As per Factories Act, 1948 a Factory means any premises where in 20 or more workers are working to carry out a manufacturing process with the aid of powers OR whereon 40 or more workers are working to carry out a manufacturing process without the aid of power.

Also Government has made this act applicable to power looms, saw mills, certain industries which use hazardous chemicals, and certain processes carried out using flammable solvents by publishing a notification, even if the number of workers are less than 10.