g. 11 of 1963, s. 3 and the Schedule and Laccadive, Minicoy and
Amindivi Islands by Reg. 8 of 1965, s. 3 and the Schedule.
2. Subs. by the A.O. 1950, for the former sub-section.
3. The words “except the state of Jammu and Kashmir” omitted by Act 51 of 1970, s. 2 and the Schedule (w.e.f. 1-9-1971).
4. Ins. by Act 25 of 1954, s. 2. (w.e.f. 7-5-1954).
5. Ins. by Act 20 of 1987, s. 2. (w.e.f. 1-12-1987).
7
(e) “day” means a period of twenty-four hours beginning at midnight:
(f) “week” means a period of seven days beginning at midnight on Saturday night or such other
night as may be approved in writing for a particular area by the Chief Inspector of Factories;
(g) “power” means electrical energy or any other form of energy which is mechanically
transmitted and is not generated by human or animal agency;
(h) “prime mover” means any engine, motor or other appliance which generates or otherwise
provides power;
(i) “transmission machinery” means any shaft, wheel, drum, pulley, system of pulleys, coupling,
clutch, driving belt or other appliance or device by which the motion of a prime mover is transmitted
to or received by any machinery or appliance;
(j) ”machinery” includes prime movers, transmission machinery and all other appliances whereby
power is generated, transformed, transmitted or applied;
(k) “manufacturing process” means any process for—
(i) 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, or
1
[(ii) pumping oil, water, sewage or any other substance; or]
(iii) generating, transforming or transmitting power; or
2
[(iv) composing types for printing, printing by letter press, lithography, photogravure or
other similar process or book binding; 3
[or]]
(v) constructing, reconstructing, repairing, refitting, finishing or breaking up ships or
vessels; 3
[or]
3
[(vi) preserving or storing any article in cold storage;]
(l) “worker” means a person 4
[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 3
[but does not include any
member of the armed forces of the Union];
(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 5
[the Mines Act, 1952 (35 of 1952)], or 6
[a mobile
unit belonging to the armed forces of the Union, railway running shed or a hotel), restaurant or eating
place].
1. Subs. by Act 94 of 1976, s. 2, for sub-clause (ii) (w.e.f. 26-10-1976).
2. Subs. by Act 25 of 1954, s. 2, for sub-clause (iv) (w.e.f. 7-5-1954).
3. Ins. by Act 94 of 1976, s. 2, (w.e.f. 26-10-1976).
4. Subs. by s. 2, ibid., for “employed, directly or through any agency, whether for wages or not” (w.e.f. 26-10-1976).
5. Subs. by Act 25 of 1954, s. 2, for “the Indian Mines Act, 1923 (4 of 1923)” (w.e.f. 7-5-1954).
6. Subs. by Act 94 of 1976, s. 2, for “a railway running shed” (w.e.f. 26-10-1976).
8
1
[Explanation 2
[I]—For computing the number of workers for the purposes of this clause all the
workers in 3
[different groups and relays] in a day shall be taken into account;]
4
[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;]
(n) “occupier” of a factory means the person who has ultimate control over the affairs of the
factory 5***.
4
[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 Stale Government or the local authority, as the case may
be, shall be deemed to be the occupier:]
1
[
6
[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, 4
[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;
(c) 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;
7* * * * *
(p) “prescribed” means prescribed by rules made by the State Government under this Act;
8* * * * *
(r) where work of the same kind is carried out by two or more sets of workers working during
different periods of the day, each of such sets is called a 9
[“group” or “relay”] and each of such
periods is called a “shift”.
1. Ins. by Act 94 of 1976, s. 2 (w.e.f. 26-10-1976).
2. The Explanation numbered as Explanation I by Act 20 of 1987, s. 2 (w.e.f. 1-12-1987).
3. Subs. by s. 2, ibid., for “different relays” (w.e.f. 1-12-1987).
4. Ins. by s. 2, ibid. (w.e.f. 1-12-1987).
5. Certain words omitted by s. 2, ibid., (w.e.f. 1-12-1987).
6. Subs. by s. 2, ibid., for “Provided that” (w.e.f. 1-12-1987).
7. Clause (o) omitted by s. 2, ibid., (w.e.f. 1-12-1987).
8. Clause (q) omitted by Act A. O. 1950.
9. Subs. by Act 20 of 1987, s. 2, for “relay” (w.e.f. 1-12-1987).
9
STATE AMENDMENTS
Maharashtra
Amendment of section 2 of 63 of 1948.—In section 2 of the Factories Act, 1948 (63 of 1948), in its
application to the State of Maharashtra (hereinafter referred to as “the principal Act”), in clause (m),—
(a) in sub-clause (i), after the words “whereon ten or more workers” the words “or such number of
workers as may be specified by the State Government by notification, from time to time” shall be inserted;
(b) in sub-clause (ii), after the words “whereon twenty or more workers” the words “or such number of
workers as may be specified by the State Government by notification, from time to time” shall be inserted;
(c) after sub-clause (ii), the following proviso shall be inserted, namely:—
“Provided that, the number of workers to be specified by the State Government in sub-clauses (i) and
(ii) shall not exceed twenty and forty workers, respectively.”.
[Vide Maharashtra Act 40 of 2015, s. 2].
Ladakh (UT)
Section 2.—In clause (m),
(i) in sub-clauses (i) for the words “ten or more workers”, the words “twenty or more workers” shall be
substituted;
(ii) in sub-clause(ii), for the words “twenty or more workers”, the words “forty or more workers” shall be
substituted.
[Vide Union Territory of Ladakh Reorganisation (Adaptation of Central Laws) Order, 2020, notification
No. S.O. 3774(E), dated (23-10-2020).]
Jammu and Kashmir (UT)
Section 2.—In clause (m), in sub-clauses (i) and (ii), for “ten” and “twenty”, substitute “twenty” and
“forty” respectively.
[Vide Union Territory of Jammu and Kashmir Reorganisation (Adaptation of Central Laws) Order, 2020,
notification No. S.O. 3465(E), dated (5-10-2020).]
Uttar Pradesh
Amendment of section 63 of 1948.—In section 2 of the Factories Act, 1948 as amended in its application
to Uttar Pradesh, herein after referred to as principal Act, in clause (m),--
(i) in sub-clause (i), for the words "ten or more", the words "twenty or more" shall be
substituted;
(ii) in sub-clause (ii), for the words "twenty or more", the words "forty or more" shall be
substituted.
[Vide Uttar Pradesh Act 13 of 2018, s. 2]
Arunachal Pradesh
Amendment of section 2.—In section 2 of the Factories Act, 1948 (Central Act 63 of 1948), as in
force in the State of Arunachal Pradesh (hereinafter referred to as the “principal Act”), in clause (m),--
(i) in sub-clause (i), for the words “ten or more workers” , the words “twenty or more workers”
shall be substituted.
(ii) in sub-clause (ii), for the words “twenty or more workers” the words “forty or more workers”
shall be substituted.
[Vide Arunachal Pradesh Act 6 of 2020, s. 2]
Rajasthan
Amendment of section 2, Central Act No. 63 of 1948.- In section 2 of the Factories Act, 1948
(Central Act No. 63 of 1948), in its application to the State of Rajasthan, hereinafter referred to as the
principal Act,-
(i) in sub-clause (i) of clause (m), for the existing word "ten", the word "twenty" shall be
substituted; and
(ii) in sub-clause (ii) of clause (m), for the existing word "twenty", the word "forty" shall be
substituted.
[Vide Rajasthan Act 20 of 2014, s. 2]
3. Reference to time of day.—In this Act references to time of day are references to Indian Standard
Time, being five and a half hours ahead of Greenwich Mean Time:
10
Provided that for any area in which Indian Standard Time is not ordinarily observed the State Government
may make rules—
(a) specifying the area,
(b) defining the local mean time ordinarily observed therein, and
(c) permitting such time to be observed in all or any of the factories situated in the area.
1
[4. Power to declare different departments to be separate factories or two or more factories to be a
single factory.—The State Government may, 2
[on its own or] on an application made in this behalf by an
occupier, direct, by an order in writing 2
[and subject to such conditions as it may deem fit], that for all or any
of the purposes of this Act different departments or branches of a factory of the occupier specified in the
application shall be treated as separate factories or that two or more factories of the occupier specified in the
application shall be treated as a single factory:]
3
[Provided that no order under this section shall be made by the State Government on its own motion
unless an opportunity of being heard is given to the occupier.]
5. Power to exempt during public emergency.—In any case of public emergency the State Government
may, by notification in the Official Gazette, exempt any factory or class or description of factories from all or
any of the provisions of this Act 4
[except section 67] for such period and subject to such conditions as it may
think fit:
Provided that no such notification shall be made for a period exceeding three months at a time.
5
[Explanation.—For the purposes of this section “public emergency” means a grave emergency whereby
the security of India or of any part of the territory thereof is threatened, whether by war or external aggression
or internal disturbance.]
Arunachal Pradesh
Insertion of section 5A.—After section 5 of the principal Act, the following section shall be inserted,
namely:--
‘5A. Where the State Government is safisfied in the public interest that it is necessary to create more
economic activities and employment opportunities, it may, by notification in the Official Gazette, exempt,
subject to such conditions as it may think fit, any new factory or class or description of new factories
which are established and whose commercial production start, from or any of the provisions of this Act
for a period of one thousand days from the date on which such commercial production start.’
Explanation.—For the purposes of this section, the expression “new factory or class or description of
new factories” means such factory or class or description of factories which are established and whose
commercial production start within a period of one thousands days after the commencement of the
Factories (Arunachal Pradesh Amendment) ordinance, 2020.
[Vide Arunachal Pradesh Act 6 of 2020, s. 3]
6. Approval, licensing and registration of factories.—(1) The State Government may make rules—
6
[(a) requiring, for the purposes of this Act, the submission of plans of any class or description of
factories to the Chief Inspector or the State Government;]
7
[(aa) requiring the previous permission in writing of the State Government or the Chief Inspector
to be obtained for the site on which the factory is to be situated and for the construction or extension
of any factory or class or description of factories;
(b) requiring for the purpose of considering applications for such permission the submission of
plans and specifications;
(c) prescribing the nature of such plans and specifications and by whom they shall be certified;
(d) requiring the registration and licensing of factories or any class or description of factories, and
prescribing the fees payable for such registration and licensing and for the renewal of licences;
1. Subs. by Act 25 of 1954, s. 3, for section 4 (w.e.f. 7-5-1954).
2. Ins. by Act 20 of 1987, s. 2 (w.e.f. 1-12-1987).
3. Added by s. 2, ibid. (w.e.f. 1-12-1987).
4. Ins. by the A.O. 1950.
5. Ins. by Act 94 of 1976, s. 3 (w.e.f. 26-10-1976).
6. Ins. by s. 4, ibid. (w.e.f. 26-10-1976).
7. Clause (a) re-lettered as clause (aa) by Act 94 of 1976, s. 4 (w.e.f. 26-10-1976).
11
(e) requiring that no licence shall be granted or renewed unless the notice specified in
section 7 has been given.
(2) If on an application for permission referred to in 1
[clause (aa)] of sub-section (1) accompanied by
the plans and specifications required by the rules made under clause (b) of that sub-section, sent to the
Suite Government or Chief Inspector by registered post, no order is communicated to the applicant within
three months from the date on which it is so sent, the permission applied for in the said application shall
be deemed to have been granted.
(3) Where a State Government or a Chief Inspector refuses to grant permission to the site,
construction or extension of a factory or to the registration and licensing of a factory, the applicant may
within thirty days of the date of such refusal appeal to the Central Government if the decision appealed
from was of the State Government and to the State Government in any other case.
Explanation.—A factory shall not be deemed to be extended within the meaning of this section by
reason only of the replacement of any plant or machinery or within such limits as may be prescribed, of
the addition of any plant or machinery 2
[if such replacement or addition does not reduce the minimum
clear space required for safe working around the plant or machinery or adversely affect the environmental
conditions from the evolution or emission of steam, heat or dust or fumes injurious to health].
7. Notice by occupier.—(1) The occupier shall, at least fifteen days before he begins to occupy or
use any premises as a factory, send to the Chief Inspector a written notice containing—
(a) the name and situation of the factory;
(b) the name and address of the occupier;
3
[(bb) the name and address of the owner of the premises or building (including the precincts
thereof) referred to in section 93;]
(c) the address to which communications relating to the factory may be sent;
(d) the nature of the manufacturing process—
(i)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; and
(ii) to be carried on in the factory during the next twelve months in the case of all factories;
4
[(e) the total rated horse power installed or to be installed in the factory, which shall not include
the rated horse power of any separate stand-by plant;]
(f) the name of the manager of the factory for the purposes of this Act;
(g) the number of workers likely to be employed in the factory;
(h) 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;
(i) such other particulars as may be prescribed.
(2) In respect of all establishments which come within the scope of the Act for the first lime, the
occupier shall send a written notice to the Chief Inspector containing the particulars specified in subsection (1) within thirty days from the date of the commencement of this Act.
(3) 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, the occupier shall send a written
notice to the Chief Inspector containing the particulars specified in sub-section (1)
5
[at least thirty days]
before the date of the commencement of work.
1. Subs. by Act 94 of 1976, s. 4, for “clause (a)” (w.e.f. 26-10-1976).
2. Ins. by s. 4, ibid. (w.e.f. 26-10-1976).
3. Ins. by Act 25 of 1954, s. 4 (w.e.f. 7-5-1954).
4. Subs. by Act 94 of 1976, s. 5, for “clause (e)” (w.e.f. 26-10-1976).
5. Subs. by Act 40 of 1949, s. 3 and the Second Schedule, for “within thirty days” (w.e.f. 1-5-1949).
12
(4) Whenever a new manager is appointed, the occupier shall send to the 1
[Inspector a written notice
and to the Chief Inspector a copy thereof] within seven days from the date on which such person takes
over charge.
(5) 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.