Navigating Compliance: How to Handle Shops & Establishment Act and Contract Labor Queries?

Compliance Assistance Needed

Greetings Members! I need help regarding compliance. I have recently joined an IT Company in Gurgaon, Haryana. I believe the company is not registered under the Shops & Establishment Act. I kindly request your assistance with the following queries:

1. The company is registered for GSTIN, PF, and ESI. Should we still register for the Shops & Establishment Act? If yes, please provide the steps for the same.

2. Will there be any penalty if we don't register for the Shops & Establishment Act?

3. Is there any procedure to check online if we are registered for the Shops & Establishment Act?

4. What records/reports need to be maintained to comply with labor laws?

5. What if we plan to hire a contractual employee on our payroll for six months? Do we need to register for the Contract Labor Act?

6. What records/documents need to be maintained for a contractual employee? Would the agreement suffice?

I kindly request your prompt assistance. Thanks!

Dear Help-Seeker,

Every establishment, such as yours, needs to comply with the laws of the land as applicable to it, properly and faithfully. Failing to do so may result in stiff penalties being prescribed and levied. The manager designated to ensure compliance with the applicable laws must promptly apply for the issuance of a Certificate of Establishment under the respective Shops & Establishment Act/Rules of the State, i.e., the State of Haryana. State notifications should be referred to for guidance.

Furthermore, please consult the legal department in your establishment or other knowledgeable persons to ensure full compliance with laws such as the Contract Labour (Regulation & Abolition) Act for the points raised in your posting. The Sexual Harassment of Women at Workplace (Prevention, Prohibition & Redressal) Act 2013, and its amendments, which provide no exemptions, are recently enacted laws/statutes applicable to your establishment/workplace.

Additional assistance is available.

Kritarth Team,
April 30, 2018