UNIT 1 SAFETY PHILOSOPY

❖ Physical, physiological, psychological Factor of safety

❑ PHYSICAL FACTOR OF SAFETY
physical factors refer to noise, vibration, artificial optical radiation, and electromagnetic fields in
workplaces. Thermal conditions, lighting and electricity can also be included in the definition.
These kinds of factors can put employees’ health in danger or at risk and contribute to
accidents.
Noise and vibration
In this session you will learn about noise and vibration. We will describe different workplaces
where these factors may be encountered, possible health effects and preventive measures.

Ionizing and non-ionizing radiation

In this session you will learn about ionizing and non-ionizing radiation, where these types of
radiation occur and how to protect yourself from the negative health effects from different types
of radiation.

Workplace climate
In this session you will learn about climate factors both at outdoor and indoor workplaces.
Health problems occurring during work at high and low temperatures will be described, the
expressions indoor air environment and climate will be explained, and you will learn about the
Legionella disease.

Safety at work
Safety is a huge topic, here we will focus on some fundamental issues involved in making a
workplace safe; the importance of a responsible leadership, safety training, safety signage and
first aid.
Legislation

Occupational Safety and Health Act (738/2002)

• Section 8 – Employer’s general duty to exercise care

• Section 10 – Analysis and assessment of the risks at work
• Section 11 – Work that causes particular risks
• Section 12 – Design of the working environment
• Section 13 – Work design
• Section 34 – Lighting of workplaces
• Section 39 – Physical agents and electrical safety
❑ PHYSIOLOGICAL FACTOR OF SAFETY
The physiological factors include how people feel, their physical health, and their levels of
fatigue at the time of learning, the quality of the food and drink they have consumed, their age,
etc. Think of some physiological factors that are important when you try to study or learn
something new for yourself.
 ➢ PHYSIOLOGICAL FACTORS
Designers study physical characteristics to optimize the user’s safety, health, comfort and
performance.
Understanding complex biomechanics and designing products to enable full functionality of
body parts can return independence and personal and social well- being to an individual.
Physiological factor data
Types of physiological factor data available to designers:
• For example, bodily tolerances such as fatigue and comfort.
• muscle strength in different body positions
• endurance in different body positions
• visual acuity
• tolerance to extremes of temperature
• frequency range of human hearing,
• size
• eye/hand coordination, etc.

How physiological factor data are collected:

using a wide range of methods, such as performance testing, user trials and observations,
collection of anthropometric data, etc
❑ PSYCHOLOGICAL FACTOR OF SAFETY
The Mental Health Commission of Canada, in partnership with Ottawa Public Health, adapted
content from The Mindful Employer, to develop a series of short animated videos that aim to
raise awareness around the 13 factors that can impact the mental health of employees in the
workplace and encourage conversations on methods for promoting psychologically safe places
to work.
The 13 factors of psychological health and safety in the workplace are:

• Organizational Culture
• Psychological and Social Support
• Clear Leadership & Expectations
• Civility & Respect
• Psychological Demands
• Growth & Development
• Recognition & Reward
• Involvement & Influence
• Workload Management
• Engagement
• Balance
• Psychological Protection
• Protection of Physical Safety
DEFFINITION: - Psychological safety is the belief that you won't be punished or humiliated
for speaking up with ideas, questions, concerns, or mistakes. At work, it's a shared
expectation held by members of a team that teammates will not embarrass, reject, or
punish them for sharing ideas, taking risks, or soliciting feedback.
❖ SAFETY EDUCATION AND TRAINING
Education and Training
Education and training are important tools for informing workers and managers about
workplace hazards and controls so they can work more safely and be more productive. Another
role of education and training, however, is to provide workers and managers with a greater
understanding of the safety and health program itself, so that they can contribute to its
development and implementation.
Education and training provide employers, managers, supervisors, and workers with:
 ▪ Knowledge and skills needed to do their work safely and avoid creating hazards that
could place themselves or others at risk.
▪ Awareness and understanding of workplace hazards and how to identify, report, and
control them.
▪ Specialized training when their work involves unique hazards.
Additional training may be needed depending on the roles assigned to employers or individual
managers, supervisors, and workers. For example, employers, managers, and supervisors may
need specific training to ensure that they can fulfil their roles in providing leadership, direction,
and resources for the safety and health program. Workers assigned specific roles in the program
(e.g., incident investigation team members) may need training to ensure their full participation
in those functions.
Effective training and education can be provided outside a formal classroom setting. Peer-to-
peer training, on-the-job training, and worksite demonstrations can be effective in conveying
safety concepts, ensuring understanding of hazards and their controls, and promoting good
work practices.
Action item 1: Provide program awareness training
Action Item 2: Train employers, managers and supervisors on their roles in the program
Action item 3: Train workers on their specific roles in the safety and health program
Action item 4: Train workers on hazard identification and controls
Action item 1: Provide program awareness training
Managers, supervisors, and workers all need to understand the program's structure, plans, and
procedures. Having this knowledge ensures that everyone can fully participate in developing,
implementing, and improving the program.
How to accomplish it

▪ Provide training to all managers, supervisors, workers, and contractor, subcontractor,

and temporary agency workers on:
▪ Safety and health policies, goals, and procedures
▪ Functions of the safety and health program
▪ Whom to contact with questions or concerns about the program (including
contact information)
▪ How to report hazards, injuries, illnesses, and close calls/near misses
▪ What to do in an emergency
▪ The employer's responsibilities under the program
▪ Workers' rights under the Occupational Safety and Health Act
▪ Provide information on the safety and health hazards of the workplace and the controls
for those hazards.
▪ Ensure that training is provided in the language(s) and at a literacy level that all workers
can understand.
▪ Emphasize that the program can only work when everyone is involved and feels
comfortable discussing concerns; making suggestions; and reporting injuries, incidents,
and hazards.
▪ Confirm, as part of the training, that all workers have the right to report injuries,
incidents, hazards, and concerns and to fully participate in the program without fear of
retaliation.
Action item 2: Train employers, managers, and supervisors on their roles in the program
Employers, managers, and supervisors are responsible for workers' safety, yet sometimes have
little training on safety-related concepts and techniques. They may benefit from specific training
that allows them to fulfil their leadership roles in the program.
How to accomplish it

▪ Reinforce employers, managers, and supervisors' knowledge of their responsibilities

under the Occupational Safety and Health Act and the workers' rights guaranteed by the
Act.
▪ Train employers, managers, and supervisors on procedures for responding to workers'
reports of injuries, illnesses, and incidents, including ways to avoid discouraging
reporting.
▪ Instruct employers, managers, and supervisors on fundamental concepts and techniques
for recognizing hazards and methods of controlling them, including the hierarchy of
controls (see "Hazard Prevention and Control").
▪ Instruct employers, managers, and supervisors on incident investigation techniques,
including root cause analysis.
Action item 3: Train workers on their specific roles in the safety and health program
Additional training may be needed to ensure that workers can incorporate any assigned safety
and health responsibilities into their daily routines and activities.
How to accomplish it

▪ Instruct workers on how to report injuries, illnesses, incidents, and concerns. If a

computerized reporting system is used, ensure that all employees have the basic
computer skills and computer access sufficient to submit an effective report.
▪ Instruct workers assigned specific roles within the safety and health program on how
they should carry out those responsibilities, including:
▪ Hazard recognition and controls (see action item 4)
▪ Participation in incident investigations
▪ Program evaluation and improvement
▪ Provide opportunities for workers to ask questions and provide feedback during and
after the training.
▪ As the program evolves, institute a more formal process for determining the training
needs of workers responsible for developing, implementing, and maintaining the
program.
Action item 4: Train workers on hazard identification and controls
Providing workers with an understanding of hazard recognition and control and actively
involving them in the process can help to eliminate hazards before an incident occurs.
How to accomplish it

▪ Train workers on techniques for identifying hazards, such as job hazard analysis
(see OSHA Publication 3071).
▪ Train workers so they understand and can recognize the hazards they may encounter in
their own jobs, as well as more general work-related hazards.
▪ Instruct workers on concepts and techniques for controlling hazards, including the
hierarchy of controls and its importance.
▪ Train workers on the proper use of work practice and administrative controls.
▪ Train workers on when and how to wear required personal protective equipment.
▪ Provide additional training, as necessary, when a change in facilities, equipment,
processes, materials, or work organization could increase hazards, and whenever a
worker is assigned a new task.
❖ EMPLOYEES PARTICIPATION IN SAFETY
Employees/workers are the major work force working under hazards. Some know the hazards,
and some do not. It is of great importance that they must realize that they would be the first
victim of any accident, their safety awareness and all accident prevention work is in their
interest and therefore their active EMPLOYEE/WORKER PARTICIPATION IN SAFETY in
showing hazards and helping in removing them by the joint efforts of management and all
employees is most desirable.
Section 41G of the Factories Act speaks worker’s participation in safety management. A method
of safety committee is suggested. Right of workers to warm about imminent danger is also
created by section 41 H and 111A of the Act.
Display of the Extract of the Act and Rules (Section 108(1), Rule 106 and Form No.23) is for the
same purpose of making workers aware and to call for their participation. Some areas and
methods of participation are discussed below:
General areas of participation are as under:

1. To set safety goals and training programmes.

2. To design and improve standard operating procedure (SOPs) and methods of
operation.
3. Appraisal of progress towards goals.
4. To give, collect and discuss safety suggestions and to implement which are
necessary. Rewards for good suggestions boost up motivation for participation.

❖ ECONOMICS OF SAFETY
The Economics of Workplace Safety
Numerous case studies revealing the positive relationships between safety and productivity are
backed up by organizations that gather global statistics on accidents and incidents.

It isn't a question of "if," it's a question of "when" your business will experience a serious
workplace accident or enterprise-wide disaster. There are many things that can be done to
extend the "when," even to the point of making "when" an almost statistical impossibility. Using
conveyor design as an example, this article provides a useful methodology—which can be
applied to any aspect of safety—for justifying investments to reduce the probability and
severity of accidents.
Safety in the workplace is not a modern idea bred by government regulation; it is a common-
sense idea as old as the first quarry. In this day and age, safety is a key factor in worker
protection, reduced insurance rates, and a lower total cost of operation. However, operating
budgets are often so tight, many people within an organization find themselves asking:
• How does the Maintenance or Operations Manager convince the Plant Manager to spend
money from the annual budget for safety improvements?
• How does the Plant Manager influence corporate decision-makers to prioritize safety
improvements?
Prior to installation of safety equipment and implementation of corresponding procedures,
there are cultural and structural obstacles to achieving a lasting solution. The main culprits are
the almost universally used Low Bid process, variations in reporting incident statistics between
industries/countries, and the Generally Accepted Accounting procedures (GAAP) or
International Financial Reporting Standards (IFRS).
❖ BEHAVIORAL SAFETY CULTURE AND MOTIVATION
5 ways to motivate employees to follow your safety program
• Make safety an important part of your organization's culture. ...
• Leadership teams should be champions of safety. ...
• Use positive reinforcement. ...
• Your employees should feel ownership in the safety process. ...
• Utilize employee feedback to reassess your safety program.
1. Make safety an important part of your organization’s culture
From the minute candidates walk through your doors for their interview they should know that
safety is one of your organization's central values. This can be done by including safety
reminders and training in all steps of the hiring and onboarding processes as well as following
through with them during every workday.
To demonstrate a commitment to safety, Staff Management | SMX presents our employees with
a daily safety topic and guided stretching exercise at the start of each shift.

2. Leadership teams should be champions of safety

Successful employee engagement in safety programs (and all programs, really) depends largely
on the motivation and support of leadership teams. All members of the leadership team should
strive to set positive examples and abide by the same safety policies expected of their
employees.
Along with this, leadership should provide consistent feedback in what is commonly referred to
as behaviour-based safety. As highlighted in our safety guide, behaviour-based safety can
include leadership taking the time to observe employees and provide feedback, encouraging
employees to stay safe and ensuring they are informed about all required safety procedures.

3. Use positive reinforcement

Positive reinforcement is largely defined by behavioural scientists as “any consequence that
causes a behaviour to repeat or increase in frequency.” Positive reinforcement and safety
programs should go hand in hand. Employee satisfaction research has shown this can be done
by reminding your employees that they are truly making a difference and thanking them often.
That being said, leaders should not ignore safety mishaps, no matter how minor they may be. A
study on safety science showed that when safety monitoring is combined with a learning-
supportive environment, employee participation in safety procedures will increase. In other
words, leaders should be diligent when addressing safety concerns, but to do that effectively,
they should approach initial concerns as learning lessons and not be overly accusatory.

4. Your employees should feel ownership in the safety process

Employees will be more committed and motivated if they play an active role in safety programs.
As mentioned earlier, this can be done by reminding employees that their diligence towards
safety has a direct impact on their workplace, their safety, and the safety of their co-workers.
Additionally, employees should have multiple outlets available to provide feedback on their
organization’s safety program.

5. Utilize employee feedback to reassess your safety program

Any time your organization encourages employee feedback, you should be committed to using
that feedback to make reasonable and necessary changes. When a good idea or observation is
submitted, take action in a timely fashion and make it known that you appreciate the
participation with positive reinforcement.
Additionally, if the majority of your employees are upset with a specific aspect of your safety
program, leadership teams should discuss how it can be altered and improved. When your
employees believe that your organization genuinely listens to their concerns, they will be more
motivated and less resistant to complying with your safety program.
behaviour Based Safety
behaviour based safety (BBS) is a proactive approach on increasing safe behaviour in an area.
BBS focuses on reducing hazards, risks, and incidents by observing the behaviour of a person
and determining what follows when this behaviour occurs. It involves analysing the
consequences of a particular behaviour and providing proper reinforcement for a desired
behaviour.
Importance of Behaviour Based Safety
behaviour based safety relies on complete trust and cooperation between the leaders and
employees. behaviour based safety is important because it provides long-term solutions for
eliminating risks and hazards. This life saving approach fosters a culture of safety in the
workplace which is vital for lasting success. The Health and Safety Authority (HSA) discussed
that organizations aim to develop a total safety culture within their area of safety. This is
achieved when every employee considers safety as a value and makes sure that their fellow
employees are safe. This is what the BBS approach is all about, to reduce unsafe behaviours and
continuously improve on safety performances.

SAFETY LAWS: PROVISION OF FACTORIES ACT AND RULES EMPLOYEE SATE INSURANCE ACT
the Factories Act, 1948.

In the case of factory workers, physical safety plays an important role as they are subject to physical
threats during the work. So, it becomes necessary for the law to mention certain fixed safety
measures for the workers. Under this article, we will look at the safety measures under the Factories
Act, 1948.
Safety Measures (Under the Factories Act, 1948)
Section 21: Fencing the Machinery
This section states that the factory should fence the following machinery or substantial
construction and maintain them in the right position:
(a) every moving part of a prime-mover and every flywheel, whether the prime-mover or flywheel
is in the engine-house or not.
(b) the headrace and tailrace of every water-wheel and water-turbine.
(c) any part of a stock bar which projects beyond the headstock of a lathe.
(d) every part of an electric generator, a motor or rotary converter.
(e) every part of transmission machinery.
(f) every dangerous part of any other machinery.
Section 22: Work on or Near Machinery in Motion
This section states:
(a) Firstly, whenever machinery is in motion and it becomes necessary to do the inspection,
lubrication, repairs, etc., the factory should appoint a specially trained expert man, wearing tight-
fitting clothes to do the job.
Moreover, such worker shall not handle a belt at a moving pulley unless:
1. the belt is not more than fifteen centimetres in width
2. the belt, including the joint and the pulley rim, is in good repair
3. there is reasonable clearance between the pulley and any fixed plant or structure
4. the pulley is normally for the purpose of the drive
(b) Secondly, the factory owners should not allow any woman or young person to clean, lubricate
or adjust any part of a prime-mover or of any transmission machinery while prime-mover or
transmission machinery is in motion.
Section 23: Employment on Dangerous Machines
This section states that the factory owners or managers cannot allow any worker to work any
machine without instructing him/her about the dangerous outcomes and the relevant precautions.
Moreover, before the appointment, the manager has to see that the worker has relevant skills and
knowledge to work on the machinery.
Section 24: Devices for Cutting off Power
This section states:
(a) In every factory, there should be suitable devices for cutting off power in emergencies from
running machinery in all the workrooms. In the case of factories which do not belong to this Act
have to just do the arrangements in the workroom in which electricity is used to generate power.
(b) The factory should provide and maintain suitable striking gear or other efficient mechanical
appliance to move driving belts.
(c) Driving belts when not in use shall not be allowed to rest.
Section 25: Self-Acting Machinery
This section states that no factory should allow any traversing part of a self-acting machine in any
factory to run within a distance of forty-five centimetres from any fixed structure which is not part
of the machine.
Section 26: Casing of New Machinery
In all machinery driven by power and installed in any factory after the commencement of this Act, -
(a) every set screw, bolt or key on any revolving shaft, spindle, wheel shall be so sunk, encased or
otherwise effectively guarded as to prevent danger;
(b) all spur, worm and other toothed or friction gearing which does not require frequent
adjustment while in motion shall be completely encased, unless it is so situated as to be as safe as it
would be if it were completely encased.
Special Point:
Section 27: Prohibition of Employment of Women and Children Near Cotton-Openers
This section states that the factory should not employ any woman or child in any part of a factory
for pressing cotton in which a cotton-opener is at work.
❑ Rules Employee Sate Insurance Act
• Corporation, Standing Committee & Medical Council
o Establishment of Employees’ State Insurance Corporation
o Constitution of Corporation
o Term of office of members of the Corporation
o Eligibility for re-appointment or re-election
o Authentication of orders, decisions, etc.
o Constitution of Standing Committee
o Terms of office of members of Standing Committee
o Medical Benefit Council
▪ Tenure of the members of the Medical Benefit council
o Resignation of membership
o Cessation of Membership
o Disqualification
o Filling of vacancies
o Fees and allowances
o Principal Officers
 o Staff
o Powers of the Standing Committee
o Corporation’s Power to promote measures for the health of insured persons
o Meetings
o Supersession of the Corporation and Standing Committee
o Duties of the Medical Benefit Council
o Duties of Director General and the Financial Commissioner
o Validity of the act of the Corporation
o Regional Boards, Local Committees, Regional and Local Medical Benefit
Council
• Finance and Audit
o Employees’ State Insurance Fund
o Expenses of the fund
• Administrative expenses
o Holding of Property
o Vesting of the property in the Corporation
o Budget Estimates
o Accounts
o Audit
o Annual report
o Budget etc. to be placed before Parliament
o Valuation of assets and liabilities
• Contributions
o All employees to be insured
o Contribution
o Principal employer to pay contribution in the first instance
o Recovery of contribution from the immediate employer
o General provisions as to payment of contribution
o Method of payment of contributions
o Employers to furnish returns and maintain registers in certain cases
o Social Security Officers and their functions
▪ Determination of Contribution in certain cases
▪ Appellate Authority
▪ Recovery of contributions
▪ Issue of certificate to the Recovery Officer
▪ Recovery Officer to whom the certificate is to be forwarded
▪ The inability to recover the amount solely through the sale of
property alone
▪ Stay of proceedings under certificate and amendment or
withdrawal thereof
▪ Other modes of recovery
▪ Application of certain provisions of the Income-tax Act
• Benefits
o Medical Benefits
o Sickness Benefits
o Maternity Benefits
o Dependants’ Benefits
o Disablement Benefits
o Other Benefits
• Scheme for other beneficiaries
o Scope of Section 53 and 61
o Power to frame scheme
o Scheme for other beneficiaries
o Power to amend schemes
 • Adjudication of Disputes and Claims
o Constitution of Employees’ Insurance Court
o Power of Employees’ Insurance Court
o Reference to High Court
o Appeal
• Penalties
o Punishments
o Power to recover damages
o Power of Court to make orders
o Prosecution
o Offences by companies
• Miscellaneous
o Exemptions
o Misuse of benefits
o Delegation of powers
o Medical care for the families of insured persons

Introduction
The Employees’ State Insurance Act incorporates a number of sections, these sections provide for
medical benefits and insurance for any employees working under factories registered under the
ESI Corporation. This is an exciting prospect from both an employee’s and a legal perspective as
the beginning of a formal social security program in India.
This article will explain the highlight sections of the Act, as well as elaborate landmark cases that
prove the authenticity of the scheme, and how it worked for the benefit of its employees at times
of need’s

Application and scope of the Act

The Employees’ State Insurance Act, 1948 (ESI), enables the financial backing and support to the
working class in times of medical distress such as:

• Sickness.
• Maternity Leave.
• Disorders (mental or physical).
• Disability.
• Death.
It is a self-financed initiative, which serves as a type of social security scheme, to prevent the
working class from any financial problems arising out of the above medical issues.

Establishment of Employees’ State Insurance Corporation

The ESI Act exercises its function through the Employees’ State Insurance Corporation,
established via Section 3, a body created to maintain social security. It was established on 24
February 1952. The corporation is supposed to grant relief to the employees in case of medical
emergencies.

Constitution of Corporation
The composition of the ESIC is defined in Section 4, and it is as follows:
 • The Director-General.
• Chairman, appointed by the Central Government.
• Vice-Chairman appointed by the Central Government.
• Not more than 5 persons nominated by the Central Government.
• 1 person to represent each state.
• 1 person representing the Union Territories.
• 10 persons representing employers.
• 10 persons representing employees.
• 2 persons representing the medical profession.
• 3 members of parliament (2: Lok Sabha and 1: Rajya Sabha).

Corporation, Standing Committee & Medical Council

Establishment of Employees’ State Insurance Corporation

The ESI Act exercises its function through the Employees’ State Insurance Corporation,
established via Section 3, a body created to maintain social security. It was established on 24
February 1952. The corporation is supposed to grant relief to the employees in case of medical
emergencies.

Constitution of Corporation
The composition of the ESIC is defined in Section 4, and it is as follows:

• The Director-General.
• Chairman, appointed by the Central Government.
• Vice-Chairman appointed by the Central Government.
• Not more than 5 persons nominated by the Central Government.
• 1 person to represent each state.
• 1 person representing the Union Territories.
• 10 persons representing employers.
• 10 persons representing employees.
• 2 persons representing the medical profession.
• 3 members of parliament (2: Lok Sabha and 1: Rajya Sabha).

Term of office of members of the Corporation

Via Section 5, the following members are appointed for up to a 4-year period:

• Director-General.
• Chairman.
• Vice-Chairman.
• The 5 people nominated by Central Government.
• The members representing each state.
• The members representing each Union Territory.
Eligibility for re-appointment or re-election
An outgoing member of ESIC, the Standing Committee of ESIC, or the Medical Benefit Council is
automatically eligible for re-appointment or re-election into office as the case may be, at the
pleasure of the appointing Central Government.

Authentication of orders, decisions, etc.

The signature of the Director-General of ESIC is the only necessary requirement to authenticate
an outgoing order or a decision, there is no other way to authenticate or enforce an order.
The Director-General can also temporarily delegate his authority to any other officer. In this case,
the signature of the authorised officer will also suffice to authenticate an order.

Constitution of Standing Committee

The composition of the Standing Committee of ESIC is as follows:

• A chairman appointed by Central Government.

• 3 members within the corporation representing 3 state governments.
• 3 members within the corporation representing employers.
• 3 members within the corporation representing employees.
• 1 member within the corporation representing the medical profession.
• One MP belonging to the corporation.
• The Director-General.

Terms of office of members of Standing Committee

The following members are appointed for a two-year period:

• The Chairman.
• The 3 members representing the states.

Medical Benefit Council

The Medical Benefit Council is an advisory body on matters related to the administration of
medical benefits under the ESI scheme. It consists of:

• The Director-General of ESIC as Chairman.

• The Director-General of Health Services as co-Chairman.
• The Medical Commissioner of ESIC.
• One member for each state appointed by State Government.
• Three members representing employers.
• Three members representing employees.
• Three members including one woman representing the medical profession.

Tenure of the members of the Medical Benefit council

The following members of the Medical Benefit Council are appointed for a period of 4 years, these
are:
 • The Director-General of ESIC as Chairman.
• The Director-General of Health Services as co-Chairman.
• The Medical Commissioner of ESIC.
• One member for each state appointed by State Government.

Resignation of membership
The resignation of a member of the Corporation is complete when a notice for the same, in writing,
is delivered to the Central Government, and his seat shall fall vacant upon acceptance of his
resignation.

Cessation of Membership
A member of the ESIC shall cease to be a member of his respective body (Corporation, Standing
Committee or Medical Council) upon failing to attend three consecutive meetings. However, the
same member can be restored by the concerned body via the rules made by the Central
Government.
If in the opinion of the Central Government, any employer, employee, or medical representative
fails to represent their qualification, they shall cease to be members of ESIC.

Disqualification
A person can be disqualified as a member of ESIC if:

• If he is declared to be of unsound mind by a qualified court.

• If he is an undischarged insolvent.
• If at any time, he has been convicted of an offence regarding moral turpitude.

Filling of vacancies
Any vacancy in the office of ESIC shall be filled by appointment or election, as the case may be.
A member of ESIC can only hold the ex-member’s spot in the respective committee, if the original
holder of that position was found to be eligible for the same. Otherwise, the position is void.

Fees and allowances

The fees which are payable to the members of the ESIC for their services can be payable at any
time, at the discretion of the Central Government. There is no definitive schedule.

Principal Officers
The Principal Officers referred to under this Section are the Director-General and/or Financial
Commissioner, to act as the CEO for ESIC.
They serve as whole-time officers and are not permitted to undertake any work outside of office
jurisdiction without the sanction of the Central Government.
The time period for the appointment of any principal officer may not exceed 5 years.
The operation of their fees, disqualification, and cessation of seats operates in the same manner
as that of their subordinates.
Staff
ESIC has the jurisdiction to employ staff of officers as may be necessary for the optimum running
of the corporation, however, according to the prerequisites in Section 17, the sanction for creating
any staff position has to be acquired from the Central Government. Their salary shall be
prescribed by the Central government within a particular range, which cannot be exceeded.

The scale of pay will be determined on the basis of their educational qualifications, method of
recruitment, duties, and responsibilities, etc.

Powers of the Standing Committee

The Standing Committee, with its powers defined in Section 18, shall administer the affairs of the
Corporation and may exercise any of the powers and perform any of the functions of the
Corporation, while authorised and under the jurisdiction of the corporation.
The Standing Committee shall submit for the consideration and decision of the Corporation all
such cases and matters as may be specified in the regulations made in this behalf.
The Standing Committee also, in its discretion, may submit any other case or matter for the
decision of the Corporation.

Corporation’s Power to promote measures for the health of insured persons

ESIC, in its jurisdiction, may take initiatives that promote health and welfare amongst its
employees, while also promoting rehabilitation and re-employment for past employees who were
injured or disabled in the course of employment.
The funding and expenditure for such initiatives is at the discretion of the Central Government.

Meetings
ESIC, its Standing Committee, and its Medical Council shall meet periodically to observe rules and
procedures in regard to the efficient functioning of the corporation. Such observations can be
specified as per the regulations in regard to the meeting.

Supersession of the Corporation and Standing Committee

The supersession of the Corporation and the Standing Committee occurs when there is a
persistent failure to perform the duties prescribed to both parties. In such a case, the Central
Government, via a notification in the Official Gazette, can take the place of the corporation, or with
the consultation of the corporation, can take the place of the Standing Committee.
The supersession of the corporation will take place by rendering all of the seats of the
corporation, previously occupied by the members, as vacant.
In the case of the Standing Committee, a new one shall be constituted immediately as per Section
8 of the ESI Act.

Duties of the Medical Benefit Council

The Medical Council’s functions are as follows:
 • Advise the other two ESIC bodies on matters relating to the implementation that
would be beneficial in the medical field. It acquires certification for the grant of
medical benefits.
• Investigate against complaints lodged against medical practitioners with relevance to
the medical relief offered.

Duties of Director General and the Financial Commissioner

The duties of the Director-General and Financial Commissioner are prescribed by the ESI Act itself
in accordance with the Central Government. These tasks may concern various arenas from
management to miscellaneous tasks.

Validity of the act of the Corporation

No act of any ESIC body shall be termed as invalid with respect to their own rules and regulations.
Invalidity cannot be claimed on the eligibility or ineligibility of a particular member of that office.

Regional Boards, Local Committees, Regional and Local Medical Benefit Council
The Corporation may appoint Regional Boards, Local Committees and Regional and Local Medical
Benefit Councils in such areas and in such manner, and delegate to them powers and functions.

Finance and Audit

Employees’ State Insurance Fund

The Employees’ State Insurance Fund is the primary monetary source for the ESIC to perform its
functions. All contributions paid under this Act and all other money received on behalf of the
Corporation shall be paid into this fund to be held and administered by the Corporation.
These could be in the form of grants, donations, or gifts by the government.

Expenses of the fund

The ESI Fund is responsible for maintaining the expenses of ESIC, which are as follows:

• Payment of benefits and provision of medical treatment and attendance to insured

persons and their families, if required.
• Payment of fees and allowances to members of the Corporation, the Standing
Committee and the Medical Benefit Council, the Regional Boards, Local Committees
and Regional and Local Medical Benefit Councils.
• Payment of salaries, leave and joining time allowances, travelling and compensatory
allowances, gratuities and compassionate allowances, pensions, etc.
• Establishment and maintenance of hospitals, dispensaries, and other institutions and
the provision of medical and other ancillary services for the benefit of insured persons
and their families, if required.
• Payment of contributions to any State Government, local authority or any private body
or individual, towards the cost of medical treatment and attendance provided to
insured persons and their families, if required.
Administrative expenses
Administrative expenses are termed so, those expenses which cover the costs of administration
of ESIC, prescribed by the Central Government.

Holding of Property
ESIC is subject to conditions prescribed by the Central Government, in terms of acquiring, hold,
sell or transfer any property, movable or immovable, vested in or acquired by it, so as to fulfil the
purposes of the corporation. The ESIC also has the ability to invest in property as and when
required, under the jurisdiction of the Central government. It can also delegate property for the
benefit of its staff.

Vesting of the property in the Corporation

Any and all property acquired by ESIC, before its establishment, will be brought into the
accounting books of the corporation.

Budget Estimates
Every year, ESIC frames and projects a potential budget showcasing how much expenditure it
proposes to incur, and how it will discharge its liabilities during the following year. This is then
submitted to the Central Government for approval.

Accounts
The Corporation shall maintain correct accounts of its income and expenditure in such form and
in such manner as may be prescribed by the Central Government.

Audit
The Corporation prepares accounts regularly which are audited annually by the comptroller and
Auditor-General of India, and any audit which leads to an expenditure will be payable to the above
parties.

Any person appointed by the Comptroller and Auditor-General to act on their behalf will
temporarily have the same powers as the above parties and are authorised to demand the
production of books, accounts, connected vouchers, and other documents and papers. They shall
also be authorised to inspect any offices of ESIC at any time.

The accounts of the Corporation, before being forwarded to the Central Government, have to be
verified by the Comptroller and Auditor-General, or any of their representatives. After
verification, the accounts can be forwarded to the Central Government along with any comments
on the report, given by the above parties.
Annual report
The Corporation shall submit an annual report of its work and activities to the Central
Government.

Budget etc. to be placed before Parliament

The annual report, the audited accounts of the Corporation along with the report of the
Comptroller and Auditor-General of India, and the comments of the Corporation on such report
under section 34 and the budget, as finally adopted by the Corporation, shall be placed before the
Parliament.

Valuation of assets and liabilities

The Corporation shall, at intervals of three years, have a valuation of its assets and liabilities made
by a valuer appointed with the approval of the Central Government: Provided that it shall be open
to the Central Government to direct a valuation to be made at such other times as it may consider
necessary.

Contributions

All employees to be insured

All employees employed in the factories which meet ESIC prescribed rules (under Section 2) are
insured for all the benefits offered by it.

Contribution

• The contribution is a determinable amount of money payable by both the employer

and the employee, as per the situation, to the corporation.
• The rates, while usually prescribed by the government, are not set in stone, and are
subject to change. Rates defined by the government are mostly set as the unit standard
for the contribution payable by the employer.
• In the case of the employee’s contribution, the wage period in relation to the
respective employee shall be held as a unit to determine the compensation payable
and are normally due on the last day of the wage period.
• Failure to pay contributions by the employer will make him liable to pay an interest
rate of 12%.

Principal employer to pay contribution in the first instance

• The primary employer has to collectively pay the contribution, both his own and that
of his employees, regardless of whether they are directly employed under him or are
working through an immediate employer.
• If a directly employed employee fails to pay his contributions, then the employer can
recover that contribution only by deducting the wages of said employee.
 • The employer bears all the transfer costs of the payment to the Corporation.

Recovery of contribution from the immediate employer

In the case of an employee who is indirectly employed under the principal employer, via an
immediate employer, the principal employer shall be entitled to recover the payment made on
behalf of an indirect employee, from the immediate employer, as a debt payable to him.
The immediate employer also has to prepare a list of all the employees under him and submit the
same to the principal employer, before paying his dues.

General provisions as to payment of contribution

In case an employee’s wage falls below the prescribed wage range prescribed by the Central
Government, the employee shall not be liable for his contribution, and it shall not be payable.

Method of payment of contributions

The manner for payments which the Act provides regulations for, has been elaborated in the
following conditions:

• The nature and time of contribution being paid.

• Payment which involves the usage of stamps or other adhesives fixed upon the books
of accounts, or any other documents.
• The evidence of the contributions, which reaches the Corporation, is to be dated.
• The different entries in the books of accounts along with the details of the insured
persons.
• The replacement of documents which have been lost, destroyed or defaced.

Employers to furnish returns and maintain registers in certain cases

According to the provisions given as per the ESI Act, the principal and immediate employers are
to submit all the investment profits, as well as any and all details relating to their employees in
any factory under their jurisdiction. In case of failure to submit a return, that the corporation had
reasonable cause to believe, should have been submitted, the corporation can require the
employers to present all the details.

Social Security Officers and their functions

ESIC has the power to appoint persons as Social Security Officers. Their functions are mostly to
serve a role in inspecting the function of the corporation.

• If required, he can acquire any information from any employer as he sees fit.
• He can enter any corporation at any time and can get all the accounts, books and other
employment documents presented to him without any due notice. This can include
information like wages, expenses, etc.
• He can inspect and look into any matter regarding the employers and employees as
and when required under the jurisdiction of the court.
• He can make copies or take extracts from any register or account back as per his
discretion.
Determination of Contribution in certain cases
A Social Security offer is restricted from exercising his functions and discharging his duties, if the
accounting statements of the factory/establishment are not submitted, or not maintained in
accordance with Section 44 of the ESI Act. As such, the Corporation may, with the available
information, determine the contribution (defined under Section 39) amount payable to
employees. However, this procedure will not take place until after the person in charge has been
given a reasonable opportunity to be heard regarding the absence of such records.

Appellate Authority
In the scenario specified in Section 45A, once the employer in charge is heard, and he is not
satisfied with the verdict given by the corporation, he may prefer an appeal to an appellate
authority as may be provided by regulation, within sixty days of the date of the verdict. He must
also pay a sum of 25% of his calculated contribution, in order to file the appeal. In case he is
successful, the corporation will also refund the contribution paid by him.

Recovery of contributions
Any and all contributions which are payable under the provisions of ESI Act, can be recovered,
termed as ‘arrears of land revenue’.

Issue of certificate to the Recovery Officer

In lieu of Section 45B, where the contribution is to be recovered, an authorised officer of the
corporation issues a certificate bearing his signature and the amount to be recovered, to a
Recovery Officer, who then proceeds to recover the amount specified from the factory where the
default took place. He does this via:

• Attachment or sale of the property of the factory, or the employer, as per the situation.
• The arrest of the employer and getting him detained in prison.
• Appointing a receiver for the management of the property acquired, be it from the
factory or the employer.

Recovery Officer to whom the certificate is to be forwarded

For the contribution certificate to be forwarded to the Recovery Officer, the factory employer
must be under the jurisdiction of the Officer in the following ways:

• The location where the employer carries on his business and where the factory is
located.
• The location where the employer resides, or he has any personal property situated
within the Officer’s jurisdiction.
• The inability to recover the amount solely through the sale of property alone.

The inability to recover the amount solely through the sale of property alone
The analysis of the recovery amount, as per the certificate issued to the Recovery Officer, operates
on his word only. The factory or any authority related to it cannot question the Officer on the
correctness of the mount, and no objection shall be entertained. However, with a prior intimation,
an arithmetical mistake can be corrected by an authorised officer, along with any orders about
withdrawal or cancellation of a certificate.
Stay of proceedings under certificate and amendment or withdrawal thereof
It is at the discretion of the Recovery Officer, within the boundaries of the ESI Act, to halt legal
proceedings if the time he has allocated for the recovery of an amount, has expired.
The Recovery Officer is also entitled to receive constant updates about the status of payment of
any due amount.
If, as a result of an appeal, the amount due is decreased, then the Recovery Officer temporarily
halts the recovery of the now decreased amount.

Other modes of recovery

Some of the other modes of recovery are elaborated within Section 45G. These are rarer modes
of recovery, due to the primary modes of recovery often being preferred:

• The defaulting employer may be required to pay a sum which was deducted from the
arrears after the sale of the property.
• There might not be any penalty issued but the defaulting employer would be required
to pay the entire outstanding amount directly to the Director-General of the
Corporation.
• Any joint shareholders who held money with the defaulting employer might be forced
to give up their shares to the Corporation until they are equal to the defaulting
employer’s shares, as compensation.

Application of certain provisions of the Income-tax Act

The arrears of the amount of contributors, which are to be sold to cover the remaining costs, can
be affected by decisions from the Assessing Tax Officer or Tax Recovery Officer. They can make
changes which shall apply to all the interests and damages.

Benefits
Section 46 of the ESI Act grants benefits to employees as social security in case of injury, which
can be availed during the course of employment. There are 6 types of benefits that can be availed:

• Medical benefit.
• Sickness benefit.
• Maternity benefit.
• Dependants’ benefits.
• Disablement benefits.
• Other benefits.

Medical Benefits
These benefits are guaranteed to the employee as soon as he/she is hired, with the benefits
extending to their family members as well.
This benefit covers the payment of all treatment expenses in lieu of medical issues faced by the
employee
Sickness Benefits
The employees covered by the ESI Act can avail periodical payments in case of sickness as per
Section 46(1)(a), as long as the medical condition is verified by the appointed medical
practitioner.
The compensation is approximately 70% of their wages, with the upper limit for availing
compensation being 91 days in a year.
In a period of 6 months of employment, the employee must have been working for a minimum of
78 days, else the benefit cannot be claimed.

Maternity Benefits
As per Section 46(1)(b) of the ESI Act, an insured woman can claim periodical payments in case
of occurrence of any of the following situations:

• confinement (labour leading to birth or birth after 26 weeks)

• miscarriage
• sickness arising out of pregnancy
• premature birth of child
The benefit is payable for three months, with an extension of one month, if required. The
minimum work duration must be 70 days in the year preceding the year of pregnancy.

Dependants’ Benefits
Section 46(1)(d) prescribes periodical payments (often made monthly) to the dependants/family
members of the person who dies during the course of employment, with the cause of death being
an employment injury or an occupational hazard. Compensation is generally 90% of the
employee’s wages.

Disablement Benefits
In case an employee suffers an injury during the course of employment which results in their
disablement. The nature of the disablement may be temporary or permanent. Unlike the other
benefits, there is no minimum work contribution required to avail the disablement benefit,
although eligibility for the same will be determined by the Medical Board.
This determination also affects the amount of compensation granted, if any, with the general
percentage of wages granted being around 90%.

Other Benefits
‘Other benefits’ refer to the miscellaneous benefits apart from the five major benefits that can be
availed by the employees. These are as follows:

• Funeral Expenses: Compensation of Rs. 10,000 is granted to the eldest surviving

member of an employee’s family to perform his last rites.
• Vocational Rehabilitation: The benefit is payable to disabled employees undergoing
rehabilitation.
• Old age medical care: This benefit is available for retired employees, or those who eft
employment after suffering an injury, with general compensation being Rs. 120 p/m.
Scheme for other beneficiaries

Scope of Section 53 and 61

Section 53 of the ESI Act acts as a deterrent for employees, in order to prevent them or their
families from claiming benefits provided under the scope of Workmen’s’ Protection Act, so long
as they are still insured under the reliefs offered by the ESI Act.

Section 61 acts like an extension to Section 53, in the sense that while Section 53 only bars
employees from receiving compensation under the Workmen’s’ Compensation Act, Section 61
bars employees from receiving compensation from any other enactment so long as they are still
insured under the ESI Act.

Power to frame scheme

The Central Government holds the power to frame schemes for other beneficiaries and their
family members, mostly for providing medical facilities in ESI hospitals. However, this must be
within the framework of the ESI Act and must be notified in the Official Gazette.

Scheme for other beneficiaries

Schemes implemented for beneficiaries may cover for a number of matters such as:

• The time and nature of the usage of medical facilities.

• The presentation of particulars and details about the beneficiary and his family as per
the needs of the Corporation.
• Miscellaneous matters which may be necessary to fully implement the scheme.

Power to amend schemes

Via a notification in the Official Gazette, the Central Government may add to, amend, introduce
variations, or rescind the scheme.

Adjudication of Disputes and Claims

Constitution of Employees’ Insurance Court

Via a notification in the Official Gazette, an Employees’ Insurance Court will be constituted by the
State Government, with a set amount of judges as per the decision of the State Government.
The same court may be appointed for two or more local areas, or two courts or more courts may
be appointed for the same local area.

Power of Employees’ Insurance Court

The Employees’ Insurance Court will function with the same powers as that of a Civil Court, in
which, to enforce the provisions of the ESI Act, it can enforce witness attendance, compel
document and material evidence to be presented, it can administer an oath and can record
evidence.
All expenses incurred before a proceeding are subject to the discretion and liability of the court
itself.

Reference to High Court

An Employees’ Insurance Court, according to Section 81 may submit any question of law for the
decision of the High Court and if it does so, the answer to the question shall hold precedence
before any judgment.

Appeal
Section 82 defines that no appeal can be laid down as against an order from the Employees’
Insurance Court. However, appeals from the High Court can stand if they involve a substantial
question of law.

Penalties

Punishments
Sections 84, 85, and 85A cover all the punishments for default listed within the ESI Act.

• False Statement: Any person caught increasing the payment or benefit to avoid
payment by himself is known to make a false statement. Punishable with up to six
months and/or with fine not greater than Rs. 2000. Insured persons convicted of this
will not be entitled to cash benefits.
• Failure to pay contribution: Persons failing to pay the contribution, unlawfully deducts
wages or benefits, unfairly punishes an employee, obstructs inspector’s duties, etc. can
be punishable for up to three years, no less than one year with a fine up to Rs. 10000.
• Subsequent Punishment: If a person is found committing the same offence twice, he
shall be punished with imprisonment for a term extending up to two years with a fine
of Rs. 5000 for each subsequent offence.

Power to recover damages

If an employer fails to pay the contributions due in any aspect, whether it be from his side or his
employee’s side, the Corporation can recover the deficit from him by way of penalty.
However, this recovery of contribution will not take place until after the person in charge has
been given a reasonable opportunity to be heard regarding the failure to pay the contribution.

Power of Court to make orders

Along with the power of the court to recover damages, it also has provisions to enforce judicial
orders. If the defaulting employer fails to meet the time conditions for payments that have been
stated by the Court, the employer will be deemed to have committed another offence, which can
be punishable with imprisonment and/or fines.
Prosecution
Section 86 dictates that any sort of prosecution cannot take place under the provisions of ESI Act
unless it has previously obtained the sanction of the Insurance Commissioner or any other
authorised authority such as the Director-General of the Corporation. No court lower than a First-
Class Magistrate can try an offence under the ESI Act, and no Court will take cognizance of any
offence reported under this Act.

Offences by companies
Taking inference from the concept of business entity, where every company is its own individual
i.e., it is a separate legal entity of its own and can sue or be sued in a court of law accordingly.
As such, when an offence is said to have been committed by a company, all of its managerial
employees, who were responsible for the company at the time, will be tried along with the
company, deemed to be guilty of the same offence. They are liable for punishment accordingly.

Miscellaneous

Exemptions
Sections 87, 88, 90, 91 and 91A list the criteria under which certain exceptions to benefits can be
made under ISA. Via a notification in the Official Gazette, the appropriate
government(appropriate here meaning the government exercising more authority, in a closer
proximity), can exempt the following from the benefits of the ESI Act(if they were enjoying those
same benefits before):

• Factory/establishment or a class of factories/establishments.

• Persons or classes of persons.
• Factories or establishments belonging to the Government or any local authority.
• Any of the above from a particular provision of the Act.
• Any of the above to be exempted prospectively for a specified time period.

Misuse of benefits
In case of any misuse of benefits by the insured persons, the Central Government can, at its
discretion, publish a notice in the Official Gazette that disentitles such persons from their benefits
that they have under ESI Act.

Delegation of powers
The bodies of ESIC possess authority that they can delegate to authorised personnel, at their
discretion. These authorised personnel can exercise the powers given to them by their specific
ESIC bodies, but only for a temporary period.

Medical care for the families of insured persons

Medical care is guaranteed for family members of the insured person, covered at the cost of the
Corporation if the funds at the time permit the coverage.
Unit 1:safety philosophy
safety factors:
​ Physical factors of safety – Noise, vibration, radiation electrical effects etc. are the
physical factors at workplace liable to put employee health in danger and contribute to
accidents.
​ Physiological factors of safety – physical health, age level of fatigue, qualities of foods
and drinks intake etc. which may be variable from person to person.
​ Psychological factors of safety – these address mental health in workplace eg
organizational culture, leadership, psychological and social support, civility, respect,
recognition,reward, involvement, influence, workload management, balance, predictive
approaches provided etc.
safety education and training: this is necessary to develop consciousness and alertness to
safety. Safety mindedness and training help to apply acquired knowledge to ensure a safe and
healthy environment at working place. They also help employees to recognize the safety hazards
and rectify them – thus enabling them to understand the best safety practices and expectation.

Employees participation in safety: it is essential for success of any safety program. When they
are made part and parcel of a safety program they feel themselves responsible for the successs of
the program. They share joint responsibilites with the management to achieve success in such
program. This participation gives an employee importance pride and belogningness with the
place of work and also workmanship and creativity as regards ensuring safety in workplace
because he knows that ensuring safety is his important concern.

Economicss of safety: investing in occupational safety and health management increases the
competitiveness and productivity of enterprises by reducing costs resulting from accident at
work and work related health problems and by enhancing work motivations.

Behaviour safety culture and motivations: It implies safety habits developed among the
employees in their course of work culture which may be forced, protective, involved and integral
culture
a. forced culture – it involves bribes and threats but fear fails to cultivate high level
performance due to forceful interference of safety police
b. protective culture – too cautious approach with inumerable safety programs which made
everybody confused with average performance
c. involved culture – here good training is provided to the workers but top level management
does not participate. Thus its morale lies in monitoring of performance rather than monitoring of
behaviour. Here the performance is just ok, not excellent.
d. integral culture – here high level safety training is participated by both the employees and
top level management with integral safety culture both with fund and authority to ensure best
result.
Motivation lies in raising safety culture level from current level to next level by proper
assessment of the current situation and identifying the obstacles so that smooth transition
becomes possible. But this raising should be consistent with the situation demand. Because an
unnecessary rise of level will raise the expenditure. The basic motive must be optimum safety
culture imposition with optimum expenditure so that overall economy be maintained. It is the
approach of igniting the willingness of all concerned to engage safety behaviour and values
related to it.
(OSHA)The occupational safety health and working condition code 2019: the salient
features are as follows: -
​ it seeks to regulate health and safety provision of workers in establishment having 10 or
more workers.
​ It subsumes and replaces a. factories act 1942 and b. mines act 1952 c. doc workers act
1986 d. building and other construction workers act 1966 e. plantation labour act 1951 f.
contract labour act 1970 g. child and adolescent labour act 1986 h. gas cylinder rules
2004 I. Central motor vehicles rules 1989 j. Indian electricity act 2003 k. air pollution act
1981 l. water pollution act 1974 m. interstate migrant labour act 1979 – all 13 labour
laws relating to safety and health and working conditions
​ establishments covered by this code are required to register with registering offices
appointed by central and state government
​ welfare facilities, working conditions and workhours for different types of establishment
and workers will be prescribed byt the central or state government on the standards rules
and regulations to be framed under the code
​ the code sets up occcupational safety boards at national and state levels to advise the
respectie government for authorisation and standardisation
​ the code creates special provision for factories, mines, docks and construction sites
​ the code emphasises on occcupational safety and health laws should cover all the
workers to protect their basic rights.
​ The code allows only judicial recourse for a person aggrieved under code to file a writ
petitions before the relevant high court. So opportunities to challenge issues at the lower
court is eliminated altogether.The code applies for all the employees including workers

2
 and all persons employed in managerial, administrative or supervisory role having wages
not less than 150000 per month
​ some establishment like factories mines, beedi and cigar workers may be required
additional license to operate
​ the employers duties include – a. providing workplace free from hazards as much as
practicable b. providing free annnual health check for the employees in notified
establishment c. issuance of appointment letters to the employees d. informing relevant
authorities in case of serious accidents to employees
​ additional duties are prescribed for employees in factories docks mines plantation
construction including provision of risk free working environment and safety inspector
​ the consultants must ensure that any article created or provided by them is safe and
must provide with proper handling instructions. Also the architects, engineers and
designers must ensure that any structure designed by them can be safely executed and
maintained.
​ Duties of employees include taking care of their own health and safety complying with
safety and health standards and reporting unsafe work conditions/incidents to the
inspectors. Employees also have certain rights including the right to obtain information
on safety and health standard for the employees.
Key features of the law - a . work hours - the work hours of different classes of employees
shall be notified by the government. for overtime works the workers must be paid twice the daily
wage. Prior consent of the relevant worker is needed. Female workers may work past 7 pm and
before 6 am with their consent and if approved by the government. The journalist cannot work
for > 144 hours in 4 weeks.
b. leave - workers cannot be required to work more than 6 days a week and must get a leave of
a day for every 20 days per year.
c. working conditions – shall be notified by government. Additional facilities may be specified.
Conditions shall include hygienic working environment, clear drinking water, toilet.
d. welfare facilities – shall include canteen first aid, creches as per standard notified by the
government. Additional facilities may be specified for factories, mines, docks construction sites (
eg temporary housing for welfare offices)
e. the code includes three schedules containing list of 29 diseases that the employee may be
affected and the employer must notify to the authorities if any worker gets affected ii. 79 safety
matters that the government may regulate iii. 29 industries involving hazardous processes.
However the list are subjected to government amendments.
f. relevant authorities – 1. inspector cum facilitators – the duties include inquiring into
accidents, conducting inspections, additional powers of reducing number of employees working

3
in sections of establishment and prohibiting work in dangerous situation for mines docks and
construction sites
2. advisory bodies – governments set up such bodies for advising government for standard
rules and regulations to be framed under the code.
3. safety committee – The government may constitute such committees in certain establishment
and for certain classes of workers which shall have representatives of employer and workers
where the number of employee representative should not be same on the part of the employer.
These committees function as liaison between the employee and employer.
g. offense and penalties – the code specifies various penalties and offenses. An offence causing
death to an employee will be punishable by 2-3 years imprisonment or fine upto 5 lakhs or both.
Further courts may direct at least 50% of such fines be given as compensations to the heirs of
the victims. For any other violations when penalty is not specified the employers will be
punished with fines of Rs. 2-3 lakhs. If an employee violates he may face a fine of Rs. 10000.
first time offense may not be punishable by imprisonment but can be settled for upto 50%of the
maximum fine.

Employees state insurance act: (E.S.I. act 1948)

it is to provide certain benefits to employee in case of sickness, maternity and employment
injury and to make provision for certain other matters in relation thereto. Insurable employees
under the act can draw some cash compensations in case they fall sick. The compensation is
generally 70% of their wages during the period of their sickness to a maximum of 91 days in a
year. In order to avail this sickness benefits a worker must pay his contribution for 78 days in 6
months.
This act applies to factories
● where number of workers greater than or equal to 10 or were employed in a day
preceding 12 months and the manufacturing process is carried with the aid of power
● greater than or equal to 20 persons without power.
Monthly salary limit for coverage under ESI scheme not less than 21000 per month and for
disability, not less than Rs. 25000
The major benefits are medical benefits, sickness benefits, maternity benefits, dependent
benefits, disablement and other benefits.