This paper analyses the role of the Internet of Things in increasing worker safety and productivity as well as improving performance appraisal methods in the factory setup. Analysis of productivity levels has been carried out for workers in a steel plant on the basis of data collected from IoT tags. The study depicts how IoT can allow workers to perform tasks smoothly in their respective areas of expertise, along with a robust system of communication. By preventing accidents and boosting productivity, a win-win situation is created for workers and their families, as well as for factory owners and their clients.