The Labor Laws (Exemption from furnishing returns and maintaining registers by certain establishments) Act, 1988 is an an act to provide for the exemption of employers in relation to establishments employing a small number of persons from furnishing returns and maintaining registers under certain labor laws.
Proposed amendments by the Ministry of Labor and Employment, have been passed by the Parliament and received the assent of the President on 9 December 2014.
Before amendments, firms with 10 to 19 are considered for coverage and only 9 Labor Laws were exempted. With the current amendment, firms with 10 to 40 employees will get the privilege to get exempted from 16 Labor Laws, provided they have to furnish a core return and three simple registers.
This amendment may further make labor law compliance by small establishments by making furnishing returns/registers, hassle free. This could encourage more investment in small business and help to create more employment opportunities.
The salient features of the amendment are
Definition of small establishment has been amended: Small Establishment mean an establishment in which not less than 10 and not more than 40 persons are employed or were employed on any day of the preceding 12 months.
The Small Establishment need not furnish returns as prescribed under the Act given in the Schedule provided they maintain the Register and submit Returns as prescribed in the Proviso to the Amended Section 4.
The following acts have been included in the Schedule:
The Weekly Holidays Act, 1942 (18 of 1942)
The Minimum Wages Act, 1948 (11 of 1948)
The Factories Act, 1948 (63 of 1948)
The Plantations Labor Act, 1951 (69 of 1951)
The Working Journalists and other Newspaper Employees (Conditions of Service) and Miscellaneous Provisions Act, 1955 (45 of 1955).
The Motor Transport Workers Act, 1961 (27 of 1961)
The Payment of Bonus Act, 1965 (21 of 1965)
The Beedi and Cigar Workers (Conditions of Employment) Act,1966 (32 of 1966)
The Contract Labor (Regulation & Abolition) Act, 1970
The Sales Promotion Employees (Conditions of Service) Act,1976 (11 of 1976)
The Equal Remuneration Act, 1976 (21 of 1976)
The Inter-State Migrant Workmen (Regulation of Employment and Conditions of Service) Act, 1979 (30 of 1979)
The Dock Workers (Safety, Health and Welfare) Act, 1986 (54of 1986)
The Child Labor (Prohibition and Regulation) Act, 1986 (61 of 1986)
The Building and Other Construction Workers (Regulation of Employment and Conditions of Service) Act, 1996 (27 of 1996)
The Payment of Wages Act, 1936 (4 of 1936)
This shall come into force on such date as the Central Government may by the Notification in the Official Gazette appoint.