FREQUENTLY ASKED QUESTIONS (FAQs)
Any commercial establishment including a commercial or trading or banking or insurance establishment, an establishment or administrative service in which persons employed or mainly engaged in office work, a hotel, restaurant, boarding or eating house, a cafe or any other refreshment house, a hospital, a theater, cinema or any other place of public amusement or entertainment.
The following records shall be maintained under Shops and Establishments act:
a) Approval from Department of Labor.
b) Various registers giving details of employment, fines, deductions and advances, salary, holidays, etc.
The Rules under the Act vary from State to State. It is a prudent to request the exact nature of documents that your state might need from the municipal corporation.
Yes any shop or commercial establishment that commences operation must apply to Chief Inspector for Shops and Establishments Act license within 30 days of commencement of operations. As this is the basic license for any establishment, many other licenses require this as proof of a commercial business. To open a current account in the business name most banks ask you to furnish the license.
Yes, files related to annual holidays, number of employees need to be submitted at the office of concerned municipal corporation annually.
The application for license in the prescribed form containing the name of the employer, address or the establishment, name of the establishment, category of the establishment, number of employees and other relevant details as requested must be submitted to the local District Labour Officer. On receiving the application if the concerned Labour Officer is satisfied with the application he/she will issue registration certificate to the occupier.
The registration certificate must be prominently displayed at the shop or commercial establishment and renewed periodically, as per the act.
In the event of closure of the shop or establishment, the owner should inform the Chief Inspector in writing within fifteen days of the closing. After reviewing the request for closure the Chief Inspector shall remove the establishment from the register and cancel the registration certificate.