In the 2019 Shop and Establishment rules put forth by the Madhya Pradesh Government, they decided to change the licencing norms. This Amendment provides a one-time shop establishment licence to business owners who apply for it. Unlike the past, the licence only expires at the time of shutting the shop, when the certificate has to be returned. The Government also changed the payment of fees for registration and the various classes of employment.
Furthermore, the Madhya Pradesh Labour Department exempted all shops and commercial establishments registered under the Act from renewing their licenses after their expiry by a notification on the 8th of March 2019. Shops that had expiring licences were forced to create new ones under the new Act which changed the costing and registration process. Consequently, the fees for registration of the licences of shops and establishments under the Act have been revised.
The Act was first published in the Madhya Pradesh Gazette on the 3rd of October, 1958. It was subsequently amended four times in 1967, 1982, 1990, and 1995. It aims at providing regulations of working conditions and employment in the shops, commercial establishments, residential hotels, restaurants, eating houses, theatres, and other public places of amusement and entertainment. Madhya Pradesh used to follow the Shops and Establishments Act - 1958 and a lot of the current rules connected to the new Shops and Establishment Act are connected to the previous ones.
All businesses must comply with the Shop and Establishment Act which has been enacted by every state in India. It defines and regulates the payment of wages, hours of work, leave and holidays, terms of service, and other working conditions of the people employed in the shops and commercial establishments within a state. While specific rules vary from state to state, the Act is regulated by the Department of Labor and goes beyond trade or business. It has extensions that lead up to societies, charitable trusts, printing establishments, educational institutions, banks, and other places.
The Chief Inspector should receive the form in the specific format mentioned at the Labour Department. They should contain the employer, name, category, and address of the establishment, number of employees, and other specific information.
The Act explains in great detail, commonly used terms and what they exactly mean, including, apprentice, child, closed, wage, commercial establishment, day, employee. Employer, establishment, factory, goods, holiday, inspector, labour commissioner, leave, local authority, manager, members of the family of an employer, opened, a period of work, register of establishment, registration certificate, residential hotel, restaurant or eating-house, shop, spread-over, theatre, week, year, and young person.
The Act does not apply to people working irregular hours such as travellers, canvassers, watchmen, or caretakers. Additionally, persons employed in the offices of the Union, State Government or local authorities are excused, including the employees of the Reserve Bank of India, the State Bank of India, and the Life Insurance Corporation.