TN Shops & Commercial Establishments Act & Rules

Summary

The Tamil Nadu Shops and Establishments Act, 1947 and Rules, 1948 are applicable to all the shops and commercial establishments in the areas notified by Government of Tamil Nadu.

The Act is enacted for the purpose of protecting the rights of employees.

The Act provides regulations of the payment of wages, terms of services, work hours, rest intervals, overtime work, opening and closing hours, closed days, holidays, leaves, maternity leave and benefits, work conditions, rules for employment of children, records maintenance, etc.

Key Definitions

“Shop” means any premises where any trade or business is carried on or where services are rendered to customers and includes offices, store rooms, godowns and warehouses, whether in the same premises or otherwise, used in connection with such business but does not include a restaurant, eating-house or commercial establishment.

“Commercial Establishment” means an establishment which is not a shop but which carries on the business of advertising, commission, forwarding or commercial agency, or which is a clerical department of a factory or industrial undertaking or which is an insurance company, joint stock company, bank, broker’s office or exchange and includes such other establishments as the State Government may by notification declare to be a commercial establishment for the purposes of this Act.

"Establishment" means a shop, commercial establishment, restaurant, eating-house, residential hotel, theatre or any place of public amusement or entertainment and includes such establishment as the State Government may by notification declare to be an establishment for the purposes of this Act.

Exemptions from Registration

The organizations that are exempted from registration under this Act are:

persons employed in any establishment in a position of management;
persons whose work involves travelling: and persons employed as canvassers and caretakers;
establishments under the Central and State Governments, local authorities, the Reserve Bank of India, a railway administration operating any railway as defined in clause (20) of article 366 of the Constitution and cantonment authorities;
establishments in mines and oil fields;
establishments in bazaars in places where fairs or festivals are held temporarily for a period not exceeding fifteen days at a time;
establishments which, not being factories within the meaning of the Factories Act, 1948, are in respect of matters dealt with in this Act, governed by a separate law for the time being in force in the State.

Compliances

References

Notifications

Holiday for Ganesh Chathurthi in Tamil Nadu

31 Aug, 2023

The Government of Tamil Nadu has passed a GO declaring the holiday for Vinayakar Chathurthi on 18 September 2023 (monday) instead of 17 September 2023.

Tamil Nadu permits establishments to be open on all days of the year

23 Mar, 2023

Subject to certain conditions, the Government of Tamil Nadu has allowed all establishments, under the Tamil Nadu Shops and Establishments Act, 1947, to remain open throughout the year for a further period of three years with effect from 23 March 2023.

Public Holiday on account of Bye-Election in Tamil Nadu

09 Feb, 2023

The Government of Tamil Nadu has declared paid holiday on 27th February 2023 (Monday), for all employees who are working in Erode and neighbouring districts, on account of the bye-election in the 98 Erode (East) Assembly Constituency.

Shops & Establishments can function 24 x 7 in Tamil Nadu

02 Jun, 2022

The Tamil Nadu Government published a notification allowing the shops and establishments to remain open for 24 hours on all the days of the year with a few conditions.

Paid Holiday On Account Of Gram Panchayat Elections In Tamil Nadu

30 Sep, 2021

The Tamil Nadu Government has declared 06 and 09 October 2021 as paid holidays for the Gram Panchayat Elections held in Kancheepuram, Chengalpattu, Vellore, Ranipet, Tirupathur, Villupuram, Kallakurichi, Tirunelveli and Tenkasi along with casual election to rural local bodies in other twenty-eight districts. The employers are directed to declare paid holiday on the polling day 6th October 2021 and 9th October 2021 to allow employees to cast their vote.

Draft Tamil Nadu Shops and Establishments (Amendment) Act, 2021

06 Sep, 2021

The Tamil Nadu Labour Department has tabled a bill for Tamil Nadu Shops and Establishments (Amendment) Act, 2021 to further amend the registration provisions, and include the seating facilities in the establishments.