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Sections 58–59 of the Occupational Safety, Health and Working Conditions Code, 2020: Exemption in Emergency and Applicability to Inter-State Migrant Workers

In an emergency, the appropriate Government may notify that all or any provisions of the Code or rules do not apply to an establishment, a class of establishments or a class of...

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Labour Laws
Published
October 1, 2026
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Oct 13, 2026
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Last updated: October 2026Verified against: Government sources

Section 58 of the Occupational Safety, Health and Working Conditions Code, 2020 (the OSH Code) lets the appropriate Government exempt establishments or contractors from the Code by notification in an emergency. Section 59 opens Part II and says it applies to every establishment with ten or more inter-State migrant workers now, or on any day in the preceding twelve months.

At a glance

SectionTriggerWho actsEffect
58An emergencyAppropriate Government, by notificationAll or any provisions of the Code or rules cease to apply to an establishment, class of establishments or class of contractors, subject to conditions and for the period specified
59Ten or more inter-State migrant workers employed, or employed on any day of the preceding twelve monthsOperation of lawPart II applies to that establishment

Section 58: exemption in an emergency

Section 58 sits at the end of Part I (contract labour) but its words are wide: "all or any of the provisions of this Code or the rules made thereunder". The Government can exempt:

  • an establishment;
  • a class of establishments; or
  • a class of contractors.

The safeguards in the text are that the exemption must be by notification, there must be an emergency, and the notification can carry conditions and restrictions and must state the period. It is a power to exempt, not a right, so an establishment cannot claim exemption without a notification. The Code does not define "emergency" in this section, so the notification itself is the authority. Do not assume a temporary shortage or surge is an emergency.

The Code has other exemption powers; see our article on sections 127–129 for those.

Section 59: when Part II applies

Section 59 says Part II applies to every establishment in which ten or more inter-State migrant workers are employed or were employed on any day of the preceding twelve months. Three reading points:

  1. Count the workers, not the contractors. The count is of inter-State migrant workers in the establishment, whether recruited directly or through a contractor.
  2. It is a look-back. One day in the last twelve months with ten or more is enough.
  3. It is per establishment. The text speaks of "every establishment", so count by establishment.

If you are unsure who counts, the definition is in section 2(1)(zf). Our labour law compliance team can run a headcount check across your sites and contractors.

Who is an inter-State migrant worker

Section 2(1)(zf) defines an inter-State migrant worker as a person employed in an establishment who:

  • (i) has been recruited directly by the employer or indirectly through a contractor in one State for employment in an establishment in another State; or
  • (ii) has come on his own from one State and obtained employment in an establishment of another State (the destination State), or has subsequently changed the establishment within the destination State,

under an agreement or arrangement for such employment, and draws wages not exceeding Rs. 18,000 per month, or such higher amount as the Central Government notifies from time to time.

So both the direct hire and the contractor-supplied worker count, and so does the worker who came on his own. The wage ceiling matters: a worker drawing more than the ceiling is outside the definition.

What Part II contains

Part II (sections 59 to 65) deals with the migrant worker's conditions, the journey allowance, the public distribution and construction cess benefits, the helpline, studies and past liabilities. The next articles explain them: sections 60–61 and sections 62–65. The portal for these workers is in section 21.

Central Rules, 2026

The Occupational Safety, Health and Working Conditions (Central) Rules, 2026 (G.S.R. 345(E), 8 May 2026) apply where the Central Government is the appropriate Government; where a State Government is the appropriate Government, the State's own rules apply. The Central Rules do not change the threshold: the ten worker trigger and the twelve month look-back come from the Code. The rules for Part II begin with Rule 102 on journey allowance; see Rule 102.

Practical points

  1. Count monthly. Keep a month-wise register of inter-State migrant workers by State of origin, including those supplied by contractors.
  2. Keep the 12 month window in view. If you touched ten on any day in the last twelve months, treat Part II as applicable.
  3. Check the wage ceiling in section 2(1)(zf) and any higher amount notified by the Central Government.
  4. Do not assume an exemption. Section 58 works only through a notification, for the period stated, with conditions.
  5. Ask contractors for origin-State data at onboarding, so the count does not depend on guesses.

Example. A warehouse in Gujarat has eight workers from Bihar and Odisha most of the year. In one month during a peak season, a contractor supplies four more, and on one day the count of inter-State migrant workers reaches twelve. Because section 59 looks at any day of the preceding twelve months, Part II applies to the warehouse even when the count later falls back to eight.

For the old-law background, see our guide to the Inter-State Migrant Workmen Act, 1979 and inter-State migrant workers under the Labour Codes.

Need help with migrant worker coverage?

The ten worker test depends on clean headcount records, including workers who come through contractors. Our labour law compliance team can reconcile your rosters and contractor data, tell you whether Part II applies and set up the records the Code expects.

Key takeaways

  • In an emergency the appropriate Government may exempt establishments or contractors by notification (58).
  • Part II applies where ten or more inter-State migrant workers are employed, or were on any day in the last twelve months (59).
  • The definition in section 2(1)(zf) covers direct, contractor-supplied and self-arrived workers drawing up to Rs. 18,000 a month or a higher notified amount.
  • No exemption without a notification.

Read next

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.

Quick recapKey facts & short answers

Key Facts About Sections 58

  • Applies in: All states across India, under the relevant central law.
  • Mode: Mostly online via the official government portal.
  • Typical timeline: Ranges from a few days to a few weeks depending on the case.
  • Non-compliance: May attract penalties, interest or late fees.
  • Expert help: TaxClue completes the entire process end to end for you.

What is the threshold for Part II?

Ten or more inter-State migrant workers employed, or employed on any day of the preceding twelve months.

Does a contractor's worker count?

Yes, if the worker meets section 2(1)(zf), which covers workers recruited indirectly through a contractor.

One person should own every deadline. A deadline that belongs to everyone belongs to no one.

— TaxClue Compliance Desk

Sections 58: a key compliance topic in Indian tax and corporate law that businesses and individuals must understand to remain compliant.

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Disclaimer: This article is for general informational purposes only and does not constitute professional tax, legal or financial advice. Laws, rates and due dates change and can vary by individual case — always verify with the relevant government source (e.g. mca.gov.in, incometax.gov.in) or consult a qualified professional before acting. TaxClue accepts no liability for decisions taken based on this content.

People also ask

Questions, answered

Short, direct answers to the 6 questions readers ask most on this topic.

Ten or more inter-State migrant workers employed, or employed on any day of the preceding twelve months.

Yes, if the worker meets section 2(1)(zf), which covers workers recruited indirectly through a contractor.

Rs. 18,000 per month or such higher amount as the Central Government notifies.

The appropriate Government, by notification, for the period and on the conditions specified.

The text says all or any of the provisions of the Code or rules.

It can, if the count reached ten on any day in the last twelve months.