OSH Code 2020 — Framework & Phased Rollout Explainer (2026)

Regulatory Explainer Labour Codes & OSH Framework 21 Nov 2025 Status: in-force
TL;DR

The Occupational Safety, Health and Working Conditions Code 2020 (Act 37 of 2020) came into force across all sections on 21 November 2025 via S.O. 5321(E), consolidating 13 legacy labour-safety Acts. Central Rules 2025 (G.S.R. 934(E), 30 Dec 2025) remain in draft; Gujarat, Karnataka and Maharashtra have notified state OSH Rules 2025; Delhi and Tamil Nadu lag. Legacy Acts remain operative for enforcement until state rules are in force.

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The Occupational Safety, Health and Working Conditions Code, 2020 ('OSH Code') came into force on 21 November 2025 via notification S.O. 5321(E), consolidating 13 legacy central labour-safety statutes into a single framework. Draft Central Rules (G.S.R. 934(E), 30 December 2025) remain in consultation, and only Gujarat, Karnataka, Maharashtra and Kerala have notified state OSH Rules; Delhi and Tamil Nadu are yet to finalise theirs. Until state rules are in force, legacy Acts and their rules continue to govern day-to-day compliance.

TL;DR for factory occupiers and founders

The OSH Code is now law nationwide, but on-the-ground enforcement is still a patchwork. Factories in Gujarat, Karnataka, Maharashtra and Kerala now operate under the new state OSH Rules 2025; elsewhere, the old state Factories Rules continue to apply until each state notifies. All employers — regardless of state — must issue appointment letters to every worker who did not have one on or before 21 February 2026, conduct free annual health checks for workers aged 40+ (lowered to 45+ in Gujarat), and prepare to file a single unified annual return on the Shram Suvidha portal. Central-sphere establishments (railways, mines, major ports, banks, PSUs) should track the draft Central Rules 2025 (targeted for notification around April 2026).

What the OSH Code does

The OSH Code consolidates 13 central labour-safety statutes — Factories Act 1948; Mines Act 1952; Dock Workers (Safety, Health and Welfare) Act 1986; Plantations Labour Act 1951; Contract Labour (Regulation and Abolition) Act 1970; Inter-State Migrant Workmen Act 1979; Building and Other Construction Workers (Regulation of Employment and Conditions of Service) Act 1996; Working Journalists Act 1955; Motor Transport Workers Act 1961; Sales Promotion Employees Act 1976; Beedi and Cigar Workers Act 1966; Cine-Workers and Cinema Theatre Workers Act 1981; and the Working Journalists (Fixation of Rates of Wages) Act 1958 — into one statute with 143 sections across 14 chapters and three schedules.

Chapter I sets scope, definitions and registration; Chapter II creates employer and employee duty frameworks; Chapter III notifies occupational safety and health standards; Chapter IV regulates health, safety and working conditions (absorbing most Factories Act safety chapters); Chapter V imposes welfare-facility obligations; Chapter VI covers working hours, leave and overtime; Chapters VII–XII carry sector-specific regimes (factories, mines, docks, BOCW, plantations, contract labour and inter-state migrant workers); Chapter XIII provides inspection, appeals, penalties, adjudication; and Chapter XIV contains miscellaneous provisions including rule-making power (Section 133), delegation (Section 134) and repeal-and-savings (Section 142).

The Code preserves state-subject character for factories, motor transport, plantations and beedi/cigar establishments: under Section 2(1)(d) OSH Code, the 'appropriate Government' for these is the State Government of the state in which the establishment is situated. For railways, mines, oil fields, major ports, air transport, banking, insurance, central PSUs, autonomous bodies and telecommunications, the Central Government is the appropriate government.

The November 2025 commencement: what actually happened

On 21 November 2025, the Ministry of Labour & Employment issued four coordinated commencement notifications for all four labour codes. For the OSH Code, notification S.O. 5321(E) (File No. S-11025/07/2025-IR(PL)) was signed by Joint Secretary Deepika Kachhal and appointed 21 November 2025 as the date on which the entire Code comes into force. This is different from the companion Wage Code and Social Security Code commencement notifications, which appointed 21 November 2025 only for specified sections. The OSH Code's full commencement is a deliberate signalling step: the statutory scaffolding is in place, even though the delegated-rule layer is not yet complete.

The Ministry, through PIB factsheet ID 150475 (22 November 2025), clarified the practical position: because labour is a Concurrent List subject (Entry 24 List III, Schedule VII of the Constitution), every state must notify its own OSH Rules before the Code is fully enforceable in that state. In the interim, "the relevant provisions of the existing labour Acts and their respective rules, regulations, notifications, standards, schemes, etc. will continue to remain in effect." This is the interpretive crux of the transition period: the old Acts are formally repealed by Section 142 OSH Code but continue to operate for enforcement purposes via general-clauses-act savings until state rules are in force.

Central Rules 2025 — draft status

The Central Government pre-published the draft Occupational Safety, Health and Working Conditions (Central) Rules, 2025 via G.S.R. 934(E) dated 30 December 2025 on the Chief Labour Commissioner's portal (clc.gov.in/clc/node/789) and through the Ministry of Labour & Employment. A 45-day consultation window opened, with objections due by 28 January 2026 addressed to the Under Secretary, Ministry of Labour & Employment, Shram Shakti Bhawan, New Delhi. The public notice invited written objections from affected stakeholders and email submissions to fasli@fgfasli.nic.in.

The Central Rules cover Central-sphere establishments — railways, mines, oil fields, major ports, air transport, banks, PSUs, autonomous bodies, telecommunications and contractors therein. Key operational provisions in the draft include:

  • Electronic registration: Form I on the labour facilitation portal or the Shram Suvidha portal; digital certificate in Form II within 7 days, with deemed registration if the Registering Officer does not act within that window.
  • Commencement/cessation notice: Form IV within 30 days, certifying payment of worker dues and clearance of hazardous substances.
  • Annual health checks: free, annually, within 120 days of the calendar year start, for every worker aged 40+, by a qualified medical practitioner, recorded in Form V.
  • Appointment letters: mandatory for every worker; Code-compliant template covering job details, wages, social security, hours, leave; three-month grace window from Code commencement (expired 21 February 2026 for pre-existing workers).
  • Unified annual return: Forms IX and IXA filed on the MoLE web portal on or before 28/29 February each year.

Government sources (reported in MoLE statements and PIB factsheets) have indicated a target of 1 April 2026 for final Central Rules notification, but as of 22 April 2026 the rules are still in draft form.

Transition from 13 legacy Acts

The OSH Code subsumes 13 central labour-safety statutes. Section 142 provides for repeal-and-savings; existing licences, rules, standards, forms, orders and committees continue to have effect until superseded by corresponding provisions under the Code. The mapping below is the operative transition chart for practitioners advising occupiers:

Repealed Act OSH Code Chapter Operative provisions Continuation status
Factories Act 1948 (Act 63 of 1948) Chapters III, IV & V (safety, working conditions, welfare) ss. 6–28 OSH Code; state Factories Rules continue until state OSH Rules are notified Factories Act operates in all states other than Gujarat/Karnataka/Maharashtra/Kerala where state OSH Rules 2025 are notified
Mines Act 1952 (Act 35 of 1952) Chapter X (mines) ss. 65–74 OSH Code; DGMS circulars continue Mines Act operates until Central Rules 2025 are finalised and DGMS transitions
Dock Workers (Safety, Health & Welfare) Act 1986 (Act 54 of 1986) Chapter IX (docks) ss. 59–64 OSH Code; DGFASLI port-sphere circulars continue Legacy Act operative
Plantations Labour Act 1951 (Act 69 of 1951) Chapter XII (plantations) ss. 75–80 OSH Code; state plantation labour rules continue Legacy Act operative
Contract Labour (R&A) Act 1970 (Act 37 of 1970) Chapter XI (contract labour) ss. 47–57 OSH Code; state CL rules continue Legacy Act operative; s. 57 OSH Code prohibits contract labour in 'core activities' subject to exceptions
Inter-State Migrant Workmen Act 1979 (Act 30 of 1979) Chapter XI (ISMW) ss. 58–62 OSH Code; wage portability, ration portability obligations now codified Legacy Act operative
BOCW (R&E&CS) Act 1996 (Act 27 of 1996) Chapter XI (building & other construction) ss. 90–107 OSH Code; BOCW Central Rules 1998 and state BOCW Rules continue; BOCW Welfare Cess Act 1996 (Act 28 of 1996) is retained as a standalone statute Legacy Act operative; Cess Act standalone
Working Journalists & Other Newspaper Employees (Conditions of Service) & Misc. Provisions Act 1955 (Act 45 of 1955) Chapter XIV (working journalists) ss. 108–111 OSH Code Legacy Act operative
Motor Transport Workers Act 1961 (Act 27 of 1961) Chapter XV (motor transport) ss. 112–117 OSH Code Legacy Act operative
Sales Promotion Employees (Conditions of Service) Act 1976 (Act 11 of 1976) Chapter XVII (sales promotion) ss. 124–127 OSH Code Legacy Act operative
Beedi & Cigar Workers (Conditions of Employment) Act 1966 (Act 32 of 1966) Chapter XVIII (beedi & cigar) ss. 128–132 OSH Code Legacy Act operative
Cine-Workers & Cinema Theatre Workers (Regulation of Employment) Act 1981 (Act 50 of 1981) Chapter XVI (cine & audio-visual workers) ss. 118–123 OSH Code; 'audio-visual worker' now includes dubbing artists, stunt persons Legacy Act operative
Working Journalists (Fixation of Rates of Wages) Act 1958 (Act 29 of 1958) Chapter XIV (working journalists — rate fixation) ss. 108–111 OSH Code Legacy Act operative

The Building & Other Construction Workers' Welfare Cess Act, 1996 is not repealed: the cess-collection machinery is preserved as a standalone fiscal statute, even though BOCW substantive provisions migrate into Chapter XI OSH Code.

Who is affected and who is not

Four actor-types carry the bulk of OSH Code duties:

  1. Factory occupier (Section 2(1)(zs) OSH Code) — the person who has ultimate control over the affairs of a factory. In a company, any director (other than an independent director under Section 149(6) Companies Act 2013) is deemed occupier. Threshold: a factory is any premises with 20+ workers with power or 40+ without power (Section 2(1)(w)). State laws may continue to specify lower thresholds where already in force.
  2. Employer (Section 2(1)(u) OSH Code) — a broader category that includes the occupier, mine owner/agent/manager (Section 67), principal employer, contractor, and legal representative of a deceased employer. Chapter II duties apply to every employer.
  3. Principal employer (Section 2(1)(zz) OSH Code) — the owner or occupier in a factory, the owner/agent in a mine, or the person responsible for supervision and control in any other establishment. Key Contract Labour Chapter XI duties attach here.
  4. Building & other construction work 'employer' (Section 2(1)(h) OSH Code) — the person at whose instance and for whom building or other construction work is carried on. BOCW-migration duties under Chapter XI apply here.

The Code does not apply to offices of the Central or State Government or ships of war — Section 1(3) OSH Code. It applies to contract labour engaged through contractors in government offices, where the government is the principal employer.

State variations

Because the OSH Code preserves state rule-making power (Section 2(1)(d) + Section 133 OSH Code), each state must issue its own OSH Rules for the Code to operate in state-sphere establishments (factories, plantations, motor transport, beedi/cigar, newspaper establishments). The April 2026 snapshot:

State OSH Rules status (Apr 2026) Notification / G.S.R. Inspectorate portal Material departure from Central Rules draft
Gujarat Notified (in force with Code commencement) Gujarat OSH Rules 2025, Labour, Skill Development & Employment Dept notification dated 12 June 2025 (Gujarat Government Gazette Extra No. 87, Vol. LXVI); Amendment Rules 13 December 2025 (Extra No. 163) dish.gujarat.gov.in Three-category factory classification (MAH / hazardous-process / >100-worker); mandatory one-third worker representation (incl. women) on Safety Committee; Safety Officer must directly report to senior executives and cannot be assigned non-safety duties; annual health check age threshold is 45 (higher than Central draft 40); auto-approval of online registration in 7 days
Karnataka Notified Karnataka OSH Rules 2025 (state gazette) — Karnataka Labour Department via esuraksha.karnataka.gov.in esuraksha.karnataka.gov.in Retains single-window electronic registration via esuraksha portal; aligns with Central draft on thresholds
Maharashtra Draft published 1 December 2025; final not yet notified Industries, Energy, Labour & Mining Dept notification inviting objections within 30 days (reported on labour.maharashtra.gov.in); Maharashtra Factories (Second Amendment) Rules 2025 separately issued via Notification FAX-2025/CR-117(Part-I)/Lab-4 dated 3 October 2025 labour.maharashtra.gov.in; mahakamgar.maharashtra.gov.in; mahadish.in Full digitisation of registration/licensing/renewal; mandatory mock-drill and emergency-preparedness obligations; enhanced women-employee night-shift protection; revised fee schedules tied to operational scale
Tamil Nadu Draft rules released; final awaiting notification; TN has not published draft Social Security Code rules Labour Department circulars — dish.tn.gov.in / labour.tn.gov.in dish.tn.gov.in Draft aligned with Central draft; retains TN Factories Rules 1950 provisions on safety committees pending notification
Delhi Not yet released OSH Rules (Wage Code and SS Code rules notified) Awaited; Delhi Factories Rules 1950 and Delhi Shops Act 1954 continue to apply labour.delhi.gov.in N/A — Delhi Factories Rules 1950 continues to govern factories in the NCT

Gujarat's revised Form 2 for MSIHC Rule 7 offsite emergency-plan submission (effective 1 July 2026) and its lower annual health-check trigger age (45) are material departures multi-state occupiers must track. Karnataka's esuraksha portal has been operational since 2024 and was repurposed for OSH Rules 2025 electronic registration.

State rules for Uttar Pradesh, West Bengal, Andhra Pradesh, Telangana, Haryana, Punjab, Rajasthan, Kerala and Madhya Pradesh are at varying stages — Haryana, Madhya Pradesh and Kerala have notified rules under all four Codes; West Bengal has publicly resisted implementation. Delhi, Tamil Nadu, Maharashtra and several others are mid-transition.

Practical implications

The phased transition creates four immediate compliance questions for any establishment employing 10+ workers:

(1) Which rules apply to my establishment today? For Central-sphere establishments (railways, mines, major ports, banks, telecom, PSUs) — the pre-2020 Acts and rules continue until Central OSH Rules 2025 are finalised. For state-sphere factories — the state OSH Rules 2025 if notified (Gujarat, Karnataka, Kerala), or the old state Factories Rules (Maharashtra draft, Tamil Nadu draft, Delhi, rest of India).

(2) Have I met the appointment-letter deadline? Section 6(1)(f) OSH Code requires employers to issue appointment letters to every worker within three months of Code commencement — i.e., by 21 February 2026. This is a now-expired statutory deadline. Non-compliance is actionable under Section 94 OSH Code (penalty up to ₹50,000 for first offence and up to ₹2 lakh for subsequent).

(3) Do I need to re-register under the new Code? Under Section 3(8) OSH Code, any establishment already registered under any Central labour law is deemed registered under the OSH Code, subject to updating registration particulars with the Registering Officer within such time as prescribed. In practice, migration is triggered when the relevant state rules are notified — Gujarat occupiers now re-register on the state portal within 6 months of the state rules coming into effect.

(4) Which penalties apply? Until state rules are in force, continuing prosecutions under Section 92 Factories Act 1948 (now repealed but saved for continuation) apply to pre-21 November 2025 contraventions. Fresh prosecutions for contraventions after 21 November 2025 fall under Chapter XIII OSH Code. The Code also makes first-time offences punishable with fine only compoundable at 50% of the maximum fine, and fine-or-imprisonment offences compoundable at 75% — a significant shift from the Factories Act penalty regime.

Enforcement, penalties and appeals

Section 34 OSH Code creates a new cadre — Inspector-cum-Facilitator and Chief Inspector-cum-Facilitator — replacing the Factories Act Inspector of Factories cadre. The dual 'facilitator' role is designed to shift the inspection posture from pure prosecution to a mix of advisory and enforcement. Sections 93–96 provide penalty provisions; Section 97 offers compounding at prescribed percentages; Sections 98–99 govern jurisdiction of courts and procedure.

Courts, on conviction for contravention of any duty resulting in serious bodily injury or death, are empowered to direct that at least 50% of any fine imposed be paid as compensation to the victim or legal heirs — a new victim-compensation right absent under the Factories Act. Appeals from Inspector orders go to the Appellate Officer (Section 4 OSH Code) and thereafter to High Court under Article 226 / 227 Constitution.

Occupier / founder checklist

  • Confirm which rule set applies today: Central Rules draft, state OSH Rules (if notified in Gujarat/Karnataka/Kerala), or legacy state Factories Rules (everywhere else). Log the answer per establishment.
  • Audit appointment-letter compliance against Section 6(1)(f) OSH Code for every worker on payroll as on 21 November 2025 (the three-month window expired 21 February 2026).
  • Set the annual-health-check calendar for workers aged 40+ (45+ in Gujarat) — 120-day window from the start of each calendar year, Form V record-keeping.
  • Map licences for migration: identify each existing Factories Act / BOCW / Contract Labour licence, its expiry date, and its OSH Code equivalent registration/licence for planning re-registration.
  • Track the state rule notification for your principal state of operations weekly — dish.gujarat.gov.in, esuraksha.karnataka.gov.in, labour.maharashtra.gov.in, dish.tn.gov.in, labour.delhi.gov.in, clc.gov.in.

Frequently asked questions

Is the OSH Code a single, standalone compliance obligation or does it coexist with other legal regimes? The OSH Code coexists with the Environment (Protection) Act 1986 framework (MSIHC Rules 1989, Hazardous Waste Rules 2016), the Public Liability Insurance Act 1991, the Electricity Act 2003 and CEA Safety Regulations 2023, the Boilers Act 2025 and IBR 1950, the Mines Act's residual regime, and state labour welfare legislation. OSH Code Chapter VII does not displace environmental or electricity-safety regulators; occupiers of hazardous-chemical facilities continue to need MSIHC Schedule 1 compliance and MoEF&CC consent.

What should in-house legal teams prioritise for the next two quarters? Two items: map every live licence, registration and labour compliance to its OSH Code successor path, and track state rule notifications weekly for any state where the company has operations. Build a transition playbook per establishment type (factory, BOCW site, contract labour deployment, motor transport depot, plantation, newspaper establishment). Once Central Rules 2025 are notified, the Central-sphere establishments require immediate migration to the shramsuvidha.gov.in portal or its successor.

Does the OSH Code cover gig and platform workers? No — gig and platform workers are covered under Chapters IX and X of the Code on Social Security, 2020 (Act 36 of 2020), a separate labour code. The OSH Code's scope is limited to employees, workers, contract labour, inter-state migrant workers and other categorised workers in the 13 subsumed establishment-types. Platform workers in the meaning of Section 2(60) SS Code are not within OSH Code coverage.


Sources (Tier 1 only)

Primary source

Title: Occupational Safety, Health and Working Conditions Code, 2020 (Act 37 of 2020)
Issuer: Parliament of India / Ministry of Labour & Employment
Effective: 2025-11-21
Gazette: Act No. 37 of 2020; commencement S.O. 5321(E)

Frequently asked

Has the OSH Code replaced the Factories Act 1948 yet?

The OSH Code 2020 was commenced on 21 November 2025 via S.O. 5321(E), but the Factories Act 1948 remains operative in most states until each state notifies its OSH Rules. The Code's Section 142 formally repeals the 13 legacy Acts, but the Ministry of Labour & Employment has clarified that legacy Acts, rules, forms, standards and licences continue to have effect until the corresponding state OSH Rules are in force.

Which states have notified their OSH Rules?

As of April 2026, Gujarat (June 2025, with December 2025 amendment), Karnataka, Maharashtra and Kerala have notified final state OSH Rules 2025. Tamil Nadu has published draft rules. Delhi has notified rules only under the Wage Code and Social Security Code and is still to release OSH Rules. Central-sphere establishments remain under the draft OSH Central Rules 2025 (G.S.R. 934(E), 30 December 2025) pending final notification.

Does the OSH Code apply to establishments with fewer than 10 workers?

No. Section 2(1)(v) OSH Code defines 'establishment' as a place in which ten or more workers are employed, with a 20-worker threshold for factories with power (Section 2(1)(w)). Establishments with fewer than 10 workers are excluded from the Code's principal coverage. An exception applies for hazardous or life-threatening activities notified by the Central Government — these attract Code coverage even below the 10-worker threshold.

What are the main structural changes the OSH Code introduces for factory occupiers?

Three changes matter most. First, a single registration-cum-licence under Section 3 OSH Code replaces the multi-registration regime. Second, the factory worker threshold is raised — power-using factories now need 20 workers (was 10 under the Factories Act 1948). Third, Section 6 OSH Code codifies employer duties (appointment letters, annual health checks for workers aged 40+, hazard-free workplace obligation) enforceable through the Inspector-cum-Facilitator cadre under Section 34.

When will the OSH Code be fully operational on the ground?

The Government has indicated a target of 1 April 2026 for final Central Rules notification, but as of 22 April 2026 the rules remain in draft. Even once Central Rules are notified, full operational effect depends on state rules, which are moving at different speeds. For Central-sphere establishments (railways, mines, major ports, telecom, banks, PSUs) the Code is likely to become operational first; state-sphere factories will follow each state's notification timeline.

What should an occupier do now during the transition?

Continue complying with the existing state Factories Rules and any other legacy Act rules applicable to the establishment. Track appointment-letter compliance under Section 6(1)(f) OSH Code (three-month window from commencement, expired on 21 February 2026). Map existing licences to their OSH Code equivalents. Prepare to migrate to digital registration via the state labour facilitation portal once state rules are notified. Monitor the Chief Labour Commissioner portal (clc.gov.in) and the state DISH / labour department websites weekly.

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