Since the Shops and Establishments Act vary slightly depending on the Indian state it is being applied for, some of them have taken the process online, reducing the people coming to the Labour Department. It is mandatory for a shop or establishment in Punjab to register under Punjab Shops and Commercial Establishment Act 1958.
The timelines for the registration process vary depending on the Act that it is being applied through.
Registration Certificates are generally issued in 15 days via order no.21/134/2001-5Labour(PF)/1345272 Dated 1st Nov 2018, in Chandigarh. However, registrations under Section 13 of the Act, grants certificates in a day from the date of submission of online applications, without prior inspection by an authority.
Applicants should convert and upload all documents into a single PDF file. The required
documents under the Act, are:
* Proof of Shop/Commercial Establishment
* Photo of Front of Shop/Commercial Establishment
* Photo of Interior of Shop/Commercial Establishment
* Identity Proof of Owner
* Scanned copy of Signature of applicant
A few more documents are
* Power of Attorney of the company, if necessary
* Memorandum of Company
* List of Directors of Company
* In Case of Shop: the Rent deed
The Shop and Establishment Act licence is mandatory, but it also has a bunch of advantages,
including its necessity when applying for other company-related documents. Some of these are:
* Opening a bank account
* Registering for sales tax and service tax
* Distributing tenders with the Departments of the State
* Obtaining legal status by helping creditors, suppliers, and other stakeholders trust that
the company went through the proper registration process, with the right authorities and
not fake ones
* Receiving loans with ease from banks and other financial institutions
Each employer must submit a registration application for their shop or any commercial establishment within 30 days of starting their business. This should be registered under the Shop & Establishment Act via the Department of Labor of the State Government. All shops, hotels, food houses, local restaurants, city theatres, places for public entertainment and any other commercial establishment are regulated by this Act and includes a Shop and Establishment registration following the law.
For Punjab, there are no fees for the registration of an establishment by the Labour Department. However, there might be payments that have to be handled depending on the website used to complete the application process.
* All employers and owners of establishments are responsible for the information, accounts,
and other records that are provided. They should make sure that they are available for
review by the officers and should be capable of providing officers with any other details in
connection with it as may be appropriate.
* If any individual interferes or intentionally obstructs the inspecting authority in the
exercise of its powers, especially under this Act, or hides information or prevents another
employee in the establishment from appearing before or being examined, shall be liable
for a fine of no less than twenty-five rupees and two hundred rupees.