We are into housekeeping & security services, wherein we provide our staff to different companies. We have our main office in Delhi and registered there under shops & establishment. Question is - do we need to open an office in Harayana for LWF? If so - why -because as per the Act, the act is applicable to establishments where 10 or more employees are employed. So it is establishment wise, not state wise. This is something similar to CLRA where it is establishment wise. Supreme Court has already held that establishment means one roof/ one office of same company. So in that case, just like CLRA that establishment needs to be registered not a branch of our company. Also, opening a separate branch, I think it is a narrow interpretation of the law. So I need some clarity with thought and if possible some case laws.

Replicating the applicability for ease of reference-

Applicability of the Act

This Act is applicable to a factory as defined in clause (m) of section 2 of the Factories Act, 1948 or any place which is deemed to be a factory under sub section (2) of section 85 of that Act includes any premises including the predicts thereof wherein and in any part of which any industry within the meaning of clause (j) of section 2 of the Industrial Dispute Act, 1947, is carried on and also includes a shop or a commercial establishment within the meaning of the Punjab Shops and Commercial Establishment Act, 1958, in which, on any day, ten or more employees are employed or were employed during the preceding twelve months.

From India, Delhi
Bhartiya Akhil

Bhartiya Akhil

Dear Abhishek-Sharma1,

I am totally confused on reading your post. It seems to me you have made simple thing complex.

I have not understood as to what you want to say on following which are reproduced in inverted commas:

"1. do we need to open an office in Harayana for LWF?"

Why you have to open office for LWF? If you are having office in Harayana and having requisite number of persons employed there then you need to register your that office i.e. establishment at Harayana under LWF.

"2. So it is establishment wise, not state wise"

Please note that LWF is a State Law and every State has its own applicability, rules as well machinery. Every work place is a separate establishment.

"3. Supreme Court has already held that establishment means one roof/ one office of same company"

Where it is and in what context?

Simple answer to your query:

LWF is applicable to you in Harayana if you have 10 or more employees at any work place of you in the jurisdiction of Harayana.

From India, Mumbai

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