Section 101: Presumption as to employment

The Occupational Safety, Health and Working Conditions Code, 2020 (Act No. 37 of 2020) • Official Statutory Text & Plain English Practice Guide

Statutory Mandate
Chapter XI: Offences and Penalties
Competent Labour Forum
Act No. 37 of 2020

Legal Commentary & Landmark Judgments: Section 101

Section 101 of the Code creates a statutory presumption as to employment, providing that where an individual is found inside a factory, mine, or establishment during working hours, they shall be presumed to be employed there unless the contrary is proved by the employer.

  • Reversal of Burden of Proof Regarding Employment: Creates a statutory legal presumption that anyone found on the operational premises during working hours is a worker, relieving the prosecution of initial burden.
  • Heavy Evidentiary Burden on Management: Requires the employer to rebut the presumption through clear contemporaneous documentary evidence (visitor registers, security logs, or commercial delivery passes).
  • Anti-Camouflage Measure Against Informal Employment: Prevents management from disowning unrecorded contract or daily-wage workers injured on-site by falsely claiming they were trespassers.
Key Landmark Precedents:
  • Bhilwara Dugdh Utpadak Sahakari Samiti Ltd. v. Vinod Kumar Sharma (2011) 15 SCC 209: Supreme Court warned against corporate ploys to disguise genuine employment through lack of documentation, upholding statutory presumptions in favor of working personnel.
  • Chintaman Rao v. State of M.P. AIR 1958 SC 388: Supreme Court analyzed the statutory presumption of employment in manufacturing premises, holding that management must provide cogent proof to rebut it.
  • Workmen of Nilgiris Coop. Mkt. Society Ltd. v. State of T.N. (2004) 3 SCC 514: Reaffirmed that statutory presumptions advance the protective purpose of labor welfare enactments.
Courtroom Practice & Strategic Litigation Guidance:

Establishments must enforce strict electronic biometric access control: every visitor, vendor, or contractor technician must be issued a distinct visitor smart badge with recorded entry/exit timestamps to successfully rebut the Section 101 presumption.