Shops and Establishment Act 1961 Shops and commercial

Shops and Establishment Act 1961 › Shops and commercial establishments act in the country have been state enactments. Majority of the states, union territories have their own acts. In Karnataka , shops and commercial establishments act was enacted in 1961

Objectives /provisions of the act › Working hours › Rest intervals › Holidays, overtime, leave › Termination of service › Employment of women and young persons › Protection of wages › Registration of shop and establishments

Working hours › Shops should be open from 9 a. m. to 9 p. m. › If customer is waiting, he can be served even after 9 p. m. › Government has powers to change rules › Footpath hawkers, news paper sellers , milk booth are exempted › Employee is not required to work for more than 9 hours/day and 48 hrs/week except during stock taking day for 10 hrs/day › Overtime wages should be paid for overtime work

Rest interval › No employee is allowed to work for more than 5 hrs continuously without an interval for at least half an hour Other holidays • Independence day • Republic day • Gandhi Jayanthi • Other holidays • If an employee works on such days, double payment is to be paid • Government has power to declare holidays

Spread over is the total time of work and rest intervals in an establishment in a day The total spread over should not exceed 1. 8 hrs in case of a child 2. 10 hrs in case of a young person 3. 12 hrs in case of other employees

Weekly holiday • Every establishment needs to be closed on any day in a week • Weekly holiday has to be displayed on the notice board in a local language • Weekly holiday cannot be changed before 3 months • Inspector can direct regarding the weekly holiday • Employee is entitled to avail wages on weekly holiday

Employment of children, young persons, women • Prohibition of employment of children of below 12 yrs. • Prohibition of night work after 10 p. m. and before 7 a. m. for children Children and women • Working hours for child is 5 hrs/day and 30 hrs /week • Working hours for young is 7 hrs/day and 32 hrs /week

Leave with wages • For 1 year of service, a paid leave for 20 days • Maternity leave for 12 weeks • Earned leave can be accumulated for 45 days • Leave can be reimbursed • Casual leave and sick leave can be availed • Government has powers to change the rules

Wages • Wage period for one month • Wage payment before 7 th day of previous wage period • Terminated employees, second day payment • Payments on working day • Payments in current coins/notes • Authorised deductions • Claims for delayed payment and unauthorised deductions to an authority is allowed

Dismissal, termination › One month notice from both employer, employee › Reasonable cause › 15 days wages for every year of service to be paid › An employee can appeal within 3 months › Authority decides case after hearing

Power of inspecting officers › Enter, establishment with assistants › Inspect , take extracts from registers, records notices required for act › Take statement of any person for evidence › Exercise powers › He can be a district magistrate or any officer from government

Penalties › › For contravention the act Obstructing the inspector results in 6 months prison and fine Unauthorised deductions from wages , delayed payment Complaint to be lodged to the inspector within 6 months of offence Other provisions in the act › Maintenance of registers, display of notices › Application of compensation, maternity, holiday act › Power to make rules lies with state government