GoI announces new process for Factory Inspections:

Launches a single web based portal for companies to file self-certified compliance forms

The Modi government has eased the task of companies in filing compliance certificates to various labour and social security departments such as Factories Inspectorate, Employees State Insurance Corporation, EPFO. This, dubbed as a big bang labour reform, is intended to ease the process of doing business in India. While the companies will be a unique number to register and can file a single harmonized form of compliance, it also allows them to self certify these forms rather than they being certified by government departments or other statutory bodies. Mandatory Inspection of companies will also be restricted and reduced and Inspector will only be able to inspect factories/companies that are randomly selected by computer software. The new portal and unique identity will also allow employees to move their ESI, EPF accounts from one company to another with ease.

While central trade unions are skeptical about these provisions and have rejected the idea of self certification of compliance reports, industry bodies like ASSOCHOM have welcomed this initiative.

 

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