I need clarification on whether an Electronic R&D center should be registered as a Factory. Currently, it is registered under the Shops & Establishments Act/rules and operational. There is no manufacturing process.
Regards, Krishna Rao
From India, Hyderabad
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1Regards, Krishna Rao
From India, Hyderabad
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Registration of R&D Center under Factory or Shops & Establishments Act
In India, the registration of an Electronic R&D center falls under the purview of labor laws and regulations. Here are some key points to consider in this scenario:
1. Factory Registration:
- A factory is typically defined as any premises where manufacturing processes are carried out. Since your R&D center does not involve any manufacturing activities, it may not meet the criteria for registration as a factory under the Factories Act, 1948.
- The Factories Act primarily applies to establishments engaged in manufacturing processes, production, and other specified activities. As there is no manufacturing process in your R&D center, registering it as a factory may not be appropriate.
2. Shops & Establishments Act Registration:
- The Shops and Establishments Act is more suitable for establishments involved in non-manufacturing activities such as offices, service centers, and research facilities.
- Given that your R&D center is not engaged in manufacturing but rather research and development activities, its current registration under the Shops & Establishments Act is aligned with the nature of its operations.
3. Legal Compliance:
- It is essential to ensure compliance with the specific regulations governing R&D centers in Hyderabad, India. Verify if there are any local or state-level requirements that may impact the registration status of your center.
- Consult with legal experts or relevant authorities to confirm the appropriate registration category based on the operations and activities of your R&D center.
In conclusion, considering that your Electronic R&D center does not involve manufacturing processes, it appears suitable to be registered under the Shops & Establishments Act rather than as a factory. However, for complete clarity and compliance, it is advisable to seek guidance from local labor authorities or legal professionals familiar with the relevant laws in Hyderabad, India.
From India, Gurugram
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In India, the registration of an Electronic R&D center falls under the purview of labor laws and regulations. Here are some key points to consider in this scenario:
1. Factory Registration:
- A factory is typically defined as any premises where manufacturing processes are carried out. Since your R&D center does not involve any manufacturing activities, it may not meet the criteria for registration as a factory under the Factories Act, 1948.
- The Factories Act primarily applies to establishments engaged in manufacturing processes, production, and other specified activities. As there is no manufacturing process in your R&D center, registering it as a factory may not be appropriate.
2. Shops & Establishments Act Registration:
- The Shops and Establishments Act is more suitable for establishments involved in non-manufacturing activities such as offices, service centers, and research facilities.
- Given that your R&D center is not engaged in manufacturing but rather research and development activities, its current registration under the Shops & Establishments Act is aligned with the nature of its operations.
3. Legal Compliance:
- It is essential to ensure compliance with the specific regulations governing R&D centers in Hyderabad, India. Verify if there are any local or state-level requirements that may impact the registration status of your center.
- Consult with legal experts or relevant authorities to confirm the appropriate registration category based on the operations and activities of your R&D center.
In conclusion, considering that your Electronic R&D center does not involve manufacturing processes, it appears suitable to be registered under the Shops & Establishments Act rather than as a factory. However, for complete clarity and compliance, it is advisable to seek guidance from local labor authorities or legal professionals familiar with the relevant laws in Hyderabad, India.
From India, Gurugram
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Forms & Registers Andhra Pradesh Shops & Establishments Act 1988 & Rules 1990.xls
Maharashtra Shops And Establishments (Regulation Of Employment And Conditions Of Service) Act, 2.pdf