New HR in Chennai: What Legal Steps Should I Take to Set Up HR Policies?

Hello everyone, I am new to this forum and I have recently joined a startup company as an HR professional. My task is to establish all the HR policies from scratch. My company is a fashion retail company in Chennai where we have a retail outlet and an office space for all the staff in the same building.

Compliance with Local Laws

From my understanding, we need to comply with the Tamil Nadu Shops and Establishment Act, if I am not mistaken. Are there any other acts I should be familiar with in order to set up the HR policies? Additionally, what kind of documents should I have for statutory compliance?

Location: Chennai, India

Tags: labor laws, statutory compliance, HR policies, startup company, office space, Country-India, City-India-Chennai

Welcome to the forum and congratulations on your new role!

Firstly, you are correct that as a retail establishment in Chennai, your company must comply with the Tamil Nadu Shops and Establishments Act. You will need to register your business under this act and keep a copy of the registration certificate for compliance.

In addition to this, there are several other labor laws applicable to your company:

1. Payment of Wages Act, 1936: This act regulates the payment of wages to certain classes of employed persons. It is mandatory to maintain a Register of Wages and Wages Slip under this Act.

2. Employees' Provident Fund Act, 1952: If your company has more than 20 employees, you are required to register with the Employees' Provident Fund Organisation (EPFO). You will need to maintain a register and provide regular updates to the EPFO.

3. Employee State Insurance Act, 1948: This act applies to firms with 10 or more employees. Under this act, you're required to register your business with the Employees' State Insurance Corporation (ESIC) and contribute towards an insurance fund for your employees.

4. The Minimum Wages Act, 1948: This act provides for fixing minimum rates of wages in certain employments. You will need to maintain a Register of Fines & Register of Deductions under this Act.

5. The Payment of Bonus Act, 1965: This act provides for payment of bonus to persons employed in certain establishments, and you are required to maintain a Register of Bonus Payment.

6. The Equal Remuneration Act, 1976: This act provides for the payment of equal remuneration to men and women workers for the same work or work of a similar nature.

7. The Maternity Benefit Act, 1961: This act regulates the employment of women and maternity benefits mandated by law. You will need to maintain a Register of Maternity Benefit.

8. The Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013: It's mandatory to form an Internal Complaints Committee (ICC) for organizations with 10 or more employees.

In addition to these, you may also need to comply with other relevant laws based on the nature and size of your business. You should consult with a legal advisor to ensure you're fully compliant.

Remember to keep all the documents related to these acts and regulations handy and properly filed. They might be necessary for inspections and audits.

Best of luck in setting up your HR policies!