CMA Laws and Ethics Factories Act 1948 Question and Answers

Factories Act 1948

Question 1. Objective and Scope of Factories Act, 1948
Answer:

• An Act to consolidate and amend the laws regulating labor and factories.
• Applies to the whole of India including Jammu and Kashmir.
• The objective of the Act is to ensure safety measures and promote the health and welfare of factory workers.

Question 2. What is Factory as per the Act [Factory includes any premises including the precincts thereof, whereon 10 or more workers are working for any of the days in the preceding 12 months to carry any manufacturing process with the aid of power OR 20 or more in case the manufacturing process is carried without power.
Answer:

• The factory includes all the length of the railway line, company is engaged in the construction of the railway line.
• Open land engaged in the conversion of seawater into crystals of salt will be regarded as a Factory.
• Seasonal factories like sugarcane etc. will continue to remain as factories during the off-season.
• Factory includes any premises including the precincts thereof, whereon 10 or more workers are working for any of the day in the preceding 12 months to carry any manufacturing process with the aid of power OR 20 or more in case the manufacturing process is carried without power.
• Excludes mines, units of armed forces, railway running sheds, hotels, restaurants, or eating places.
• Premises including precincts enlarge the scope.
• The factory includes all the length of the railway line, company is engaged in the construction of the railway line.
• Open land engaged in the conversion of seawater into crystals of salt will be regarded as a Factory.
• Seasonal factories like sugarcane etc. will continue to remain as factories during the off-season.

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Question 3. What is the manufacturing process as per Factories Act, 1948
Answer:

• The term manufacturing process means any process for
  • Making, altering, repairing, oiling, ornamenting, fishing, packing, washing, clearing, breaking, demolishing, or otherwise treating any article to use, for sale, disposal, or delivery;
  • Generating, transforming, and transmitting power
  • Pumping oil, water, or sewage
  • Printing, composing types for printing or bookbinding
  • Repairing, constructing, fishing, etc of vessels or ships
  • Preserving or storing in cold storage.
• of Factories Act, 1948 Factories Act, 1948 Includes the following:
  • Laundry
  • Carpet beating
  • The process involved in pumping water
  • Stitching bags
  • Conversion of latex into rubber
  • Conversion of seawater into salt
  • Tracing and adapting on raw film Packing and packaging into smaller units
  • Processes like moistening, stripping, breaking up, adaption, and packing of tobacco for use in the manufacture of cigarettes
• Factories Act, 1948 Excludes the following :
  • Transforming and transmitting electricity
  • Training Institute
  • Exhibition of film

Question 4. What is a worker as per the Factories Act, 1948
Answer:

As per Sec. 2(1) of the Factories Act, of 1948, the definition of a worker has the following ingredients:

• A person should be employed of the Factories Act, of 1948:
  • There should exist an employer-employee relationship Employer not just to control what work is to be done but also how the same shall be done.
  • The relationship between master and servant is not necessary.
  • Piece-rated workers who work regularly shall be treated as ‘workers’.
  • Partners or independent contractors cannot be regarded as workers.
• Employment to be direct or through some agency of the Factories Act, of 1948:
  • Employment should be directly by the management or the employment agency.
  • There should exist a privity of contract.

1. Employment should be in some manufacturing process of the Factories Act, of 1948:

• Includes in its purview people directly involved in the manufacturing process but also incidental to the manufacturing process.
• Includes:
  • People working in the canteen
  • Munim in a factory.

2. ployment may be for remuneration or not

• Includes
  • Apprentice
  • Honorary worker
  • A person employed an on-price work base persons employed for no wages.

Question 5.Enforcement of Factories Act, 1948
Answer:

• The State Government is responsible for the enforcement of the Act.
• State Government carries administration of the Act through:
  • Inspecting Staff
  • Certifying Surgeons
  • Welfare Officers
• Safety OfficeA welfare office er to be appointed wherein 500 or more workers are employed
• Safety officer to be appointed wherein 1000 or more workers are employed

Question 6. Occupier And his Role under the Factories Act, 1948
Answer:

• Occupier as per section 2(n) means a person who the ultimate control over the affairs of the factor occupiers of the factory needs to give a notice the to Chief Inspector:
  • 30 days before the date of resumption of seasonal factories
  • 15 days before the date of use of premises by the occupier
• When re new manager is appointed, the occupies er to intimate within:
  • 7 days of appointment
• Contents of Notice:
  • Name and address of factory
  • Name and address of occupier
  • Naandamd address of the owner
  • Name of manager
  • Address of communication
  • Number of Workers
  • Nature of manufacturing work
  • Total power installed
• Occupiers should ensure worker’s:
  • Health
  • Safety and
  • Welfare
  • He should make a written statement of the policy adopted concerning the aforesaid points (health, etc.) and even make the workers walk out the same.
• He shall provide:
  • Proper maintenance of the plant to ensure that they are| safe.
  • Safety arrangement of wire gardens to use, handling, and transportation of substances.
  • Training and supervision.
  • Safe access to all places of work in the factory.
  • Adequate facilities and arrangements for the welfare of the workers in the factory.

Question 7. Working hours as per Factories Act, 1948
Answer:

• Aduworkersker to work for 48 hours a week.
• Cannot be made to work for more than 9 hours a day.
• In case of work exceeding 9 hours, overtime at twice the normal rate needs to be given.
• Needs to be given at least half an hour’s break after continuous 5 hours of work.
• There shall be one holiday every week.
• No adult worker shall work for consecutively 10 days child who has not completed 14 years of age shall not be employed in the factory.
• Where a worker has worked for 240 days, adult workers shall be entitled to leave for 20 days.

Factories Act 1948 Short Note Question And Answers

Question  1. Write a short note on the following term Cleanliness of the factory in Factories Act, 1948
Answer:

• Section 11 of the Act provides every factory shall be kept clean and free from effluvia arising from any drain, pr, ivy, or other nuisance, and in particular
• removal of accumulated dirt and refuse on floors, benches of workroom, stair
  cases and passages and effective disposal of the same;
• cleaning of the floor of every workroom – every week by washing with disinfectant or by some other effective method;
• providing effective drainage for removing water to the extent possible;
• to ensure that interior walls and roofs etc. are kept clean the following is to be complied with-
  • whitewash color wash should be carried out at least once in every period of 14 months;
  • Whether the surface has been painted or varnished repaired or re-varnished should be carried out every five years, if washable then once every period of six months.
  • all doors, windows, and other frameworks that of wooden or metallic shall be kept painted or varnished at least once in every period of five years;
  • The dates on which such processes are carried out shall be entered in the prescribed register.

Question 2. Write a short note on the following term Manufacturing process under the Factories Act, of 1948.
Answer:

Manufacturing process under the Factories Act, 1948 “Manufacturing Process” means Process for:

• Making, altering, repairing, oiling, washing, cleaning, ornamenting, finishing, packing, breaking up, or otherwise treating or adapting any article or substance with a view to its use, sale transport, delivery or disposal, or
• Pumping oil, water, sew, age or any other substance or,
• Generating, transforming, or transmitting, power, or
• Composing types for printing the letterpress, lithography, photographing, or other similar process or book binding, or
• Constructing, reconstructing, repairing, refitting, or breaking up of ships or vessels; or
• Preserving or Storing any articles in cold storage

In this regard it becomes necessary to discuss some special circumstances that came up in some court cases:

1. Preparation of food with the aid of various electrical appliances in the kitchen of a hotel is a manufacturing process: As decided in the case of “Poona Industrial Hotel vs. I.C. Sarin, 1980, Lab I.C. 100.
2. Selliof petrol or diesel by a petrol dealer or repairing of the motor vehicle will not come within the term “manufacturing process”, as noted in the case of: “National Service Centre and Petrol Pump Vs. E.S.I Corporation, 1983 lab I.C. 412 (P. And H.).
3. The work of mere packing cannot be called a manufacturing process (ref. A.I.R. 1955 NUC 2710).
4. The business of sale of diesel oil, motor spirit, lubricant, servicing of cars and lorries, repairing vehicles,les and charging batteries with the aid of power, by employing more than workers/laborer sea the to manufacturing process, as noted in the case of “Baranagar Service Station Vs. E.S.I Corporation (1987) 1 L.L.N 912 (Cal.) (Divisional Bench). and Lab I.C. 302. ,
5. Decorticating groundnuts in electricity is a manufacturing process (A.I.R. 1959 Madras 30).
6. Breaking up of boulders is a manufacturing process – as decided the in case of “Larsen and Toubro V The state of Orissa, 1992 Lab I.C. 1513 (Orissa Divisional Bench).
7. Transportation of goods a on contract basis from one place to another by road with the assistance of transport carriers is not a manufacturing process decided in the case of Regional Director, E.S.I.C Vs. Jaihind Roadways, Bangalore (2001 ),1 L.L.J 1187 (Karnataka).
8. Reading the definition of ‘Manufacturing Process’ in the light of Supreme Court in “Workmen”, Delhi Electricity Supply Undertaking Vs. management”, (1974) 3 S.C.C. 108, the word ‘or’ in Section 2(k) (iii) must be read as ‘and’.

Question 3. Write short notes on the following terms Annual Leave under the Factories Act, 1948
Answer:

Annual leave of the Factories Act, of 1948:

Section 79 of The Factories Act, 1948 Provides that every worker who has worked for 240 days or more in a factory during a calendar year shall be allowed leave with wages for a number calculated at the rate of-

• if an adult, one day for every 20 days of work performed by him during the previous calendar year
• if a child, one day for every 15 days of work performed by him during the previous calendar year
• The following should be deemed to be days on which the worker has worked ‘c’ the purpose of computation of the period of 240 days or more any cases of layoff, by agreement or contract or as permissible under the standing orders in the case of a female worker, maternity leave for any number of days not exceeding 12 weeks and the leave earned before that in which the leave is enjoyed.
• But the above shall not be entitled for a worker to earn leave. The lead missible shall be exclusive of all holidays whether occurring during or at either end of the period of leave.
• In calculating the leave fraction of leave of half a day or more shall be treated as one full day’s leave the and fraction of less than half a day shall be omitted.

Question 4. Write short notes on Hazardous Process
Answer:

Hazardous Process of the Factories Act, of 1948

Section 2(CB) of the Factories Act, 1948 defines the expression ‘hazardous process’ as any process or active about to an industry specified in the First Schedule where, unless special care is taken, raw materials used therefor the intermediate or finished products, bye products, wastes, or effluents thereof would

• Cause material impairment to the health of the persons engaged in or connected therewith, or
• Result in the pollution of the general environment.
• The State Government may, by notification in the Official Gazette, amend the First Schedule by way of addition, omission, ion, or variation of any industry, specified in the said Schedule.

Factories Act 1948 Descriptive Question And Answers

Question 1. Comment on the following based on legal provisions Any child can be employed in a factory.
Answer:

As per The Factories Acof t, 1948, Children below 14 years are not allowed to work in the factory. Child means a child who has not completed the age of 15 years. After attaining the age of 14, he or she can work in the factory provided he or she has a certificate of fitness given by a competent authority.

Question 2. “Young person” means a person who has completed 18 years of age (Factories Act, 1948). Do you agree? (2 marks)
Answer:

• The statement is not correct. A young person is a person who is either a child or an adolescent. [Sec 2(d), The Factories Act, 1948]
• A child means a person who has not completed his 15th year of age. [Sec 2(c), The Factories Act, 1948]
• An adolescent is a person who has completed his 15th year of age but has not completed his 18th year. [Sec 2(b), The Factories Act, 1948]

Question 3. Are there any provisions in the Factories Act for the protection of the eyes of Workmen?

1. Who is ‘Occupier’ (Factories Act)
2. State the Duty of the Occupier when a new manager is appointed in the factory.

Answer:

Yes, the State Govt, by rules requires that effective screens or suitable goggles shall be provided for the protection of the eyes of persons employed in or near the manufacturing process which involves:

1. Risk of injury to the eyes from particles, or fragments thrown off in the course of the process or
2. Risk to the eyes because of exposure to excessive light.

• Occupier has been defined in the Factories Act in Section 2(n) as the person who has ultimate control over the affairs of the factory. It is also stated further that in the case of a firm or other association of individuals, any one of the partners or members thereof shall be deemed to be the ‘occupier’.
  • Section 2 of the Factories Act, of 1948 further states that in the case of a company, any of the directors shall be deemed to be the ‘occupier’. The Supreme Court resolved in Industries vs Chief Inspector of Factories in 1997 that only a member othe f the Board of Directors of the company can ban an ‘occupier’ of the factory of the company.
  • The ultimate control of the factory vests with the BOD of the company and not on anyone else.
  • Any company which owns a factory cannot nominate its employee or its officer except the director of the company as the occupier of its factory.
• When the new manager is appointed, the occupier must inform the inspector and chief inspector in writing regarding the appointment within seven days of the appointment.

Question 4. Comment on the following based on legal provisions: (e) Factories Act, 19 applies to all the factories wherein 50 or more workers are working.
Answer:

Factories Act, 19 appliesble to the factory which is defined as Factry: means any premises including its precincts (means zone, sector, ground, division, area. Precinct means any area enclosed by a wall.) where

• Ten or more workers are working or were working on any day of the preceding twelve months, in a manufacturing process which is carried on with the help of power Or
• Twenty or more workers are working or were working on any day of the preceding twelve months, in a manufacturing process that is carried on without the help of power.

Question 5. As per the r Factories Act, adequate shelters, restrooms, MS, and lunch rooms are mandatory in all the factories. Do you agree? Give the e correct answer. 
Answer:

The occupier is required to provide suitable shelters or rest rooms and suitable lunch rooms with the provision of drinking water, in his factory if more than one hundred and fifty workers are ordinarily employed in it.

Question 6. Is a laundry attached to the hospital (main Institution) used for washing linen used in the hospital is factory within the meaning of the Factories Act, of 1948? 
Answer:

• When the hospital is not a factory, any department in another hospital cannot be treated as s factory.
• In Dr. PSS Sundar Rao, GS v Inspector of Factories Vellore 1984 LLJ 237 Mad, the question was whether a laundry attached to the Christian Medical College and Hospital, Vellore is a Factory within the meaning of this Act.
• The Madras High Court held that the laundry run by the hospital cannot be separated from the main institution to ensure e high degree of hygiene standards for the Hospitahasng in the laundry for washing the linen in the hospital.
• Therefore, laundry is only a subsidiary, min, or incidental establishment of the hospital which is not a factory.
• One department of the Hospital established for the efficient functioning of the Hospital cannot be therefore disjoined from the main Institution and termee a factory.
• The paramount or the primary character of the main Institution alone has to be taken into consideration and when the main Institution is not a factory; a department thereof cannot become so, even though a manufacturing process is carried on there.

Question 7. Explain the right of workers to warn about imminent danger under the Factories Act, of 1948.
Answer:

As per Section 41H of the Factories Act, of 1948, it is the right of workers to warn about imminent danger

• Where the workers employed in any factory engaged in a hazardous process have e reasonable apprehension that there is a likelihood of imminent danger to their lives or health due to any accident, they may bring the same to the notice of the occupier, agent, manager or any other person who is in charge of the factory or the process concerned directly or through their representatives in the safety committee and simultaneously bring the same to the notice of the Inspector.
• It shall be the duty of such occupier, agent, manager, er, or the person in charge of the factory or process to take immediate remedial action if he is satisfied with the existence of such imminent danger and send a report forthwith the action taken to the nearest Inspector.
• If the occupier, agent manager, or the person in charge referred to in the sub-section is not satisfied without the existence of any imminent danger as apprehended by the workers, he shall, nevertheless, refer the matter forthwith to the nearest Inspector whose decision on the question of the existence of such imminent danger shall be final.

Question 8. Employees of an electricity generation station claimed that their unit is covered under the definition of ‘factory’ considering the process of transforming and transmission of electricity generated at the power station as a ‘manufacturing process’. Will their claim succeed and the er Factories Acof t, 1948.
Answer:

As per Section 2(k) of the Factories Act of , 1948the , manufacturing process means any process for:

1. Making, altering, repairing, ornamenting, finishing, packing, oiling, washing, cleaning, breaking up, demolishing, or otherwise treating or adapting any article or substance with a view to its use, sale, transport, delivery or disposal, or
2. Pumping oil, water, sewa, get, or any other substance: or;
3. Generating, transforming, or transmitting power; or
4. Composing types for printing, printing by letter press, lithography, photogravure,ure or other similar processes or book binding;
5. Constructing, reconstructing, repairing, refitting, finishing, or breaking up ships or vessels;
6. Preserving or storing any article in cold storage

The process undertaken at the electricity generating station, Sub-station is transferring and transmitting electricity is not a manufacturing process and is not thus factory- [Delhi Electricity Supply Undertaking vs Management of DESU, AIR(1973)SCC 365].

Question 9. What are the responsibilities of an occupier in a factory?
Answer:

Responsibility of the occupier

The occupier has to follow the procedure:

• to lay down a detailed law concerning the health and safety of the workers;
• disclose all the information regarding dangers including health hazards and the measures to overcome such hazards arising from the exposure to or handling of the materials or substances in the manufacture, transportation, storing, get, and other processes to the workers employed in the factory;
• To draw up an onsite emergency plan and detailed disaster control measures for the factory and make known to the workers and the general public living in the vicinity of the factory, the safety measures required to be taken in the event of an accident taking place.
• To lay down measures for the handling usage, transportation, and storage of hazardous substances inside the factory premises and the disposal of such substances outside the factory premises and publicize them in the manner prescribed among the workers and the general public living in the vicinity.

Section 41C provides that the occupihasing specific responsibility for hazardous processes. He has to maintain the health records of the employees. He is to appoint experienced persons who possess specified qualifications in handling hazardous substances and are competent to supervise such handling within the factory.

Question 10. Critically examine the duties of certified surgeons under the Factories Act, of 1948.
Answer:

Section 10 under the Factories Act, of 1948 provides that the State Government may appoint qualified medical practitioners to be certifying surgeons for this Act within such local limits or for such factory or class or description of factories as it may assign to them respectively.

The duties of certified surgeons are as follows-.

• the examination and certification of young persons;
• the examination of a person engaged in factories in such dangerous occupations or processes as may be prescribed;
• the exercising of such medical supervision as may be prescribed for any factory or class or description of factories, where
• cases of illness have occurred which it is reasonable to believe are due to the nature of the manufacturing process carried on, or other conditions of work prevailing, therein;
• because of any change in the manufacturing process carried on or in the substances used therein or because of the adoption of any new manufacturing process or any new substance for use in a manufacturing process, there is a likelihood of injury to the health of workers employed in that manufacturing process;
• Young persons are, or are about to be, employed in any work which is likely to cause injury to their health.

Question 11. Discuss the welfare measures to be taken in a factory for the workmen employed therein as per the Factories Act, of 1948.
Answer:

The following are the welfare measures prescribed in the Factories Acof t, 1948 to be provided by the factory to their workmen:

Question 12. Discuss the different powers that can be exercised by an inspector under the Factories Act
Answer:

Section 8 of the Factories Act, 1948 provides that the government may appoint a person possessing the prescribed qualifications to be inspector of this Act and may also assign local limits as may be thought fit by the said government.

As per Section 9 of the Factories Act, 1948 the following powers can be exercised by the inspector:

1. He may enter any pathetic is used, or which has reason to believe is used as a factory,
2. He can examine the premises, plant, machinery, article or substance,
3. He may inquire into any accident or dangerous occurrence whether resulting in bodily injury, or disability, or not take on the spot statements of any person which he may consider necessary for such inquiry,
4. He can require the production of any document relating to the factory,
5. He may seize or take copies of any register, record, or other documents of any portion thereof as he may consider necessary,
6. He can take possession of any article or substance or part thereof and detain it for so long as is necessary for such examination
7. He can exercise any such other powers as may be prescribed

Factories Act 1948 Practicalcal Questions and Answers

Question 1. ABC Ltd. carried ng manufacturing activities with the aid of power and with eight workers for the last two years ending on 31.03.2014. Three more workers were appointed on 01.04.2014, two workmen left the company on 30.04.2014. Thereafter no workman was employed nor any workmen left. Mr. Basant, one of the workmen demanded that the Factories Act, of 1948 apply to this company but the management denied it. Give your opinion.
Answer:

According to Sec. 2 (m) of the Factories Act, 1948, ‘factory’ means any premises including the precincts thereof:

Wherein 10 or more workers are working or were working on any day of the preceding 12 months, and in any part of which a manufacturing process is being carried on with the aid of power, or is ordinarily so carried on, or

Wherein 20 or more workers are working or were working on any day of the preceding 12 months, and in any part of which a manufacturing process is being carried on without the aid of power, or is ordinarily so carried on.

In the given case, during the period 01.04.2014 to 30.04.2014, there were 11 workers carrying ng manufacturing activities with the aid of power. So, the Factories Act, of 1948 applies to ABC Ltd. Mr. Basant is correct.