Understanding the Key Differences Between AP Shops Act and Factories Act: Can You Help?

Dear seniors/friends,

What is the difference between AP Shops and Establishment Act and Factories Act? This means we should maintain all records like PF, ESI, and leaves registers in both acts. So, I have this doubt - what is the major difference between these two acts? Each one has its own act (like PF Act, ESI Act, Gratuity Act, Bonus Act). Can anyone reply to me with an answer?

Thank you.

Factories Act (a Central Act) governs how a factory or an establishment where manufacturing activity is carried out is registered and what the schemes are to be implemented to ensure the safety, welfare, and health of employees employed therein. Similarly, the AP Shops and Commercial Establishments Act governs how a shop or establishment where service is rendered is registered and what the schemes are to be implemented for the welfare, health, and safety of the employees employed therein. Therefore, the basic difference is that the former is applicable to establishments where a manufacturing process is carried out, and the latter is applicable to units where no production takes place but some kind of service is rendered.

Now, the ESI Act, EPF Act, Bonus Act, Gratuity Act, Maternity Benefit Act, etc., are Acts that are applicable to all factories and other establishments. As such, all organizations where a specified number of employees are employed are supposed to follow the provisions of these Acts, which are considered for the well-being of the employees employed in the private sector establishments.

Regards,

Madhu.T.K

[COLOR="Red"]The AP Shops & Establishments Act and Factories Act have no relevance regarding the maintenance of records under PF, ESI, etc., and leave. [/COLOR]

[COLOR="Teal"]PF is applicable to all establishments, factories, etc., whereas ESI is applicable to every factory or establishment notified by ESIC. [/COLOR]

[COLOR="DarkSlateGray"]Leave rules are applicable as per the standing orders of the establishments or under the National & Festival Holidays Act.[/COLOR]