Rule 53 explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
Rule 53 requires a canteen where 100 or more workers, including contract labourers, are ordinarily employed. It also sets the layout, hygiene, pricing and committee requirements for the canteen.
Where 100 or more workers including contract labourers are ordinarily employed in a factory, mine, building or other construction work, beedi and cigar premise, motor transport undertaking, dock work or plantation, the employer must provide and maintain a canteen in or adjacent to the precincts, or a common canteen. Food must be nutritious, wholesome and healthy, sold on a no profit no loss basis, at displayed rates fixed by a Canteen Managing Committee with equal worker and employer representatives.
The Code source
Section 24 of the Occupational Safety, Health and Working Conditions Code, 2020 (the OSH Code) deals with welfare facilities in the establishment, and rule 53 sets the canteen standard. Read the section in our section 24 explainer. Contract labour welfare, including canteen, is also addressed in section 53 of the Code; see our sections 53 and 54 article.
Central Rules apply where the Central Government is the appropriate Government. Where the State Government is the appropriate Government, the State's own OSH rules apply. For a canteen set-up or review, see our labour law compliance service.
When a canteen is required
Rule 53(i): at every establishment named in the rule where one hundred or more workers, including contract labourers, are ordinarily employed, a canteen is provided and maintained in or adjacent to the precincts. Rule 53(ii): the employer can also provide the facility through a common canteen in or adjacent to the establishment's premises.
The establishments are the same seven: factory, mine, building or other construction work, industrial premise for manufacture of beedi and cigar, motor transport undertaking, dock work and plantation. The threshold is stated once, as 100 workers. The text does not say how "ordinarily employed" is measured, so keep a defensible headcount record, including contract labour, since contract labourers are counted.
What the canteen must have
| Clause | Requirement |
|---|---|
| (iii) | Situated at an appropriate distance from any latrine, urinal and process area to avoid dust, smoke or obnoxious fumes |
| (iv) | At least a dining hall, kitchen, store room, pantry and washing places separately for employees and for utensils |
| (v) | Separate doors for entry and exit |
| (vi) | Dining hall separated from any place where a hazardous substance may contaminate food, dishes or utensils |
| (vii) | Dining hall furnished with sitting arrangement for sufficient number of employees normally using it at one time |
| (viii) | A portion of the dining hall and service counter reserved for women employees and employees with disabilities |
| (ix) | Washing places for male, female, transgender and disabled employees separate and screened for privacy |
| (x) | All food-contact equipment and utensils, and furniture and equipment, cleaned and kept hygienic |
| (xi) | Each food handler trained in food handling practices that prevent contamination; no person suffering from a communicable disease is allowed to work as a food handler |
| (xii) | Food waste and garbage removed from preparation area or dining hall, stored in covered containers and disposed of periodically |
The rule gives no numeric distance for clause (iii); "appropriate" is the standard.
Pricing and display
- (xiii) food, drink and other items are sold on a no profit no loss basis, with rates fixed by the canteen management committee; and
- (xiv) the charges per portion of food items, beverages and other items are displayed in the canteen.
The rule does not say who bears the running cost, such as rent, fuel or staff. It only says sale is on a no-profit-no-loss basis.
Canteen Managing Committee: clause (xv)
| Sub-clause | Rule |
|---|---|
| (a) | A Canteen Managing Committee is constituted to look after (i) quality and quantity of food, (ii) menu arrangements, (iii) meal timings and (iv) any other relevant matter. Proviso: not needed where the canteen is managed by a co-operative society registered under the Multi State Co-operative Societies Act, 2002 |
| (b) | Equal number of worker and employer representatives |
| (c) | Employer representatives nominated by the employer |
| (d) | Worker representatives nominated by the negotiating union or negotiating council; where there is none, workers choose among themselves |
| (e) | Tenure fixed mutually; one-third of worker and of employer members rotated every two years |
| (f) | The committee decides on the running of the canteen in consultation with the canteen manager |
Practical points for HR and contractors
- Count contract labour with the principal employer's own workers when testing the 100 threshold.
- A common canteen for several units is permitted if it is in or adjacent to the premises.
- Keep the committee minutes, nomination letters and rotation record; they are the proof of compliance.
- Train food handlers and keep a record, and have a simple method to keep out food handlers with a communicable disease.
Consequences
Rule 53 states no penalty of its own. Contravention is dealt with under the Code's penalty provisions; see our section 94 explainer. For the older factory canteen provision, see our guide to canteen requirement in a factory; that article describes the repealed Act's threshold, not the threshold in rule 53.
Practical examples
Example 1. A plant has 70 own employees and 40 contract workers on site. Together they are 110, so rule 53(i) applies and a canteen or common canteen is needed.
Example 2. A canteen is run by a registered Multi State co-operative society. Under the proviso to (xv)(a), no Canteen Managing Committee is required.
Example 3. A worker representative's term is over. Under (xv)(e), one-third of worker members and one-third of employer members rotate every two years; the committee records who rotated.
Need help with canteen compliance?
A canteen touches hygiene, headcount, contractor numbers, pricing and a standing committee. Our labour law compliance team can help you check whether rule 53 applies to your sites and set up the committee and records.
Key takeaways
- Rule 53 requires a canteen where 100 or more workers, including contract labourers, are ordinarily employed.
- A common canteen is allowed.
- The canteen needs a dining hall, kitchen, store room, pantry and separate washing places, plus separate entry and exit doors.
- Food is sold on a no profit no loss basis at displayed rates fixed by the committee.
- The Canteen Managing Committee has equal worker and employer members, with one-third rotating every two years.
- State rules apply where the State is the appropriate Government.
Read next
- Rules 51 and 52: keeping of clothes and sitting arrangements
- Rule 54: first aid and medical appliances
- Section 24: welfare facilities in the establishment
- Welfare provisions for contract labour: canteen, rest room
Disclaimer: Based on the Occupational Safety, Health and Working Conditions Code, 2020 (as enacted) and, where noted, the Occupational Safety, Health and Working Conditions (Central) Rules, 2026 (G.S.R. 345(E), 8 May 2026), as on 30 September 2026. The Code is in force from 21 November 2025; some provisions may be notified later, and State Governments make their own rules for establishments where the State is the appropriate Government. Verify the current position before acting.
