Posted by: Pinal Mehta on: October 13, 2008
THE BOMBAY SHOPS & ESTABLISHMENTS ACT 1948
APPLICABILITY.
n 1. The Act extends to the State of Maharashtra.
n 2. Is intended to regulate the conditions of work and employment in commercial establishments, shops, eating houses, restaurants, theatres, etc.
n 3. The Act applies to all employees (including apprentices) and also covers indirect labour, that is contract labour.
OBLIGATIONS OF THE EMPLOYER
1. Obtain a license from the authorities.
2. Display it in the premises.
3. Inform the authority of any changes.
4. Renew the license to maintain validity.
5. Opening Hours not earlier than 8.30 AM.
6. Closing hours not later 8.30 PM.
7. Working Hours: Maximum 9 hours a day and 48 hours in any week
8. Rest interval: At least 1 hour – Within 5 hours from starting time.
9. Spread-over in a CE shall not exceed 11 hours
10. Overtime at double the rate of payment for work done beyond the limits of hours of work.
11. Special provisions regarding hours of work, etc. for ‘Young persons’ (those are more than 15 years of age but are less than 17 years)
12. A paid weekly-off if employee has put in employment for 6 days.
LEAVE & HOLIDAYS
1. Leave:
a. 5 days for every 60 days worked, if the person has been employed for not less than 3 months in a year.
However, where an employee has worked not less than 240 days during a year shall be allowed leave for not less than 21 days in a year.
b. Above leave is inclusive of intervening weekly-offs and paid holidays.
c. In case of termination of service unavailed leave is to be encashed.
d. Advance of 50% of leave wages to be paid before he proceeds on approved leave.
LEAVE & HOLIDAYS
2 Holidays: January 26th, May 1st, August 15th, and October 2nd. are compulsory paid holidays under the Act.
Note: If an employee is required to work on any of these holidays he will be eligible for a compensatory holiday in addition to double the payment for the holiday on which he has worked.
IMPORTANT PROVISIONS
1. The Act brings in the applicability of:
? The Payment of Wages Act,
? Maternity Benefit Act,
? Workmen’s Compensation Act, and
· The Industrial Employment Standing Orders Act where there are more than 50 workmen.
IMPORTANT PROVISIONS
2. Notice of termination of Service: Notice of termination will be governed as under:
a. Upto 3 months of Employment: NIL.
b. More than 3 months: 14 days notice in writing (or wages in lieu thereof).
c. Employment one year or more:- at least 30 days notice in writing (or wages in lieu thereof).
IMPORTANT PROVISIONS
3. Restrictions on double employment are imposed on the employee as well as the employer.
4. Various provisions exist for maintenance of registers, records and display of notices.
THE EMPLOYEES’ STATE INSURANCE ACT & SCHEME
BENEFITS
• 1. The ESI Act,1948 provides for the following benefits to employees:
• · Sickness Benefit
• · Medical Benefit
• · Maternity Benefit
• · Disablement Benefit
• · Dependent’s Benefit
• · Rehabilitation Allowance
• · Funeral Expenses.
• 2. A Unique Multi-dimensional Contributory Social Security Scheme based on Insurance.
• 3. Coverage of employed persons as per the Act COMPULSORY .
APPLICABILITY
1. The Act is applicable to:
a. All factories.
b. Section 1(5) permits, extension of the provisions of the Act, to any other class of establishments, industrial, commercial or agricultural.
2. Although “shop” is not defined it has been held by judicial interpretation to cover an activity where goods or services are sold. No premises is necessary.
3. The Act applies to all employees drawing salary, exclusive of overtime earnings, upto Rs.10,000 per month. Rs. 25,000/- for persons with disability(Rule 50).
4. “Employee” includes:
· indirect labour (contract workers)
· trainees and apprentices other than those engaged under the Apprentices Act,1961.
CONTRIBUTIONS PAYABLE
1. Contributions based on ‘wages’.
2. Definition of ‘wages’ in Section 2(22) is very wide.
3. Contribution Rates (Rule 51):
· Employer’s Contribution: 4.75% of wages.
· Employees’ Contribution: 1.75% of wages.
Note: For payment of contributions overtime earnings are to be included.
CONTRIBUTION & BENEFIT PERIODS
1. The quantum of benefits that employees are eligible to receive during a benefit period is linked to the contributions actually paid in the respective contribution period. (Regulation 4).
2. CONTRIBUTION PERIOD BENEFIT PERIOD
1st. April to 30th. September. 1st.Jan to 30th. June
1st. October to 31st. March 1st. July to Dec. 31st.
• DUTIES OF AN EMPLOYER
The Employer must ensure to:
• 1. Register the factory/establishment. (Regulation 10B).
• 2. Complete filling the Declaration Forms the same day the employees join employment. (Regulation 11).
• 3. Submit declarations forms in Form 3 within 10 days. (Regulation 14).
• 4. Issue Temporary Identification Certificates (TIC) received from ESIC to the Insured Persons.
• 5. Assist the ESIC. (Regulation 16).
• 6. Help in issuing Identity Cards. (Regulation 17).
• 7. Issue a certificate of employment to employee who falls sick before issuance of the TIC to enable him to get treatment.
• 8. Remit the ESI contributions every month before the 21st.of the month. (Regulation 31).
• 9. Send Return of Contribution Cards within 42 days of the end of the Contribution Period. (Regulation 26). In case of Closure: 21 days.
• 10. Contractor maintains register in Form 7.
• 11. Pay 15% p.a. interest for delay/default in sending contributions. (Regn.31-A)
• 12. Pay damages, where levied, for delayed payments. (regulation 31- C).
• 13. Keep challans in proper custody. In case of contractor’s employees retain xerox of all challans. (VERY IMPORTANT).
• 14. Maintain Register of employees.
• 15. Maintain Inspection Book. (Regulation 102-A).
• 16. Arrange immediate First Aid assistance.
• 17. Maintain Accident Book. (Form 13).
• 18. Prepare and send Accident Report (Regulation 68). (Form 16).
• DUTIES OF AN EMPLOYER
IN CASE OF FATAL ACCIDENTS
In case of fatal accidents, the employer must send intimation by telegram/special messenger to:
• a. Inspector of Factories.
• b. Administrative Medical Officer, ESIC.
• c. District Magistrate.
• d. Police Station.
• e. Nearest Relative.
• f. Form 24 to Factory Inspector.
• g. Form 16 to AMO, ESIC.
• In case of fatal accidents, the employer must send intimation by telegram/special messenger to:
• a. Inspector of Factories.
• b. Administrative Medical Officer, ESIC.
• c. District Magistrate.
• d. Police Station.
• e. Nearest Relative.
• f. Form 24 to Factory Inspector.
• g. Form 16 to AMO, ESIC.
• OTHER IMPORTANT PROVISIONS OF THE ACT
1. Section 53: Bars an injured employee (or his/her dependents) from claiming/receiving benefits under the Workmen’s Compensation Act or any other law, including a claim under tort.
• 2. Section 61: Bars an employee entitled to receive benefits under the ESIS from any other enactment.
• 3. Section 68: Provides that the employer will pay twice the contribution or difference in benefits received due to default in payment of contributions by him (whichever is higher).
• 4. Section 73: Prohibits the employer from dismissing, discharging or punishing an employee who is receiving sickness, disablement or maternity benefit during such period
• 5. Sections 45 to 45-I: Wide powers given to the Corporation.
• 6. Regulation 97 deals with discontinuation or reduction of benefits.
• 7. Regulation 98 states that if the service conditions of the employer permit the employer may discharge/reduce on due notice an employee:
• · Receiving TDB for 6 months or more.
• · Receiving medical treatment for 6 months or more.
• · Receiving medical treatment for infectious diseases like TB, for 18 months or more.
BENEFITS UNDER THE ESIC
1. Rule 54 gives Table of Average Daily Wages and Standard Benefit.
• 2. SICKNESS BENEFIT:
• Except first 2 days, cash benefit approx. equal to 50% wages upto 91 days – Rule 55.
• 3. EXTENDED SICKNESS BENEFIT:
• For TB, leprosy, & Mental Diseases: upto 309 days, provided he is in employment for 2 years. (By Notification).
• 4. MATERNITY BENEFIT:
• Qualifying Period of Contribution: Min. 70 days.
• 12 weeks benefit @ twice the Standard Benefit. (Rule 56)
• 5. MISCARRIAGE: Upto 6 weeks benefit. (Rule 56-A).
• 6. Medical Bonus: Rs.250.
• 7. DISABLEMENT BENEFIT:
• Excluding first 3 days, TBD @ Standard Benefit + 40% till incapacity remains. (Rule 57).
• 8. DEPENDENT’S BENEFIT: @ Standard Benefit + 40% – Rule 58.
• 9. MEDICAL BENEFIT: Medicines from panel doctor — Section 56.
• 10. FUNERAL BENEFIT: Rs.2500 – Rule 59.
• 11. MEDICAL BENEFIT (POST RETIREMENT): For self and spouse medical benefit on payment of Rs.10 per month. Or lump-sum payment. Conditions: Minimum 5 years as an Insured Person and must superannuate. (Rule 61).
BENEFITS UNDER THE ESIC
• 12. REHABILITATION ALLOWANCE: For attending to artificial limbs centre. (By Notification).
• DEBARRING OF BENEFITS: Regulation 99A debars an IP from receiving SB or TDB on any day of strike except:
• · Where he is receiving medical treatment as an indoor patient.
• · Where he is receiving extended sickness benefit.
• · Where he is receiving SB or TDB immediately before commencement of strike.
• · Where the IP has undergone vasectomy/tubectomy operation.
THE WORKMEN’S MINIMUM HOUSE-RENT ALLOWANCE ACT, 1983.
Applicability
• 1. A State enactment to provide for minimum house rent allowance to workmen employed in Maharashtra.
• 2. Applies to factories and establishments employing fifty or more workmen in the area in which it is in force by notification. Does not cover contract workmen or indirect workmen.
• 3. ‘Workman’ in this Act means workman as defined in the I.D.Act.
• 4. ‘Wages’ means basic and dearness allowance.
QUANTUM & CONDITIONS FOR PAYMENT OF HRA
1. 1. Section 4 mandates payment of HRA not less than 5% of the workman’s Basic + DA, or Rs.20, which ever is higher,
a) provided where the service is less than a month he shall be paid proportionate HRA.
b) ‘Service during the month’ includes lay-of, any kind of paid leave, including weekly offs, lockout where wages are paid, days of disablement for employment injury, maternity leave of 12 weeks for which HRA is to be paid.
2. Where more favourable terms through agreement, settlement or award are available the workmen will be eligible for such terms.
QUANTUM & CONDITIONS FOR PAYMENT OF HRA
3. Where workmen are provided residential accommodation by the employer and a deduction is made then,
a) If the amount deducted is higher than HRA, then the deduction stands reduced to the extent of the HRA under the Act and no HRA is payable. (Section 4[4] a)
b) If the amount deducted is lesser than the HRA payable under the Act, the HRA payable will stand reduced to the extent of the deduction and the balance shall be paid to the workman. (Section 4[4] b)
c) When free accommodation is provided, and no deduction is made, then no HRA is payable. (Section 5).
4. In case of non-payment of HRA application can be made to the Controlling Authority (CA). The CA after giving opportunity to the applicant and the employer can determine the HRA payable and issue directions as required.
5. In case of a dispute regarding HRA such dispute shall be deemed to be in industrial dispute under the ID Act and the provisions of such Act shall apply.
6. Section 8 read with Rule 4 provides for registers and records to be maintained and permits records already maintained by the employer to be adequate compliance.
Regards,
Pinal Mehta
Its very help full for the person who planning to gt in HR.
Thanks..
Hi Pinal,
Our office was recently inspected by Shop & Establishment Inspector. We count not produce Attendance Register (Mustard Register).
He made one report & took sign on same.
We are total 3directors.
Let me know what will be penalties for not maintaining same
good 1
THE WEBSITE IS INDEED VERY INFORMATIVE AND THANKS A LOT FOR ALL SUCH INFORMATION S.
HOWEVER, I WANT TO KNOW WHETHER A CENTRAL GOVT. ESTABLISHMENT LIKE, FOOD CORPORATION OF INDIA, ALSO COMES WITHIN THE PURVIEW OF THE BOMBAY SHOP & ESTABLISHMENT ACT 1948.
WITH REGARDS,
SANJAY K PAUL
FOOD CORPORATION OF INDIA
IN THE HIGH COURT OF JUDICATURE AT BOMBAY
CRIMINAL APPELLATE JURISDICTION
CRIMINAL WRIT PETITION NO. 1232 OF 1995.
1. M/s. A. F. Ferguson & Company,
Chartered Accountants,
A Partnership Firm registered under
the Indian Partnership Act, 1932,
Having its Head Office at
Allahabad Bank Building, Bombay Samachar
Marg, Bombay – 400 001.
2. Mr. Rangaswamy Subramaniam,
Senior Partner,
M/s. A. F. Ferguson A Company
Having his Office at
Allahabad Building, Bombay Samachar
Marg, Bombay – 400 001.
3. Mr. Y. M. Kale, Partner,
M/s. A. F. Ferguson & Company,
having his office at Maker Towers,
“E”, Cuffe Parade, Bombay 400 005.
4. Mr. V. Swaminathan, Partner,
M/s. A. F. Ferguson A Company
Having his Office at
Allahabad Building, Bombay Samachar
Marg, Bombay – 400 001.
5. Mr. B. P. Shroff, Partner,
M/s. A. F. Ferguson & Company,
having his office at Maker Towers,
“E”, Cuffe Parade, Bombay 400 005.
6. Mr. K. M. Powvala, Partner,
M/s. A. F. Ferguson A Company
Having his Office at
Allahabad Building, Bombay Samachar
Marg, Bombay – 400 001.
7. Mr. F. M. Chinoy, Partner,
M/s. A. F. Ferguson A Company
Having his Office at
Allahabad Building, Bombay Samachar Marg, Bombay – 400 001.
versus.
1. The State of Maharashtra.
2. Mr. R. K. Prabhu, Senior
Inspector, Shops & Establishments,
Municipal Corporation of Greater
Bombay, having his office at “A” ward Municipal Corporation of Greater Bombay.
Shri. J. P. Cama, Senior Counsel with Shri. Ganesh
S. Shetty i/b M/s. Crwford Bayloy & Company for the
petitioners.
Shri. A. A. Kumbhakoni, Associate Advocate General.
Shri. D. S. Mhaispurkar, APP for the respondent no.1.
Shri. R. T. Walawalkar i/b Ms. T. H. Puranik for the
respondent no.2.
CORAM: S.B.MHASE, &
S.R.SATHE, JJ.
DATE : May 5, 2006.
Oral Judgment (Per S.B.Mhase,J.):
1. The petitioners have invoked the jurisdiction of this Court under Article 226 of the
Constitution of India challenging the provisions of Section 2(4) of the Bombay Shops and Establishments Act, 1948 and the Bombay Shops and Establishments Amendment Act, 1977 in so far as they seek to include the establishments of “Accountants” within
the definition of “commercial establishment” and thereby prayed for declaration that the provision is unconstitutional. The petitioner has also prayed for a writ of certiorari, or writ in the nature of certiorari or order or direction calling for the records and proceedings of the Criminal Case No. 53/SEM/1995 registered before the Metropolitan
Magistrate, Esplanade Court and after going into the legality, validity and propriety of the same to quash the criminal Case No. 53/SEM/95 registered against the petitioner Nos. 2 to 7.
2. Initially the petition was filed as against the respondent nos. 1 & 2. However, by
order dated 18th October, 1996 passed in Criminal Application No. 1556 of 1996, the Audit Employees Union, (a Trade Union registered under the provisions of the Trade Unions Act, 1926) was added as a respondent No.3. But by order dated 11.12.2004, in view of the by consent minutes of order between the petitioner and respondent no.3,
the name of respondent no.3 was deleted. The said minutes of order were accepted by this Court by order dated 11.12.2004. Thus, it is clear that the respondent no.3 Audit Employees’ Union is not a party to this proceeding, though at one stage it wasjoined as a party – respondent.
3. Petitioner no.1 is a partnership firm of the Chartered Accountants registered under the
Indian Partnership Act, 1932 having its head office at Allahabad Bank Building, Bombay Samachar Marg, Mumbai and other offices in Mumbai situated at Express Towers, Nariman Point and Makers Towers, Cuffe Parade, Colaba. The petitioner nos. 2 to 7 are the partners of the petitioner No.1 firm and each of them is a Chartered Accountant recognised by the Institute of Chartered Accountants of India.
4. The Criminal proceeding was instituted against the petitioners by 2nd respondent in the
Court of the Metropolitan Magistrate, Esplanade bearing No. 53/SEM/95 for alleged contravension of the Bombay Shops and Establishments Act, 1948 to the following effect:
(i) Failing to register under the Act as a ‘commercial establishment’,
(ii) not maintaining a register of employment in the prescribed form, and
(iii) Not maintaining the visit book for inspector to record his remarks.
This criminal case is filed as against the petitioners in the following circumstances:
.
In the result, petition is allowed in the following terms.Provisions of the Amending Act, viz., Maharashtra Act 64 of 1977, in so far as that include establishment of Chartered Accountant / Accountants within the definition of “commercial establishment” in Section 2(4) of the Bombay Shops & Establishments Act, 1948 (Bombay Act No. LXXIX of 1948) are unconstitutional and they are struck down. The proceedings of Criminal Case No. 53/SCM/1995 registered before the Special Metropolitan Magistrate, Esplanade Court against the petitioners are hereby
quashed.
Rule made absolute.
There shall be no order as to costs.
(S.R.SATHE,J.) (S.B.MHASE,J
I am working in a MNC (uk based) and our new leave policy has revised wherein we are getting 21 PL 10 EL AND 9 holidays. Our leave policy has revised in a such a way that we can choose any of the 9 holidays which includes our indian holidays (public and national) and 9 uk holiday. Now out of these holiday choices they have chosen all 9 uk holidays and if i will work on 26th jan then i will get 1 days extra salary and they will reduce 1 holiday from the chosen list and if i will take leave then too it will reduce 1 day holiday from chosen list but i need to work on uk holiday so i will have 8 balance holiday in my kitty and 1 comp off which i earned by working on 26th they i will have to utilised this COH against 1 uk holiday. Is this the correct procedure of handling leave policy. Please confirm. Your help in this case is highly appriciated.
VERY VERY useful… Thank you SOOOOOO much !!!
respected sir,
your site and advice is very useful and i am very thankful to you for the same .I need your advice on benifit a employer can get after getting register with maharashtra shop and estabilshment act 1948.
thanking you ,
regards,
Rakesh
When I see the receipt of Shops & Establishment for Renewal Period 2007-2010, there is the following break-up.
Trade Refusal Charges SNE: Rs. 7200/-
Difference in TRC: Rs. 2700/-
Renewal Fees SNE: Rs. 2400/-
Difference in Reg Fees: Rs. 900/-
Late Fee for Shop & Establishment: Rs. 300/-
Total Amount: Rs. 13,500/-
Total number of employees: 6
Can you advise what are these different charges? Are these correct?
This year (2010) to renew the registration BMC has told us that total charges would be Rs. 8500/-. Are these charges correct?
Please tell me how to renew/ get new licence of Shop Act in Pune (Maharashtra)?? What is the fees for that? is there any additional fees? what are the forms? from where to get it ? where is the office in pune?? Please help………..
Shashikant..
Hi,
Want to know in a private limited company, how many minimum public holidays need to be sanctioned (10, 15, 21 … any other?) Please advise
Dear Pinal,
Hi Pinal,Wanted to know if if a firm involved in construction business is required to comply with shop & establishmant Act?
i need form for the concellation of license of shop and establishment
pl guide me in this content
thnks
Whether Bombay Shop & Establishments Act, 1948 is applicable to firm in which HUF is proprietor.
Whether Educational Institutes are covered under the Shops and Eastablishments Act of Gujarat?
I want to konw about the shop & estabishment act, & his registration procedure for educational Sector, ICFAI is a Education institute. Head offices is located in Hydrabad, It is UGC recognised university.but our office in Mumbai Malad,
This is Education Sector, and Specially it is Univeristy, so it is requier for registration for Shop and Establishment registration as per Shop and Registration act 1948.
Please guid me about this.
Prashant
we are a small garment manufacturer and opening francise business in different location in the name local interested applicant.so help me how to apply for shop & establishment act in mumbai. though lease agreement license in the name of francisee.
I need to start a car rental business.
Kindly let me know what licence is required for starting the same & any other formalities to be compeleted.
Hi Pinal,Wanted to know if if a firm involved in construction business is required to comply with shop & establishmant Act?
Pinal,
Which is the concerned authority for Navi Mumbai for obtaining the lisence under Shop and Establishment Act?
Bhanumathi
The site is helpful. I request to reply by mail to the following query:
Is there any statutory leave rules applicable for PVT LTD COs located at Gujarat State?
If yes, please specify or mention the site to refer.
If no, is there any minimum nos of days of CL/PL/SL applicable to me as I have already completed 2.5 yrs working with the same pvt ltd co located at Gujarat State?
What is the fine for late payment of shop and establishment licence fee ?
Dear Pinal,
I found your website very useful to people like us who have no knowledge on shop and establishment act. Now, I would earnestly request you to award priority to my queries and correctly advise us and guide us as to what exactly we need to do to set up a branch office in Kharghar in Navi Mumbai (raigarh district). The company is in recriotment business and currently doing local business in haldia, west bengal. The company applied to Ministry of Overseas Indian affairs, New delhi for issuance of license for overseas recruitment. The license may be in hand within a month or so. But in the meantime they want to open a branch office and so selected kharghar in District Raigarh in Navi Mumbai in Maharashtra. Now to carry out business what statutory registration is required and with which authority (Please inform the office address and contact nos). This branch office initially will have only 3 to 4 employees including one Executive Director appointed already. Please urgently advise us what all we should do to carry out the business in Kharghar? If you can recommend someone who will assist us in completing all the formalities against a reasonable fee so that we can start business activities, then please let me know his name, address and contact nos.
Please response as early as possible.
Best regards,
P. mitra
Hi,
I am an HR Exec at a company having its HO in mumbai and warehouse in Pawne(New Mumbai). whats the procedure to register the warehouse in pawne under shops and establishment as per the Navi mumbai muncipal corporation and what are the charges.
Dear Pinal,
You are helping many and so we expect that you will help us also by advising us properly considering the law of the country and Maharashtra State. We have HO in West bengal and we want to open a Branch office in Kharghar in Navi Mumbai (raigarh districy). Please advise us what all we have to do to open an office in Kharghar and what registrations we must do to carry out the recruitment business and who to approach and where to go for complying the formalities? Can you recommend someone in Kharghar who can do all the formalities and submit returns etc on the behalf of the company? This is very urgent and important. Please help
Dear sir,
I am taking classes on Computer courses from last 2-3 years in one of residencial housing sty, I have purchased required softwares & computer equipmets from a registered dealer. Now I want to get register with Shops & Establishment act, 1948.
Shall I get registration on back dated? if possible…
What are all documents are required to submit for said registration?
i just want to know about what is the intrest and penalty for 12 years delays renewal of bombay shops and establishment act 1948?( gumasta licence)
We have 24 coverable employee (Below Rs.10,000/-) as details give below:
Mumbai – 9 Employee.
Delhi – 8 Employee
Chennai – 3 Employee &
Bangalore – 4 Employee
Also we registered under shops & Establishment Act.
Please confrim whether we are covered under ESIC Act Section (1(5) of ESI Act.
Please send notification of above section & queary.
Shailesh J. Kushwaha
Dear Sir,
Our Shop is registered under Shop & Est., with 5 staff.
One year ago Our one staff with Salary 3500.00pm left our office without any notice, after 4-5 months he come with a so called GUMASTA UNION and demands money.
The worker work only 13 months in salary basis. before that hw work in contract basis and earned more than 5000.
We say that union That we have not say taht staff to go, he joined other service, why we give money. After many discussion they say they go to court, we also say go.
Sir,
Is any libility of us, if they go to court. ?
Dear Pinal,
The Shops and establishment Act had an amendment whereby Section 35(4) was introduced. I need the Government Gazette copy of the same which says about the National Holidays of India
SIr,
can you please guide me about penal proviisons on non registration of establishment under Bombay SHop and establishment Act
wanted to know about the penalty in case of delay in filing application for obtaining registration certificate under shops & establishment act, 1948?
Hi Pinal,
Wanted to check.. What is the PL accumulation limit as per Gujarat shops and establishment act..I am a HR manager in one of the multinational company..
Need your advise..
regards,
how to pay the bonus to the employees as per shops and establishments act? and what is the minnimum and maximum bonus?let me know the ful and final details about bonus
Dear Ms Pinal,
I am an employee of a 1000 crore pvt ltd company in Bombay.
Last year when I joined this company it didn’t disclose me the fact that any leave would be without pay and gave a Leave pay allowance as a part of negotiatied CTC which wasn’t disclosed earlier before joining. Now this year they have included 16 days paid leave and still continuing with some Leave pay allowance which is half basic per day. With my limited knowledge of rules I gather that it still is illegal not to give 21 days leave per annum. Besides there are no Cl/SL too. Pls guide me what could I do about this?
Thanks,
Kaushik
I work in a BPO in pune.
So as I understand, if we are working 10 hours shift with 1 hour break(15 mins +15 mins +30 mins), our working hours are 9.5 hours as rest periods below 20 mins needs to be compensated by the employer.
And 30 mins is our rest period which are not considered in our working hours. So instead of 30 mins if we take 32 mins of break unintentionally, can we be given a written warning letter since those are not our working hours and we can compensate by working 2 mins more by the end of the day.
Also can a company terminate an employee for not taking company provided transport (travel from home to office, which again does not come under our working hours). As I understand employees are free to do whatever they wish outside the working hours defined by the company. So we may or may not take company provided transport without any previous intimation. And company/employer cannot/should not take any action against such employee for this reason.
If an employee is terminated, where can he appeal against the same.
What is the definition of a “worker” under the Bombay Shops & Establishment Act? Is or, are, there any exempted category? Is registration required if an office employs only Executives or does an establishment falls under the BS&E Act if all employed are Executives.
Sir,
I am going to start my own tax consultancy with my own name and do’nt want to give firm name or else …please suggest me how to establish it or what legal procedures have to be complete for that . and also wanted a complete guide for “Gumasta”/ Shop Act and Establishment licence…where th office is on Rental . My Qualification is M.Com and having 5 yrs accounting exp . as well as taxation .
Hi Pinal,
Do chemist shops in Mumbai have to remain closed on any specific day as per the Bombay Shops and Establishments Act?
Or can the chemist shop decide its weekly off day (example – remain closed on Sundays) ?
Thanks
I am confused with your leave rules stated above.
I have employee who has worked for 4 months 6 days and resigned, he is asking for leave enchasment , is he eligible ? we have deducted any leave that he has taken during his service period.
Please note he has not worked for 240 days.
Also please clarify what are leave rules under Bombay Shops & Establishment Act 1948
we are registered under bombay shops and establishments act 1948 having office at goregaon east
How may proprietroship firms can be registered at a same shop if incase i already have a pvt ltd company running at the similar shop. can i register 4 more proprietorship firms at the same address?
Pls Advice.
I have a diagnostic centre in Mumbai. Plz let me know is S&E is applicable. in case rqd and since I have not registered what is the procedure. Plz keep in mind that when I converted my premises from residential to commercial change of user BMC did not insist on S&E Certificate.
Thanks,
Dr.Panchmatia
are private hospital employees come under esi act 1948
Hi Pinal
I am in the process of establishing an educational institute to train people in Cyber Laws. Do i need to register it?if yes under what law. please guide
Addendum:They ahve only 3 employees in the said firm
Hi Pinal,
My Friend works for an Interior Designer Firm in Thane. He does not get any leaves on days like Gudi Padwa etc. Also they work six days a week for 9 hours each day. Moreover he is not easily allowedfor taking any leave on account of sickness etc and salary is deducted for any leaves taken. Is it justified on the part of the firm to do so. What are the rights of the employee in this case.? Can they claim any Bonus also?? Please answer
Warm Regards
I want to know the law which will be applicale on service rendering firm having more than 20 employee in Mumbai.
How may days leave to be granted statutorily and whether there are provisions for sick / casual leave in addiition to PL’s?
Kindly provide details
Regards
M K Jain
I FOUND THAT IT IS VERY USEFUL & BENEFICIAL SITE.I WANT TO KNOW THE DETAILS OF VARIOUS TYPES OF ESTABLISHMENT”S LABOUR LAWS WITH THE STATUTORY COMPLIANES.
WITH REGARDS
NARESH KULKARNI
our staff no of employess 24 are we applicalble for ESIC
Hi Pinal Mehta,
Thanks for the solving queries.
My Question is I am coming up with a playschool in Pune, is this necessary for us to take shop and establishment act for the same. Total number of staff is 10 and each one have salary below 10000. Please guide me and let us know the same to avoid further problems.
Many thanks
Vivek Jain
Hi,
I would like to know,in a IT company based in Mumbai would it be fine if employee working in Shifts works for 12Hrs for 4 days in a week and makes it no more than 48Hrs in a week.
Would this be inline with the Bombay Shops and Establishments Act ?
We are a poona based company engaged in construction business having employees in between 5-10. Is the hop and establishment applicable to us.
besides thar are we required to take anymore regn.
We have already Service tax regn no.
PLEASE SUGGEST ME WHETHER THE TRANSPORTATION SECTOR COMES UNDER THIS ACT OR NOT ??
What other benefits other than Basic + DA should be paid to People working as Data Entry Operators in Mumbai? Are Bonus & any other allowance applicable?
Hi Pinal,
I want to know that is the trust required shop act licence. if yes then is there any written notification for that pls provise it to me.
Regards,
Pallavi
To add to the above..are the rules same for NMMC(Navi Mumbai) as well?
How long does it take to get a licence? What are the charges involved for the same? If i have a name written in English and a smaller font in marathi is fine?
pl let me know the provision of encashment of leave in the law.
I would like to know the provision of encashment of leave in the law.
I have not registered with BOMBAY SHOP AND ESTABLISHMENT.
I am running software firm (PROPRIETORY – LESS THAN 5 EMPLOYEE). Since we are dealing in profession that involves intelligent skills CONTROLLIED BY INTELLECTUAL SKILLS. (LIKE CA FIRM WHO ARE NOT SHOP UNDER BOMBAY SHOP AND ESTABLISHMENT, AS PER COURT’S ORDER BY MS A F FERGUSON AND COMPANY on same ground). AM I LIABLE TO REGISTER.
If I am liable to register, what are the penalty i will have to pay.
Dear Pinal Mehta,
I want to know that if a person doing accounting work in his own office, not by any firm name.
He get shopact license
Please guide as soon as possible.
Thanks,
Pratyush
Dear Mr. Pinal Mehta,
As per the Bombau Shop and Establishment act, what are the form (details)to be maintained in the office.
Is these details can be maintained in electronic form, for that permission is required from the authorities.
Regards,
Sanjiv
Hi
I would like to know as how the leaves are bifurgated into i.e. CL, El or Pl & SL.
what are minimum and maximum days allotted to these said leaves as per Bombay Shops and Establishment Act 1948.
As I am drafting the leave Policy for my company.
Awaiting for reply at earliest.
With Warm Regards,
Nitendra Parab.
Hi,
Would like to know the implications of Bombay Shops and Establishment Act ,1948 on hospitals or healthcare organisations.
regards,
Dr Hitesh Bhaskar
Hi,
One place of business is inside a building and we have a nameboard outside our door in English. The BMC Officer came and asked us to put up a signage in Marathi which we did the next day.
Now he is asking for a bribe of Rs. 8000, saying that we can be fined upto 60000 (we have 3 partners in that firm)
Please can you tell us what exactly are the implications of this ? Where do we stand in law and what is the penalty for this ?
Thanking you in advance.
i just want to know about what is the interest or penalty charge for delay registration under bombay establishment act?
What is the defination of employer as per act. If our chairman/CEO is getting change in the month of Dec & we have apply for renovation of Bombay shop & Establishment license which name we should mentioned?
Hi!
Would like to know – is software/ IT co. having its ofice in STPI area, is liable to have standing orders. is there any provision as per THE BOMBAY SHOPS & ESTABLISHMENTS ACT 1948 or any applicable law?
Hi,
Would like to know It companies comes under which Act. with respect to provide equal working opportunities for employees.
Regards,
KK
Dear,
I want to know it is necessary to register in Municipal corporation for shop and eshtablishment. my organisation is consultancy services. reply me please.
Sameer
how to pay the bonus to the employees as per shops and establishments act? and what is the minnimum and maximum bonus?let me know the ful and final details about bonus
In our organisation we have employee whoSE wEEKLY oFF is Sunday . So when they are asked to work on Sunday , we pay 1 day salary for working on Sunday and Also give one Compensatory OFF. iS IT CORRECT ?
August 2, 2011 at 5:37 pm
Dear Sanjay,
Sorry for the inconvenience caused in the delayed reply.
Attendance register is a must for every organization to be maintained under Shop and Establishment act.
But in case you can also seek permission from the labour department to keep electronic data (i.e in form of excel sheets)
That will ease situations for you. Dont worry this might be just one time warning. I request you to keep it updated for future and see to it that all compliance are due taken care off.