Section 37: Powers of inspector regarding records

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

Statutory Mandate
Chapter VII: Maintenance of Registers, Records and Returns
Competent Labour Forum
Act No. 37 of 2020

Legal Commentary & Landmark Judgments: Section 37

Section 37 of the Occupational Safety, Health and Working Conditions Code, 2020 introduces an innovative third-party audit and certification mechanism, enabling designated classes of establishments to undergo safety audits conducted by recognized, accredited technical institutions and experts, reducing governmental inspection frequency.

  • Accreditation of Independent Safety Auditors: Empowers the Central and State Governments to formulate schemes for the recognition and accreditation of competent technical audit institutions, safety engineers, and environmental consultants.
  • Statutory Certification & Presumption of Compliance: Designated non-hazardous or medium-risk establishments obtaining a third-party safety certification are granted recognized compliance status, qualifying for exemption from routine physical governmental inspections under the randomized inspection scheme.
  • Strict Penal Sanctions for Fraudulent Certification: Auditors or technical agencies issuing false, collusive, or reckless safety certificates are subject to immediate cancellation of accreditation, blacklisting, and criminal prosecution under Chapter XI.
Key Landmark Precedents:
  • Indian Council of Enviro-Legal Action v. Union of India (1996) 5 SCC 281: Supreme Court approved the deployment of specialized, independent technical institutions to monitor and audit industrial compliance, recognizing the capacity limitations of governmental regulatory machinery.
  • Research Foundation for Science, Technology and Natural Resource Policy v. Union of India (2005) 10 SCC 510: Supreme Court affirmed that third-party technical monitoring must be subjected to stringent governmental oversight to ensure audit integrity and worker safety.
Courtroom Practice & Strategic Litigation Guidance:

Medium and non-hazardous establishments should engage third-party safety auditors accredited by the Quality Council of India (QCI) or DGFASLI. Implement all audit recommendations within sixty days, secure the formal Section 37 Compliance Certificate, and upload it to the Shram Suvidha portal to secure low-risk classification and relief from routine physical inspections.