Section 41: Power of appropriate Government to exempt
Reviewed by Finin2min Editorial Desk · Last reviewed 30 August 2026
Section 41 — Defines the statutory power concerning appropriate government to exempt and the conditions attached to its exercise. Key operative text: Where the appropriate Government is of the opinion that the application of the provisions of section 40 to any class of industrial establishments or to any class of worker employed in any industrial establishment affect the…
All provisions were brought into force from 21 November 2025 under S.O. 5320(E); use the current India Code consolidation because the Code also reflects the 2026 amendment/transition framework.
Provision / India Code ↗ · Official Act PDF ↗ · 2026 Central Rules ↗
Finin2min analysis — what the section actually does
Operative clauses
- Where the appropriate Government is of the opinion that the application of the provisions of section 40 to any class of industrial establishments or to any class of worker employed in any industrial establishment affect the employers in relation thereto so prejudicially that such application may cause serious repercussion on the industry concerned and that public interest so requires, the appropriate Government…
Provisos, explanations & qualifications
- No proviso/explanation was separately extracted from this section text.
Thresholds and timelines in the text
- No explicit day/month/year/hour/percentage/rupee expression was detected in this section text.
Actors expressly appearing in the text
Employer, Worker, Appropriate Government
Full statutory text — Section 41
41. Power of appropriate Government to exempt.—Where the appropriate Government is of the
opinion that the application of the provisions of section 40 to any class of industrial establishments or
to any class of worker employed in any industrial establishment affect the employers in relation thereto
so prejudicially that such application may cause serious repercussion on the industry concerned and that
public interest so requires, the appropriate Government may, by notification, direct that the provisions
of the said section shall not apply or shall apply, subject to such conditions as may be specified in the
notification, to that class of industrial establishments or to that class of workers employed in any
industrial establishment.
CHAPTER VI
VOLUNTARY REFERENCE OF DISPUTES TO ARBITRATIONHow to apply this provision
- Primary statutory test — Where the appropriate Government is of the opinion that the application of the provisions of section 40 to any class of industrial establishments or to any class of worker employed in any industrial establishment affect the employers in relation thereto so prejudicially that such application may cause serious repercussion on the industry concerned and that public interest so requires, the appropriate Government…
- Evidence file — retain facts and records proving the role/status of: Employer, Worker, Appropriate Government.
Rules, forms and cross-references
Direct 2026 Central Rule mapping
Forms mapped
No prescribed form is directly mapped in the current concordance.
Other sections cited in this text
Related Labour Hub resources
A direct concordance is not exhaustive. Central/State jurisdiction, schemes, authority appointments, saved instruments and later notifications may change the practical route without changing the section wording.
Worked example
Suppose an industrial establishment reaches a step governed by power of appropriate government to exempt. HR/IR should create a dated file showing coverage, the competent authority/union status, required notice or application, service proof and the result. One operative text point to test is: “Where the appropriate Government is of the opinion that the application of the provisions of section 40 to any class of industrial establishments or to any class of worker employed in any industrial establishment affect the employers in relation thereto so prejudicially that such”
Illustration only; it is not statutory text or a substitute for applying the actual facts, jurisdiction, current rule/scheme and official instrument.
Q&A — Section 41
What does Section 41 of the Industrial Relations Code cover?
Section 41 — Defines the statutory power concerning appropriate government to exempt and the conditions attached to its exercise. Key operative text: Where the appropriate Government is of the opinion that the application of the provisions of section 40 to any class of industrial establishments or to any class of worker employed in any industrial establishment affect the…
What is the main legal requirement or power in Section 41?
The first operative clause identified from the official text is: “Where the appropriate Government is of the opinion that the application of the provisions of section 40 to any class of industrial establishments or to any class of worker employed in any industrial establishment affect the employers in relation thereto so prejudicially that such application may cause serious repercussion on the industry concerned and that public interest so requires, the appropriate Government…” Read it with the remaining subsections and any proviso below.
Does Section 41 contain a proviso or explanation?
No standalone proviso or explanation was extracted from this section text. Check the full text below for clause-level qualifications.
What time limit, percentage or amount appears in Section 41?
No explicit day/month/year/hour/percentage/rupee expression was detected in the official section text.
Which 2026 Central Rules are linked to Section 41?
No direct Central Rule is recorded in the current concordance. That does not exclude a relevant scheme, notification, State rule or enabling provision.
Is Section 41 currently operative?
All provisions were brought into force from 21 November 2025 under S.O. 5320(E); use the current India Code consolidation because the Code also reflects the 2026 amendment/transition framework.
Source & verification trail
Act: Industrial Relations Code, 2020 — official India Code PDF ↗
Central Rules: Industrial Relations (Central) Rules, 2026 — G.S.R. 342(E), 8 May 2026 ↗
Official library: Ministry of Labour & Employment — Labour Codes ↗
Source check: 20 August 2026. Individual professional interpretation should be re-reviewed when the section, rules, notification, scheme, State overlay or controlling judgment changes.