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Hi & good morning to all of you,
I have a query regarding factory closure. Please suggest me proper guideline.The scenario is like this, we have a branch plant in himachal pardesh, having manpower strength around 50. Now as we are doing job work on behalf of companies, but now we don’t have work so much at that plant so management has decided to close that factory. Now please suggest me proper guidelines to close that factory. Like what I need to pay to labours, what I need to report to Labour department etc.
Regards,
Amit
Executive - Human Resources

From India, Chandigarh
Hi Amit,
For this purpose I would advise you to see the Section 25FFA of The Industrial Dispute Act,1947. There are so many thing related with this descision. You bdid not mentioned the actual situation. It also depends upon the strength of the employees.
Abhishek

From India, Delhi
Hi, Amit,
In this case you have to intimate to labour authority by a notice in form no QA 60 days before closing down the premises. This is for the safety purpose and for legally close down the premises.
In between this you are required to clear all the dues of all the emlpoyes in all the respect and also inform to the labour authorities about the same.
Abhishek

From India, Delhi
Hi,
Regarding closer of any Factory which is registered under the Factories Act 1948, the Occupier or Manager of the Factory shall furnish the FORM 29 ALONGWITH THE INFORMATION REQUIRED to the StateGovt and the Inspector under the Act for the intended closer.
Also the closer id guided by the IDAct also you can consider the provision of IDAct.
Thanks,
Dilip Jana
Jamshedpur.

From India, Mumbai
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