The Occupational Safety, Health and Working Conditions Code, 2020 (OSH Code)

 

Introduction

The Occupational Safety, Health and Working Conditions Code, 2020 (OSH Code) represents one of the most significant reforms in India’s labour regulatory framework. As part of the Government’s broader labour law consolidation initiative, this Code amalgamates 13 central labour enactments into a single, coherent legislation governing workplace safety, health standards, working conditions, and employee welfare.

The overarching objective is unmistakable:

To simplify compliance, establish uniform safety norms, enhance worker protection, and promote business efficiency through streamlined and transparent regulations.

The OSH Code marks a structural shift towards a modern, digitised, and welfare-centric labour ecosystem.

1. Purpose and Objectives of the OSH Code

The OSH Code seeks to create a balanced industrial environment where the interests of workers and employers coexist seamlessly. Key objectives include:

Ensuring safe and healthy working conditions across all sectors

Establishing standardised workplace norms

Promoting ease of doing business through unified regulations

Protecting inter-state migrant workers with specific welfare provisions

Reducing compliance burden via digital registers and single licensing

Enhancing employer accountability and creating a transparent ecosystem

Its design reflects both worker-centric reforms and industry-friendly compliance simplifications.

2. Labour Laws Consolidated Under the Code

The OSH Code subsumes the following 13 labour laws:

Factories Act, 1948

Mines Act, 1952

Dock Workers (Safety, Health and Welfare) Act

Building and Other Construction Workers Act, 1996

Contract Labour (Regulation and Abolition) Act, 1970

Inter-State Migrant Workmen Act, 1979

Working Journalists and Other Newspaper Employees Act, 1955

Motor Transport Workers Act, 1961

Beedi and Cigar Workers Act, 1966

And several others

This extensive consolidation reduces ambiguity, eliminates overlapping provisions, and empowers establishments with a unified compliance structure.

3. Applicability of the OSH Code

The Code applies to a wide array of establishments, including:

Factories, mines, and plantations

Motor transport undertakings

Newspaper and media establishments

Building and construction establishments

Contract labour engagements

Any establishment employing 10 or more workers

Additionally, certain provisions apply irrespective of worker count, particularly those governing hazardous processes.

4. Key Definitions Introduced or Rationalised

4.1 Establishment

Any place where industry, business, trade, or manufacturing activities are conducted.

4.2 Worker

A broader category encompassing:

Contract labour

Technical and operational staff

Journalists

Sales promotion personnel

Manual and skilled workers

4.3 Employer

Includes:

Contractors

Principal employers

Occupiers of factories

Legal representatives of deceased owners

4.4 Contract Labour

Workers hired through a contractor to perform work for a principal employer.

 

4.5 Inter-State Migrant Worker

A worker earning up to the prescribed wage ceiling who migrates to another state for employment—whether directly employed or through a contractor.

5. Key Provisions of the OSH Code

5.1 Registration and Licensing

Single registration for all establishments

Unified licensing for factories, contract labour, and industrial premises

Web-based registration and renewed emphasis on digital processing

Drastic reduction in paperwork and compliance duplication

5.2 Working Hours and Overtime

Daily limit: 8 working hours

Weekly limit: 48 hours

Overtime at twice the normal wage rate

Provision for flexible working arrangements, including 4-day workweeks (subject to state rules)

5.3 Workplace Safety Measures

The Code mandates extensive safety protocols, including:

Safety committees for larger establishments

Appointment of qualified safety officers

Mandatory risk assessments and emergency preparedness

Safety standards for hazardous processes

Controlled employment of women in hazardous conditions, with mandatory safeguards

5.4 Health and Welfare Standards

Employers must provide:

Hygienic and well-ventilated workplaces

Potable drinking water

First-aid boxes and medical centres

Periodic medical examinations

Canteens, restrooms, and welfare officers (based on worker thresholds)

5.5 Provisions for Women Employees

A progressive feature:

Women permitted to work in all establishments, including at night

Mandatory written consent for night shifts

Employers must ensure transportation, security, and safety during late hours

Equal opportunity in employment terms

5.6 Contract Labour Provisions

Applicable to establishments and contractors with 50 or more contract workers. Highlights:

Single mandatory licence for contractors

Principal employer accountable if contractor defaults on obligations

Parity of wages for equal work between contract and regular workers

5.7 Inter-State Migrant Workers

A strengthened welfare framework:

Aadhaar-based self-registration system

Central database for benefit portability

Mandatory journey allowance

Toll-free grievance helpline

Provisions for accommodation and essential amenities

5.8 Sector-Specific Provisions

Mines

Rigorous safety checks

Ventilation requirements

Rescue equipment

Medical exams

Factories

Machinery guarding

Hazard controls

Regulated working hours

Construction Sector

Safety harnesses and protective gear

Accident prevention protocols

Motor Transport Workers

Driving hour limitations

Rest intervals

Journalists & Media Workers

Working hour norms

Leave and welfare provisions

6. Digital Compliance Framework

A major reform under the OSH Code is the shift toward technology-driven compliance, featuring:

Digital registers and online returns

Computerised random inspection system

Web-based licences

Increased transparency in enforcement

This digitisation significantly reduces harassment, manual errors, and administrative delays.

7. Penalties and Enforcement

Penalties under the Code have been rationalised but made more stringent:

General non-compliance: ₹2 lakh to ₹3 lakh

Repeated offences: higher fines and possible imprisonment

Compounding available for select offences

Mandatory reporting of serious accidents

8. Benefits for Employers

Streamlined compliance through single licensing

Reduced administrative burden

Clarity due to unified standards

Flexibility in working hours

Lower risk of litigation with uniform laws

Predictable inspection and enforcement systems

9. Benefits for Employees

Safer working conditions

Clearly defined working hour norms

Enhanced access to welfare facilities

Special support for migrant workers

Equal opportunities and protection for women

Improved grievance redressal mechanisms

10. Challenges and Practical Considerations

Despite its strengths, successful implementation may face challenges:

Full operationalisation requires state-level rules, still pending in several states

Informal sector compliance may remain weak

Employers may face increased costs for safety infrastructure

Technological readiness of small establishments may be limited

Key Takeaways

The OSH Code merges 13 major labour laws into a single modern framework.

It strengthens worker protection while simplifying employer compliance.

Migrant workers and women employees gain substantial new safeguards.

Employers benefit from digitised, transparent, and reduced compliance obligations.

Its effectiveness will depend heavily on state-level implementation and industry readiness.

Conclusion

The Occupational Safety, Health and Working Conditions Code, 2020 represents a transformative step in modernising India’s workplace ecosystem. By harmonising safety standards, digitising compliance, and prioritising worker welfare, the Code promises a safer, healthier, and more productive industrial landscape.

For businesses, it simplifies regulatory obligations and enhances operational predictability. For workers, it provides dignity, protection, and a secure working environment. Taken together, the OSH Code embodies a significant milestone in India’s journey towards building a globally competitive, socially responsible labour framework.