ACTS

Factory Act,1948
The working conditions in a factory
should ensure health and safety of
the workers and other employees.
The Factories Act,1948 is a
comprehensive document covering
various aspects of design and
operation of factories and regulates
the working conditions.

Salient Provisions
Factory Act,1948 covers the following
(i) Licensing and Registration
(ii)Health
(iii)Safety
(iv)Welfare
(v)Hours of work
(vi)Employment of young persons
(vii)Leave

Some Definitions
Adult is a person above eighteen years of age.
Adolescent is a person of fifteen years but less than
eighteen years of age.
Child is a person below the age of fifteen.
Young person under the age of eighteen years. He may be
a child or adolescent.
Day means a period of twenty four beginning at midnight.
Week is a period of seven days beginning at midnight on
any night approved by the Chief Inspector of Factories.
Power is electrical energy or mechanical energy but not
generated by human or animal power.
Prime power is a machine to provide or generate power.
Machinery includes prime movers, transmissions
machinery or driven machinery.

 Manufacturing Process is any process for

- Making, altering, repairing, ornamenting finishing,
packing, oiling, washing, cleaning, breaking up,
demolishing or treating or adopting any article or
substance for use, sale, transport, delivery or
disposal.
- Pumping oil, water, sewage or any other substance
- Generating, transforming or transmitting power.
- Composing, printing by press, lithography or other
similar process
- Constructing, reconstructing, repairing, refittering,
finishing, breaking up of ships or vessels
- Preserving or storing any articles in cold storage.

 Worker is a person employed directly or through an agency for

wages or otherwise for any manufacturing process or cleaning the
manufacturing process.
Factory is any premises
(a) Where ten or more workers are working on any day during last
twelve months and manufacturing is done with the aid of power.
(b) Where twenty or more workers are working or were working on
any day during last twelve months and manufacturing is done
without the aid of power.

() Occupier of factory is a person who has ultimate

control over the affairs of the factory or where the
above affairs are entrusted to a managing agent. The
managing agent shall be deemed to be occupier of the
factory.

Licensing and Registration

As per the Act, the occupier should, at
least 15 days before he occupies a place
as a factory, will send to the chief
inspector of factories a notice containing:
(i) Name and address of occupier
(ii) Name and address of factory
(iii)Nature of manufacturing process
(iv)Power to be used
(v) Number of workers likely to be employed
(vi)Any other relevant information

 Health
Section 11 to 23 contained in chapter III of the
Factories Act 1948 deal with the health of workers in
a factory. These provisions are as follows
(i) Cleanliness: Every factory must be kept clean by
following methods:
(a)Removal and disposal of dirt and refuse from floors,
benches etc. everyday.
(b)Washing the floors of work room at least once every
week using disinfectant.
(c)Effective means of drainage to avoid collection of
water.
(d)Painting is to be done at least once in 5 years.
(e)Whitewashing is to be carried out at least once in
14 months.

(ii) Disposal of waste and effluents and suitable arrangements

should be made for the disposal of wastes and effluents due
to the manufacturing process.
(iii) Ventilation and temperature: Effective and suitable
provision shall be made for maintaining in every work room
(a) Adequate ventilation by fresh air circulation
(b) Suitable temperature to provide conditions of comfort and
prevent injury to the health of workers.
(iv) Dust and fumes:- Employer shall take necessary steps to
keep work room free from dust or offensive or injurious to
the health of workers.
(v) Artificial Humidification: In all factories like textile factory,
in which the humidity is to be artificially increased, the
state government may make the rules for the following
(c) Prescribing standards of humidification
(d) Regulating the methods for artificially increasing the
humidity of air.
(e) Directing prescribed tests for determining the humidity of
air.

 Over-Crowding
(a) No work room will be overcrowded
to an extent, which is injurious to the
health of workers.
(b) The minimum space provided for a
worker should be 500 cubic feet(14
m3)
(c) The chief inspector may post a
notice in the work room indicating
the maximum number of workers
who may be employed in that room.

 Lighting:- Every part of the factory must be

provided with sufficient and suitable lighting,
natural or artificial or both. Effective provision
must be made for the prevention of glare and
the formation of shadows likely to cause
eyestrain. The government may prescribe
standards of sufficient and suitable lighting.
Drinking Water:- Arrangements shall be made to
provide drinking water. The points for supply of
drinking water should not be situated within 20
feet of any washing place, urinal or latrines.
Factories employing over 250 workers are
required to provide cool drinking water during
hot weather.

 Latrines and Urinals

(a) Sufficient latrine and urinal
accommodation is to be provided.
(b) Separate enclosed accommodation shall
be provided for male and female workers.
(c) These should be well lighted, ventilated
and maintained clean at all times.
Spittoons
(a) There should be a sufficient number of
spittoons at convenient places and
maintained in clean hygienic condition.

 Safety
(i) Fencing of machinery
(ii)Work on near machinery in motion
(iii)Employment of young persons on dangerous machines
(iv)Hoists and Lifts
(v)Lifting machines, chains, ropes and lifting tackles
(vi)Pressure plants
(vii)Floor, stairs and means of access
(viii)Pits, sumps, opening in floor etc.
(ix)Excessive weights
(x)Protection of eyes
(xi)Precaution against dangerous fumes
(xii)
Explosives or Inflammable dust, gas etc.
(xiii)
Explosives or Inflammable dust, gas etc.
(xiv)
Precautions in case of fire

 Welfare
Welfare measures are adopted to increase the
productive efficiency of workers. Important
welfare measures as per act are given
below.
(i) Washing facilities
(ii)Facilities for sitting
(iii)First aid appliances
(iv)Canteens
(v)Shelters, rest rooms and lunch room
(vi)Crches
(vii)Welfare Officers

 Working Hours
(i) Daily Hours
(ii)Weekly Hours
(iii)Weekly holidays
(iv)Extra wages for overtime
(v)Register of adult workers
() Employment of young persons
() Leave

THE WATER (PREVENTION AND

CONTROL OF POLLUTION)ACT,1974
Object: This Act has been passed on water pollution
(i) The prevention and control of water pollution.
(ii) The maintaining or restoring wholesomeness of
water.
(iii) The establishing of Boards for prevention and
control of water pollution.
(iv)Fine is generally little as compared to expenditure
involved in compliance of standards.
(v) Information about the polluting establishments is
not readily available to other citizens.

 The Act is not applicable in whole of India. It

applies to those states which have requested the
parliament to pass it and those which may
subsequently adopt it. Applicable in all union
territories.
Definition of Water Pollution: Since the Act is to
prevent and control pollution of water, therefore,
it has given elaborate definition of pollution which
are given below:
Pollution means:
1. Contamination of water
2. Alternation of the physical, chemical or biological
properties of water.
3. Discharge of sewage or trade effluents

Central Board
The Act provides for constitution of central board for
prevention and control of water pollution. The central board is
under control of Govt. Of India.
It consists
- One full time Chairman
- Not more than five officials nominated by Central Government.
- Not more than five persons nominated by the central govt from
among the members of State Boards.
- Not more than three officials nominated by the govt to
represent interests of agriculture, fishery, industry and trade
etc.
- Two persons nominated by Government to represent
companies or corporations of the Govt.
- One full time member secretary.

State Boards: The state Govt may constitute a State Pollution control Board
consisting of following members:
- One full time Chairman
- Not more than five officials nominated by the government from amongst the
members.
Functions of State Board
- To advise State Government regarding water pollution control or location of
industries.
- To plan programme for prevention and control or abatement of water
pollution.
- To conduct and encourage research relating to water pollution
- To conduct and encourage research relating to water pollution.
- To seek guidance and training of persons connected with prevention, control
or abatement of water pollution from Central Board.
- To inspect effluents and treatment plants
- To lay down standards of effluents
- To evolve economical and reliable methods and lay down standards for
treatment of sewage and trade effluents.
- To evolve methods for utilisation or disposal of treated sewage and effluents.
- To perform such functions as may be entrusted by Central Board or State
Government
- To establish or recognise laboratories for analysis of samples.

 Power of Board
- Every industrial house must obtain consent from State Board
about the method of treatment and disposal of sewage or trade
effluent, amount, contents and place or discharge into a stream or
well.
- It has the power to obtain information from individuals about
removal or discharge of water.
- To take samples of any sewage or trade effluent, water from any
stream and well.
- To enter any premises and inspect any plant, record, register,
document and conduct of a place if the authority has reason to
believe that an under this act has been committed in residential
areas.
- In case of any emergency or pollution causing accident, the Board
can take remedial in writing that may include restraining or
prohibiting discharge of pollution.
- Normally the Board makes an application to court after detecting
an offence for giving injunctive, restraining an establishment from
causing pollution of water in stream or well.

Penalties
Punishment, in case of failure to provide
information or comply with directions of the
Board, a person on conviction by Court, is liable to
be punished with imprisonment upto three
months or/ and a fine of upto 10,000 rupees. In
case the failure continues he can be punished
with an additional fine of upto Rs 5000 per day
during which such failure continues. A person
convicted of causing pollution due to non
observance of standards is liable to be inprisoned
for 1Vz years or and fine of upto ten thousand
rupees.

Limitation
The Act does not provide for involvement of people or
voluntary agencies in its implementation.
Power of the Board is largely advisory in nature. Even the
consent application would be deemed to have been cleared if
the authorities do not communicate the same within four
months.
The Board can take remedial measures only in the event of
accidents or unforeseen occurrences.
Normally the Board is to take recourse to court of law which
takes a long time to come to the conclusion. By that time
sufficient harm is done to water courses.
Provision for giving 60 days notice by a private agency
excludes the chance for immediate remedial action.

THE AIR(PREVENTION AND CONTROL

OF POLLUTION) ACT,1981
Object: The main object of this Act is to prevent,
control and abate air pollution
Application : Unlike the water pollution control Act,
this Act is applicable in whole of India.
Definition
(i) Air pollution means the presence in the atmosphere
of any air pollutant.
(ii)Air pollution means any solid, liquid or gaseous
substance present in the atmosphere in such
quantity as may be injurious to human beings other
living creatures or plants or property or
environment.

Functions of Central Board

To improve quality of air in the country.
To prevent or control air pollution in the country.
To advise the Central Government and state Board on any matter
related to the improvement of air quality or control of air pollution.
To plan and execute programmes for control of air pollution on
nation wide scale.
To arrange training programmes for prevention and control of air
pollution.
To co-ordinate activities of the State Boards.
To collect and publish technical and statistical data on air pollution.
To lay down standards for quality of air.
To provide on arrange sponsorship for investigations and research
relating control and prevention of air pollution.
To establish laboratories.

Functions of State Board

To improve quality of air in the country.
To prevent or control air pollution in the country.
To advise the Central Government and State Board on any matter
related to the improvement of air quality or control of air pollution.
To plan and execute programmes for control of air pollution on
nation wide scale.
To arrange training programmes for prevention and control of air
pollution.
To co-ordinate activities of the State Boards.
To collect and publish technical and statistical data on air
pollution.
To lay down standards for air quality of air.
To provide on arrange sponsorship for investigations and research
relating control and prevention of air pollution.
To establish laboratories.

Functions of State Board

To plan programmes for prevention and control of air pollution
To co-operate with Central Board to collect and distribute
information regarding air pollution control programmes.
To advise the state govt. Regarding matters related to air
pollution within state.
To inspect various industrial plants and control equipment and
give necessary orders to prevent and control air pollution
To inspect air quality in air pollution control areas from time to
time.
To suggest necessary steps to be taken to control air pollution in
pollution control areas
To lay down standards for emission of air pollutants within the
state.
To set up laboratories.

Power of the Board

To recommend to State Govt to declare any areas
within the state as air pollution control area.
On the recommendation of State Board, the State
Government can direct any industry to use only
approved appliances. It can prohibit the burning of
any material.
Every industrial establishment has to move
application of consent. After making inquiry and
studying details, the State Board shall refuse or
grant the consent subject to such conditions like
specifications of control equipment, its periodic
checking, alternations and replacement and
specifications of chimney.

 The board can restrict industrial operations in air

pollution control areas.
It can withdraw conscent given to any industry and
impose new conditions.
The Board can give instruction to authorities under
Motor Vehicles Act regarding standards for automobile
emission.
Board officials have the power to enter any premises at
all reasonable times and inspect compliance with
requirement of the Act.
To call information from any industry with regard to
pollutants emitted into atmosphere.
To take air or emission samples for analysis.
In case of any emergency due to accidents or
unforeseen events causing pollution in pollution control
area, the Board can take remedial action in writing.

The Indian Partnership Act,1932

1.Partnership deed
Partnership is an agreement between
persons to carry on a business. The
agreements entered into between
partners may be either oral or
written. But, it is always desirable to
have a written agreement so as to
avoid misunderstanding and
unnecessary litigations in future.
When the agreement is in written
form, it is called Partnership Deed.

Partnership deed generally contains

the following

Name of the firm

Nature of the business
Names of partners
Place of business
Amount of capital to be capital to be contributed by each partner
Profit sharing ratio between the partners
Loans and advances from the partners and the rate of interest
thereon
Profit sharing ratio between the partners.
Loans and advances from the partners and the rate of interest
thereon
Amount of salary and commission if any payable to the partners.
Duties, powers and obligations of partners
Maintenance of accounts and arrangement for their audit.

2. Registration of the firm

Registration form should contain following information:
i. The firm name
ii. The name of business place
iii. Names of other places where the firm is carrying on its business
iv. Date of common cement of business
v. Full names and permanent addresses of all partners.
vi. The duration of the firm.
3. Dissolution of firm
There is a difference between the dissolution of partnership and
dissolution of firm. In case of dissolution of partnership, the
business of the firm does not come to an end but there is a new
agreement between the remaining partners.

 Following are the various ways in which a firm

may be dissolved:
(i) Dissolution by Agreement
(ii) Compulsory Dissolution
(iii) Dissolution due to contingencies
(iv)Dissolution by Court
4. Settlement of Accounts on Dissolution
(v) Payment of debts due to the third parties
(vi)Rateable payment of loans and advances made
by the partners to the firm
(vii)Payment of partners capital
(viii)
Payment of surplus

Workman's Compensation Act, 1923

The act seeks to compensate the workers
injured. This Act came into existence in
1923. The Act was intended subsequently in
1933, 1938, 1939, 1946, 1958, 1962 , 1976.

Payment of Wages Act,1936

The main purpose of the Payment of Wages
Act,1936 is to ensure regular and timely
payment of wages to the employed persons,
to prevent unauthorised deductions being
made from wages and arbitrary fines being
imposed on the employed persons.