Labour Codes: #27 Rights And Duties Of Employer Under OSHWC Code

The Occupational Safety, Health and Working Conditions Code, 2020 (OSHWC Code) consolidates 13 existing labour laws governing workplace safety, health, and welfare, such as the Factories Act, 1948, Mines Act, 1952, and Contract Labour (Regulation and Abolition) Act, 1970. Although the Code received Presidential assent on 28 September 2020, it is yet to be notified. Once operational, it will standardize occupational safety norms across all sectors in India.

A. Applicability and Definitions

1. Applicability: The Code applies to establishments engaging 10 or more workers, and to all factories, mines, ports, construction works, plantations, and motor transport undertakings.
2. Employer: Any person having ultimate control over the affairs of the establishment, including directors, occupiers, or managers.
3. Employee: Any person employed on wages to perform skilled, unskilled, operational, supervisory, managerial, administrative, or clerical work.
4. Worker: Excludes those in managerial or supervisory roles earning above ₹ 18,000/month.

B. Key Responsibilities of Employers

1. Ensure Safe and Healthy Workplace: Maintain a hazard-free environment and provide systems, machinery, and processes ensuring worker's health and safety.
2. Annual Health Examination: Provide free annual medical tests for employees, wherever prescribed.
3. Training & Supervision: Offer information, instruction, and training on safe work practices and emergency procedures.
4. Welfare Facilities: Provide canteens, creches, first-aid, restrooms, washing and locker facilities, and seating arrangements (threshold-based).
5. Appointment Letters: Issue formal letters of appointment to every employee.
6. Handling Imminent Danger: Act promptly on any reported imminent danger and, if unsatisfied, refer the issue to the Inspector-cum-Facilitator.
7. Registration & Compliance: Obtain e-registration on the Shram Suvidha Portal within prescribed timelines and ensure record maintenance.
8. No Cost Recovery: Employers cannot levy charges on employees for maintaining safety or health at the workplace.

C. Rights of Employers

1. Right to Manage and Supervise: Determine working conditions, issue safety instructions, and enforce discipline consistent with the Code.
2. Right to Information: Seek compliance information from contractors and employees regarding safety and health obligations.
3. Right to Representation: Represent the establishment before authorities and appeal against any order or penalty.
4. Due Diligence Protection: Avoid liability for contraventions if able to prove due diligence and absence of knowledge or consent.

D. Key Institutional Mechanisms

1. Inspector-cum-Facilitator: A reform-oriented official promoting compliance through guidance and inspection.
2. National and State Occupational Safety and Health Advisory Boards: To advise the Central and State Governments on standards, policy, and implementation of safety and welfare measures.
3. Social Security Fund: Created from a composition of offences, aimed at welfare of unorganised workers.

E. Penalties for Non-Compliance

1. General contravention: 2–3 lakh fine.
2. Serious injury or death: Imprisonment up to 2 years or fine up to 5 lakh, or both.
3. Obstruction of authority: Imprisonment up to 6 months or fine up to 1 lakh.

F. Key Impact

The OSHWC Code brings uniformity and accountability to workplace safety laws, increasing employer obligations while introducing facilitative mechanisms for compliance. It also reduces multiplicity of registrations and aims for simplified, digital governance of labour welfare norms.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.