Navigating Labor Laws: What Media Companies in Maharashtra Need to Know After Expanding to 20+ Employees

Labor law compliances for media companies in Maharashtra

What are the labor law compliances for a media company having more than 20 employees in the state of Maharashtra?

Could someone list the same and help me understand which compliances now affect us? We initially had fewer than 10 employees for 3 years and recently expanded our team. We have been told that we now have certain labor laws that apply to us. Our average salary is around 25k INR.

Labor laws applicable to companies with 20 or more employees

Almost all labor laws apply to a company with 20 employees. Exceptions include not needing to have a Standing Order of your own and not needing to seek permission to retrench, lay off, or close down the unit. Salary is not a constraint for the coverage of the establishment, but you can exclude some employees from registration based on wages. This, again, depends on how you have bifurcated your salary.

Applicable Acts for Your Establishment

Below are the monetary acts for which you will have to remit challans and submit returns on a monthly or half-yearly basis:

1. PF - Registration required
2. ESIC - Registration required
3. PT (Applicable even if you employ one employee) - Registration required
4. LWF - Registration required

Other Important Acts for Compliance Obligations

1. Displaying abstracts and notices
2. Submission of forms
3. Submission of annual returns
4. Framing policies

Act List

5. Maharashtra Shops & Establishment Act - Registration required
6. The Maternity Benefit Act, 1961
7. The Minimum Wages Act, 1948
8. The Payment of Bonus Act, 1965
9. The Payment of Gratuity Act, 1972 - Notice of opening to be sent to the authority
10. The Payment of Wages Act, 1936
11. The Sexual Harassment of Women at Workplace Act, 2014
12. The Employment Exchange Act, 1959 - If employing more than 25 employees
13. The Equal Remuneration Act, 1976
14. The Maharashtra Workmen’s Minimum House Rent Allowance Act, 1983

Expanding your team means you'll need to adhere to additional labor laws. In Maharashtra, if your media company has more than 20 employees, you'll need to comply with several regulations. Here are some key labor law compliances applicable to your situation:

Shops and Establishment Act

Register your establishment under the Maharashtra Shops and Establishment Act, which regulates working conditions, employment of children, and opening/closing hours of your establishment.

Minimum Wages Act

Ensure that you pay your employees at least the minimum wage prescribed by the Maharashtra government. The minimum wage varies based on the category of employment and location.

Payment of Wages Act

Timely payment of wages to employees is mandatory. Salaries must be paid on time, either monthly, weekly, or bi-weekly as per company policy.

Employees' Provident Fund (EPF) Act

If you have more than 20 employees, you need to register for EPF and deduct a portion of the employee's salary (12%) towards provident fund contribution, along with the employer's contribution.

Employees' State Insurance (ESI) Act

Register under the ESI Act if you have more than 20 employees. It provides medical and cash benefits to employees and their families in case of sickness, maternity, and employment injury.

Payment of Bonus Act

Ensure compliance with the Payment of Bonus Act, which mandates the payment of annual bonuses to eligible employees.

Gratuity Act

Once you have 10 or more employees, you need to comply with the Payment of Gratuity Act. Gratuity is payable to employees who have completed five years of continuous service.

Contract Labour (Regulation and Abolition) Act

If you engage contract labor, ensure compliance with this act, which regulates the working conditions of contract laborers.

Maternity Benefit Act

Provide maternity leave and benefits to female employees as per the Maternity Benefit Act.

Workmen's Compensation Act

Provide compensation to employees in case of any injury or accident arising during the course of employment.

Equal Remuneration Act

Ensure that there is no discrimination in remuneration between male and female employees for the same work or work of similar nature.

Sexual Harassment of Women at Workplace (Prevention, Prohibition, and Redressal) Act

Establish a committee to address complaints of sexual harassment at the workplace.

It's crucial to review these laws in detail and ensure full compliance to avoid legal repercussions.

Thanks