No Factories Act In the Public Interest for 1000 days - Uttar Pradesh

Factories (Uttar Pradesh Amendment) Act, 2020

New Section 5A is inserted - Power to Exempt in Public Interest

Dated Lucknow, October 20, 2020.

In pursuance of the provisions of clause (3) of Article 348 of the Constitution, the Governor is pleased to order the publication of the following English translation of the Kaarkhana (Uttar Pradesh Sanshodhan) Adhiniyam, 2020 (Uttar Pradesh Adhiniyam Sankhya 32 of 2020) as passed by the Uttar Pradesh Legislature and assented to by the President on October 9, 2020. The Shram Anubhag -3 is administratively concerned with the said Adhiniyam. 

Thus we understood that the State Government of Uttar Pradesh has issued the Factories (Uttar Pradesh Amendment) Act, 2020 further amending the Factories Act, 1948 in its application to the State of Uttar Pradesh.

A new Section 5A is inserted granting the State Government with the power to exempt a factory from the provisions of the Factories Act in the public interest. As per the amendment, the State Government by notification may temporarily exempt new factory or class of new factories whose commercial production starts within a period of one thousand days after the commencement of Factories (Uttar Pradesh Amendment) Act, 2020 from all or any provisions of the Act for a period of 1000 days from the date on which such production starts.

THE FACTORIES (UTTAR PRADESH AMENDMENT) ACT, 2020 

(U. P. Act no. 32 of 2020) 1917 vidjeti [As passed by the Uttar Pradesh Legislature] 

AN

ACT

further to amend the Factories Act, 1948 in its application to Uttar Pradesh. 

IT IS HEREBY enacted in the Seventy-first Year of the Republic of India as follows: 

 

1. Short title and extent

(1) This Act may be called the factories (Uttar Pradesh Amendment) Act,  2020. 

(2) It shall extend to the whole of the State of Uttar Pradesh.

Insertion of section 5A after section 5 of the Act no. 63 of 1948 

2. In The Factories Act, 1948 after section 5, the following section shall be inserted, namely: 

Section 5A :- Power to Exempt in Public Interest

Where the State Government is satisfied that to create more economic o exempt activities and employment opportunities, it is necessary in in public interest the public interest to do so, it may by notification in the Gazette, exempt new factory or class of new factories which are established and whose commercial production starts within a period of One Thousand (1000) days after the commencement of Factories (Uttar Pradesh Amendment) Act, 2020, from all or any provisions of the Act conditionally or unconditionally for a period of One Thousand (1000) days from the date on which such production starts.

STATEMENT OF OBJECTS AND REASONS

The Factories Act, 1948 was enacted with a view to regulate the working condition, safety, security and welfare of workers employed in factories. .

Due to increasing spread of COVID-19 the economic activities of the country including the State of Uttar Pradesh have been shattered and a large number of migrant workers returned to Uttar Pradesh resulting in widespread unemployment. Therefore, in order to give boost to industries, attract and thereby increase employment opportunities it is felt necessary to provide relaxation from a labour laws including the factories Act. 

Section 5 of the factories Act, 1948 empowers the State Government to grant e provisions of the said Act in case of public emergency only. In order to deal with the disruptive economic impact of COVID-19 pandemic, and amendment is required in the factories Act, 1948 empowering State Government to give such exemption in public interest. 

It is also felt that such exemption shall be temporary for a limited period and shall be given to those factories which will be established and whose commercial production will be started after the proposed amendment. 

Therefore the Factories (Uttar Pradesh Amendment) Bill, 2020 is introduced accordingly. 

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