New Labour Codes Set to Transform Safety and Working Conditions for Petroleum Industry Workers

India’s petroleum industry, known for its high safety risks due to handling flammable hydrocarbons and toxic gases, will now benefit from significantly enhanced labour protections under the new Occupational Safety, Health and Working Conditions (OSHWC) Code, 2020. This code, enacted on November 21 alongside three other consolidated labour laws, updates and replaces outdated provisions primarily governed by the Factories Act, 1948, to better address the sector’s complex hazards.

Previously, safety regulations for the petroleum sector relied heavily on the Factories Act’s limited, factory-centric framework. This led to fragmented oversight across various operations such as exploration, fuel retail, storage, and pipeline management, involving multiple departments and scattered emergency measures. The new labour codes aim to streamline processes with risk-based inspections, single-window approvals, and online compliance systems, significantly reducing bureaucratic hurdles.

Under the OSHWC Code, petroleum companies must conduct thorough hazard identification and risk assessments before commencing operations and adhere to national standards for storing, handling, and disposing of petroleum products. Workers will now receive improved medical surveillance, including mandatory health tests before joining, periodic evaluations during employment, and follow-ups after exposure. Annual free medical check-ups for hazardous job roles are also mandated.

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Training and emergency preparedness have been strengthened as well. Workers handling dangerous chemicals must receive certification and proper safety training, while employers are required to provide certified protective gear and limit shifts to eight hours to prevent fatigue. The code also grants workers the right to refuse unsafe work and introduces guaranteed protections for vulnerable groups such as pregnant women and adolescents. Emergency response plans and mock drills are compulsory components of workplace safety under the new guidelines.

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