Factory safety must underpin India’s manufacturing ambitions and investment | Editorial Comment

India’s record on industrial accidents reinforces these concerns. According to the Directorate General Factory Advice Service and Labour Institutes (DGFASLI), registered factories reported 1,090 fatal injuries in 2023. More significantly, 338 fatal injuries attributed to gassing were recorded over 2014-23, indicating that such incidents are neither new nor unfamiliar. Enforcement capacity is another concern. In 2023, India had 630 working factory inspectors against 974 sanctioned positions. The four Labour Codes, which came into force in November 2025, provide a framework for addressing some of these shortcomings. The Occupational Safety, Health and Working Conditions Code, 2020, places broad obligations on employers to maintain safe workplaces and protect workers from occupational hazards. Importantly, its provisions extend beyond directly employed personnel to cover contract labour. However, statutory provisions alone cannot prevent accidents. Their effectiveness depends on inspection, enforcement and accountability across contractor and subcontractor arrangements. 

The consequences of such incidents extend beyond worker safety. India has been positioning itself as an alternative manufacturing destination as multinational companies diversify production beyond China. Apple’s expanding Indian supply chain, in particular, represents an important opportunity to integrate domestic manufacturers into global value chains. However, repeated incidents involving factory fires, labour disputes, environmental violations and workplace fatalities can affect perceptions of operational reliability. Accidents can disrupt production, increase compliance and insurance costs, invite regulatory scrutiny, and expose multinational companies to reputational risks. It is incorrect to assume that fiscal incentives and lower production costs alone will secure India’s position in global manufacturing networks. 

Hazardous operations must be subject to mandatory risk assessments, confined-space entry permits, gas monitoring, emergency rescue arrangements, and regular independent audits. Greater mechanisation of dangerous cleaning and maintenance activities can also reduce workers’ exposure to preventable risks. Strengthening factory-inspection capacity and improving the reporting of industrial accidents are equally important. Thus, worker safety is not merely a matter of corporate responsibility or labour regulation; it is integral to productivity, operational continuity, and investment confidence.