Labour Law & Hr Consultant

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1. Is factories act applicable to sole proprietorship ?
2. Also what all acts are applicable to a sole proprietorship in Maharashtra with a factory with aid of power employing 10 or more than 10 workers ?

From India, Mumbai
Dear HH.S,
Sole-Proprietorship, Patnership, L.L.C, Private Limited and Public Limited Company etc., are legal classification of business or industrial entities only with reference to their constitution. It will not make any distinction in the matter of application of Labor Laws. The Factories Act,1948 and the respective State Factories Rules framed under the Act would be applicable to an establishment of manufacture, if it satisfies the definition of " factory " u/s 2 (m) of the Factories Act,1948.
Acts like the Employees Compensation Act,1923, the Payment of Wages Act,1936, the Industrial Disputes Act,1947, the Minimum Wages Act,1948, the Maternity Benefit Act,1961, the Payment of Bonus Act,1965, the Payment of Gratuity Act,1972 would be applicable to a factory irrespective of the number of people employed therein. Depending on the number specified therein, Acts like the Industrial Employment ( Standing Orders ) Act,1946, the ESI Act,1948, the EPF Act,1952, the Contract Labor Act,1970 etc., would be applicable.

From India, Salem
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