Coverage, registration and contribution to the Scheme is under the ambit of the Corporation
- Act applies to all non-seasonal factories.
- Factories using power and employing 10 or more persons.
- Non- power using factories employing 10 or more persons.
- Coverage can be extended to other classes of establishment- industrial, commercial, agricultural or otherwise.
- Coverage also extended to following class of establishment :-
- Shops, hotels, restaurant, Cinemas including preview theatres, Road motor transport agencies, Newspaper establishments, Educational institution and Medical Institution.
- Act does not apply to workers engaged in mining operations operation under the Mines Act, 1952, railway running sheds, certain seasonal factories operating for less than 7 months in a year. Factories or establishments run by the State Government/ Central Government whose employees are in receipt of social security benefit substantially similar or superior to those provided under the Act can be exempted from coverage.
- An employee has been defined under the section 2(9) of the Act and mean any person employed for wages in or in connection with the work of a factory or establishment to which this Act applies. The wage ceiling is enhanced from time to time. The existing ceiling is Rs 21,000/- per month w.e.f 1st April,2017.