Sec Section 2(m) in The Factories Act, 1948
“factory” means any places including the boundaries thereof—
- (1) whereon ten or more workers are working, or on any day of the preceding twelve months, and in any a part of which a producing process is being carried on with the aid of power, or is generally so carried on, or
- (2) whereon twenty or more workers are working, or on any day of the preceding twelve months, and in any a part of which a producing process is being carried on without the aid of power, or is generally so carried on,
- (3) but doesn’t include a mine, subject to the operation of the Mines Act, 1952
- railway running shed or a hotel
- restaurant or eating place
- For the needs of this section, the straightforward incontrovertible fact that an Electronic processing Unit or a Computer Unit is installed in any premises or part thereof, shall not be construed to form it a factory if no manufacturing process is being carried on in such premises or part thereof
Explanation -1)
- 10 more workers with aid of power
- 20 more worker without aid of power
- Manufacturing process must be carried
Explanation -2)
For computing the number of workers all the workers in different groups and relays in a day shall be taken into account
Explanation -3)
– The mere fact that an electronic data processing unit is installed in any premises shall not be construed to make it a factory
-If no manufacturing process is being carried on in such premises
Judicial interpretation
Following have held to be factory:
1) Railway workshop ( indar Krishan & another v state Air 195 All 1974 )
Special note – Railway running shed specially excluded from the definition)
2) Salt worker (I.e. conversion of sea water into crystal of salt)
(Ardeshir H .bhiwandiwala v s.ofbomboy ) Air 1962 s.c 29
3) Premises where 7 person employed permanently & 3-person temporary for repair of machine
(Hari krishan v Air 1959All.794)
Following not be Factory:-
Exhibition of cinema films (s.m solar v mk.sarode) Air 1959Bom 371
Conclusion:-
There are lot of interpretation by judicial body of sec 2 m of factories act 1948
But the basic requirements of factories i.e –
- 10 / 20 worker with aid of power/ without aid of power
- Premises required include precincts
- Manufacturing process must be carried
Wait for next article i.e sec 2k of factories act 1948 (what is manufacturing process)
Shivam Jha
ESME-IR Professional
(Delhi)
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