Shops & Establishments Act initiates important reforms for the employment conditions for workers

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BDS Legal Services outlined that the Maharashtra Shops & Establishments (Regulation of Employment & Conditions of Service) Act, 2017 came into force on December 20, 2017. The 2017 Act substitutes the Maharashtra Shops and Establishment Act of 1948.

Earlier, the federal government passed the Model Shops and Establishments Act in 2016 that amended the administrative standard for functioning commercial establishments in India. Ensuring this, several states launched legislation to execute the new rules in their separate state jurisdictions.

Maharashtra is the first state in India to outline the new Shops and Establishments law. The law is pertinent to all commercial establishments in the state, (uncovered under the Factories Act), which hire 10 or more workers.

Organizations that hire more than 10 workers must acquire a license under the Maharashtra Shops and Establishments Act in 60 days after the new Act enters into force (December 20) or once an organization's current license lapses. The registration can be completed online, and all records will be retained electronically. Moreover, the commercial organization can decide the validity period of its registration, which cannot surpass 10 years. Organizations which hire less than 10 works must still file under the Act but do not obtain a license.

According to shop registration in India, the Act initiates important reforms for the employment conditions for workers in the following areas:

Hours of operation – Certain ventures in Maharashtra may now stay open 24/7. This involves movie theaters, restaurants, financial institutions, medical practices, and retail outlets. The Act prohibits any establishment which sells alcohol or cigarettes from staying open passed existing time limits.

Working hours for women – The Act permits female workers the capability to work past 9:30 pm so long as their manager offers safe transportation from the work site to their residence.

Preservation of women – The Act excludes the differentiation of women workers in cases of recruitment, training, promotion, and wages. Normally, women workers will be needed to work only between 7 a.m. and 9:30 p.m. In the crisis, women may opt to work beyond these hours, offered the workspace is secured and transport is made accessible for her to shuttle back to her residence.

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