Law of Welfare and Working Condition: formula sheet

Key formulas

Statistics duty (section 21(1))

Central Government + State Government → collect, compile and analyse OSH statistics in the prescribed form and manner

The duty is on both Governments, and the form and manner are prescribed by rules.

Migrant worker portal (section 21(2))

Database of inter-State migrant workers on a portal, as prescribed by the Central Government

A migrant worker may register by self-declaration and Aadhaar.

Self-employed migrants (second proviso to section 21(2))

Workers who migrated from one State to another and are self-employed there may also register

This extends the portal beyond workers who have an employer.

Appointment of Inspector-cum-Facilitators (section 34(1))

Appropriate Government + notification → Inspector-cum-Facilitator with jurisdiction specified in the notification

Powers are exercised throughout the jurisdiction in the notification.

Inspection scheme (section 34(3))

Notified scheme → web-based inspection, calling of information electronically, randomised selection of establishment and inspector

The scheme must also cater to special circumstances.

Scheme design factors (section 34(4))

Unique numbers (establishment, inspector, inspection) + timely upload of reports + special inspections + nature of work and workplace

The establishment number is the same as its registration number under section 3.

Disqualification (section 34(8))

Directly or indirectly interested in a workplace, work activity, process, business, plant or machinery → cannot be appointed or continue

This avoids conflict of interest.

Status of officers (section 34(11))

All officers appointed under section 34 → deemed public servants, officially subordinate to the authority the appropriate Government specifies

The section refers to section 21 of the Indian Penal Code.

Registration of establishment

Employer applies to the registering officer within the prescribed period and in the prescribed manner

Time limit, form and covered establishments are fixed by the Code's definitions and rules. State the rule and do not guess numbers.

General duties of employer (Section 6(1)(a) to (e))

Hazard-free workplace + compliance with standards and rules + safe environment (as far as reasonably practicable) + disposal of hazardous and toxic waste including e-waste

Clause (d) is qualified by 'as far as is reasonably practicable'. Clause (a) is not qualified.

Annual health examination (Section 6(1)(c))

Free of cost, for such age, class of employees or class of establishments as the appropriate Government prescribes

It is not automatic for every employee. It applies as prescribed.

Appointment letter (Section 6(1)(f))

Letter to every employee on appointment, in the prescribed form and with the prescribed information; if not issued before commencement, within three months of commencement

The three-month window is a transitional rule for existing employees.

No charge on employees (Section 6(1)(g))

No charge for anything done or provided for safety and health at the workplace, including medical examination for detecting occupational diseases

Safety gear, tests and similar measures cannot be recovered from the employee.

Premises responsibility (Section 6(1)(h))

For factory, mine, dock work, building or other construction work or plantation: responsible for safety and health of employees, workers and other persons on the premises, with or without the employer's knowledge

This covers visitors and contractor workers. It is limited to the listed types of workplaces.

Specific duties in hazardous workplaces (Section 6(2))

Safe plant and systems + safe handling, storage and transport of articles and substances + information, instruction, training and supervision + safe places of work with safe access and exit + safe working environment and welfare arrangements

These are particular duties without prejudice to Section 6(1).

Standards and surveys (Sections 18 and 20)

Central Government notifies standards; designated officers survey after written notice; employer affords all facilities

A worker's time for survey medical examination or giving information counts as working hours for wages and overtime.

Canteen threshold

Canteen: 100 or more workers, including contract labourers, ordinarily employed

Section 24(1)(v). Contract labour counts toward the number.

Creche threshold

Creche: more than 50 workers ordinarily employed; for children under 6 years

Section 24(3). Central Government may make rules. Common or pooled creche is allowed.

Rest-rooms and lunch-room

Factory or mine with more than 50 workers ordinarily employed

Section 24(2)(iii). Separate for male, female and transgender employees. Also for motor transport undertakings where employees halt at night.

Welfare officer

Factory, mine or plantation with 250 or more workers ordinarily employed

Section 24(2)(iv). Qualifications, service conditions and duties are prescribed.

Ambulance room

Factory, mine, building or construction work with more than 500 workers ordinarily employed

Section 24(2)(i).

Safety officers

Factory: 500 or more workers; hazardous process factory: 250 or more; building or construction work: 250 or more; mine: 100 or more

Section 22(2). Employer must appoint safety officers as prescribed.

Safety Committee composition

Worker representatives ≥ employer representatives

Section 22(1). Constituted when the appropriate Government orders it.

Daily hours limit

Maximum work per day = 8 hours (Section 25(1)(a))

Intervals and spread-overs are as notified by the appropriate Government.

Weekly limit

Maximum working days per week = 6 (Section 26(1))

Motor transport undertakings have a proviso: no more than ten consecutive days without a full-day holiday.

Overtime wages

Overtime wages = 2 × rate of wages (Section 27)

Applies beyond hours prescribed by the appropriate Government. Calculated daily or weekly, whichever is more favourable to the worker. Worker's consent is required.

Annual leave entitlement

Leave = days worked ÷ 20 (adult worker); ÷ 15 (adolescent or below-ground mine worker)

Needs 180 days or more worked in the calendar year. Round-off is not stated in the text you were given, so follow the rules.

Part-year joiners

Eligible if worked at least 1/4 of the days in the remainder of the calendar year

Section 32(1)(v). The same rate applies.

Carry-forward cap

Carry forward ≤ 30 days (Section 32(1)(vii)(a))

Leave refused despite application can be carried forward without limit. Leave above 30 days can be encashed.

Compensatory holidays

Within the month due or the next two months, equal in number

Section 26(3).

Night shift past midnight

Weekly holiday = 24 consecutive hours from shift end

Section 28. Hours after midnight count in the previous day.

Women's work window

Before 6 a.m. and beyond 7 p.m. only with consent and prescribed conditions

Section 43.

Licence requirement (s. 47)

No licence = no supply, engagement or execution of work through contract labour

Licence specifies number of contract labour and security deposit. Work specific licence is for a contractor not meeting the criteria, limited to the concerned work order.

Licence validity (s. 48(3))

Validity = 5 years for the number of contract labour specified

To increase numbers, apply for amendment and deposit the security specified in the amended licence for the balance period.

Deemed issue (s. 119(4))

Licence issued electronically within 45 days, failing which it is deemed issued

No further inquiry once deemed issued. A rejection must state reasons.

Appeal (s. 119(6))

Appeal within 30 days of order; disposed of electronically within 30 days

Made to the appellate authority prescribed by the appropriate Government.

Core activity exceptions (s. 57(1))

Ordinarily done through contractor OR no full time need OR sudden increase in work

Any one of the three allows contract labour in a core activity.

Non-licensed contractor (s. 54)

Principal employer using unlicensed contractor = deemed contravention of the Code

Applies where the contractor was required to obtain a licence but did not.

Migrant worker duties (s. 60)

Suitable work conditions + report to both States and next of kin + all establishment benefits

Duty lies on the contractor or the employer of the establishment.

Journey allowance (s. 61)

One lump sum fare for to-and-fro journey to native place, in a year

Minimum service, periodicity and class of travel are as prescribed by the appropriate Government.

Central standards power

Section 18(1): Central Government notifies OSH standards for factory, mine, dock work, beedi and cigar, building and other construction work and other establishments

The standards are declared by notification, not by separate Acts.

Content of standards

Section 18(2)(a): hazards dealt with so that, to the extent feasible on best available evidence, no employee suffers material impairment of health or functional capacity

Quote the words 'to the extent feasible'. It is not an absolute guarantee.

Medical examination

Section 18(2)(b)(iv): medical examination and tests made available by the employer or at his cost to employees exposed to hazards

Cost lies on the employer.

Post-employment examination

Section 18(2)(c): examination for occupational disease extends even after the employee ceases employment, if the disease arises out of or in the course of employment

A frequent point in case questions.

Amending the Second Schedule

Section 18(3): Central Government, on National Board recommendation and after notifying its intention for not less than 45 days, may amend the Second Schedule

Applies notwithstanding Section 131.

State amendment

Section 18(4): State Government may amend standards for its establishments only with prior approval of the Central Government

State power is not independent.

Repeal and savings

Section 143: listed Acts repealed from notification dates; inspectors deemed appointed; past actions deemed taken under the Code

Old rules continue only if not contrary to the Code.

Fund established by

Appropriate Government establishes the social security fund for the welfare of unorganised workers

Section 115(1). Remember it is for unorganised workers, not all workers.

Statutory credits

Composition amount (section 114(4)) + penalty amount (section 111(6))

Both are named in section 115(1). Do not say all fines or all penalties go in without citing these two.

Other sources

Such other sources as may be prescribed by the appropriate Government

Section 115(2). The word 'may' makes it optional and dependent on rules.

Use of fund

Administered and spent for unorganised workers' welfare in the prescribed manner, including transfer to any fund under another law for their welfare

Section 115(3).

Meaning of unorganised worker

As in section 2(m), Unorganised Workers Social Security Act, 2008

Explanation to section 115.

Composition sums

Penalty: 50% of maximum penalty. Offence: 75% of maximum fine

Section 114(1)(a) and (b). Not available for repeat breaches within three years of an earlier compounded or convicted penalty or offence (section 114(5)).

Rule-making power

Rules on other sources of fund and on administering and spending the fund

Section 133(2), items (zzk) and (zzl). Compounding manner is item (zzj).

General penalty (s. 94)

₹2,00,000 to ₹3,00,000; continuing after conviction: further up to ₹2,000 per day

Applies to the employer or principal employer, save as otherwise expressly provided in the Code. The source text has a stray "55" after the minimum ("two lakhs rupees"); treat it as a footnote marker and check the minimum against the printed Act.

Contravention of certain provisions (s. 97)

First: penalty ₹50,000 to ₹1,00,000. Repeat conviction under the same provision: imprisonment up to 3 months, or fine up to ₹2,00,000, or both

Covers provisions of the Code, rules, regulations or bye-laws, and orders on employment of workers.

Hazardous processes (s. 102)

Imprisonment up to 2 years and fine up to ₹5,00,000; continuing: additional fine up to ₹25,000 per day after conviction; beyond 1 year after conviction: imprisonment up to 3 years or fine of ₹20,00,000, or both

Applies to duties under s. 6(1)(a) to (h), s. 6(2), s. 13(d) so far as relating to hazardous processes, and s. 80.

Accident causing death (s. 103(1)(a))

Imprisonment up to 2 years, or fine not less than ₹5,00,000, or both

Requires that the failure to comply resulted in an accident or dangerous occurrence causing death.

Accident causing serious bodily injury (s. 103(1)(b))

Imprisonment up to 1 year, or fine ₹2,00,000 to ₹4,00,000, or both

Injury to a person within the establishment.

Fine as compensation and repeat offence (s. 103)

Court may direct at least 50% of the fine to be paid as compensation to the victim or legal heirs; repeat conviction: double the punishment

The 50% is a minimum for the portion the court directs, not an automatic rule.

Offences by employees (s. 106)

Penalty up to ₹10,000

Employer not deemed guilty unless proved to have failed to take all reasonable measures for prevention.

Compounding (s. 114)

Penalty: 50% of the maximum penalty. Offence: 75% of the maximum fine

Only for the listed provisions; can be done before or after the enquiry or institution of prosecution. Not available for a second or subsequent contravention within three years of an earlier compounding or conviction.

Quick revision

• The OSH Code, 2020 replaces thirteen enactments listed in section 143, including the Factories Act, 1948 and the Mines Act, 1952.
• Inspectors appointed under the repealed laws are deemed appointed under the Code.
• Actions and rules under the repealed laws continue as if made under the Code, unless contrary to it, until repealed by the Central Government.
• Section 6 of the General Clauses Act, 1897 applies to the repeal.
• Section 133 lets the appropriate Government make rules after previous publication and by notification.
• Many details, such as safety committees, overtime limits and wage payment timing, are fixed by rules.
• Under section 60, the contractor or employer must ensure suitable working conditions for inter-State migrant workers.
• In a fatal accident or serious injury to a migrant worker, report to the specified authorities of both States and the next of kin.
• Migrant workers get all benefits available to other workers, including ESI and provident fund benefits and medical check-up.
• The social security fund under section 115 is for unorganised workers.
• The fund receives composition amounts and penalty amounts, and may have other prescribed sources.
• Unorganised worker has the meaning given in the Unorganised Workers Social Security Act, 2008.

Common mistakes

• Applying one worker threshold to every type of establishment. Fix: Note that factories, mines, docks, building work, plantations and contract labour have their own conditions. Match the threshold to the establishment type.
• Calling Inspector-cum-Facilitators only inspectors. Fix: Mention both roles: inspection and facilitation. Add the web-based, randomised inspection scheme under section 34(3).
• Saying every employee gets a free annual health examination. Fix: Write that the examination is free of cost for such age, class of employees or class of establishments as the appropriate Government prescribes.
• Treating the duty to be responsible for persons on the premises as applying to all establishments. Fix: Link it to factory, mine, dock work, building or other construction work and plantation. Note it covers persons on the premises with or without the employer's knowledge.
• Mixing 'more than' and 'or more' in thresholds. Fix: A canteen needs 100 or more; a welfare officer needs 250 or more; rest-rooms and creche need more than 50; ambulance room needs more than 500.
• Ignoring contract labourers when counting for the canteen. Fix: Section 24(1)(v) expressly includes contract labourers.
• Saying overtime is paid at 1.5 times the wage. Fix: Write twice the rate of wages, as Section 27 says.
• Treating overtime as compulsory once the employer asks. Fix: State that the worker's consent is required for overtime.
• Saying contract labour is banned in all activities. Fix: The ban applies to core activities, and even there section 57(1) allows three exceptions.
• Treating the three exceptions as cumulative. Fix: They are alternatives. Any one satisfied is enough, as the principal employer 'may engage' if (a), (b) or (c) applies.

Exam tips

• Quote the section number only for provisions you are sure of, such as sections 21 and 34, and describe the rest in words.
• In authority questions, always say appropriate Government and notification. Examiners look for these words.
• For the inspection scheme, list web-based inspection, randomised selection, unique numbers and timely upload of reports.
• In case questions, finish with a practical compliance point, such as registration, records or portal entry.
• Check thresholds in the Code and rules before the exam, since they depend on establishment type and can be changed by notification.
• Write the section number for Sections 6, 18, 20 and 23 as these are in the Code text. For the registration and employee duty provisions, describe the rule in plain words if you are not sure of the section number.
• Use the exact qualifiers: 'as prescribed', 'as far as is reasonably practicable' and 'with or without his knowledge'. Examiners look for them.
• In case questions, tag each fact to a clause of Section 6, then give a one-line practical step for the employer.