Is Our Factory Construction Exempt from BOCW Act Registration Due to Factory Act Coverage?

Dear All, please help me regarding the applicability of the BOCW Act and License Registration. We are currently in the process of constructing phase 2 of a factory, and the factory is already subject to the Factory Act.

Applicability of the BOCW Act

Based on the following point, there seems to be no requirement for the BOCW license registration. Can someone please explain this?

As per Section 2(d) of the BOCW Act, 'building or other construction work' encompasses various activities such as construction, alteration, repairs, maintenance, or demolition related to buildings, streets, roads, railways, and more. However, it explicitly excludes any work that falls under the provisions of the Factories Act, 1948 or the Mines Act, 1952.

Exclusion Clause

Therefore, the definition of "building or other construction work" under the BOCW Act excludes activities covered by the Factories Act, 1948. Employers governed by the Factories Act, 1948 have used this exclusion clause to avoid registering and paying cess under the BOCW Act.

Employers who fall under the Factories Act, 1948 often resist being brought under the scope of the BOCW Act.

Thank you.

If you have started the manufacturing process, then you are covered under the Factories Act, or you will fall under the BOCW Act.

You are constructing phase 2 of the existing factory. As per the norms, if your construction is on the same boundary where your old factory is existing and the factory is running for which you obtained the license, then the BOCW Act is not applicable. However, as per the Apex Court verdict in Civil Appeal No: 6223 of 2016 in the Matter of Lanco Anpara Power Ltd vs. State of Uttar Pradesh & others, the BOCW Act may be applicable since you are constructing a new factory.

Have you received any communication from the BOCW authority for registration, or has your contractor? I advise you to refer to the order copy of Civil Appeal No: 6223 of 2016 and consult for a better understanding.

Regards

Dear all, kindly confirm if a factory license is required if we have already taken BOCW registration for a road project of NHAI. If there is any government order, please share.

I am working as a safety officer in GSECL. In our company's power plant, a new unit construction/commissioning is currently underway. Now, in the new under-construction unit, we are conducting some testing of the plants. Is it covered under BOCW, or is it now under the Factory Act? I read that after production starts, the BOCW Act is not applicable, and the Factory Act becomes applicable. Please reply.