Code on Occupational Safety, Health & Working Conditions, 2020 - OSHWC

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Code on Occupational Safety, Health and Working Conditions, 2020

Key Highlights 

Exemption

  • This Code  empowers the state government to exempt any new factory from the provisions of the Code in order to create more economic activity and employment.

Threshold for coverage of establishments

  • Factory:    This  Code sets out  the threshold at: (i) 20 workers for premises where the manufacturing process is carried out using power, and (ii) 40 workers for premises where it is carried out without using power.
     
  •  Includes Mines under the definition of 'factory' 
     
  • Establishments engaged in hazardous activity:  includes all establishments where any hazardous activity is carried out regardless of the number of workers.
     
  • Contract workers: This Code specifies that it will apply to establishments or contractors employing 50 or more workers (on any day in the last one year).
     
  • Prohibits contract labour in core activities, except where: (i) the normal functioning of the establishment is such that the activity is ordinarily done through contractor, (ii) the activities are such that they do not require full time workers for the major portion of the day, or (iii) there is a sudden increase in the volume work in the core activity which needs to be completed in a specified time.  
     
  • Defines a list of non-core activities where the prohibition would not apply.  This includes a list of 11 works including: (i) sanitation workers, (ii) security services, and (iii) any activity of intermittent nature even if that constitutes a core activity of an establishment.  
     
  • Provides for the appropriate government to exempt contractors from the provisions of the Act in case of an emergency, subject to such conditions as may be notified. 
     
  • This  Code will apply to contract labour engaged through a contractor in the offices of the central and state governments (where the respective government is the principal employer).
  • Building or other construction work is covered under the Code, irrespective of the the number of workers. 

Work hours and employment conditions

  • The maximum limit fixed is at eight hours per day.
     
  • Employment of women:  This Code  provides that women will be entitled to be employed in all establishments for all types of work under the Code.  It also provides that in case they are required to work in hazardous or dangerous operations, the government may require the employer to provide adequate safeguards prior to their employment.

Inter-state migrant workers and unorganized workers

  • Definition:  Defines inter-state migrant worker as a person who: (i) has been recruited by an employer or contractor for working in another state, and (ii) draws wages within the maximum amount notified by the central government.  In addition,  any person who moves on his own to another state and obtains employment will also be considered an inter-state migrant worker.   Threshold Limit: only those persons will be considered as inter-state migrants who are earning a maximum of Rs 18,000 per month, or such higher amount which the central government may notify. 
  • Benefits for inter-state migrant workers: Provides for certain benefits for inter-state migrant workers.  These include: (i) option to avail the benefits of the public distribution system either in the native state or the state of employment, (ii) availability of benefits available under the building and other construction cess fund in the state of employment, and (iii) insurance and provident fund benefits available to other workers in the same establishment.
                
  • Database for inter-state migrant workers: The central and state governments to maintain or record the details of inter-state migrant workers in a portal.  An inter-state migrant worker can register himself on the portal on the basis of self-declaration and Aadhaar.
  • Social Security Fund:  Provides for the establishment of a Social Security Fund for the welfare of unorganised workers.  The amount collected from certain penalties under the Code (including the amount collected through compounding) will be credited to the Fund.  The government may prescribe other sources as well for transferring money to the Fund.

Reference: prs.org 

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