Factory License [Thread 534037] - CiteHR
R B Yadav
Advocate & Management Consultant On Labour
+2 Others

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there is any need to show exact no. of workers for factory licence? if yes, then we have to provide pf and esic
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As per provisions of the section 1 of the Factories Act, 1948, there are two parameters for obtaining factory license, out of them one is number of workers and other part is the amount of horse power (power) being used in the factory or proposed to be used in the factory for carrying manufacturing process. Yes it is compulsory to mention the specific number of workers in the application form applying for factory license. Compliance required for workers with ESIC as well as EPFO is an exclusive matter of ESI and EPF and MP Act, 1952, hence accorded as per provisions stipulated in the law.
Regards
R B Rao
Advocate
By concealing true facts, you will only expose yourself to vulnerability to penal action under various statutes. As Mr. Tadav has correctly advised, mention the facts as they actually exist. Do not use short cuts for short term gains. It does not help in the long run.
Vasant Nair
number of workmen and H.P. needs to be indicated for factory licence is for the purpose of determination of fees payable either for obtaining or to renew the factory licence. This number is a maximum number of workmen can be employed during the period of licence granted. It is not necessary that the employer has to exactly employ that much number of employees. This is only a permitted limit during the period of licence.
This has no relevance so far PF/ESIC is concerned.
The PF/ESIC authorities consider the number of persons on the attendance muster and payable/paid wages/salary sheet.
So how can we differentiate our workers, is it possible we can show them as contractor or trainee on wage register?
Dear Sir
All of the workers employed in the factory premises are considered to be workers in accordance with the provisions of the Factories Act, 1948 whether they have been deployed directly or indirectly by contractor. by just showing them deployed through contractor or trainee will not reduce quantum of your responsibility for welfare amenities.
regards
R B Rao
Advocate
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