1. Is the Factories Act applicable to sole proprietorship?
2. Also, which acts are applicable to a sole proprietorship in Maharashtra with a factory using power and employing 10 or more workers?
From India, Mumbai
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2. Also, which acts are applicable to a sole proprietorship in Maharashtra with a factory using power and employing 10 or more workers?
From India, Mumbai
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Dear HH.S,
Legal Classifications of Business Entities
Sole Proprietorship, Partnership, LLC, Private Limited, and Public Limited Company, etc., are legal classifications of business or industrial entities only with reference to their constitution. They do not make any distinction in the application of Labor Laws. The Factories Act of 1948 and the respective State Factories Rules framed under the Act would be applicable to an establishment for manufacturing if it satisfies the definition of "factory" under section 2 (m) of the Factories Act, 1948.
Applicable Acts for Factories
Acts such as the Employees' Compensation Act of 1923, the Payment of Wages Act of 1936, the Industrial Disputes Act of 1947, the Minimum Wages Act of 1948, the Maternity Benefit Act of 1961, the Payment of Bonus Act of 1965, and the Payment of Gratuity Act of 1972 would be applicable to a factory regardless of the number of people employed therein. Depending on the numbers specified, Acts like the Industrial Employment (Standing Orders) Act of 1946, the ESI Act of 1948, the EPF Act of 1952, the Contract Labor Act of 1970, etc., would be applicable.
Thank you.
From India, Salem
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6108Legal Classifications of Business Entities
Sole Proprietorship, Partnership, LLC, Private Limited, and Public Limited Company, etc., are legal classifications of business or industrial entities only with reference to their constitution. They do not make any distinction in the application of Labor Laws. The Factories Act of 1948 and the respective State Factories Rules framed under the Act would be applicable to an establishment for manufacturing if it satisfies the definition of "factory" under section 2 (m) of the Factories Act, 1948.
Applicable Acts for Factories
Acts such as the Employees' Compensation Act of 1923, the Payment of Wages Act of 1936, the Industrial Disputes Act of 1947, the Minimum Wages Act of 1948, the Maternity Benefit Act of 1961, the Payment of Bonus Act of 1965, and the Payment of Gratuity Act of 1972 would be applicable to a factory regardless of the number of people employed therein. Depending on the numbers specified, Acts like the Industrial Employment (Standing Orders) Act of 1946, the ESI Act of 1948, the EPF Act of 1952, the Contract Labor Act of 1970, etc., would be applicable.
Thank you.
From India, Salem
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Factories Act.doc
LIST OF HOLIDAYS UNDER FACTORIES ACT - ANDHRA PRADESH.pdf