Jony_M Started The Discussion:
our establishment belongs to service industry and covered under Shop & Establishment Act in Haryana having 70-80 employees. Please help in following:
1. Certification of Standing Orders as per Industrial Employment Act, 1946 is compulsary or not.
2. How many employees are required for the same.
Unless otherwise provided in the rules by notification by the State Govt.the provisions of the Industrial Employment (Standing Order) Act, 1946 shall apply to establishment wherein 100 or more employees are/ were working. For Madhya Pradesh separate Acts covering the same objective are in force.
Though it is mandatory for those establishments employing 100 or more employees, it is always good if we have separate standing orders because a certified standing orders is a bonafied document which defines the relation between the employer and the employees and regulates the conduct of the business of the establishment. A draft of standing orders is available in my blog. Please try the following link.
In my opinion your shop is not covered under this Act as after examination of the defintion of Industria Establishment shop without any manufacturing procees does not come within the ambit of definition of Ind.Establishment.You are covered under Shops Act, 1958 & also employing 70-80 persons. It meanns that you do not have any manufacturing activity ohterwise you were to be covered under the Factory Act. In Haryana Ind. Estt. employing 50 or more employees are covered under this Act. If You are residing at Chandigarh you may see Mr. Anupam Malik Jt. Labour Commissioner,Haryana. Head Office of Labour Deptt. is situated at 30 Bays Building, Sector-17 B, Chandigarh or you may go through the Act yourself.
Hope this will suffice your query.
Skylark Associates, Gurgaon (Haryana)
I have joined recently in a manufacturing company. My company's Head office is located in Delhi and plants are located in Haryana and Rajasthan. Both the plants are registered under the factories act 1948 and have certified standing order.
As per the available records, my head office is not yet registered. Im confused wheather my head office(having HR,Accts&Finanace,Commericial,EDP and Marketing Departments) will be registered under Delhi Shop and Establishment Act or Factory Act 1948. If registered under Delhi Shop and Est Act, is it necessary to have Standing order or I can frame service rules for Head office. Strength of Head Office is Approx 90 employees on roll and eligible to have standing order as per NCT of Delhi ruling which states that standing orders are compulsory where 50 or more persons are employed.
You are to get your Head Office registered under Delhi Shop Act. Elligibility for coverage under the I E (S O) Act,1946 is 50 employees in Delhi. You may approach the Labour Department, Delhi for this purpose of your area.
Skylark Associates, Gurgaon
(Labour Law & Legal Consultants)
Dear Mr. Khola,
Thanks for ur advice, but as you have adviced Mr. Jony that Standing Orders are not applicable to his Est which also comes under Shop & Est Act, can I have service rules instead of SO in my Head office because what I think being a non legal document like SO, Management will prefer it over SO.
You can also prepare your service rules for your H O but I will advise that after framing these rules all concerned employees should accept them for future compliance. After this for freshers you put this in your appointment letter that you will be governed by the rules & regulations of the unit.
Dear Mr. Khola,
I've seen your response to Mr. Jony quoted below. Does this mean that factories covered under the Factories Act, Inspectorate of Factories, do not have to obtain Standing Orders certification? We are a food processing unit based in Tamil Nadu. We are employing more than 100 people over the last financial year.
You help is much appreciated.
I am in the process of understanding the Standing Orders and applying it to my factory. I clicked your link below but I think it has been disabled as I am not able to open the page. I would really like to understand the benefits of Standing ORders. Does it have any impact on for example, PF, Minimum Wages, etc? Can you please share the draft of the standing orders once more?
Thanks again. Looking forward to hearing from you.
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