The Model Shops and Establishment Bill 2016
The Model Shops and Establishment Bill 2016
BiII
to rnitend antl coitsolidate the la$s relrting to regllation of enployment and athei
conCttions of service of workers emploted in shops und establishments ai:d
for rintteN connected therevith or incidentaL thereto.
- CHAPTER I
PRELINIINARY
(3) It shall come into lbrce on such date as the State Govemment may, by
notification in the Official Gazette, appoint.
(c) "employer'" means an ownet ol' a pe$on r'vho has ultimate control
over the affairs ofa shop or an establishment, and includes-
(l) in the case ola firm or association of individuals, a partner or
member ofthe firm or associationl
to whom the provisions ofthe Factories Act, 1948 does not apply;
63 of 1943.
(g) "shop" means any premises lvhere goods are sold, either by retail
or wholesale of whefe sewices are rendered to cilstomers, and includes an
office, a store-room, go-down, warehouse or workhouse or lvork place for
distribution or packaging or repackaging or finished goods is canied on; but
does not include a shop attached to a factory where persons employed in
63 of 191S. such shop are allorved the benefits provided under the Factories Act, 1948;
(l)
any bonus, which does not form part of the remuneration
payable under the terns ofemployment or which is not payable under
any award or settlement between the parties or under any order of a
court;
3. (.r) The provisions of this Act shall not apply to- lJ#',t;;:lll:1o
1a1 a lvorker occupying position of confidential, managerial or prcmises
(2) A list of the rvorkers refened to in clause (a) of sub-section (/) shall be
displayedonthelvebsiteo|theshoporestablishmentandinabsenceofthe
r,vetsite at a conspicuous place in the shop oL establis6ment and a copy t6ereof
shall be sent to the FacilitatoL'
4, Nothing contained in this Act shall adversely affect any right or privilege Cenain righls and
privileges notto bf
to which any worker is entitled, under any law, award, agreement, contract, custom affected.
or usage for the time being in force.
CHAPTER II
REGISTRATION AND ISSUE OF LABOUR IDENTIFICATION NUMBER
(2) Every shop and establishment, employing ten or more workers, shall
make an application for registration to such authority and in such form and maruner
as may be prescribed.
Provided that such shops and establishments shall, within a period of six
months from the commencement of this Act, obtain a l,abour Identification
Number in such manner as may be prescribed.
CHAPTER III
DUTIES OF EMPLOYER
safety (inciuding cleanliness, lighting, ventilation anci prevention of fire; of the 'uo'k"'
(2) Every employer shall be responsible for providing constant and adequate
supervision of the lvorkers employed in the shop or establishment and to enstre the
compliance with the rules relating to heaith and safety made under sub-section (1)
and for taking steps necessary to prevent accidents.
8.(1) No adult worker shall be required or allolved to lvork in a shop or Fixing ofhouls of
*o{ and spread
establishment for more than forty-eight hours in any week and nine hours in a day
and no rvorker shall be asked to work continuously for more than five hours unless
he has been given a break of not less than halfan hour:
Provided that the working hours or of rveekly rest may be relaxed in case of
lvork ofurgent nature lvith the previous pennission ofthe laciiitator,
(2) The total number of hours of rvork in a shift includLng the rest inten'al
shall not exceed ten and half hours in any shop or establishment and in case a
worker is entrusted lvith intermittent nahre of rvork or urgent work, the spread
over shall not exceed t\,r'elve horus.
(3) Arly lvorking hour beyond nine hours a day or forty-eight hours a rveek
shall be treated as ovedime and the total nr-mber of overtime hours shall not
exceed one hundred and twenq-five hoLrrs in a period ofthree months.
(6) provide for a day of rest in every period of seven days r,vhich shall
be allorved to all the workers ernployed in the shop or establishment and for
the payment ofremuneration in respect ofsuch days ofrest.
(5) The provisions of sub-sections (1) and (7) shall, in relation to the
follor.ving class of workers employed in such shop or establishment, apply only to
such extent, and subject to such conditions, as may be prescribed, namely:-
(c) rvorkers engaged in any lvolk which for iechnical reasons ltas to be
completed before the day is ovet;
and forty-eight hoLus in a week, he shall be entitled to wages at the rate of twice
his ordinary rate of rvages or such higher amount as may be prescribed.
10. (1) A department or any section of a departmenl of the shop or Shill !r'orkingand
GSt.
establishment may lvork in more than one shift at the discretion of the employer
and if more than one shift is lvorked, the rvorker may be required to rvork in any
shift at the discretion ofthe employer.
1J)A shop or an establishment may rvork on all days in a rveek subject to the
condition that every r.vorker shall be allorved weekly holiday ofat least hventy-four
consecutile hours of rest.
(J) The period and hours of rvork in a week lor a1l classes ofrvorkers in such
shift shall be informed to all workers in rvriling and shall be sent to the Facilitator
electronically or other*'ise.
CHAPTER IV
LEA1IE AND HOLIDAYS
11. (1) Everv lr,orker shall be allolved a rveekly holiday with rvages: Anlurl lerve, clsual
nfil si,:k learc and
orlrerholidovs.
Provided that the State Govemrnent may, by nofification, fix difi'erent days
as rveekly holiday for different class ofshops and establishments or areas.
(2) Every rvorker shall be entitled to eight days' casual leave rvith lvages ir
every calendar year rvhich shall be credited into the account of the rvorker on a
quarteriy basis.
(3) Every rvorker rvho has rvorked for a period of trvo hundred and forty days
or more in a shop or establishment during a calendar year shall be allorved during
the pubsequent calendar year, leave lvith rvages for a number of days calculated at
the rate of one day for every t,,venty days of lvork pedotmed by him during the
previous calendar year.
(5) Where the employer reftlses to sanction the leave due ivhen applied
fifteen days in advance, then the lvorker shall have a right to encash tlte leave in
excess of fody-five days:
(b) in Lhe case of a female worker. the mrtemity Ieave under the
jjo e6l provisions olthe Matemity Benehts Act, 1961;
(c) the leave eamed in the year prior to that in r.vhich the leave is
avaiied; or
(B) The leave admissible under sub-section (i) shall be erclusive of all
holidays rvhether occuning during or at either end ofthe period ofleave,
Ci{APTER V
WELFARE PRO'TSIONS
12. Everl employer shall make effective anangements to provide and Drinkins $rrei.
maintain at suitable points conveniently sitLrated for all persons employed in the
shop or establishment, a sufflcient supply ofwholesome drinking rvater.
13. Every employer shall provide sufficient iatiine and urinal for male and Latrines a'd urinals.
14. In every shop or establishment rvherein thirty or more woman workers or criche hcilig.
fifry or more workers ate ordinarily employed, there shall be provided and
maintained a suitable room or Iooms as crdche for the Ltse of chiidren of such
ivoman workers:
15. Every employel shall provide at the place of work first-aid facilities as Fid-aid
may be plescribed.
16. l'he State Govemment shall LeqLrire the empioyeL to provide and canreen
maintain in lhe sbop or establishment, lvlterein not less tltalr otte hundred lvorkets
are empbyed or ordinarily ernployed to tnaintain a canteen for the use of its
rvotkers:
Provided that if a group of shops or establishments, so decide to provide a
common canteen, then the same shali be permitted by the Chief Facilitator by an
order, subject to such conditions as may be specified in the order.
CI{APTER \T
FACILITATORS.f\D THEIR POIVERS AND FUNCTIONS
17.(1) The State Govemment may. by notification, appoint such persons as Aopoinlnentof
ChiefFacililaior and
possess the prescribed qualification to be Facilitator for the puposes 0f this Act Fccililalo|s and tleir
and may assign to rf enr such local limirs as it mry rhn-k fir. polltf5.
(2) The State Government may prescribe a scheme for inspection of shops
and establishments rvhich shall provide for generation of a rveb-based inspection
schedule.
(3) Every Facilitator and Chief Facilitator appointed under sub-section (1)
li of I360 shail be deemed to be public senant rvithin the meaning ofsection 21 ofthe Indian
Penal Code and shall be officially sLrbordinate to such authority as the State
Govemment may specifr in this behalfl
Provided that no person shall be cornpelled under this section to answet arry
question or give any evidence tending to incriminate himself.
(5) Any person Lequired to produce any document or to give any infonnation
reqL red by a Faciiitator rurder stib-section (4) shall be deemed to be legally botrnd
1i {rl 1860
to do so lvilhin tlie rneaning of sectiott 175 and section 176 oithc Indian Penal
Code.
: of 197{. (6) The provisions of the Code of Criminal Procedure, 1973 shaii, so far as
ma"v-' be, apply t0 the search or seizure under sub-clause (c) of clause (ll) of sr.rb_
section (l) as they apply to the search or seiare made under the adhoriry of a
tvanant issued under section 94 ofthe said Code.
CI{APTER YII
RECORDS AND RXTURNS
18.(1) Every employer shall maintain such registers and records as may be Ilainta|lance of
prescribed, reglsErcn0 tec0tcs
CHAPTER VIII
OFFEIiCES AT\D PENALTIES
20.(1) Whoever contravenes the provisions of this Act or the niies made Penalry ior
thereuntler shall be punishable ivith fine r,vhich may e\tend to hvo lakl nrpees and contnvention of
provisicns ofthis
in the case of ai coniiiruing conhavention, rvith an additional line rvhich may extend
io h\'o thotisand r:upee's foi crery dav duriug rvhich such contravention continues:
Provided tirat the total aixoiint of l.ile shall not exceed trvc thousand rupees
per rvor:ker empioyeri.
1J1 If any person who has been convicted of any offbnce punishable under
(/) is again guilty of an offence involving a contravention or lailure of
sub-section
compliance of the same provision, be shall be punishable on a subsequent
conviction with fine rvhich shall not be less than one lakh mpees but rvhich may
exrend io five lakh rupees.
21. Save as is otherwise expressly provided in this Act, r.vhere an employer Pencny for
conlnven on ofihe
on being held guilty of contravention of any of the provisions of this Act or any pmvisionsofthis
mles made thereunder lvhich has resulted in an accident causing serious bodily Act which rcsulred
in accident
injury or death of a wolker, shall be pLrnishable r,vith impLisonment lvhich may
exlend to six months or with hne which shall not be less than trvo lakh rupees
which may be extended to five lakh mpees or rvith both.
22,(1) trVhoever wilfully obstructs a Facilitator in exercise of any power.s Penoty lbr
obsttucliol1s refirsnl
conferred on hin by or under lhis Act ol refuses or r.vilflllly negiects to alford the r0 pr0vl0eregrsrcr,
Facilitator any reasonable facility for making any inspectiol, examination, inquiry atc.
Provided that the total amount of fine shall not eKceed fw-o thousand rupees
per worker employed.
23,(1) No Court shall take cognizance of any offence punishable under this Cognizonce of
Act and the rules made thereunder unless a complaint in respect thereof is made by oflences
the Facilitator r,vithin three months ofthe date on which the aJleged commission of
the offence came to the knowledge of the Facilitator and d complaini is filed in that
regard thereby:
Provided that rvhere the offence consists of disobeying a rvritten order made
by a Facilitator, complaint thereof may be made rvithin sir months of the date on
rvhich the offence is alleged to have been committed.
punishable r.vith imprisonment only, or rvith imprisonment and also with fine, may,
on an application ofthe accused person, either before or after the institution ofany
prosecution, be compoLnded by a Gazetted officer. as the State Govemnent may,
by notification, specify, for a sum of fifty per cent. ofthe maximum iine provided
for such offence. in the mamer as may be prescribed,
(6) of commission of similar offence fbr ivhich nrch person rvas earlier
convicled.
(J) Every officer refened to in sub+ection (1) shall exercise the porvers to
compound an offence, subject to the direction, control and supewision of the State
Govemment.
(fl WheLe the composition of any offence is made a{ier the institution ofany
prosecution, such conposition shall be broLrght by tbe otficer refered to in sub-
section(,i)in r,vliting. to fhe notice of the Colrrt in rvhich the prosecution is
pending and on such notice of the cornposrtion of the offence being giveu, the
person against r,,hom tlie off'ence is so compounded shall be discharged,
(7) Any persor rvho tails to compl) rvith an oidei niade by the officcr
relerred to in sub-section (1). shall be liablc to pay a surn cquivaleni to hventy per
to
cent. ofthe maximurn fine provided for the offence, in addition to such fine.
CHAPTER IX
MISCf,LLANEOUS
25. No suit, prosecution or other legai proceeciing shail lie against any public Piotrctionofaclion
seffant or any other person in the service of the Centrai Govenu:rent or the Stale trken in good faith.
Govemment, acting r.rnder direction of any such public servant, for anylhing in
good laith done or intended to be done in pursuance olthe provisions ofthis ACt
or
ofany rule made thereunder.
26. The State Govemment or any officer empor,rered in this behalf may, by Po$rr to qani
notification, exempt fiom the operation of all or any of the provisions of this Act er\ernFtio s.
for any period it is considered, any shop or establish,nent or class thereof or any
employer or worker ol class of employer.s or workers to rvhom this Act applies on
such terms and conditions as it nray think fit.
27. The provisions of this Act shall be in addition to, and not in deroeation Applicrtion of olher
of, the provisions ofany other larv for the time being in iorce. lows not bcned.
28. (1) The State Govemment may, by notification, make rules for carrvrng Polvgt to maka
(c) the authoriq,, to ivhich and the lonn and mamer in r,r,-hich an
appllcation shall be made under sLrb-section (?), the fom of Labour
Identification Number under sr-rb-section (3), and the manner ol obtaining
Labour Identiilcation Number under sub-section (4), ofsection 5;
(6) the measures to be taken by the employer relating to the health and
safety (including cleanliness, lighting, ventilation and prevention of fire) of
the rvorkers under subxection (1) ofsection 7:
(l) the form and mamer (including electronic form) for flrmishine of
annual retum and the authority to such retums shall be fumished under
section 19;
(,t) any other matter which is required to be, or may be, prescribed.
(3) Every rule made by the State Govemment under th.is Act shall be laid,
as
soon as may be after it is made, before each House ofthe state Legislafixe lvhere
it
consists of tlvo Houses or, where such Legislatue consists of one House, before
that House.
.29,(1) If any difficulf arises in giving effect to the provisions of rhis Act, Porver to €movc
the State Govemment may, by order, published in the Offrcial Gazette, make such difflculties.
provisions not inconsistent rvith the provisions of this Act as may appear to be
necessary for removing the difficLrlry:
Provided that no order shall be made under this section after the expiry of
tr,vo yearsfrom the date of the conmencement of this Act.
(?) Every order made under th.is section shall be laid, as soon as may be after
it is made, before each Home of the State Legislature rvhere it consists of hvo
Houses or, where such Legislature consists ofone House, before that House.
staleActNo-of 30.(/) The ---- Shops and Establishments (Regulations of Employment ReFaland saving.
and Conditions ofService) Acr. --- is hereby repealed,
(2) Notwittrstanding the repeal of the Act under sub-section (1), anything
done or any action taken under the said Act shall, in so far as such thing or action
is not inconsistent with the provisions ofthis Act, be deemed to have bein done or
taken under the provisions ofthis.
(3) The mention of particular matters in this section shall not be held to
l0 oflfe7. prejudice or affect the general application of section 6 ofthe General Clauses Act,
I 897 with regard to the effect of repeals
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