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Surendranath. A (Applied Labor Law Consultants )     14 April 2012

I building workers act applicable to new factories?

According to Building & Construction Workers Act , it is not applicable to a building or construction to which the provisions of Fcatories Act apply.

When a new ifactory is going to be set up, clearnce form Site Appraisal Committee should be obtained which has to be followed by approval of buildings. Therefore the provisions of Factories Act is applicable even before 'manufcaturing process' is commneced  and as such there is no obligation for the owners to pay cess under Building & Construction Workers Welfare Cess Act. Buy in practice in many States, such new factory projects where the building plans are apporved by Chief Inspector Fcatories, Labour Department is giving notices and collecting the cess which in my opinion are not correct.

Can others please share thier views and cite if any case law is available in this matter.

 

Regards,

 

Surendranath



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