Govt Extends Public Utility Status for Iron & Steel Sector

The Ministry of Labour and Employment has officially extended the classification of the Iron and Steel industry as a Public Utility Service under the Industrial Disputes Act, 1947. The extension is valid for six months starting from 17th August 2025.

This move is based on the Central Government’s continued assessment that the public interest demands uninterrupted operation of this crucial sector.

Key Highlights:

  • What’s the Change?
    The Iron and Steel industry will continue to be treated as a Public Utility Service under the Industrial Disputes Act, 1947.
  • Legal Basis:
    This status is granted under Section 2(n)(vi) of the Industrial Disputes Act, 1947, which allows the government to declare any industry as a public utility service in public interest.
  • Earlier Notification:
    The industry was initially declared as a public utility service for six months starting 17th February 2025, through notification S.O. 815(E) dated 14th February 2025.
  • Reason for Extension:
    The government stated that public interest necessitates uninterrupted services from the Iron and Steel sector, which plays a vital role in infrastructure and economic development.
  • Duration of Extension:
    The renewed public utility status will be effective for another six months, from 17th August 2025 to 16th February 2026.

Why It Matters:

Under the Industrial Disputes Act, industries classified as public utility services are subject to stricter regulations regarding strikes and lockouts, ensuring continuity of services. Employees in such industries must provide notice before any strike, and disputes may be subjected to compulsory adjudication.

This designation is crucial to prevent disruptions in production, supply chains, and national projects that rely heavily on iron and steel.

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