Key components of the Factories Act

• Scope and Coverage- The Act applies to all factories engaged in manufacturing processes, employing a specified number of workers.

• Factory Registration- Factories are required to register with the appropriate regulatory authorities under the provisions of the Act.

• Working Hours and Conditions- The Factories Act prescribes regulations concerning working hours, rest intervals, and overtime work for factory workers.

• Occupational Health and Safety- The Act mandates the provision of a safe and healthy working environment within factories.

• Scope and Coverage- The Act applies to all factories engaged in manufacturing processes, employing a specified number of workers.

• Employment of Women and Children- The Factories Act includes provisions regulating the employment of women and children in factories.

• Welfare Measures- Factories are required to provide welfare amenities and facilities for workers, including clean drinking water, first aid facilities, canteens, and restrooms.

Benefits

• Worker Safety and Health- One of the primary benefits of the Factories Act is the promotion of worker safety and health.

• Reduced Risks and Hazards- By mandating safety measures and precautions, the Factories Act helps reduce risks and hazards in industrial environments.

• Improved Working Conditions- The Act sets standards for working hours, rest intervals, and other conditions of employment, ensuring that workers are not overworked or exploited.

• Legal Protections- The Factories Act provides legal protections for workers by establishing their rights and entitlements.

• Enhanced Productivity A safe and healthy work environment, as mandated by the Factories Act, can lead to increased productivity among workers.

• Compliance with Standards- Employers benefit from the Factories Act by ensuring compliance with statutory regulations and standards.

• Cost Savings- While initial investments may be required to implement safety measures and facilities, adherence to the Factories Act can result in long-term cost savings for employers.

Factory license

The Factory License is mandatory requirement and need to be registering their premises with the local governing authority before the beginning of operations as per The Factories Act 1948 rules. This helps in facilitating the risk management at workplace and the total implementation of Safety and Health Management Systems in factory premises. We offer full time consultancy for both Factory Licence and Factory Licence Renewals.

Procedure To Get A Factory Licence

Factories Act 1948 empowers the State Government to process, approve and issue factory licences to manufacturing entities. It is imperative to understand the respective factories act of your state where your factory is proposed to be situated.

• Approach the Directorate of Industrial safety of your state and make an application in Form

• Most states have introduced an online application for getting a factory licence. Check the official website of the state directorate of industrial safety.

• Enter the details of the factory, the occupier (authorised signatories), the owner, and the production plan. The production plan can vary between hazardous and non-hazardous materials.

• Submit all the required documents along with the application.

• Pay the requisite fees and apply.

• The application will be scrutinised and the premises will be physically inspected by the industrial safety officers.

• The factory licence will be issued by the Joint Director of Industrial Health and Safety of your state.

Pre and post Approval of Factory/Building Plans

In case you are an industrialist, you may be looking to open a new factory. This may be in extension of existing plants, or a new installation altogether. The building plans needs to be approved by the competent authority prior to the construction of the plant. For instance, in the case of Delhi, the Directorate of Industrial Safety and Health, Government of Delhi, is responsible for conducting all procedures related to the process of factory registrations in the state.

What is a Factory Building Plan?

Factory planning is a predictive design of factory structure. It incorporates all the dimensions of an industrial production facility, including the integration and design of the system.

What are some of the legal compliances that need to be observed?

• Approval of Building Plan

• Registration of Factory

• Renewal of License

Documents required for Approval

• Plan of the factory which has been drawn to a scale of 1:400, 1:800 or 1:1200. It should clearly demarcate all the details about the neighborhood, where all the buildings and sheds shall be placed and so on. Access roads should also be drawn on the plan showing the width and the point of intersection with the building. The alignment should be indicated by pointing out which direction geographic north lies.

• A building plan that has been drawn to a scale of 1:100 that particularly sets out the type of machinery that shall be installed along with the horse power. Layout in the concerned shed should also be shown in the diagram.

• Document outlining all aspects of the process.

• Flow chart of the process.

• Documents indicating ownership of the land, or the lease deed of the site.

• In case materials that fall under the purview of the explosives act are being stored or being handled, then clearance needs to be obtained from the explosives authorities.

• No objection certificate from local authority.

• No objection certificate from Electrical Safety

• Memorandum Article

• List of Directors.

• On-site emergency plan

• Safety and Health policy

CTE & CTO Application

It is a big challenge for an entrepreneur to establish a new manufacturing business. Setting up a new Industry requires many approvals from Government Authorities. One of the major requirements is to obtain the Consent from the State Pollution Control Board.

The new units are under compulsion to obtain consent under the Water Act, 1974 and Air Act, 1981 even before starting subsequent production. In case the unit is covered under Hazardous and Other Wastes (Management & Transboundary Movement) Rules, 2016, E-Waste (Management) Rules, 2016, Plastic Waste Management Rules, 2016 and Bio-Medical Waste Management Rules, 2016, it shall simultaneously apply for the grant of consent under Water (Prevention & Control of Pollution) Act, 1974, Air (Prevention & Control of Pollution) Act, 1981.

Process of Obtaining CTE and CTO

• Application Submission- The first step is to submit an application for CTE/CTO to the respective SPCB/CPCB office. The application should include details about the project, such as the type of industry, the proposed location, and the estimated pollution load.

• Site Inspection- Once the application is received, the SPCB/CPCB will conduct a site inspection to verify the information provided in the application and assess the potential impact of the project on the environment. The inspection will also identify the pollution control measures that need to be implemented.

• Analysis and Approval- Based on the site inspection report and other relevant information, the SPCB/CPCB will analyze the application and approve it if all the requirements are met. The approval will include the conditions that the industry needs to comply with for obtaining CTO.

• Compliance- After obtaining CTE, the industry needs to comply with the conditions mentioned in the approval and implement the pollution control measures as required. Once the industry is fully compliant with the conditions, it can apply for CTO

• Application for CTO- The application for CTO should include details about the pollution control measures implemented and the results of monitoring the pollution levels. The SPCB/CPCB will conduct a final inspection to verify the compliance with the conditions mentioned in the CTE approval before issuing the CTO.

Stability Certificate

A Structural Stability Certificate is a document that certifies the stability of a building’s structure and establishes that the building’s structural elements are stable and safe for occupation. A qualified structural engineer or architect issues the certificate after a structural assessment to evaluate the building’s load-bearing capacity, potential structural weaknesses and overall stability.

Benefits of Stability Certificate

• Ensures building safety- Getting a Structural Stability Certificate ensures safety. Assessing a building’s structural stability helps identify potential risks or hazards and address them before they become a threat to occupants.

• Ensure the building does not violate legal regulations- In many jurisdictions, a Structure Stability Certificate is a legal requirement for buildings of a certain size or age. With this certificate, building owners can ensure that they are complying with local regulations and avoid potential legal issues.

• Enhances resale value- A Structure Stability Certificate increases the value to a property as it assures potential buyers that the property has been assessed for structural stability and is safe and well-maintained.

Documents required

• Building completion certificate

• Occupancy certificate

• Building plans and structural drawings

• Building inspection report

• Soil test report

• Architect’s or engineer’s certificate