The Jharkhand government has issued an important update to the Factories Rules, 1950 with amendments set to take effect from March 28, 2025. These changes aim to streamline factory operations, reporting procedures, and penalties, ensuring a more structured framework for employers and workers in the state.
Here are the key highlights of the 2025 amendments:
1. Changes to License Amendment and Transfer Fees
- The amendment fee for a factory license has been increased to ₹1,000, up from ₹500.
- The transfer fee for a factory license has also been revised to ₹1,000, payable by the new occupier applying for the transfer.
2. New Annual Return Deadlines and Penalties
- Factory managers are now required to submit annual returns by January 15 of the following year.
- Penalties will apply for late submission: 50% of the renewal fee if submitted by March 31, and 100% by June 30.
- If the return is not submitted by June 30, the factory’s license may be suspended, and the occupier will face a higher penalty (twice the annual fee).
3. Factory Closure Reporting Requirements
- Any closure of a factory or section must be reported immediately, along with details like the number of workers affected.
- The closure report, in Form 29, is mandatory; failure to report results in license invalidation.
- If the closure lasts for over two years, the factory’s license will be cancelled unless the occupier can justify the delay.
4. Specific Requirements for Factories
- The annual return will require information on:
- Canteens (for factories with more than 250 workers).
- Creches (for factories with more than 30 women workers).
- Shelters and rest-rooms (for factories with more than 150 workers).
5. Appeals and License Reinstatement
- If the license is revoked or suspended, the Secretary or Principal Secretary, Department of Labour will act as the appellate authority.
- The occupier can appeal the decision within 30 days of receiving the order.
6. Other Amendments
- The fee structure for licenses and the amendment of licenses has been standardized across the state.
These updates aim to modernize and improve compliance standards for factories operating within the state, ensuring smoother operations and accountability for both the occupiers and the workforce.
