MEANING OF FACTORY UNDER FACTORY ACT:-
“Factory” Under the Factories Act, 1948 means:-
1. Any premises including the precincts (A Place enclosed with walls or fences) thereof.
2. In any part of which a manufacturing process is being carried on.
3. Where on any day of the preceding twelve months,
4. Whereon TEN OR MORE WORKERS are working, or were working in any part of a MANUFACTURING PROCESS BEING CARRIED ON WITH THE AID OF POWER.
5. Whereon TWENTY OR MORE WORKERS are working in any part of a MANUFACTURING PROCESS IS BEING CARRIED ON WITHOUT THE AID OF POWER.
6. For this clause, the mere fact that an ELECTRONIC DATA PROCESSING UNIT OR A COMPUTER UNIT IS INSTALLED in any premises or part thereof, shall not be construed to make it a factory IF NO MANUFACTURING PROCESS IS BEING CARRIED on in such premises or part thereof.
7. But “Factory” does not include:-
a. A mine subject to the operation of , The Mines Act, 1952 (35 of 1952)], or
b. A mobile unit belonging to the armed forces of the Union or
c. Railway running shed or a hotel, restaurant or eating place.
Here we need to understand the meaning of a Manufacturing Process under the act. “MANUFACTURING PROCESS” means any process that includes:-
A. That brings into EXISTENCE A PRODUCT THAT IS DIFFERENT from the raw materials that made them.
B. The new product produced must has a “DIFFERENT COMMERCIAL IDENTITY THEN THE RAW MATERIAL”
C. The Process must involve TREATING OR ADAPTING any article or substance with a view to :-
a. Use or Self-Consumption.
b. Sale.
c. Transport.
d. Delivery or Disposal.
The Process of Treating and Adapting includes making, altering, repairing, ornamenting, finishing, packing, oiling, washing, cleaning, breaking up, demolishing or such other process.
D. Some Activities are “DEEMED MANUFACTURE” :-
a. Pumping oil, water, sewage or any other substance.
b. Generating, transforming or transmitting power.
c. Constructing, reconstructing, repairing, refitting, finishing or breaking up SHIPS OR VESSELS; or preserving or storing any article in COLD STORAGE.
d. Composing types for printing, printing by letter press, lithography, photogravure or other similar process or book binding.
“WORKER” means a person employed (Means a Master – Servant Relationship):-
1. DIRECTLY or by or through any AGENCY (including a contractor).
2. With or without the KNOWLEDGE of the principal employer
3. Whether for REMUNERATION or not
4. Employed DIRECTLY IN ANY MANUFACTURING PROCESS, or
5. In CLEANING ANY PART of the machinery or premises used for a manufacturing process, or
6. In any other kind of work INCIDENTAL TO, OR CONNECTED WITH (Means a process without which Manufacture cannot be Completed), the manufacturing process, or the subject of the manufacturing process.
7. But does not include any member of the ARMED FORCES OF THE UNION
UNDER SECTION 4, The State Government may,
1. on its own or
2. on an application made in this behalf by an occupier,
3. direct, by an order in writing and subject to such conditions as it may deem fit,
4. that for all or any of the purposes of this act different departments or branches of a factory of the occupier specified in the application shall be treated as separate factories or that two or more factories of the occupier specified in the application shall be treated as a single factory
5. PROVIDED that no order under this section shall be made by the State Government on its own motion unless an opportunity of being heard is given to the occupier.
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