SHOP AND ESTABLISHMENT REGISTRATION NEW DRAFT RULE HIGHLIGHTS
Post Company Incorporation in India, some other registrations are also required for starting full-fledged business operations. One such registration is under Shop and Establishment Act. It deals with rights and duties of employer and employee of an establishment or organization in particular state.
In Delhi, it is also known as the DSE Act, 1954. There are several key elements related to employment that are regulated by the said Act related to the operations of such establishments in Delhi.
Accordingly, upon company registration in Delhi, every company shall also get itself registered under aforesaid Act.
These key aspects covered by aforesaid Act are as under:
- Duration of work
- Opening and closing hours of the establishment or work
- Close days of work
- Intervals during the shift for meals and rest
- Record keeping
- Safety measures for the workers and employees
- Cleanliness guidelines
- Ventilation and lightning at place of work
- Precautions to be taken against fire or any other hazard
- Leave policies
- Wages paid to employees
- Conditions related to payments of wages
- Time period of payment of wages
- Weekly holidays
- Wages for holidays
- Deductions from wages
- Dismissal from employment
- Employment of women and young persons
- Prohibition of employing children for work
In recent years, the registration procedure has been simplified. The Government has designated an online portal for the same. The registration under the DSE Act, 1954 was integrated with the SPICE+ portal on 28th May, 2021 for providing a single window system for clearance.
The portal which has been developed by the Ministry of Corporate Affairs (MCA) for new company registration in Delhi can now be used to register the shops or establishments as well.
The new draft of Delhi Shops and Establishments (Amendment) Rules, 2021 or Draft Rules (as it commonly is said) has been released by the Government of Delhi for being in line with the Digitization initiative of the Government of India.
Key Highlights in the Draft Rules:
The new Draft Rules have been formulated for making the process of compliance for such shops or establishments easier and flexible. Especially for the employers, the new rules will bring significant changes in the manner of work. Also, the changes ensures the evolving pace of the DSE Act, 1954 in the compliance practices in accordance with the changing times and modernization of the businesses today.
Here are the key changes that have been introduced through the Draft Rules of the Delhi Shops and Establishments Act, 1954-
- As per the new rules, an application for registration of shop or establishment can only be made through the online portal of Shop and Establishment of the Delhi Labor Department. The occupier can now file the registration from the comfort of their home instead of submitting it in physical mode as stipulated before under the Act.
- The Act also states that any changes in the information provided during the registration process must be notified by the occupier to the Chief Inspector through Form D. Previously, this requirement entailed a physical submission of the said form but the new Draft Rules has made it mandatory to notify such changes through the online mode on the portal.
- The registration fees and charges for notifying the changes have also been waived off by the department under the new Draft Rules.
- Also, the time period for notifying the changes in the submitted information during the shop or establishment, has been extended by the department. Now, the occupier can submit it within 15 to 30 days at time of registering to the Chief Inspector.
- The Draft Rules has introduced a new Form G, a consolidated form in which the following are to be recorded:
- Attendance of the employees or workers
- Wages paid
- Deductions to be made
The previous used forms to treat these aspects have been deleted from the Act or have been substituted by the new one.