Section 2 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.
Section 2(1) of the Occupational Safety, Health and Working Conditions Code, 2020 (the OSH Code) defines 65 terms. This article covers the clauses that decide who regulates an establishment and who acts for the regulator: appropriate Government, Chief Inspector-cum-Facilitator, Inspector-cum-Facilitator, District Magistrate, medical officer, competent person and a few supporting terms.
For Central-sphere establishments (railways, mines, major ports, air transport, telecom, banks, Central public sector undertakings and similar), the Central Government is the appropriate Government under section 2(1)(d)(i). For a factory, motor transport undertaking, plantation, newspaper establishment and beedi and cigar establishment, and for establishments not in clause (i), it is the State Government where the establishment is situated. The Explanation says the State Government is the appropriate Government for occupational safety, health and working conditions in a factory in that State. The Central Rules, 2026 apply only where the Central Government is the appropriate Government.
Appropriate Government: section 2(1)(d)
Sub-clause (i): the Central Government
The Central Government is the appropriate Government for establishments (other than those in sub-clause (ii)) that are:
- carried on by or under the authority of the Central Government;
- concerned with a controlled industry specified by the Central Government;
- railways, including metro railways, mines, oil fields, major ports, air transport service or telecommunication service;
- a banking company or insurance company established by a Central Act, or a corporation or other authority established by a Central Act;
- a Central public sector undertaking or its subsidiary company, or an autonomous body owned or controlled by the Central Government.
It also includes the establishment of contractors working for those bodies. The first proviso says a Central public sector undertaking stays in the Central sphere even if the Government's equity falls below fifty per cent. after commencement.
Sub-clause (ii): the State Government
For a factory, motor transport undertaking, plantation, newspaper establishment and establishment relating to beedi and cigar, including establishments not specified in sub-clause (i), the concerned State Government where it is situated is the appropriate Government. The Explanation adds "for the removal of doubts" that the State Government is the appropriate Government for occupational safety, health and working conditions in a factory situated in that State.
| Establishment | Appropriate Government |
|---|---|
| Railways, metro railways, mines, oil fields, major ports, air transport, telecom | Central Government |
| Bank or insurance company established by a Central Act | Central Government |
| Central public sector undertaking and its subsidiaries; contractors of these bodies | Central Government |
| Factory, motor transport undertaking, plantation, newspaper establishment, beedi and cigar establishment | State Government where situated |
| Any other establishment not in sub-clause (i) | State Government where situated |
This matters in practice because every rule, form and licence in the Code is issued by the "appropriate Government". The Central Rules, 2026 (G.S.R. 345(E), 8 May 2026) apply where the Central Government is the appropriate Government. Where the State Government is the appropriate Government, the State's own OSH rules apply. A manufacturer with a factory in one State and an office in another should check the position for each site. For help mapping your sites, see our legal consultation service.
The officers and authorities
| Clause | Term | What the definition says |
|---|---|---|
| 2(1)(k) | Chief Inspector-cum-Facilitator | A person appointed under section 34(5) |
| 2(1)(ze) | Inspector-cum-Facilitator | A person appointed under section 34(1) |
| 2(1)(r) | District Magistrate (in relation to a mine) | The District Magistrate or Deputy Commissioner with executive powers of maintaining law and order in the revenue district where the mine is situated; if a mine lies partly in two districts, the District Magistrate authorised by the Central Government |
| 2(1)(zj) | Medical officer | The medical officer appointed under section 42(1) |
| 2(1)(zzb) | Qualified medical practitioner | A medical practitioner with a recognised medical qualification under clause (i) of section 2 of the Indian Medical Council Act, 1956, enrolled on the Indian Medical Register and a State Medical Register as defined in that Act |
| 2(1)(l) | Competent person | A person or institution recognised as such by the Chief Inspector-cum-Facilitator for carrying out tests, examinations and inspections, having regard to qualifications, experience and facilities |
The Code's name for the inspector is "Inspector-cum-Facilitator", a dual role of inspecting and helping employers comply. The appointments themselves are covered in our note on section 34, and the medical officer in section 42.
Competent person in a mine
The proviso to clause (l) widens the term for mines: it includes a person authorised by the manager under section 67 to supervise or perform any work or to supervise machinery, plant or equipment, who is responsible for the duties assigned, and also includes a shot firer or blaster.
Supporting definitions that shape how the Code works
- "Notification" (2(1)(zr)): a notification published in the Gazette of India or the Official Gazette of a State, as the case may be; "notify" is read the same way.
- "Prescribed" (2(1)(zy)): prescribed by rules made by the appropriate Government under the Code. Many duties in the Code (annual health examinations, registration forms, welfare facilities) take their detail from "prescribed" rules, so the answer depends on whether the Central or State rules apply.
- "Standards", "regulations", "rules", "bye-laws" and "orders" (2(1)(zzh)): respectively standards, regulations, rules, bye-laws and orders made or declared under the Code. A contravention of any of these is caught by the offences chapter (section 94 and onwards).
- "Schedule" (2(1)(zzf)): a Schedule appended to the Code (the First, Second and Third Schedules).
The Central Rules, 2026 add a short list of their own definitions in rule 2: "Code", "FORM" (the forms annexed in Annexure VII), "Officer in charge of canteen" and "Annexure". Words not defined in the Rules but defined in the Code carry the Code's meaning. See rules 1 and 2.
Example. A textile company has a factory in Gujarat, a head office in Mumbai and a Central-government-linked contractor team at a major port. The factory is regulated by the Gujarat Government as appropriate Government; the port contractor team falls in the Central sphere (clause (d)(i) covers major ports and contractors of those establishments). The same company may therefore deal with the State's rules for one site and the Central Rules for another.
Need help with applicable authorities?
Finding the right appropriate Government decides which rules, forms and officers apply to you. Our legal consultation team can review your sites and activities, identify the regulator for each, and set out the filings under the Code. Keep a list of your establishments and their activities ready.
Key takeaways
- Section 2(1)(d)(i) makes the Central Government the appropriate Government for railways, mines, oil fields, major ports, air transport, telecom, banks and insurers established by a Central Act, Central public sector undertakings and their contractors.
- Section 2(1)(d)(ii) makes the State Government the appropriate Government for factories, motor transport undertakings, plantations, newspaper establishments and beedi and cigar establishments, and for establishments outside clause (i).
- The Chief Inspector-cum-Facilitator is appointed under section 34(5) and the Inspector-cum-Facilitator under section 34(1).
- A competent person is recognised by the Chief Inspector-cum-Facilitator; in mines the term also covers a shot firer or blaster.
- "Prescribed" means prescribed by rules of the appropriate Government; the Central Rules, 2026 cover only Central-sphere establishments.
Read next
- Sections 1 and 143: commencement and repeal of 13 Acts
- Section 2: employer, employee, worker and occupier
- Section 34: appointment of Inspector-cum-Facilitators
- Factory under the new labour codes: OSH Code 2020
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.