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Risk based industries frame work

Risk based frame work for Inspection with updates

Sl# Category of Factory Frequency of Inspection Remarks
1 MAH Twice a year Mandatory
2 Factories with hazardous Manufacturing Process
(Under section 2(cb) of Factories Act1948.
Once in a year -do-
3 Other Factories Excluding MAH & 2(cb) Once in every three years Randomly selected as per CIF yard stick
4 Inspections on receipt of specific complaints.(with permission of HOD) As and when required. -

Composite Inspection Scheme


This Inspection Scheme aims to achieve the objective of simplifying business regulations and bring in transparency and accountability in labour inspections. It envisages objective criteria for selection of units for inspection.

Criteria for Inspections

The District Collector would, through the district labour administration, collect and analyse field level data for a transparent and accountable labour inspection system. The Collector will formulate objective criteria for selection of establishments for inspection, keeping in view the industrial situation in the district.

Mandatory inspections :

In the following cases, the inspections will be mandatory for all units :

  • The establishments where fatal or serious accident has occurred in last two years.
  • The establishments where strikes/lock out/retrenchment has taken place in last two years.
  • Closed establishments till their workers' dues are settled.

Optional inspections :

In following cases, the inspections would be generated randomly, either through a computer or manually, taking into account the following factors:

  • The establishment is falling in the category of hazardous industry [20510].
  • The establishments employing 50% Contract Labour or minimum of 20 number of Contract Labour [20%].
  • The establishments where total number of worker is more than 200 [20%].
  • All other establishments, as per priority criteria fixed by the Collector [40%:.
  • Master data on establishments to be collected and consolidated at district level.
  • Annual Inspection Schedule to be finalised taking into account criteria for inspections.
  • Inspectors to visit establishments as per pre-fixed schedule, and cover all applicable labour laws during a single inspection.
  • Inspectors to submit detailed inspection report as per prescribed format, within 3 days of inspection, to the , to the next higher authority.
General Instructions
  • The inspecting officer has to maintain registers of the establishments.
  • He has to record the statement of workers present at the time of inspection.
  • In case of contradiction in the statements of employer's, worker and entries in the record, the inspecting officer will seize the relevant records.
  • Notices/findings of inspection should be handed over to the employer's representative on the work-spot by the inspecting officer himself.
  • The inspection should be carried out during the normal working hours as far as possible.

Risk Based Inspections by Odisha Pollution Control Board :

One of the following three logics may be taken into consideration for risk based inspection by the Joint Planning Group (JPG)/.

Based on frequency of inspection fixed by the Board

The Board vide office order No. 6456 dt. 15.4.2015 classified the industrial projects as following.

Investment in Rs. Orange Red
Up to 5.0 Crores C C
More than 5.0 Crores and up to 50.0 Crores C B
More than 50.0 Crores B A

The mining projects were also classified in the following manner.

Mining Projects Category
Coal, Bauxite, Iron, Manganese, Limestone, Dolomite and Chromite A
Other than Coal, Bauxite, Iron, Manganese, Limestone, Dolomite and Chromite B

For the industrial project ‘investment’ means the capital investment in plant and machinery, land and building etc. exclusive of working capital. The ‘Red’, ‘Orange’ and ‘Green’ category projects are to be determined as notified by the F & E Deptt., Govt. of Odisha and amended from time to time.

  • The A category project being large in scale of operation and higher in pollution potential are subjected to rigorous scrutiny and inspection while category B & C projects are subjected to less scrutiny and inspection.
  • The Board issued circular vide No. 9968 dt. 17.6.2015 for following frequency of inspection and sampling
Project Category Minimum Inspection frequency Minimum Sampling frequency
A At least once in 6 months Every month
B At least once in 2 years on random check basis Once in 6 months
C At least once in 3 years on random check basis Once in a year

The above categorization as well as frequency inspection may be taken as logic for risk based inspection