No overcrowding: Minimum 14.2 cubic meters per worker (Section 16).
• Adequate lighting (Section 17), drinking water (Section 18), latrines/urinals (Section 19), and spittoons (Section 20).
  Implications: Prevents occupational diseases like respiratory issues. Amendments (1976, 1987) raised standards for hazardous environments.

Chapter IV: Safety (Sections 21-41)

Emphasizes accident prevention:

• Fencing of machinery (Section 21), examination of moving parts (Section 22).
• Restrictions on young persons near dangerous machines (Section 23).
• Devices for cutting off power (Section 24), self-acting machines (Section 25), casing of new machinery (Section 26).
• Prohibition of women/children near cotton openers (Section 27).
• Hoists, lifts, and pressure plants must be safe (Sections 28-31).
• Floors, stairs, and means of access (Section 32), pits/sumps (Section 33), excessive weights (Section 34).
• Protection of eyes (Section 35), precautions against fire/dangerous fumes (Sections 36-37A).
• Safety officers for factories with 1,000+ workers or hazardous processes (Section 40B, added 1976).
• Building stability and maintenance (Sections 38-40).
  Chapter IVA (added 1987) specifically addresses hazardous processes: Site appraisal committees (41A), compulsory disclosure of information (41B), medical exams (41C), inquiry committees (41D), emergency standards (41E), permissible limits (41F, Second Schedule), worker safety committees (41G), and right to warn of dangers (41H).
  Implications: Reduces industrial accidents; post-Bhopal disaster amendments (1987) focused on chemical risks.

Chapter V: Welfare (Sections 42-50)

Promotes worker well-being:

• Washing facilities (Section 42), storage for clothing (Section 43), sitting arrangements (Section 44).
• First-aid appliances, including ambulances for large factories (Section 45).
• Canteens for 250+ workers (Section 46), shelters/rest rooms/lunch rooms for 150+ (Section 47).
• Creches for 30+ women workers (Section 48).
• Welfare officers for 500+ workers (Section 49).
• Power to make rules for welfare (Section 50).
  Implications: Enhances morale and productivity; thresholds increased in 1976 amendments.

Chapter VI: Working Hours of Adults (Sections 51-66)

Regulates adult labor:

• Weekly limit: 48 hours (Section 51), weekly holiday (usually Sunday, Section 52), compensatory holidays (Section 53).
• Daily limit: 9 hours (Section 54), intervals for rest (Section 55), spreadover not exceeding 10.5 hours (Section 56).
• Night shifts notice (Section 57), no overlapping shifts (Section 58).
• Overtime at double rate (Section 59), restriction on double employment (Section 60).
• Notice of periods of work (Section 61), register of workers (Section 62).
• Exemptions for managerial staff or urgent repairs (Sections 64-65).
• Restrictions on women: No night work (7 PM-6 AM, extendable; Section 66, amended 1976).
  Implications: Prevents fatigue; overtime includes allowances in wage calculation (1987).

Chapter VII: Employment of Young Persons (Sections 67-77)

Protects minors:

• No child under 14 (Section 67, aligned with Child Labour Act).
• Non-adult workers need fitness certificates (Sections 68-69).
• Working hours for children: 4.5 hours/day, no night work (Section 71).
• Prohibition on dangerous machines (Section 72), registers (Section 73-74).
• Power for medical exams (Sections 75-76).
  Implications: Aligns with international child labor standards; certificates valid for 12 months.

Chapter VIII: Annual Leave with Wages (Sections 78-84)

• Eligibility: 240 days worked in a year (Section 79).
• Adults: 1 day leave per 20 days worked; children: 1 per 15.
• Wages during leave: Average daily wage (Section 80).
• Advance payment and carry-forward (up to 30/40 days).
• Scheme for leave management (Section 79).
  Implications: Ensures rest; recoverable as debt if unpaid.

Chapter IX: Special Provisions (Sections 85-91A)

• Applies Act to smaller premises if notified (Section 85).
• Exempts public institutions (Section 86).
• Dangerous operations: Extra welfare/safety measures (Section 87).
• Prohibition during serious hazards (Section 87A, 1987).
• Notice of accidents/diseases (Sections 88-89, Third Schedule e.g., asbestosis).
• Power to take samples (Section 91), safety/health surveys (Section 91A, 1987).
  Implications: Targets high-risk scenarios.

Chapter X: Penalties and Procedure (Sections 92-106A)

• General penalty: Up to 2 years imprisonment or Rs. 1 lakh fine (Section 92).
• Enhanced for repeats/accidents (Section 94).
• Liability of owners/occupiers (Sections 93, 101).
• Penalties for obstruction/false docs (Sections 95-98).
• Cognizance by courts (Section 105).
  Implications: Deterrent effect; higher fines post-1987.

Chapter XI: Supplemental (Sections 107-120)

• Appeals against orders (Section 107).
• Display of notices (Section 108), returns (Section 110).
• Worker obligations: No misuse of facilities (Section 111).
• Rule-making powers (Section 112), no charges for facilities (Section 114).
• Protection for actions in good faith (Section 117).
  Implications: Facilitates administration; overrides conflicting laws.

Conclusion and Study Tips

The Factories Act, 1948 remains a cornerstone of Indian labor law, with amendments adapting it to modern needs like environmental protection. For effective study, cross-reference with schedules (e.g., First for hazardous industries) and state rules. Analyze case laws (e.g., via Indian Kanoon) for practical applications. Remember, non-compliance can lead to severe penalties, emphasizing proactive adherence.