Maharashtra Factories (Second Amendment) Rules, 2025 — Key Changes, Implications & Compliance Guide

Maharashtra Factories (Second Amendment) Rules, 2025 — Key Changes, Implications & Compliance Guide



Introduction

In 2025, the Government of Maharashtra proposed significant amendments to the Maharashtra Factories Rules, 1963 via the Factories (Amendment) Rules, 2025. These proposed changes aim to modernize regulatory processes, streamline compliance, and adapt to evolving industrial and safety needs. While the full text is still in draft form, the notifications already released reveal key transformations that factory-owners, HR / compliance professionals, and stakeholders must closely watch.

This article delves into the draft amendments, highlights major changes, discusses likely impacts, and offers a compliance roadmap.


Background & Context

  • The Maharashtra Factories Rules, 1963 are the state-level rules supplementary to the central Factories Act, 1948, and lay down detailed procedures, forms, registers, licensing, safety, health, welfare norms, etc.

  • The state government recently issued a Draft Maharashtra Factories (Amendment) Rules, 2025 for public consultation. 

  • Stakeholders have about 45 days from July 24, 2025 to submit objections or suggestions regarding the draft. 

  • The amendment is part of broader labour law reform initiatives in Maharashtra (including changes to working hours in factories & shops) which have triggered public debate.


Key Proposed Amendments & What’s New

Below are the principal changes proposed in the draft 2025 rules:

1. Digital / Electronic Submission of Application (Rule 3)

  • Under Rule 3, the amendment mandates that applications (in Form I) must be submitted electronically, replacing the earlier requirement of physical submission. 

  • References to “in duplicate” or “one copy of” are removed in sub-rules (1) to (4), simplifying the process. 

Implication: This reduces paperwork burden, speeds up processing, and aligns with e-governance trends.

2. Stability Certificate & Structural Safety (Rule 3-A)

  • The amendment deletes the phrase “and approved by him” and removes Explanation (1) from sub-rule (1).

  • A revised sub-rule (2) mandates that for non-hazardous factories, the occupier must submit a Stability Certificate (Form 1A), issued by a competent person, to the Chief Inspector. This must be done within 12 months from the license issuance where there is new construction, reconstruction, or extension.

Implication: Heightened accountability on structural safety; even for non-hazardous units, certification is now required.

3. Removal of Duplicative / Redundant Phrases

  • The draft removes outdated or redundant wording like “in duplicate”, “one copy”, “approved by him” etc. 

  • These changes reflect a push to modernize language and reduce procedural friction.

4. Transitional / Effective Timelines

  • The draft doesn’t explicitly state a retroactive effect; rather, the certificate obligations apply after license issuance in cases of new/extended construction. 

  • It’s probable the rules will also contain transitional provisions once officially notified (as is typical).


Comparison: Before vs. After

Feature / RuleBefore (Maharashtra Factories Rules 1963)Proposed in 2025 Draft
Submission of Form IPhysical filing, often “in duplicate”Mandated electronic submission, remove duplicate copy requirement 
Stability CertificateRequired for hazardous factories; state approval languageExtended to non-hazardous factories with new/extended construction, to be submitted within 12 months 
Language / Redundant phrasingMany references to “in duplicate”, “approved by him”, etc.Those references largely removed for modernization 
Public consultationNot applicable (older rules)Draft published; 45-day window for objections from July 24, 2025 

Impacts & Challenges

✅ Positive / Enabling Effects

  1. Process Simplification
    Electronic filing and removal of duplicate physical copies will reduce administrative load and speed approvals.

  2. Greater Structural Safety Oversight
    Stability certification even for non-hazardous expansions ensures better safety standards.

  3. Regulatory Transparency
    Public consultation allows industry players to propose balanced changes.

⚠️ Risks, Pushbacks & Concerns

  1. Compliance Burden on Smaller Factories
    Smaller units may find it challenging to engage competent structural engineers and manage digital compliance.

  2. Cost Implications
    Stability certificate procurement, periodic checks, and adapting to new software systems may impose costs.

  3. Ambiguity / Transitional Gaps
    The draft leaves space for ambiguity — e.g. how to treat existing factories with older structures, or what constitutes a “competent person”.

  4. Interplay with Broader Labour Reforms
    These rules do not exist in isolation. Proposed changes to working hours, overtime, rest intervals under the Factories Act are controversial. 

Compliance Roadmap & Action Points (For Factory Owners / HR / Compliance Teams)

  1. Monitor Official Notification
    The draft is under consultation now — once finalized and gazetted, compliance dates will be announced. 

  2. Prepare for E-Filing Infrastructure

    • Ensure your IT / compliance system is ready for electronic submissions.

    • Train staff in digital filing.

    • Verify that forms and fields (Form I, etc.) are available online once rules go live.

  3. Engage Structural / Civil Engineers

    • For any new, reconstructed, or extended building, get a Stability Certificate (Form 1A) from a qualified engineer or “competent person”.

    • Plan timelines to submit this within the 12-month window after license issuance.

  4. Review Factory Structures Proactively
    Even before rules become binding, assess structural safety to avoid last-minute compliance rush.

  5. Submit Feedback During Consultation
    If you foresee issues (e.g. cost, ambiguity), submit your objections or suggestions within the 45-day window that started July 24, 2025. 

  6. Coordinate with Labour / Safety Officers & Legal Counsel
    Legal teams should review overlapping labour law amendments (e.g. working hours, overtime) to ensure holistic compliance. 

  7. Stay Updated on Related Laws
    Since the state is also amending provisions under Shops & Establishments, employment conditions, etc., keep track of all labour law reforms. 


Potential Criticisms & Stakeholder Response

  • Trade Union / Civil Society Pushback
    There is strong criticism that the state’s broader labour reforms (including related changes to working hours) may take away long-fought worker protections. 
    The Factories Rules changes, while more technical, form part of that larger environment.

  • Practical Feasibility
    Small and medium enterprises may find it hard to absorb the cost, especially in rural or less-developed regions.

  • Need for Clarity in “Competent Person” Definition
    The draft must clearly define who qualifies to issue a stability certificate, as ambiguity can lead to legal disputes.

  • Transitional Provisions
    If the rules are too abrupt without grace periods, compliance may be burdensome. Good practice suggests phased implementation.

Conclusion

The Maharashtra Factories (Second Amendment) Rules, 2025 represent a push toward modernization, process simplification, and enhanced safety oversight in the state’s industrial sector. While the draft rules are promising, their success depends heavily on clarity, phased implementation, and stakeholder acceptance.

Factory owners, HR teams, and compliance professionals should proactively track the notification, prepare digital systems, and engage experts for structural certifications. Simultaneously, the broader labour law changes accompanying these rules must also be watched closely.












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