What Risks Does a Company Face for Ignoring Factory Act Returns and Leave Registers?

Dear Senior,

A company has not submitted its factory act return for the last 3 to 4 years, and the company has also not maintained a leave register for the past 10 years. What problems might the company face in the future? What actions can the labor inspector take in this matter?

Thanks & Regards,
Asha Chamoli

Asha Chamoli,

Non-submission of annual returns and non-maintenance of Leave with Wages register attract violations of The Factories Act and Rules. Hence, action for non-compliance is to be taken by the Inspector of Factories and not by the Labour Inspector. He can prosecute the occupier and the Factory Manager for these violations.

Regards,
R.N. Khola
Skylark Associates, Gurgaon (Haryana)
(Labour Law and Legal Consultants)
09810405361