Automated renewal of factory license and contractor license

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Pursuant to the reforms suggested by Department for Promotion of Industry and Internal Trade (“DPIIT”) towards ease of doing business[1], the Directorate of Industrial Safety and Health, Chennai vide Memorandum No. B1/9391/2020 dated 29 August 2020 (“Memo”) had circulated a memorandum directing the subordinate officers of the directorate to automate the renewal of below mentioned licenses through submission of online applications on an non-discretionary basis:

S.No.

License to be renewed under different labour laws.

Existing procedure for procuring license renewal.

Latest procedure as per Memo to procure license renewal.

1.      

Factory license under Factories Act, 1948 read with Rule 7 of the Tamil Nadu Factories Rules, 1950.

The occupier of every factory licensed under Rule 4, shall submit to the Deputy Chief Inspector of Factories having jurisdiction over the area where the factory is situated, an application in Form No. 2 in triplicate, for the renewal of the license along with demand draft or challan.

The applicants could straight away download the renewed licenses on submission application through DISH online portal[2] along with prescribed fees.

2.      

Contractor license under Contract Labour (Regulation and Abolition) Act, 1970 read with Rule 29 of the Tamil Nadu Contract Labour (Regulation and Abolition) Rules, 1975. 

Every contractor may submit to the licensing officer in Form No. VII in triplicate not less than 60 days before the date on which the license expires, and if the application is so made, the license shall be deemed to have been renewed until such date when the renewed license is issued.

3.      

Contractor license under Interstate Migrant Workmen (Regulation of Employment and Condition of Service) Act, 1979 read with Rule 15 of the Inter-State Migrant Workmen (Regulation of Employment and Conditions of Service) (Tamil Nadu) Rules, 1983

Every contractor may  apply to the licensing officer in Form No. IX in triplicate not less than 30 days before the date on which the license expires, and if the application is so made the license shall be deemed to have been renewed until such date when the license is renewed. 

Memo has paved way for automation of licenses and counters the need to submit physical copy of application and further eliminates physical touchpoint for document submission.

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