The Maharashtra shops and Establishments act will come into force that will repeal the Maharashtra shops and Establishments Act 1948. The Government of Maharashtra had notified about the law on 7th September and soon it will announce the date of commencement of the law.
Applicability and Amendments
- The act of 2017 will be regulated and applied on the establishments that employ ten or more employees.
- The establishments employing less than ten employees are free from the act provided, they intimated of commencement of business under the Act of 2017.
- The Act is a major amendment and different from Act of 1948 which was applied on all establishments irrespective of number of employees appointed.
- The definition of employee has been located in broader to spectrum to include partner in the firm, in case of association; director of the company; and designated persons in case of controlled or Government owned entities.
- According to the act, in order to register an establishment, the employer shall submit an online application within in 60 days of commencement.
- The act of 1948 obviously does not include online system and provide 30 days for registration.
- The registration is valid for ten years after which the employer has to renew the registration.
- The time ascribed for applying online for the renewal is not less than 30 days.
- The validity under the act of 1948 was one to three years with the renewal days in fifteen days.
- The misinterpretation or suppression of material or facts or submission of false or forged documents or false or fraud declaration may lead to the cancellation of the registration.
- The employer shall notify the closure to the facilitator within thirty days.
- New working hours for different classes of establishment, premises, shopping complex or malls will be notified and ascribed by the government.
- The discrimination against women on the issue of recruitment, training, transfers and promotion has been prohibited in the law and their working conditions have been clearly defined.
- The act entitles the employee to eight days of casual leaves per year.
- The workers can garner earned leaves up to 45 days at max.
- Every worker who has worked for a period of 240 days or more is entitled to paid leaves for every twenty days of work performed during previous year.
- Electronic registers can be maintained.
- Every employer needs to take care of health and safety of the workers that includes prevention of accident.
- In contrast to act of 1948, these measures have been broadened in its scope including lighting, cleanliness, canteen, crèche facilities, prevention of fire, first aid, ventilation etc.
- The act of 2017 provides the appointment of ‘facilitators’ in place of inspectors.
- The facilitators shall advice the employer to comply with the Act of 2017, in addition to performing the duties of inspector.
- In case of any violation, a maximum fine of Rupees 1 lakh may be imposed and up to rupees 2000 per day in case of continuation of the violations