Factories Act 1948 - Legacy provision and current law

Section 87A of the Factories Act 1948: Power to Prohibit Employment on Account of Serious Hazard

Section 87A empowered the factory Inspector to stop employment, except for the minimum personnel needed for essential tasks, where conditions in a factory created a serious hazard of injury or death. The provision also protected affected workers through wages, benefits and, where possible, alternative employment.

Current legal position The Factories Act, 1948 has been repealed following the enforcement of the Occupational Safety, Health and Working Conditions Code, 2020 from 21 November 2025. For factories, the corresponding serious-hazard power is now substantially contained in Section 38(1)(A) of the 2020 Code. Section 87A remains important for understanding the earlier law and for matters governed by the repeal and savings provisions.
Section 87A at a glance
  • An Inspector could act where factory conditions might cause a serious hazard by injury or death.
  • The order had to be in writing and identify the particulars causing the hazard.
  • Employment could be prohibited except for the minimum number of persons needed for minimum tasks until the hazard was removed.
  • The Inspector's order operated for three days unless extended by the Chief Inspector.
  • An aggrieved person had a right of appeal to the High Court.
  • Affected workers remained entitled to wages and other benefits, with alternative employment to be provided wherever possible.

Text and Meaning of Section 87A

Section 87A was inserted into the Factories Act, 1948 by the Factories (Amendment) Act, 1987 with effect from 1 December 1987. Its purpose was immediate preventive action where unsafe factory conditions posed a serious threat to workers or the public in the vicinity.

Sub-section (1): Prohibition of employment. Where it appeared to the Inspector that conditions in a factory or part of it might cause serious hazard by way of injury or death to employees or the general public nearby, the Inspector could issue a written order to the occupier. The order was required to state the particulars constituting the serious hazard and could prohibit employment other than the minimum number of persons necessary to attend to minimum tasks until the hazard was removed.

Sub-section (2): Duration of the order. An order made by the Inspector remained effective for three days unless the Chief Inspector extended it by a subsequent order.

Sub-section (3): Appeal. A person aggrieved by the Inspector's order, or by an extension ordered by the Chief Inspector, had a right to appeal to the High Court.

Sub-section (4): Wages and alternative employment. A person whose employment was affected by the prohibition remained entitled to wages and other benefits. The occupier also had a duty to provide alternative employment wherever possible and in the prescribed manner.

Sub-section (5): Other labour rights preserved. The wage and alternative-employment protection under sub-section (4) operated without prejudice to the parties' rights under the Industrial Disputes Act, 1947.

What Was a Serious Hazard Under Section 87A?

Section 87A did not create a closed list of hazards. The statutory trigger was the Inspector's assessment that conditions in the factory or a part of it might cause a serious hazard through injury or death to persons employed there or to the general public in the vicinity. The power was therefore preventive: it could be used before injury or death actually occurred.

Who Was the Occupier?

Under the Factories Act, the term occupier generally referred to the person who had ultimate control over the affairs of the factory. Section 87A directed the written prohibition order to the occupier because the occupier bore responsibility for compliance with the restriction on employment and the related worker protections.

Current Law: Section 38 of the OSHWC Code 2020

The Occupational Safety, Health and Working Conditions Code, 2020 is now the principal central legislation consolidating occupational safety and working-condition laws covered by the Code. It came into force on 21 November 2025. Section 134 provides for repeal of the Factories Act, 1948, subject to statutory savings for earlier actions and the application of Section 6 of the General Clauses Act, 1897.

For factories, Section 38(1)(A) of the 2020 Code substantially carries forward the protection formerly found in Section 87A. The authority is now described as the Inspector-cum-Facilitator. The provision applies where factory conditions may cause a serious hazard or imminent danger by way of injury or death to workers or the general public in the vicinity.

IssueSection 87A, Factories Act 1948Section 38(1)(A), OSHWC Code 2020
AuthorityInspector / Chief InspectorInspector-cum-Facilitator / Chief Inspector-cum-Facilitator
Safety thresholdSerious hazardSerious hazard or imminent danger
Initial orderWritten prohibition orderWritten prohibition order
Minimum necessary personnelPermitted for minimum tasksPermitted for minimum tasks
Initial durationThree days unless extendedThree days unless extended
AppealHigh CourtHigh Court
Affected workersWages, benefits and alternative employment where possibleWages, benefits and alternative employment where possible

Practical Effect of a Prohibition Order

A serious-hazard order is intended to reduce exposure immediately. The occupier cannot continue ordinary employment in the affected factory or part of the factory merely because production would otherwise be interrupted. Only the minimum personnel necessary for minimum tasks may remain until the hazard or danger is removed, subject to the terms of the applicable order.

Worker Protection During the Shutdown

The statutory scheme separates safety from loss of livelihood. Under the former Section 87A, an affected worker was entitled to wages and other benefits despite the prohibition on employment. The corresponding provision in Section 38(1)(A) of the 2020 Code continues protection for wages and other benefits and requires alternative employment wherever possible in the manner prescribed by the appropriate Government.

Appeal Against a Serious-Hazard Order

Section 87A provided a direct right of appeal to the High Court against the Inspector's prohibition order and against an extension by the Chief Inspector. Section 38(1)(A) of the 2020 Code retains a High Court appeal for the corresponding factory orders. The exact order, applicable rules, limitation issues and any State-specific framework should be checked before legal action is taken.

Official Legal Sources

India Code - Central Acts and statutory text

Factories Act, 1948 - official statutory text

Occupational Safety, Health and Working Conditions Code, 2020 - India Code

For current compliance, also check applicable Central and State rules, notifications and orders issued under the 2020 Code.

Updated: 26 September 2026. This page explains the statutory provision for general legal information. The application of repeal, savings, rules and State-specific requirements may depend on the facts and the relevant period.