OVERVIEW STATUTES 
APPLICABLE TO CONSTRUCTION 
INDUSTRY EXCEPT BOCW ACT 
AND RULES 

 
National Safety Council , Hqs. 
98‐A,Institutional Area, Sector 15, 
CBD Belapur , Maharashtra 
 NaviMumbai – 400615. 
India    www.nsc.org.in
Contact  no :  022‐ 27579924 /25 

 
 

OVERVIEW OF STATUTES APPLICABLE TO CONSTRUCTION INDUSTRY

(Other than The Building and Other Construction Workers (Regulation of Employment & Conditions of
Service) Act 1996, Central Rules 1998 and various state rules)

1. Background

To start any business enterprise one needs to abide by law of the land. The basic legal
framework for construction industry is being prepared by the Central / State Governments
through various departments / bodies from time to time. Predominant among them are Ministry
of Labour and Employment ( MOLE)- for Labour health &welfare, Ministry of Environment (
MoEF)- for environment protection, Ministry of Power ( MoP)- For energy conservation and
electrical hazards, Ministry of Oil and Natural Gas- for petroleum product handling, Ministry of
Commerce and Industry- for commercial requirements, Ministry of Road transportation-
transportation of construction vehicles, Central and State Pollution Control Boards, Directorate
General, Factory Advice Service and Labour Institutes (DGFASLI) and others.

2. Objective

The objective of this module is as follows;

• To facilitate clear understanding of legislations related to the health, safety and environment
aspects of the construction industry.
• To apprise industry its role, responsibilities and rights under various HSE legislations.
• To help the construction industry in identifying the gaps associated with the applicable
legislations and in devising appropriate actions for closing the gaps.

3. Approach

The different phases of the construction are shown below. The applicable statutes are
depicted further under different categories for easy understanding.

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Concept,
Creation of a Pre-Construction,
S.N Planning and
Business Tendering and Construction
o Land
Establishment Contracting
Acquisition
Labour Laws Labour Laws
1 9 Shop & 9 Ancient
Establishment monuments 9 Bonded Labour 9 Maternity Benefit Act, 1961
Act -1948 and System (Abolition) 9 Minimum Wages Act, 1948
9 Central Sales archeological Act, 1976 9 Payment of Bonus Act,
Tax Act, 1956 sites & 9 Child Labour 1965
9 Income Tax remains Act (Prohibition and 9 Payment of Gratuity Act,
Act, 1961 1958 Regulation) Act, 1972
9 Service Tax 9 Land 1986 9 Payment of Wages Act,
Act, 1994 Acquisition Act 9 Contract Labour 1936
9 Indian 1984 (Regulation and 9 Personal Injuries
Contract Act 9 Registration Abolition) Act, 1970 (Compensation Insurance)
1872 Act, 1908 9 Apprentices Act Act, 1963
9 The Right to 1961 9 Weekly Holidays Act, 1942
Fair 9 Industrial Disputes 9 Workmen Compensation
Compensation Act 1947&Industrial Act, 1951
and Disputes Act 9 Employers Liability Act,
Transparency Amendment 2010. 1938
in Land 9 Inter-State Migrant 9 Employees Provident Fund
Acquisition, Workmen and Miscellaneous
Rehabilitation (Regulation of Provisions Act, 1952
and Employment and 9 Employees State Insurance
Resettlement Conditions of Act, 1948
Act, 2013 Service) Act 1979. 9 The Equal Remuneration
Act, 1976

2 Environmental Laws Environmental Laws

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9 Environment 9 Air (Prevention and Control

Protection Act,
1986
9 Environment
Impact Assessment
Notification, 2006
9 National
Environment
Appellate Authority,
1997
9 Forest
(Conservation) Act,
1980
9 Indian Wild Life
(Protection) Act
1972
9 Bio Diversity Act
2002
9 National Green
Tribunal Act ,2010
3 Industrial Laws
of Pollution) Act, 1981
9 Water (Prevention and
Control of Pollution) Act,
1974
9 Water Cess Act, 1977
9 Manufacturer, Storage and
Import of Hazardous
Chemicals Rules 1989
9 The Hazardous Waste
(Management ,Handling
and Transportation
Movement) Rules 2008.
9 Bio Medical Waste
(Management and
Handling) Rules 1998
9 Ozone Depletion
Substances, 2000
9 Noise Pollution Rules
(regulation and control)
2000
9 Batteries (Management and
Handling) Rules 2001
(amended in 2010)
9 Environment (siting for
industrial
Projects)Rules,1999
9 E-Waste (Management &
Handling) Rules 2011
9 Plastic Waste (
Management & Handling)
Rules 2011
Industrial Laws

9 Explosives Act, 9 Food Safety Standards Act

1884 (Amended in 2006
1983 ) 9 Indian Electricity Act, 2003
9 Petroleum Act, 9 Energy Conservation Act
1934 (PA) 9 Inflammable Substances
9 Petroleum Rules, Act, 1952
2002 (PR) 9 Information Technology
9 Central Motor Act, 2000
Vehicles Rules, 9 Motor Vehicles Act, 1988
1989 (CMVR) 9 National Building Code
9 The Factories Act, 2005
1948 and State 9 Public Liability Insurance
Factories Rules Act, 1991
9 Standards of Weights and
Measures Act, 1976

3. Relevant Significant Statues in Construction Industry & Purpose – The Building and
Other Construction Workers (Regulation of Employment & Conditions of Service) Act 1996,
Central Rules 1998 and various state rules are the most important legislations that apply on

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a construction site.The Labour department is bestowed with the responsibility as inspecting

staff as per chapter VIII of the act. As per labour laws establishment needs to submit
appropriate health & safety policy to concerned labour commissioner. This Act is covered
separately and hence is not a part of this module.

4.

S.N
Legislation Purpose of Legislation Statutory Consent & Authority
o
Industrial Laws
1 Petroleum Regulation of safety aspects of License for storage of petroleum
Act, 1934 petroleum refining, storage, pipeline products beyond certain quantities
and transportation.
Authority- Petroleum and Explosives
Safety Organization
2 Inflammable Act brings certain non-petroleum
Substances liquids under the scope of Petroleum
Act 1952 Act 1934
3 The Indian The act was enacted with the
Boilers Act, objective to provide mainly for the
1923 safety of life and property of persons
(amended in from the danger of explosions of
2007) steam boilers and for achieving
uniformity in registration and
inspection during operation and
maintenance of boilers in India.
4 Explosives Regulates manufacture, sale, storage
Act, 1884 and handling of explosives
5 Gas Cylinder Technical and license requirements -Permission for storage of compressed
Rules 2004 for manufacturer and storage of flammable gas in cylinders of total
compressed gas storage vessels quantity more than 100kg
below one tonne capacity .Applicable - Permission for possession of more than
to factories and construction sites 200 compressed gas cylinders
also. Authority- Petroleum and Explosives
Safety Organization
6 Static and Technical and license requirements Prior approval design and layout of
mobile for manufacturer and storage of pressure vessel as per 5 of Static and
pressure compressed gas storage vessels Mobile Pressure Vessel Rules
vessel rules above one tonne capacity Authority- Petroleum and Explosives
1981 Safety Organization
7 The Regulates manufacture, sale, storage
Explosives and handling of explosives
rules, 2008
8 Food Safety Regulates food manufacturer,
Standards Act packaging,, storage, sale and catering
2006 business
9 Food Safety To regulate manufacture, storage,
Standards distribution, sale and import, to ensure
Rules availability of safe and wholesome
food for human consumption.

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10 The Electricity For autonomous regulation with the

Act, 2003 separation of policy regulation and
operational aspects, Rationalizing
tariff and lowering the cross-
subsidization levels, Ensuring supply
of electricity to all areas, Protecting
consumer interests
11 Indian Detail technical aspects for safety in
Electricity electrical installations.
Rules 1956
(amended in
2006 )
12 Information Legalized and regulates electronic
Technology transactions
Act, 2000
13 Motor Regulation of motor vehicles on roads RTO certificate for fitness of the vehicles
Vehicles Act, Authority- RTO
1988
14 The Central
Detail implementation of Motor
Motor Vehicle
Vehicle Act. Registration, licensing,
Rules , 1989
technical aspects, speed/size/cargo
(amended
limits etc.
2005)
15 Certain industries to obtain insurance
Public Liability
to cover damages caused to public
Insurance
and environment by accident caused
Act, 1991
by the industry.
16 Public liability
Details for implementation of Public
insurance
Liability Insurance Act, 1991
rules , 1991
17 National
Building Specification for all type of buildings
Code, 2005
18 Standards of
Weights and
Regulation of measuring devices
Measures
Act, 1976
19 Standards of
Weights and Provisions for enforcement of the
Measures Standards of Weights and Measures
(Enforcement) Act, 1976
Act, 1985
20 Standards of
Weights and Specifications for measuring devices.
Measures Registration of devices. Licensing of
(General) manufacturer.
rules, 1987
21 Regulates safety and welfare in
Mines Act,
mining industry. Appoints a regulator
1952
to frame rules and for enforcement.

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Defines demarcation of mine,

responsibility of mine owner and
penalties.
22 Mines Rules
Rules for safety and welfare in mines.
1955
LAND LAWS
1 Land
Land acquisition for purposes
Acquisition Act
beneficial for the public.
1984
2 The Right to For fair compensation to the
Fair rehabilitees in the area of project
Compensation development
and
Transparency
in Land
Acquisition,
Rehabilitation
and
Resettlement
Act, 2013
3 Ancient
monuments
and
Regulation of archeological sites
archeological
sites & remains
Act 1958
ENVIRONMENT PROTECTION, FOREST AND WILD LIFE LAWS
1 An Act to provide for the prevention, Monitoring of air quality parameters
control and abatement of air pollution, for near construction site as per the
Air (prevention the establishment, with a view to carrying guidelines of CPCB/SPCB
& control of out the aforesaid purposes, of Boards, for
pollution) Act conferring on and assigning to such
1981 Boards powers and functions relating
thereto and for matters connected
therewith.
2 The rule to state that all industries Monitoring of air quality parameters
operating within designated air pollution near construction site as per the
Air (prevention
control areas must obtain a permit from the guidelines of CPCB/SPCB
& control of
state board. The states are also required
pollution) rules
to provide emission standards for industry
1982
and automobiles after consulting the
Central Board
3 The Act provides for conservation of
Biological biological diversity, sustainable use of its
Diversity Act, components and equitable sharing of
2002 benefits arising out of the use of biological
resources.
4 Biological Regulate the appointment of the
diversity Rules, chairperson, its term along with non-official
2004 members, & appointment of the secretary

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to enforce Bio-diversityprograms in states.

5

The main objective of this Act is to provide

the protection and improvement of
Environment
environment (which includes water, air,
Protection Act,
land, human being, other living creatures,
1986
plants, micro-organism and properties) and
for matters connected therewith.

6 A rule for protecting and improving the

quality of the environment and preventing
Environment
and abating environmental pollution, the
Protection
standards for emission or discharge of
Rules, 1986
environmental pollutants from the
industries, operations or processes.
7 Environment To enforce some restrictions and Environmental Clearance as per
Impact prohibitions on new projects or activities, EIA Notification 2006.
Assessment or on the expansion or modernization of Authority - Ministry of
Notification, existing projects or activities based on their Environment and Forest / State
2006 potential environmental impacts. Government
8 A rule to lay down detailed provisions
relating to areas to be avoided for siting of
Environment
industries, precautionary measures to be
(Siting for
taken for site selecting as also the aspects
Industrial
of environmental protection which should
Projects)
have been incorporated during the
Rules, 1999
implementation of the industrial
development projects.
9

Manufacture,
Storage and
Rule with an objective of proper
Import of
management of the Manufacture, Storage
Hazardous
and Import of Hazardous Chemicals.
Chemicals
Rules, 1989

10 The Hazardous Disposal to PCB approved vendors

Waste and records
(Management, Authority- Pollution Control
To regulate the collection, reception,
Handling and Board
storage, treatment and disposal of
Transboundry
hazardous wastes
Movement)
Rules 2008
(amended in

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2010)
11 Bio Medical Disposal to PCB approved vendors
Waste To regulate the collection, reception, and records
(Management storage, treatment and disposal of bio Authority- Pollution Control
and Handling) medical waste Board
Rules 1998
12 Ozone
A rule that has laid down the regulation of
Depletion
production and consumption of ozone
Substances,
depleting substances.
2000
13 A rule to lay down such terms and Type approval of Diesel
conditions as are necessary to reduce Generators for conformance to
Noise Pollution
noise pollution, permit use of loud noise limits as per Sch. - 1 of EP
Rules
speakers or public address systems during Rules 1986
(regulation and
night hours (between 10:00 p.m. to 12:00
control) 2000
midnight) on or during any cultural or Authority- Pollution Control
religious festive occasion Board
14 The rule regulating every manufacturer, Disposal to PCB approved vendors
importer, re-conditioner, assembler, and records
Batteries dealer, auctioneer, consumer, and bulk Authority- Pollution Control
(Management consumer involved in the manufacture, Board
and Handling) processing, sale, purchase, and use of
Rules,2001 batteries or components so as to regulate
and ensure the environmentally safe
disposal of used batteries.
15 Restricts and regulates the de-reservation
Forest of forests or use of forest land for non-
Conservation forest purposes. The Act lays down the
Act 1980 pre-requisites for the diversion of forest
land for non-forest purposes.
16 No.5-5/86-FC,
[25/11/1994] -
Guidelines for
diversion of
forest lands for Guidelines for diversion of forest lands for
non-forest non-forest purpose.
purpose under
the Forest
(Conservation)
Act, 1980
17 The act that provides for the levy and Records of Water cess paid.
Water Cess
collection of cess or fees on water Authority- Local municipal
Act, 1977
consuming industries and local authorities. corporations
18 The act provides for the protection of birds
Indian Wild Life and animals and for all matters that are
(Protection) connected to it whether it be their habitat
Act, 1972 or the waterhole or the forests that sustain
them.
19 Water Act that establishes an institutional Permission for disposal of waste
(prevention structure for preventing and abating water water from the site

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and control of pollution. It establishes standards for water Authority- Local municipal
pollution) Act, quality and effluent. Polluting industries corporations
1974 must seek permission to discharge waste
into effluent bodies.
20
E-Waste (
Disposal to PCB approved vendors
Management & Rules provide guidelines for disposal of
and records
Handling) electronic waste.
Authority- Pollution Control
Rules 2011
Board
21 Plastic Waste Disposal to PCB approved vendors
Management & Rules provide guidelines for disposal of and records
Handling) Plastic waste. Authority- Pollution Control
Rules 2011 Board

LABOUR LAWS
1

An Act to provide for the abolition of

Bonded Labour bonded labour system with a view to
System preventing the economic and physical
(Abolition) Act, exploitation of the weaker sections of the
1976 people and for matters connected
therewith or incidental thereto

Child Labour
(Prohibition and Prohibits employments of person below
Regulation) Act, 14 years of age.
1986

3 - Registration of Principal Employer

as per Section 7 of Contract
Labour Act 1970
Contract Labour Principle employer who intends to
-Register of Building Workers ,
(Regulation and employ contract Labor shall register with
Muster Roll of Workers, Register of
Abolition) Act, concerned authority. Contractor so
Wages, Register of Fines, Register
1970 engaged shall have a license.
of Over Time, Wage Book &
Building Workers Medical
Certificates need to be maintained

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at the site
- License for contractor to engage
more than 20 employees
Authority - Labour
Commissioner
4 The act was enacted to regulate and
Apprentices Act control the program of training of
1961 apprentices and for matters connected
therewith
5 An Act to declare that certain defenses
shall not be raised in suits for damages
Employers in respect of injuries sustained by
Liability Act, workmen Whereas it is expedient to
1938 declare that certain defenses shall not be
raised in suits for damages in respect of
injuries sustained by workmen.
6 Employees
Provident Fund Benefits available to the workers include
And the provident fund, employees deposit
Miscellaneous linked insurance and the pension to the
Provisions Act, workers and their families
1952
7

Provides for health care and cash

benefits in cases of sickness, maternity
and employment injury. Health and
Employees State
medical care facilities are provided to
Insurance Act,
those workers drawing monthly salary
1948
upto Rs.15,000 per month through a
network of hospitals and dispensaries
located throughout the country.

8 Guideline for investigation and

settlement of all industrial disputes. The
Act enumerates the contingencies when
a strike or lock-out can be lawfully
resorted to, when they can be declared
Industrial
illegal or unlawful, conditions for laying
Disputes Act,
off, retrenching, discharging or
1947
dismissing a workman, circumstances
under which an industrial unit can be
closed down and several other matters
related to industrial employees and
employers.
9 Inter-State To regulate the employment of inter- Interstate migration certificate from
Migrant state migrant workmen and to Provide sub-contractor employing labours
Workmen for their conditions of service and for from 5 or more interstate, to be

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(Regulation of matters connected therewith. taken by principle contractor.

Employment and
Conditions of Authority - Labour
Service) Act Commissioner
1979
10 Inter-State
It regulates the employment of Inter
Migrant
State migrant workers and to their
Workmen
conditions of service and other matter
Central Rules,
connected therewith.
1980
11 Regulates employment of women before
and after child birth and provides for 12
weeks maternity leave, medical bonus
Maternity Benefit and certain other benefits. Those
Act, 1961 benefits are provided to those who have
worked for 80 days in the preceding 12
months immediately preceding the date
of her expected delivery.
12 -The wages revised on 6 monthly
basis by state governments
-Register of Building Workers ,
Appropriate government shall fix Muster Roll of Workers, Register of
Minimum Wages minimum wages payable for certain Wages, Register of Fines, Register
Act, 1948 employment notified in the schedule of of Over Time, Wage Book &
the Act. Building Workers Medical
Certificates need to be maintained
at the site

13 Applicable to establishments employing

20 0r more persons.Every employee
shall be entitled to be paid by his
Payment of
employer, bonus, in accordance with the
Bonus Act, 1965
provisions of this act, provided he has
worked in establishment for not less than
30 days in a year.
14 Provides for payment of gratuity @ 15
Payment Of
days’ wages for every completed year of
Gratuity Act,
service or part thereof, in excess of
1972
seven months
15 - Register of Building Workers ,
The Act regulates the payment of wages Muster Roll of Workers, Register of
to workers and ensures that they are Wages, Register of Fines, Register
Payment of
disbursed by the employers within the of Over Time, Wage Book &
Wages Act, 1936
stipulated time frame and without any Building Workers Medical
unauthorized deductions. Certificates need to be maintained
at the site
16 Personal Injuries An Act to impose on employers a liability
(Compensation to pay compensation to workmen
Insurance) Act, sustaining personal injuries and to
1963 provide for the insurance of employers

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against such liability.

17 The main objective of the Public Liability
Insurance Act 1991 is to provide for
Public Liability damages to victims of an accident which
Insurance Act, occurs as a result of handling any
1991 hazardous substance. The Act applies to
all owners associated with the production
or handling of any hazardous chemicals.
18 Guideline to provide for damages to
Public Liability
victims of an accident which occurs as a
Insurance Rules,
result of handling any hazardous
1991
substances
19 Provides for compensation to workmen Fatal accident shall be reported
or their survivors in cases of industrial within 7 Days to Workmen’s
accidents and occupational diseases, Compensation Commissioner
Workmen's
resulting in disablement or death.
Compensation
Compensation in case of death ranges
Act, 1923
from Rs. 50,000 to Rs. 4.56 lakh and in
the case of permanent total disablement
from Rs. 60,000 to Rs. 5.48 lakh.
20 The private Form VIII of the Central Rules to
security be maintained by the security
agencies License to be obtained by the security agency.
(regulation) act agency providing guards at the site
2005 & rules
2006

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