Learn about the Haryana Shop and Establishment Act: Applicability, registration, compliance, leave policy, wages, overtime, maternity benefits, penalties, and more.
Haryana Shop and Establishment Act
Applicability:
All shops, establishments and commercial establishments in Haryana.
The provisions of the Employee’s Compensation Act shall as and when applicable apply to this act.
This act regulates areas like Working hours, Overtime, Leave policy, Rest interval, Opening and closing hours, Closed days, National and religious holidays, Time and conditions of payment of wages, Deductions from wages, Maintain various Registers etc.
Registration:
Each owner, within 30 days from starting the business shall submit application in form ‘A’ to register the establishment.
The registration certificate shall be renewable by the 31st March after every 3 years.
30 days grace time shall, however, be allowed for the renewal of the certificate after payment of prescribed fee.
Establishments exempted under the Act:
a) A Factory registered Under The Factories Act
b) Places of Public Amusements or Entertainment such as theatres, cinemas, restaurants, eating houses, residential hotels, clubs.
c) Establishments of doctors and medical practitioners.
d) Establishments of legal practitioners
However, there are certain establishments which are partially exempted under the Act.
Compliances:
a) Registration under the Act in Form A within 30 days from starting of business.
b) Mandatory registers to be maintained such as Holiday list.
Leave Policy:
Every employee who has been in employment for not less than 20 days in a year shall be entitled to 1 day’s earned leave for every such twenty days. Provided that a young person shall be entitled to 1 day’s earned leave for every 15 days of employment during the year.
a) Privilege Leave (PL) – Not less than 18 days
b) Sickness or Casual Leave:- Not less than 14 days
The Privilege Leaves must be carried forward in the following year, but the leaves must not exceed more than 30 days.
Employer must to furnish letters of appointment to employees after appointment.
Time and Conditions of payment of wages:
Before the expiry of the 7th day of the last day of the wage period in respect of which the wages are payable.
Over-Time:
For any work in excess of 9 hours on any day or for more than 48 hours in any week, overtime wages are to be paid at the rate of double the wages.
Restriction on Double/Dual Employment:
No person shall work two or more establishments or and a factory in excess of the period during which he may be lawfully employed under this Act.
Interval for Rest and Meals:
No employee to work more than 5 hours in a continuity without a break for at least 30 minutes of rest or a meal. The total time worked per day, including rest and lunch breaks, shall not exceed 10 hours.
Employers are not allowed to hire children or individuals under the age of 14 including a child is a part of the family that owns the business.
No woman can be required or allowed to work at night, as an employee or otherwise in any establishment.
Maternity Benefits:
If your woman employee has been continuously employed for a period of at least 6 months preceding the date of her delivery, then she will be entitled to receive a payment of maternity benefit from her employer, and as prescribed by the Government for every day during the 6 weeks immediately preceding and including the day of her delivery, and for each day of the 6 weeks following her delivery.
Must have a sufficient arrangement for the employee access to drinking water.
Establishments must operate as per the timings prescribed by the Haryana government. However, the government can prescribe different opening and closing times for different classes of shops or commercial establishments.
Notice of Dismissal:
No employer shall dispense who has been in continuous employment for not less than 3 months, without giving at least one months notice in writing or wages in lieu of such notice and employee given to his employer a notice, of at least 7 days prior in writing.
Registers:
a) Register of the Employment and Wages of the Employee as per Form D
b) Opening and Closing hours of employment as per Form H.
c) Details of employees as per Form C
The records and registers must be preserved till the end of the following year.
Penalties:
Once convicted, would become liable to pay a fine not exceeding Rs.100/- for the first offense, and Rs.300/- for every subsequent offense. The fine for the subsequent offenses within the same year should not be less than Rs.100/- in any case.
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Author – CA Gaurav Agrawal, Kishore Gupta & Co, Chartered Accountants in Practice from Central Delhi and can be contacted at [email protected] & Mobile Number 9711033545.
in Haryana, there is no need for the Renewal of Shop and Establishment Act