Labour License
Shops & Establishment & Contract Labour Registration
Get your Labour License under Shops and Establishment Act and Contract Labour Act. Ensure compliance with labor laws and protect your business and employees.
Do you know about Labour Licenses under Shops and Establishment and Contract Labour?
Understanding Labour License requirements
Shops and Establishment Act
The Shop and Establishment Act is applicable nationwide, and all the commercial establishments, such as the hotels, and eateries, amusement parks, theatres, and other entertainment houses, as well as any other such public amusement places, come under the purview of the Act.
Commercial Establishment Definition:
- • Any commercial sector, such as banking, trading or insurance establishments
- • Any establishment where individuals are employed or engaged to do office work or provide service
- • The hotels, eateries and boarding houses or a smaller café or refreshment house
- • Amusement and entertainment places such as theatres and cinema halls or amusement parks
Contract Labour Act
The Contract Labour (Regulation and Abolition) Act, 1970 was enacted to regulate the employment of contract labour in certain establishments and to provide for its abolition in certain circumstances.
Key Features
Nationwide Applicability
Shops and Establishment Act applies across India
Employee Protection
Ensures proper treatment of employees
Regulatory Framework
Establishes norms and regulations for businesses
State Variations
Exceptions vary by state with specific lists
Important Note
All commercial establishments must adhere to the norms and regulations set by the Act for the treatment of their employees. The exceptions to the Act vary in the States and each State has given a list of shops and establishments that come under the Act.
How it applicable to you?
Understanding Labour License applicability
Under Shops and Establishment
Registration Requirement
If you are starting a commercial establishment or a shop, you need to file for registration under the Act, within 30 days of commencement of your establishment.
Mandatory Reasons
- Opening of current account in a bank
- Forms as a basic license and proof of business
- Required for other business registrations
Online Availability
Shop and Establishment forms are available online on the government website for easy application submission.
Under Contract Labour
Applicable To:
- Every establishment with 20+ contract workmen
- Every contractor employing 20+ workmen
- Based on employment in preceding 12 months
Not Applicable To:
- Establishments with intermittent work
- Establishments with casual nature of work
- Government decides after consultation with Board
Key Threshold
The Contract Labour Act applies to establishments and contractors employing 20 or more workmen on any day of the preceding twelve months.
Do you need to submit any documents?
Essential documents for Labour License application
Under Shops and Establishment
Application Form
Form No-I i.e Application for Registration
Business Documentation
- • Telugu Name Board Photograph of the shop/establishment
- • List of Employees
- • Copy of Rental deed or sale deed
Employer Details
- • I.D. proof of the employer
- • One passport size photograph of the employer
Company Documents
- • Certificate of Incorporation
- • Memorandum of Articles (for Companies)
Under Contract Labour
Registration Forms
- • Form No-I (Application for Registration)
- • Form No.-VI B (Notice of Commence of Contract Work)
- • Form No-IV (Application for License)
Contractor Details
- • List of Contractors with details
- • Name and address of contractor
- • Nature of Work
- • No. of Contract Labour engaged
- • Date of commencement of contract work
Supporting Documents
- • Copy of Form No.II (Registration certificate)
- • Form No.V (Certificate by Principal Employer)
- • Form No.VI A (Notice by contractor)
- • Copy of agreement or work order
- • Joint Undertaking for minimum wages
For your information – Contract Labour
Liabilities and responsibilities of Principal Employer
Principal Employer Responsibilities
Essential obligations under Contract Labour Act
Essential Amenities (Sec 16-19)
The Principal Employer shall provide the essential amenities like Canteen (above 100 contract labours), rest rooms, drinking water facilities and first aid facilities if the same is not provided by the Contractor.
- • Canteen (for 100+ contract labours)
- • Rest rooms
- • Drinking water facilities
- • First aid facilities
Cost Recovery (Section 20)
The expenses incurred on amenities by the Principal employer may be recovered from the contractor either by deduction of any amount payable to the contractor under any contract or as a debt payable by the contractor.
Wage Disbursement
The Principal employer must ensure the disbursement of wages through Contractor within the expiry of prescribed period by nominating a representative.
If the Contractor fails to make payment or makes short payment then, the principal employer shall be liable to make payment of wages in full or the unpaid balance and recover the amount so paid from the Contractor (Section 21).
Key Responsibilities
- Provide essential amenities
- Ensure wage disbursement
- Liable for contractor's wage defaults
- Recover costs from contractor
Why Choose Our Labour License Services?
Professional assistance for labour compliance
Quick Processing
Fast and efficient labour license processing within 30 days
100% Compliant
Ensure full compliance with labour laws and regulations
Expert Support
Professional guidance throughout the application process
Documentation
Complete documentation and form filling assistance
Employee Protection
Ensure proper treatment and protection of employees
Ongoing Support
Continuous support for labour compliance and updates
Labour License Application Process
Simple steps to get your Labour License
Document Collection
Gather all required documents including forms, identity proof, and business documents
Application Submission
Submit application within 30 days of business commencement
Verification
Labour department verifies documents and inspects premises
License Issuance
Receive your Labour License upon successful verification
Ready to Get Your Labour License?
Ensure compliance with labour laws and protect your business. Get professional assistance for Shops & Establishment and Contract Labour registration.
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