Shop and Establishment act in India
General store in India.

Shop and Establishment Act, 1953 is one of the statues which enacted for the regulation of the business world inclusive of non-organised business. The department of labour has the duty and power to regulate the business and commercial field, such responsibilities made such enactment. And the statue mandates every state to enact the legislation to regulate the shops and commercial entities which are all falling within the territorial limit. The act not only empowers the state to regulate the shops, trade, business it also includes the charitable trust, educational institutions, societies which are working for gain or profit and also includes banks, stock brokerage premises etc.

The main objectives are to regulate and monitor the unorganised sectors, employer’s conditions and their rights, working environment etc. by regulation the work timings, attendance, wages, opening and closing time, intervals, leave procedure etc. will be governed by such enactments. However, the provisions and regulations may differ from state to state, based upon the local condition and needs. The general definition for the shop means the premises of carrying out the selling of goods and services for the customers and the places includes of warehouses, godown etc. may add any other premises by notification or in their enactment. But expressively excluded factories from the shop and factories establishment. The general areas covered by the enactments were the opening and closing hours, work timings, leave policy, wages with respect to the minimum wages act, prohibition of child employer, accidents and precautions, lightning and ventilation, record keeping, closing days, dismissal, cleanliness, weekly holidays, etc.

The procedure for shop and establishment registration may differ from state to state but generally, there will be a chief inspector to inspect and issue the report for registration and also to surveillance the shops and establishment periodically. The owner or occupier will file an application within 30 of such shops comes operational, the chief inspector who authorised under the act, will go for inspection by analysing the shops and establishment, the policies, employers and other conditions mandates by the statue, once satisfied may issue the certificate of registration. The application for registration contains the name of the employer, the address of the owner and the shop, name of the establishment and category of it, the employer’s details and other relevant may be prescribed by the statue.

The fee also needs to pay for registration such thing will be fixed by the state government or local authority. If the shop and establishment closing means need to inform inspector regarding such closure within in 15 days. On failing to comply with any expressed requirement the authority may impose penalties also, such penalty will be fixed by the government.

The need and use of such enactments were for the regulation of the shops and establishments, for the welfare of the employee, for the obligation of the employers, powers and duties of the chief inspector and the core objective to regulate the unorganised sectors, because most unfairness and violations are happening in such sectors only so in order to monitor and control over such activities.


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