Shops and Establishments Act - Rajasthan

Rajasthan Shops and Commercial Establishments Act, 1958

The provisions of Rajasthan Shops & Establishment Act, 1958 applies to all establishment (including Shops & Commercial Establishments) in the state of Rajasthan.

Definitions:

Commercial establishment means a commercial or trading or banking or insurance establishment, an establishment or administrate service in which the persons employed are mainly engaged in office work, a hotel, a restaurant, boarding or eating houses, cafe or any other refreshment house, a theatre or any other place of public amusement or entertainment and includes every such establishment as the State Government may, by notification in the Official Gazette, declare to be a commercial establishment for the purposes of this Act;
Employer means a person having charge or owning or having ultimate control over the affairs of an establishment and includes the manager, agent or other person acting in the general management or control of an establishment;
Establishment means a shop or a commercial establishment;
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 or ware-houses, whether in the same premises or otherwise, used in connection with such trade or business but does not include a commercial establishment or a shop attached to a factory where the persons employed in the shop are allowed the benefits provided for workers under the Factories Act, 1948
Employee means a person wholly or principally employed in, or in connection with any establishment and includes an apprentice but does not include a member of the employer’s family; it also includes any clerical or other staff of a factory or industrial establishment who falls outside the purview of the Factories Act, 1948

Various compliances required under Rajasthan Shops and Commercial Establishments Act, 1958 read with Rajasthan Shops and Commercial Establishments Rules,1959 are as under:

1.Application for registration of establishment [Section 4 & Rule 3]: The employer of every establishment shall submit online application in Form No 1 for registration of the establishment along with the required documents as specified in Section 4 of the Act within 30 days from the date on which the establishment commences its work. And the registration so obtained shall be prominently displayed at the establishment.

2. Hours of Work [Chapter 3]: The Act prescribes regulations regarding daily and weekly hours of work, intervals for rest, spread-over, and opening and closing hours of establishments. These provisions aim to ensure the well-being and safety of employees while maintaining productivity.

1. Daily and weekly hours – No employee shall work for more than 10 hours in any day and 48 hours in any week. Also, the total number of hours including over- time shall not exceed 10 hours in any day except on days of stock taking and preparation of accounts. Further, the total number of over-time hours worked by an employee shall not exceed one hundred forty four in a quarter. And No child between the ages of fourteen and eighteen shall be allowed to work in any employment for more than three hours in a day.
2. Extra wages for over-time work. – If an employee works in any establishment for more than 10 hours on any day or for more than-48 hours in any week he shall in respect of such over-time work be entitled to wages at the rate of one and a half times the ordinary rate of wages.
3. Interval for rest & Spread Over: The period of work of an employee in an establishment shall be so fixed that no period shall exceed 6 hours and that no such person shall work for more than 6 hours before he has had an interval for rest of at least half-an-hour. Also, the period of work of an employee in an establishment shall be so fixed that, inclusive of his interval of rest, it shall not spread-over more than twelve hours on any day.
4. Opening and closing hours. – No establishment shall, on any day, be opened earlier than and closed later than such hour as may be fixed by a general or special order of the State Government. Also, every employer shall maintain a register of employment in Form No. 11 provided that where the opening and closing hours are ordinarily uniform, the employer may maintain such register in Form No. 12.
5. Weekly holidays. – Every establishment shall remain closed for one day of the week. The employer shall fix such day at the beginning of the year, notify it to the Inspector and specify it in a notice in Form No. 7 prominently displayed in a conspicuous place in the shop or commercial establishment. The employer shall not alter such day more often than once in six months, and shall notify the alteration to the Inspector and make the necessary change in the notice in the shop or commercial establishment.

3. Annual leave with wages [Chapter 4] –Every employee who has worked for a period of 240 days or more in an establishment during a calendar year shall be allowed, during the subsequent calendar year, leave with wages for a number of days calculated at the rate of, –

1. in an adult, 1 day for every 12 days of work performed by him during the previous calendar year;
2. if a child, 1 day for every 15 days of work performed by him during the previous calendar year.

For the leave allowed to him under Section 14 an employee shall be paid at a rate equal to the daily average of his total full-time earnings for the days on which he worked during the month immediately preceding his leave, exclusive of any over-time and bonus but inclusive of dearness allowances and the cash equivalent of an advantage accruing through the concessional sale to the employees of food grains and other articles

4. Prohibition of employment of children [Section 21]: No child who has not completed the age of 14 shall be required or allowed to work in any establishment. Also, no child between the ages of 14 and 18 shall be required or allowed to work whether as an employee or otherwise, in any establishment during night.

5. Employment of women at night [Section 22]: Rajasthan Shops and Commercial Establishments Act 1958 states no woman or child between the ages of 14 and 18 shall be required or allowed to work whether as an employee or otherwise, in any establishment during night.

Through Notification dated March 19, 2024, using the power granted under Section 3(2) of Rajasthan Shops and Commercial Establishments Act 1958, the State Government of Rajasthan has provided an exemption to all registered shops and commercial establishments from the provisions of Section 22 of the Act for a period of 3 years from the date of publication of this Notification in the Rajasthan Gazette. For details, click here.

Further exemption from Section 22 is granted to registered shops and commercial establishments for employing women at night, provided they adhere to the following safeguards:

- Women employees may be deployed at night only after obtaining their written consent.
- Employers must issue appointment letters and photo ID cards to all women workers.
- Employers are fully responsible for the safety of women employees, including providing secure transportation from home to the workplace and back during night shifts.
- Separate restrooms and locker facilities must be provided for women at the workplace.
- Pregnant women must not be assigned night shifts during the three months before and after delivery.
- Employers must ensure effective prevention of sexual harassment at the workplace.
- If any of the above conditions are violated, the exemption will stand automatically revoked, and the employer will be liable for appropriate legal action under the Act and other applicable laws.

6. Maternity benefit [Section 26]: Every woman employed in an establishment who has been continuously employed in that establishment or in establishments belonging to the owner of that establishment for a period of not less than 6 months preceding the date of her delivery shall be entitled to receive and the employer shall be liable to make to her a payment of maternity benefit for every day during the 6 weeks immediately preceding and including the day of her delivery and for each day of the 6 weeks following here delivery.

7. Payment of maternity benefit in case of woman’s death [Rule 18]: If a woman entitled to maternity benefit under the Act dies during the period for which she is entitled to maternity benefit, the employer shall pay the amount of maternity benefit due if the newly born child survives her, to the person who undertakes the care of the child, and if the child does not survive, to her legal representative.

8. Dismissal, discharge and termination of service [Section 28A & 28B]:

1. No employer shall dismiss or discharge from his employment any employee who has been in such employment continuously for a period of not less than 6 months except for a reasonable cause and after giving such employee at least one month’s prior notice or on paying him one month’s wages in lieu of such notice.
2. No employee who has been in continuous employment of an employer for a period of not less than 6 months shall leave the service of such employer without giving him one month’s notice in writing.

9. Leave Wages Register [Rule 13]: The employer shall keep a Register in Form No. 8 called the Leave with Wages Register and it shall be preserved for a period of 3 years after the last entry in it.

10. Leave Book [Rule 14]: The employer shall display on the notice board in the first month every year the leave earned by an individual employee, for his information.

11. Muster Roll [Rule 20]: The Employer of every establishment in which woman are employed shall prepare and maintain a muster roll and shall enter the particulars mentioned in Rule 20 of Rajasthan Shops & Commercial Establishments Rules, 1959

12. Register of Employment or Exhibition of Hours of Work [Rule 22 (1), (2), (3)]: Every employer shall maintain a register of employment in Form No. 11 provided that where the opening and closing hours are ordinarily uniform, the employer may maintain such register in Form No. 12. Also, an employer may, instead of maintaining a register above, exhibit in his establishment a notice specifying the daily hours to be worked by and intervals for rest and meals to be allowed to the persons employed. The notice shall be in Form No. 13 and shall be exhibited not later than the closing hour on the Saturday immediately preceding the first week in which the hours of work shall be as specified in such notice. It shall continue to be exhibited so long as the hours of work specified in it are observed. Further, where an employer has exhibited the notice in Form 13 he shall keep a record of work in Form No. 14.

13. Display of Holidays [Rule 22 (4)]: Every employer shall exhibit in his establishment a notice in Form No. 15 specifying the day or days of the week on which the persons employed by him shall be given holiday. The notice shall be exhibited before the persons to whom it relates cease work on the Saturday immediately preceding the first week during which it is to have effect.

14. Display of Extract of Act [Rule 22 (5)]: Every employer shall exhibit in his establishment a notice containing such extracts of the Act and these rules in English and/or in Hindi as the Government may direct.

15. Retention of Records [Rule 22 (8)]: The registers, records and notice to any calendar year shall be preserved till the end of the next calendar year.

16. Visit Book [Rule 22 (10)]: Every employer shall maintain a visit book in which an Inspector visiting the establishment may record his remarks regarding any defects that may come to light at the time of his inspection and shall produce it whenever required to do so by an Inspector.

Form 4: Notice of Change in Statement Submitted at the Time of Registration (Section 5, Rule 5)

A certificate holder shall notify any change in respect of any information contained in his statement (Form 1) submitted at the time of registration of establishment in Form No. 4 to the Inspector within seven days after the change has taken place.

Notice of Closure of Establishment in Rajasthan (Section 6) The employer shall, within ten days of closing the establishment, notify in writing to the Inspector within whose area the establishment is situated.

Amendment of the Certificate Due to Death or Disability of Certificate Holder (Rule 8)
Any person carrying on the business of a certificate holder after the latter’s death or insolvency shall make an application for amendment to the Shops and Establ ishment Certificate for name change within 90 days of the death or insolvency of the certificate holder.

Number of Times Leave May Be Taken in a Year by Employee in Rajasthan (Section 14(6), (7))

Employee must apply in writing to the manager of the establishment at least 7 days before the date he wants to go on leave. Provided that the number of times in which leave may be taken during any year shall not exceed six.

Leave with Wages in Case of Termination of Services of an Employee (Section 14(11))If the services of an employee are terminated, before he has taken the entire leave to which he is entitled or if having applied for and not been granted such leave, the employer shall pay him the amount payable as provided in Section 15 in respect of the leave not taken, and such payment shall be made before the expiry of the second working day after such termination.

Leave with Wages in Case an Employee Quits Service in Rajasthan (Section 14(11))
If an employee quits service, before he has taken the leave to which he is entitled, the employer shall pay him the amount payable under Section 15 in respect of the leave not taken on or before the next pay day.

Prohibition of Employment During Certain Periods in Rajasthan (Section 23)
No owner or manager of an establishment shall knowingly employ a woman, and no woman shall engage in employment in any establishment during the six weeks following the day on which she is delivered of a child.

Compliance with Maternity Benefits to Women Employees in Rajasthan (Section 24, Rule 17(1))
If any woman employed in an establishment who is pregnant gives notice either orally or in writing in Form 9 to the employer that she expects delivery of a child within six weeks from the date of such notice, the employer shall permit her, if she so desires, to absent herself from work up to the day of her delivery. The employer may, on undertaking to defray the cost, require the woman to be examined by a qualified medical practitioner or midwife. If she refuses such examination or is certified not pregnant, he may refuse such permission. The examination shall, if the woman so desires, be carried out by a woman.

Intervals for Nursing the Child by Women Employee in Rajasthan (Section 27)
Any woman employed in an establishment who is delivered of a child shall, while she is nursing her child, be allowed half-an-hour twice a day during her working hours for this purpose in addition to regular intervals for rest.

Prohibition of Dismissal During or on Account of Absence from Work Owing to Confinement in Rajasthan (Section 28) When a woman absents herself from work on account of maternity leave, it shall be unlawful for the employer to dismiss her during or on account of such absence, or to give notice of dismissal on such a day that the notice will expire during such absence.

Cleanliness of the Commercial Establishment in Rajasthan (Rule 23) In every establishment, all the inside walls of the rooms and all the ceilings and tops of such rooms (whether plastered or not) and all passages and staircases shall be lime washed or colour washed at least once in two years dating from the time when they were last lime washed or colour washed, and shall be maintained in a clear state. All beams, rafters, doors, window frames and other woodwork, except floors, shall be painted at least once in four years. No rubbish, filth, or debris shall be allowed to accumulate. All filth and decomposing matter shall be kept in covered receptacles. The area around drinking water distribution points must be kept clean and properly drained.

Precautions for Safety of Employees in Case of Fire in Establishments in Rajasthan
(Rule 24) No person shall smoke or use a naked light or cause or permit any such light to be used in the immediate vicinity of any inflammable material in any establishment.

Penalties & Punishments

Under section 33, for contravention of Sec 5 by any person, on conviction, fine may be levied which may extend to Rs. 250 for first offence and up to Rs. 500 for second or subsequent offence.
Penalty under Rules: Any person contravening any of the provisions of the Rules shall on conviction be punishable with a fine which may extend to Rs. 50/-

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