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Sections 86-88 of the Occupational Safety, Health and Working Conditions Code, 2020: Inquiry by the National Board, Emergency Standards and Permissible Exposure Limits

After an extraordinary situation in a factory engaged in a hazardous process, the Central Government may direct the National Board to inquire into the health and safety standards...

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

Sections 86, 87 and 88 of the Occupational Safety, Health and Working Conditions Code, 2020 (the OSH Code) deal with the system-level side of hazardous processes. Section 86 lets the Central Government ask the National Board to inquire after an extraordinary situation. Section 87 lets it order emergency standards where none exist or they are inadequate. Section 88 leaves the maximum permissible exposure limits for chemical and toxic substances to the State Government.

Sections 86 to 88 at a glance

SectionWho actsWhat happensLegal force
86Central Government directs the National BoardInquiry into standards of health and safety in a factory after an extraordinary situationRecommendations advisory
87Central Government directs the Directorate General Occupational Safety and Health or an authorised institutionEmergency standards for a hazardous process or class of processesEnforceable as if in the rules until incorporated
88State GovernmentMaximum permissible exposure limits of chemical and toxic substancesAs prescribed

Factory managers who want to know which of these three layers applies to their process can ask our legal consultation team to trace it.

Section 86: inquiry by the National Board

Section 86(1) applies "in the event of the occurrence of an extraordinary situation involving a factory engaged in a hazardous process". The Central Government may direct the National Board to inquire into the standards of health and safety observed in that factory. The stated purposes are to find out:

  • the causes of any failure or neglect in adopting measures or standards prescribed by the State Government for the health and safety of workers in the factory or of the general public affected or likely to be affected; and
  • how to prevent recurrence of such situations in that factory or elsewhere.

Section 86(2) says the recommendations of the National Board are advisory in the nature. They do not by themselves penalise anyone. The Code does not define "extraordinary situation"; the trigger is the Central Government's direction. The National Board is the one set up by section 16; see our article on that Board.

This inquiry is different from the inquiry the appropriate Government can order after an accident under section 121, which uses assessors and gives civil court powers for witnesses and documents. See sections 120 to 122.

Section 87: emergency standards

Section 87(1) is triggered when the Central Government is satisfied that:

  1. no standards of safety have been prescribed for a hazardous process or class of hazardous processes; or
  2. the standards prescribed are inadequate.

It may then direct the Directorate General Occupational Safety and Health (the text adds "formerly known as the Directorate General of Factory Advice Service and Labour Institutes") or any institution authorised in matters relating to standards of safety in hazardous processes to lay down emergency standards for enforcement of suitable standards.

Under section 87(2), the emergency standards are enforceable and have the same effect as if they had been incorporated in the rules made under the Code, until they are actually incorporated in the rules. The practical consequence is that a factory can be bound by a standard that is not yet in any rulebook, so a compliance check should cover notifications and directions of the Central Government as well as the rules. Contravention of a standard has the penal consequences of contravening the rules; see section 94.

Section 88: permissible exposure limits

Section 88 is one sentence. "The maximum permissible limits of exposure of chemical and toxic substances in manufacturing process in any factory shall be of the value as may be prescribed by the State Government."

Three points follow from the wording.

  • It applies to manufacturing process in any factory, not only those involving a hazardous process.
  • The values are set by the State Government, consistent with the Explanation to section 2(1)(d), under which the State is the appropriate Government for a factory. The Central Rules, 2026 do not replace the State's schedule of limits for factories in that State.
  • The Code itself gives no numbers. Employers need the State's prescribed table, and need to match monitoring to it.

If you run a factory and are unsure which limits apply to the chemicals in your process, our legal consultation team can help you trace the State notification and build a monitoring plan.

How the three sections fit with the occupier's duties

Under section 84, the occupier must disclose hazards and keep an emergency plan; under section 85, the occupier must run medical examinations for exposed workers. Sections 86 to 88 supply the standards that those duties are measured against: limits (88), emergency standards (87) and, after a serious event, a review of what went wrong (86). See sections 84 and 85.

Example. A State has no exposure limit listed for a newly introduced solvent, and the Central Government is satisfied that the prescribed standards for that class of process are inadequate. It directs the Directorate General Occupational Safety and Health to lay down emergency standards. From the date they are laid down, a factory handling that solvent must follow them, even though the State's rules have not yet been amended.

Need help with exposure limits and standards?

Finding out which standard binds a particular plant, and proving compliance with records and monitoring, is where many factories are exposed. Our legal consultation team can review the notifications that apply to your process and explain what to document for an inspection or an inquiry.

Key takeaways

  • Section 86: the National Board inquires after an extraordinary situation in a factory with a hazardous process; its recommendations are advisory.
  • Section 87: emergency standards fill gaps and are enforceable as if in the rules until incorporated.
  • Section 88: permissible exposure limits are whatever the State Government prescribes; the Code gives no figures.
  • Track Central directions as well as State rules.

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 86-88

  • 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.

Who can order an inquiry under section 86?

The Central Government, by directing the National Board.

Are the National Board's recommendations binding?

No. Section 86(2) says they are advisory in nature.

Paperwork done properly once does not have to be done again under pressure.

— TaxClue Compliance Desk

Sections 86-88: 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.

The Central Government, by directing the National Board.

No. Section 86(2) says they are advisory in nature.

The Directorate General Occupational Safety and Health or another authorised institution, on the Central Government's direction (section 87(1)).

They are enforceable as if incorporated in the rules until they are incorporated in the rules (section 87(2)).

The State Government, for any factory's manufacturing process (section 88).

No. It leaves the values to the State Government's rules.