OSH Code, 2020 (One of Four Labour Codes): Unifies 13 Laws to Mandate Safety and Health for All Workers
SDG 8: Decent Work and Economic Growth | SDG 3: Good Health and Well-being
Institutions: Ministry of Labour & Employment | Directorate General Factory Advice Service & Labour Institutes (DGFASLI)
The Occupational Safety, Health and Working Conditions (OSH) Code, 2020, one of the four key Labour Codes, has been enacted to consolidate and simplify a complex web of 13 Central Labour laws into a single, comprehensive piece of legislation. As part of the broader labour reforms, the Code balances the critical twin objectives of safeguarding worker rights and safe working conditions with spurring economic growth and employment by promoting ease of doing business.
Universal Coverage and Enhanced Worker Welfare
Universal Coverage: The Code expands the provision of health, safety, and welfare measures to all sectors and workers, eliminating the previous restriction to only seven specific sectors (e.g., factories, mines, plantation, dock workers).
Health and Safety: Every employee is now eligible for free annual health check-ups. The Code also mandates the constitution of Safety Committees in factories employing 500 or more workers, or in construction/mine sites with specific worker thresholds, strengthening on-site safety monitoring.
Standardization: A single National Occupational Safety and Health Advisory Board replaces six earlier boards, establishing uniform national standards for worker safety and health that are mandatory for states to follow.
Worker Rights: Eligibility for annual paid leave is reduced from 240 days to 180 days of work in a calendar year. The Code mandates an 8-hour workday (48 hours per week) and ensures that overtime is compensated at a rate double the normal wage rate.
Promoting Inclusion and Ease of Doing Business
Women’s Participation: The Code promotes gender equity by entitling women workers to work in all establishments for all types of work, including night hours (before 6 a.m. and beyond 7 p.m.), provided the employer ensures their consent, safety, facilities, and transportation. The provision of crèche facilities for children under six years is made gender-friendly and mandatory for establishments with 50 or more workers.
Inter-State Migrant Workers (ISMW): The definition of ISMW is broadened to include workers employed directly, through contractors, or those who migrate on their own. Employers are now obliged to indicate the number of ISMWs employed for data collection, and ISMWs gain portability of benefits.
Simplified Compliance: The Code drastically reduces the compliance burden by replacing multiple filings with a single Electronic Single Registration, Single Return, and Single All-India License valid for five years. The requirement for physical records is digitized, reducing the number of registers from 84 to 8.
Policy Relevance: The OSH Code is a critical developmental step that elevates worker protection from a selective, sectoral issue to a universal, legally mandated standard. By linking worker health and safety with simplified digital compliance and reduced bureaucratic burdens (via the Inspector-cum-Facilitator system), it strengthens the foundation for a safer, more productive workforce, which is essential for India’s long-term industrial growth.
What is the Revised Factory Threshold?→ The Revised Factory Threshold is a reform under the OSH Code designed to reduce regulatory hurdles for smaller units. The minimum number of workers required to obtain a factory license has been increased from 10 to 20 (for units using power) and from 20 to 40 (for units without power). This provision allows small and medium enterprises (SMEs) to expand and operate with more flexibility, encouraging investment and the creation of formal jobs with full OSH and social security benefits.
Follow the full update here: Occupational Safety, Health and Working Conditions (OSH) Code, 2020