Anonymous
If a small restaurant is employing 3 to 5 persons only, what are the legal compliance to be followed by them in respect of employment like payment of minimum wages etc??
From India, Kolkata
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No idea about any special law relating to the regulation of service conditions in catering establishments like restaurants or eateries in force in your State. If no such exclusive law is in force, automatically the State Shops and Establishments Act would be applicable to your restaurant. It follows then,

(1) The wages for employees in the restaurant should be paid at not less than the minimum rates of wages fixed by the State Govt under the Minimum Wages Act, 1948 for the various employments in Shops and Establishments.

(2) The various registers to be periodically maintained in respect of the employees and the notices to be kept exhibited in the establishment under the State Minimum Wages Rules have to be kept up to date in the establishment for the purpose of inspection by the inspectors under the Act. For further details in this regard, you may refer to the State Minimum Wages Rules.

(3) To know the exemptions, if any, granted by the State Govt from maintaining certain registers, forms, etc., of the same or similar nature under any other law applicable to avoid duplicity, you may contact your area inspector under the Act for better clarification.

From India, Salem
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Dear Friend,

I have added some points to Umakanthan Sir. To my knowledge, there is no special law relating to the regulation of service conditions in catering establishments like restaurants or eateries except for the following:

1. Medical check-up periodically as per local body requirements.
2. Restaurants or Eateries are scheduled industries under the Minimum Wage Act in many states, as per my knowledge. If so, the minimum wage rates are applicable as per Restaurants or Eateries.
3. Persons employed in Restaurants or Eateries generally stay overnight on the premises and receive food to eat. In Maharashtra, in the MW Act, there is a provision in the respective schedule industry allowing certain deductions towards food facilities. In other states, I am not aware.
4. Deductions towards PTax as applicable.
5. Labour Welfare Fund of the State as applicable.

Thank you.

From India, Mumbai
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Dear Friend , Addition to this In Maharashtra all Canteen are suppose to take licences from FDA under PFA ,& kitchen has to be in specific hygienic Conditions as applicable . Regards , Y.R.Shirke
From India, Mumbai
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Dear Y.R.Shirke ji,

I did not mention this since the query is in respect to employment law, like payment of minimum wages, etc. To run restaurants or eateries, one has to obtain a license from the local authority. The license is granted on various parameters in different grades such as A/B/C. Additionally, one has to comply with the provisions of FSSAI, including obtaining a license under this Act. Previously, there were two licenses required - one from the local authority and another from the FDA department. However, after the implementation of FSSAI, both departments have been merged under the Central Government.

Moreover, there are many permissions and NOCs required such as fire safety, industrial gas cylinders, etc.

From India, Mumbai
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