The Factories (Bihar Amendment) Act, 2020

The Factories (Bihar Amendment) Act, 2020

Labour20205 sections

This Act regulates manufacturing operations in Bihar by raising the minimum worker threshold required to qualify as a factory under the law. It now applies only to manufacturing units with at least twenty workers using power or forty workers without power, sparing smaller businesses from strict compliance. Additionally, it permits the state government to exempt newly established factories from key labor rules for one thousand days. This matters because it aims to boost economic activity and attract new industrial investment following the severe economic downturn caused by the coronavirus pandemic, helping generate employment by reducing regulatory burdens on local businesses.

PDF: pending for this language.