Confused About Labor Laws for MNCs in Bengaluru? Need Simple Answers on Wages and More

Dear Experts, can you please help me with the labor laws applicable to an MNC (support services) operating in Bengaluru? I'm finding that payment of wages, minimum wages, gratuity, maternity, and bonus are relevant to us. Am I correct? Also, suggest anything else you feel is applicable.

If any of the above is correct, please let me know how and what registers or filings need to be taken care of. Kindly don't give links to search; I did all those but am unable to come to a clear conclusion due to tough terminology and generalized terms. Help me with short answers.

Thanks in advance!

Mohan Varma

In addition, the Shop & Establishment Act, PF Act (for those drawing <Rs. 15,000/- per month), ESI Act (for those drawing <Rs. 21,000/-) would apply. There are many other legislations like the Equal Remuneration Act, Inter-state Migrant Workers Act, Labour Welfare Fund Act, and Contract Labour Act if you have outsourced security/housekeeping or other activities. Considering the complexities involved, you may engage a consultant to handle all these compliances.

Applicable Acts for MNCs in Bengaluru

Below mentioned acts are applicable:

1. Shop & Establishment Act
2. EPF Act
3. ESIC Act
4. Bonus Act
5. Minimum Wages Act
6. Payment of Wages Act
7. Equal Remuneration Act
8. Labour Welfare Fund Act
9. POSH Act
10. Gratuity Act
11. Maternity Benefit Act
12. Child Labour Act
13. Workmen Compensation Act
14. Contract Labour Act

Registers to Maintain Under Each Act

Under each act, you need to maintain different registers:

1. Challans & ECR (Contribution History) (PF & ESIC)
2. Form T (Under Shop & Establishment Act)
3. Form F & H (Under Shop & Establishment Act)
4. Form D
5. Form A (Under Maternity Benefit Act)
6. Form A & Form F (Under Gratuity Act)
7. Form 2 & 11 (Under EPF Act)
8. Annual Return (Under Shop & Establishment Act)

Feel free to call or revert for any assistance or clarification.

Applicable Labor Laws

All the labor laws mentioned by you and KK sir are applicable. I would like to emphasize that for statutory compliance, involving financial attributes is essential. Such attributes include EPF, ESIC, Professional Tax, Contract Labour Act, Bonus, Gratuity, Maternity, Payment of Wages, and Labor Welfare Fund. Apart from these, if it's a factory, then the Factories Act applies, and for shops and establishments, the Shops and Establishment Act applies.

Additional Applicable Acts

Specific to and relevant to the employment type and nature of work under consideration, there may be other acts that require adherence. For example, for an IT company, the IT Act applies, and for security services, the PSAR Act applies, etc. You can write to me at [Email Removed For Privacy Reasons].