Health and Safety Provisions as per Factories Act by Khushi Mehta last modified Mar 14, 2011 12:15

5 PM The Factories Act, 1948, has been promulgated primarily to provide safety measures and to promote the health and welfare of the workers employed in factories. The object thus brings this Act, within the competence of the Central Legislature to enact. State Governments/Union Territory Administrations have been empowered under certain provisions of this Act, to make rules, to give effect to the objects and the scheme of the Act. Applicability: This Act applies to factories, which qualify the definition of Factory under the section 2(m) of the Act or to those industrial establishments, to whom section 85 have been made applicable by the State Government, by notification in the Official Gazette. This applies to any premises wherein 10 or more persons with the aid of power or wherein 20 or more workers without aid of power are/were working on any day in the preceding 12 months, wherein manufacturing process is being carried on. Health Provisions

The main focus of Factories Act is towards the Health benefits to the workers. Health Chapter of the Act contains specification from Section 11 to 20. Detailed information of the sections of is provided as under: Section 11: This section basically specifies the issues of cleanliness at the workplace. It is mentioned in the provision that every factory shall be kept clean and free from effluvia arising from any drain, privy or other nuisance. This includes that there should be no accumulation of dirt and refuse and should be removed daily and entire area should be kept clean. Section 12: This section specifies on disposal of wastes and effluents. That every factory should make effective arrangements for the treatment of wastes and effluents due to the manufacturing process carried on therein, so as to render them innocuous and for their disposal. Section 13: This section focuses on ventilation and temperature maintenance at workplace. Every factory should work on proper arrangements for adequate ventilation and circulation of fresh air. Section 14: This section details on the proper exhaustion of dust and fume in the Factory. In this it is mentioned that factory which deals on manufacturing process should take care of the proper exhaustion of dust, fume and other impurities from its origin point. Section 15: This section specifies regarding the artificial humidification in factories. In this the humidity level of air in factories are artificially increased as per the provision prescribed by the State Government. Section 16: Overcrowding is also an important issue which is specified in this section. In this it is mentioned that no room in the factory shall be overcrowded to an extent that can be injurious to the health of workers employed herein. Section 18: This section specifies regarding arrangements for sufficient and pure drinking water for the workers. There are also some specified provisions for suitable point for drinking water supply. As in that drinking water point should not be within 6 meters range of any washing place, urinal, latrine, spittoon, open drainage carrying effluents. In addition to this a factory where there are more than 250 workers provisions for cooling drinking water during hot temperature should be made.

Section 19: This section provides details relating to urinals and latrine construction at factories. It mentions that in every factory there should be sufficient accommodation for urinals which should be provided at conveniently situated place. It should be kept clean and maintained. There is provision to provide separate urinals for both male and female workers. Section 20: This section specifies regarding proper arrangements of spittoons in the factory. It is mentioned that in every factory there should be sufficient number of spittoons situated at convenient places and should be properly maintained and cleaned and kept in hygienic condition. Safety Provisions

The Factories Act, 1948 also provides provisions relating to safety measures for the workers employed herein. This is to ensure safety of workers working on or around the machines. The detailed information on each provision relating to safety measures is as under: Section 17: Under section it has been described that there should be proper arrangement of lighting in factories. In every part of the factory where workers are working or passing should be well equipped with lighting arrangement either by natural sources or artificial sources. Section 21: This section specifies that fencing of machinery is necessary. That any moving part of the machinery or machinery that is dangerous in kind should be properly fenced. Section 23: This section prescribes that employment of young person on dangerous machinery is not allowed. In the case where he is been fully instructed in the usage of the machinery and working under the supervision he might be allowed to work on it. Section 24: This section provides provision of striking gear and devices for cutting off power in case of emergency. Every factory should have special devices for cutting off of power in emergencies from running machinery. Suitable striking gear appliances should be provided and maintained for moving belts. Section 28: This section prohibits working of women and children on specific machinery. As per this section women and children should not be appointed for any part of factory working on cotton pressing. Section 32: In this section it has been specified that all floors, stairs, passages and gangways should be properly constructed and maintained, so that there are no chances of slips or fall. Section 34: This section specifies that no person in any factory shall be employed to lift, carry or move any load so heavy that might cause in injury. State Government may specify maximum amount of weight to be carried by workers. Section 35: This section provides specification regarding safety and protection of eyes of workers. It mentions that factory should provide specific goggles or screens to the workers who are involved in manufacturing work that may cause them injury to eyes. Section 36: As per this section it is provided that no worker shall be forced to enter any chamber, tank, vat, pit, pipe, flue or other confined space in any factory in which any gas, fume, vapour or dust is likely to be present to such an extent as to involve risk to persons being overcome thereby. Section 38: As per this section there should be proper precautionary measures built for fire. There should

be safe mean to escape in case of fire, and also necessary equipments and facilities to extinguish fire. Section 45: This section specifies that in every factory there should be proper maintained and well equipped first aid box or cupboard with the prescribed contents. For every 150 workers employed at one time, there shall not be less than 1 first aid box in the factory. Also in case where there are more than 500 workers there should be well maintained ambulance room of prescribed size and containing proper facility. Offences and Penalties:

For contravention of the provisions of the Act or Rules- imprisonment upto 2 years or fine upto Rs.1,00,000 or both. Contravention causing death or serious bodily injury - fine not less than Rs.25,000 in case of death and not less than Rs.5000 in case of serious injuries. Continuation of contravention - imprisonment upto 3 years or fine not less than Rs.10,000 which may extend to Rs.2,00,000. On contravention of Chapter IV pertaining to safety or dangerous operation. Factories Act works with a primary object to protect workers employed in the factories against industrial and occupational hazards. For that purpose, it seeks to impose upon the owners or the occupiers certain obligations to protect works unwary as well as negligent and to secure for them, employment in conditions conducive to their health and safety from accidents.

Provident Fund Registration (Employers Code No. & PF Nomination Formalities)

CRC to Apply for PF Registration (PF Employer s Code No.)

ASR to prepare the application for Registration (Annex. 1- Contains Application Format, List of supporting.)

ASR to submit the Application to PF Office

PF Office conducts Inspection at CRC Premises

PF Office allots (1) PF Code No. & (2) Section No.

On obtaining PF Code No, ASR to prepare Form 9 (Annex 2 - Details of Employees)

CRC employee fills (1) Form 2 (Annex 3 Employee PF Nomination Form) & (2) Form 11 (Annexure 4 -Declaration Form)

ASR to submit Form 9 & Form 2 to PF Office

The Form 11 is maintained in the Employee Personal File

ASR informs employee about PF A/c number. This is also reflected In the monthly pay slip.

ASR to now begin maintaining the (Annex 5 - PF Eligibility Register)

Form Descriptions
1. Form 9 Employee Details, which are self-explanatory. In this form the ASR to allot each employee a PF A/c number, typically starting from 1, 2, 3 2. Form 2 - Employee Nomination Form which again gives employee details. This form is mainly used to know the nominee details. 3. Form 11 Declaration Form, which gives previous employment PF account details. 4. PF Eligibility Register consists of (a) Employee Information, (b) Employee PF/Pension Registration, Nomination and A/c details. (Consultant to maintain)

Provident Fund Monthly Compliance

The First Step for ASR is to maintain a salary register for the purpose of PF compliance (Salary-cumAttendance Register format is based on the respective States Shops & Estt. Act)

ASR to update the salary register at the end of each month for purpose of salary payment.

For PF monthly compliance, the Consultant/ASR is to calculate (Annex 1 - PF Employee/Employer Cont. Statement) based on details given in salary register.

Consultant/ASR to prepare (Annex 2-PF Monthly Cont. Challan in A/c I, II, X, XXI & XXII)

Deposit the Challan along with Payment Cheque drawn on State Bank of India-PF A/c before 15th of every month and obtain receipted copy of challan from Bank.

ASR/Consultant to prepare Form 5 (Annex- 3 Details of Employee Joined during the month) & Form 10 (Annex-4 Details of Employee Left during the month) and Form 12-A (Annex -5 Details of monthly payment) along with Triplicate copy of the challan and submit it to PF Office before 25th of every month

ASR/Consultant to maintain the receipted of Contribution challan and Monthly Return like Form 5, Form 10 & Form 12-A for the purpose of inspection by PF Office.

Forms/Challan Description
Sr No. 1 Form/Other Information PF Employee Cont. @ 12.00% PF Employer Cont. @ 13.61% Description @ 12% of Basic Paid Entire Cont. of 12% goes to Employee PF A/c @ 12% of Basic Paid towards Employer PF Cont. goes in 2 parts:  8.33% goes to Employers Pension A/c  3.67% goes to Employer PF Cont. A/c @ 1.61% towards Admin Charges as under: 1.1% of Basic PF Admin. Charges 0.5% of Basic EDLI Charges 0.01% of Basic EDLI Admin. Charges Employee PF (12%) + Employer PF Cont.(3.67%) Employer Cont towards Admin Charges (1.1%) of Basic Employer Cont towards Pension (8.33%) of Basic Employer Cont towards EDLI Charges (0.5%) of Basic Employer Cont towards EDLI Admin. Charges (0.01%) of Basic Details of Employees joined during the month like PF A/c No., Name of Employee, Father/Husband Name & Date of Joining the Company & PF. Details of Employees left during the month like PF A/c No., Name of Employee, Father/Husband Name & Date of Leaving the Company & PF. Details of Contribution Paid during the month thru PF Cont. challan along with Receipted Triplicate copy of the challan. PF Inspector records his observations during the time of inspection.

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PF A/c Challan A/c I PF A/c Challan A/c II PF A/c Challan A/c X PF A/c Challan A/c XXI PF A/c Challan A/c XXII Form 5 (Monthly Return)

Form 10 (Monthly Return) Form 12-A (Monthly Return) Inspection Book

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Provident Fund Annual Compliance

ASR/Consultant to prepare Form 3-A (Annex 1- Yearly Summary of Employee PF A/c) From monthly PF Cont. Statement of March to February

ASR/Consultant to prepare Form 6-A (Annex 2- Summary of Form 3-A) From Form 3-A

ASR/Consultant to prepare Reconciliation Statement (Annex 3 Comparison of Cont. Due and Cont. Deposited)

ASR/Consultant to submit Form 3-A/Form 6-A and Reconciliation Statement to PF Office before 30th April every year

Acknowledged copy of a Form 3-A & Form 6-A to be maintained for the purpose of inspection by PF Office

ASR/Consultant to provide inspection book at the time of inspection.

Forms Description 1. Form 3-A Yearly Summary of employee PF A/c which gives the details of Employees and Employers monthly PF contribution. 2. Form 6-A Summary of Form 3-A which gives the employees wise yearly detail of all the employees. 3. Reconciliation Statement which gives the comparison of PF contribution due for the year and PF contribution paid during the year.

ESI Registration (Employers Code No. )

CRC to Apply for ESI Registration (ESI Employer s Code No.)

ASR to prepare the application for Registration (Annex. 1- Contains Application Format, List of supporting.)

ASR to submit the Application to Regional ESI Office

ESI Office conducts Inspection at CRC Premises

ESI Office allots ESI Code No.

Crc=convention and right of the child

Employees ESI Registration

CRC Employee fills Form 1 (Annex 1-Declaration Form) along with group photograph of family including employee.

ASR/Consultant to fill Form 3(Annex 2-Return of Declaration Form) In triplicate and submit it to ESI Local Office along with Form 1 within 10 days from the date of joining of the employee

ASR/Consultant to collect TIC (Annex 3-Temporary I Card) From ESI Local Office and to issue the same to employee (TIC is valid for 90 days)

ASR/Consultant to follow up for obtaining PIC (Annex 4 Permanent I Card) From ESI Local Office within 15 to 90 days from the date of issue of TIC

ASR/Consultant to enter the ESI Insurance No of all the Employees in Form 7 [Regulation 32] (Annex-4 Return of Contribution)

ESI Monthly Compliance

The First Step for ASR is to maintain a salary register for the purpose of ESI compliance (Salary-cum-Attendance Register format is based on the respective States Shops & Estt. Act)

ASR to update the salary register at the end of each month for purpose of salary payment.

For ESI monthly compliance, the Consultant/ASR is to calculate (Annex 1 - ESI Employee/Employer Cont. Statement) based on details given in salary register.

Consultant/ASR to prepare (Annex 2-ESI Monthly Cont. challan)

Deposit the Challan along with Payment Cheque drawn on State Bank of India-ESI A/c before 21st of every month and obtain receipted copy of challan from Bank.

Forms/Challan Information
Sr No. Form/Other Information Description ESI Salary includes Basic, DA and all allowances except Washing Allowance 1 Employee ESI Cont. @ 1.75% of Monthly Salary Paid (Max Salary

@ 1.75% Employer ESI Cont. 2 @ 4.75% 3 4 5 ESI Challan (A/c 1) Form 1 (Declaration Form) Form 3 (RDF) Return of Declaration Form

Form 6 (Return of Contribution)

Form 7 (Regulation 32) Register of Contribution

Form 16 (Accident Form)

Accident Register U/R 66

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ESI Inspection Book

Limit for ESI deduction is Rs.6500 p.m. and above Rs.6500 p.m., no ESI deduction to be made from employees salary. @ 4.75% of Monthly Salary Paid (Max Salary Limit for ESI deduction is Rs.6500 p.m. and above Rs.6500 p.m., no ESI deduction to be made from employees salary. This challan gives the details of Employees and Employers Cont for the particular month, to be deposited in the Bank. This form gives the details of employees family members and nomination thereof. This form shows the list of employees whose ESI Form 1 submitted to ESI Local Office & Insurance Number allotted by ESI Local Office This form gives the details of employeewise contribution deposited with the Bank, to be submitted to ESI Local Office along with Triplicate copy of the challan on before 12th May (for Cont. Period Oct-Mar) and before 11th Nov (for Cont Period Apr-Sept) This forms shows the ESI contribution of Employee on half yearly basis i.e. April Sept and Oct March every year. This gives the details of the employee and accident which is to be submitted to the ESI Local Office, Employee Dispensary within 24 hours if the accident is Fatal and within 48 hours if the accident is Normal. This gives the detail information of Accident as per Form 16 submitted to Local Office. This register is required for observation of ESI Inspector at the time of inspection. ESI Inspector records his observations during the time of inspection.

ESI Half-Yearly Compliance

ASR/Consultant to prepare half-yearly return in Form 6 (Annex 1- Return of Contribution) based on Form 7 (Register of Contribution)

ASR/Consultant to submit Form 6 in triplicate along with Triplicate copy of receipted challan to ESI Local Office before 12th May for Cont Period Oct to Mar and 11th Nov for Cont Period Apr to Sept.

ASR/Consultant to maintain the receipted copy of the returns for the propose of the inspection

ESI Compliance in case of Accident

ASR/Consultant to fill From 16 (Annex 1 Accident Report) Immediately on occurrence of accident

ASR/Consultant to submit the Form 16 in triplicate To ESI Local Office within 24 hours if the accident is Fatal And within 48 hours if the accident is Normal

ASR/Consultant to maintain the receipted copy of the Accident Report for the purpose of inspection

ASR/Consultant to make detailed entry in the Accident Register on the basis of Form 16 submitted to ESI Local Office

Shops & Establishment Registration

ASR/Consultant to apply for Registration in Form A (Annex 1 Shops & Estt. Regn. Form) along with necessary fees and submit the same to Chief Inspector of Local Area/Municipal Corp.

Obtain (Annex 2 Form D -Registration Certificate) from the Chief Inspector

Display Registration Certificate on the main entrance/notice board

ASR/Consultant to maintain leave records as per the respective State s Act

Shops & Establishment Registration Renewal

ASR/Consultant to submit Form B (Annex 1 Renewal Form for Registration) And submit it to Chief Inspector of Local Area as per the State s Act

The Chief Inspector verifies the application & Registers the establishment and issues a renewal certificate (Form D )

Shops & Establishment Annual Compliance

ASR/Consultant to submit annual return of Minimum Wages Act Before 31st Jan every year.

ASR/Consultant to submit The Annual Return of National & Festival Holidays To Labor Dept. before 31st Jan every year

ASR/Consultant to submit The Annual return of S&E Act to be sumitted to Labour ept. Before 31st Jan

ASR/Consultant to maintain following register for inspection

1. Register of employement 2. Register of Leave 3. Inspection Book as per State s Act. Annual Bonus The First Step for ASR is to maintain a salary register for the purpose of ESI compliance (Salary-cum-Attendance Register format is based on the respective States Shops & Estt. Act) ASR to update the salary register at the end of each month for purpose of salary payment.

ASR to calculate employeewise Total Basic & DA from April to March

ASR to calulate bonus @ 8.33% of Basic & DA Of those employees who has completed Minimum 30days In a financial year (Apr to Mar)

Enter the details of bonus calculated in Form C (Annex 1 Bonus Register) And distribute the bonus by obtaining signature on Form C

ASR to maintain Bonus Register for the purpose of inspection By Labour Officer

ASR to submit Annual Return (Annex 2 Form D) to Labour Commissioners Office

HR - CHECKLIST 1 Employee Personal File:

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Attendance Register as prescribed by the respective State s Act Salary Register as prescribed by the respective State s Act Provident Fund a. PF/ESI Contribution Statement b. PF Monthly Returns File c. PF Annual Return File

d. ESI Half-yearly Return File 4 Pay slips Leave Register

To be displayed on Notice Board

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Shops & Estt. Registration Certificate. List of Holidays. Gratuity Authorization to receive Notice under Gratuity Act. Form U Gratuity Rules.