Do We Need to File Returns for Payment of Wages Act in West Bengal? Seeking Advice!

km37
Hi, please let me know if we need to submit returns for the Payment of Wages Act since we are registered under the Shop and Establishments Act in West Bengal.

Regards,
Kaushik Mondal
Birla Tyre
v.harikrishnan
Applicability of the Payment of Wages Act to Shops and Establishments

The need for filing returns under the Payment of Wages Act would arise only if the Payment of Wages Act is applicable to shops/establishments to which the West Bengal Shops and Establishments Act is applicable, or if the shops and establishments covered by the provisions of the West Bengal Shops and Establishments Act are covered by the provisions of section 1(4) read with section 2(ii) of the Payment of Wages Act.

The establishments specified in section 1(4) of the Payment of Wages Act do not include shops and establishments. Further, in section 1(4), it is stated that the Payment of Wages Act is applicable to "industrial or other establishments." The definition of the term "industrial or other establishment" is given in section 2(ii) of the Payment of Wages Act. Shops and establishments are not included in this definition either.

Therefore, it has to be ascertained whether the Government of West Bengal, by virtue of the powers conferred on it by the provisions of section 2(h) of the Payment of Wages Act, had, by notification, included shops and establishments in the definition of the term "industrial establishment" as defined under section 2(ii) of the Payment of Wages Act. If this has not been done by the Government of West Bengal, then the Payment of Wages Act is not applicable to the shops and establishments to which the West Bengal Shops and Establishments Act is applicable, and therefore, they need not file returns under the Payment of Wages Act.

Please go through the provisions of the West Bengal Shops and Establishments Act carefully. You may find that this Act contains provisions for the manner, time, and mode of payment of wages. This is the case with the Tamil Nadu Shops and Establishments Act. In that case, those provisions relating to payment of wages have to be followed in respect of shops and establishments, and therefore, you have to file the returns as required under the West Bengal Shops and Establishments Act.

With regards,
Ram K Navaratna
Dear Harikrishnan, I have noted your points above. Do shops and establishments fall under the purview of the Industrial Employment Standing Orders Act? I would appreciate it if you could provide your analysis in the same manner and respond to my email below.

Regards,

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