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KIRTI28.AUTI
16

SIR,
AS PER DEFIANT ION OF FACTORY ACT CAN AMENDMENT THE LIMIT OF WORKER IS 40.
THEN IF IN ANY PREMISES 30 WORKER ARE WORKING (CONTRACT WORKER ALSO) AND MANUFACTURING PROCESS IS GOING ON THEN CAN WE SAY TO THAT PREMISES FACTORY?
IF YES THEN HOW
AND ALL FACTORY ACT AND RULE WOULD BE ALOUD FOR THAT

From India, Pune
stephen_7
147

At present as per factories act, you need to have license to run a factory if the employees strength is 10 with power. The amendment which says 40 is yet to be passed in the parliament to become effective.
In present situation, if there is the strength of less than 10 people and manufacturing is going on. Still it is a factory or a workshop, but not covered under factories act. You will be covered under other acts like Payment of wages act, Minimum wages act etc., where there is no minimum number of employee strength is mentioned.

From India, Chennai
KIRTI28.AUTI
16

ok thanks for the reply
but as per Provident fund Act the strength of employee is 20 , if the strength is 10 then pf is applicable or not ?because of As per law of PF will deduct
- whose salary is (basic) 15000
-and strength of employee is 20 if two condition should be full fill then only pf diduct

From India, Pune
stephen_7
147

It says that the act is applicable once the employees (which includes the directors) strength is 20 or above (whether the employees basic pay is less than 15k or not, it doesnt matter), EPF act will be applicable to that establishment.
Once the strength reaches to the prescribed level, you have to apply for the registration and start deducting the PF. If someone wants to opt out, as their basic pay is more than 15k, get the signed declaration form 11 and keep it with you for records and start deducting for others.
EPFO act will not be applicable, if employee strength is less than 20, even though there are employees drawing basic pay less than 15k.

From India, Chennai
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