The Maharashtra Shops And Establishments (Regulation Of Employment And Conditions Of Service) Rules, 2018 Notified

The Government of Maharashtra (Government) vide Notification No. MSA 11/ 2017/ CR 298/ Labour 10 dated 23^rd March 2018 has notified the Maharashtra Shops and Establishments (Regulation of Employment and Conditions of Service) Rules, 2018 (Rules) under the Maharashtra Shops and Establishments (Regulation of Employment and Conditions of Service) Act, 2017 . The Rules, annul the earlier Maharashtra Shops and Establishments Rules, 1961.

The Government vide notification dated 2^nd February 2018 had notified the draft Maharashtra Shops and Establishments (Regulation of Employment and Conditions of Service) Rules, 2018 (Draft Rules) formulated under the 2017 Act for public comments. Now it appears that the Government has quickly acted upon the public comments that may have been received on the Draft Rules and has thereafter implemented the Rules.

Key incremental amendments made to the Draft Rules as per the notified Rules:

·         Fees: The fees for the application for registration, renewal of certificate of registration, changes in the certificate of registration, etc. which were proposed in the Draft Rules, have been waived. However, the employer may be required to pay the electronic transaction or service charges as may be fixed by the Government from time to time for availing e-services under the 2017 Act and the Rules.

·         Complaint box and display of numbers: This is a new requirement under the Rules. Every employer is under an obligation to maintain a complaint box and display the phone numbers of local police station, control room and women help line number prominently in the establishment. This provision was missing in the Draft Rules.

·         Security guard: Engagement of sufficient number of woman security guards has been made mandatory in establishments employing not less than 10 (ten) women workers. The mandatory police verification of such women security guards has also been prescribed. This provision was missing in the Draft Rules.

·         Additional paid holiday: The provision under the Draft Rules related to additional paid holiday for women workers working during night shifts has been modified. Now, every women worker who works during the night as per her shift schedule is entitled to 1 (one) additional paid holiday for every 2 (two) months in a year.

·         Submission of undertaking related to safety of women: Every employer has been obligated to submit an undertaking on an annual basis that he shall provide all the facilities as mentioned under Rule 13 of the Rules (Conditions for employment of women in general as well as in night shifts) and shall take due care and diligence regarding the safety, dignity and honour of women workers in general and particularly of those working during the night shift. This provision was missing in the Draft Rules.

·         Part-time employment: It has been prescribed that the wages payable to a part time worker shall be computed by dividing the per day rate of 'minimum wages' applicable to that schedule employment by 8 (eight) hours with 15% (fifteen percent) rise in it or by dividing the prevailing rate of per day wages fixed for permanent workers doing similar nature of work in that establishment by 8 (eight) hours with 15% (fifteen percent) rise in it, whichever is higher. It has also now been prescribed that no part time worker shall be allowed to work overtime under any circumstances. These conditions appear to be aimed to prevent misuse of the engagement of part time workers.

·         Health, Safety and Welfare Committee: As per the provisions the provisions related to Health, Safety and Welfare Committee under the Rules, it has been prescribed that the said committee shall consist of equal number of employer and worker's representatives. Also, the said committee is required to have sufficient number of representatives of women, wherever women workers are employed. This provision was missing in the Draft Rules.

·         Precautions against fire: Every employer has been obligated to adopt and implement all the safety measures mentioned, suggested and recommended in the Fire and Safety Policy as declared by the Government, from time to time. This provision was missing in the Draft Rules.

·         Preservation of records: As per the Rules, every employer or manager shall preserve the inspection records of the Facilitator for a period of 3 (three) years, instead of the 5 (five) years requirement under the Draft Rules.

·         Annual Return: As per the Rules, every employer shall upload the annual return online in Form 'R' on the website within 2 (two) months for the year ending on 31 December. Under the Draft Rules, the annual return was required to be submitted within 2 (two) months after the closing of the financial year ending on 31 March. Clarity would be required concerning particulars of the website for annual return filing and other prescribed forms.

·         Fee for compounding of offence: The maximum fees for compounding of an offence may be imposed by the compounding officer shall not be less than 50% (fifty percent) of the maximum fine specified for such offence under the 2017 Act. As per the Draft Rules, the maximum fees for compounding of offence was not less than 75% (seventy five percent).

·         Information regarding persons discharging managerial function: The information to the facilitator in Form 'T' related to the names, designation and brief nature of duties of persons who are discharging managerial function, is required

to be submitted annually and whenever there is any change, during the year. This provision was missing in the Draft Rules.

·         Information regarding persons doing confidential work: The information in Form 'U' related to the names of persons who are occupying position of confidential character in an establishment, is required to be submitted annually and whenever there is any change, during the year. This provision was missing in the Draft Rules.

The Government has acted swiftly by implementing the Rules soon after releasing the Draft Rules for stakeholders' comments. Read with the 2017 Act, the Rules are aimed to facilitate ease of doing business, ease of compliance and represent major reforms towards workplace safety issues and welfare provisions especially for women workers. Needless to mention that the overall implementation of legislative intent of the 2017 Act and the Rules would largely depend on a proactive state machinery in cooperation with the establishments which must also take steps to make themselves aware of the new statutory framework.

INDUSTRIES, ENERGY AND LABOUR DEPARTMENT
Mantralaya, Madam Cama Marg, Hutatma Rajguru Chowk, Mumbai –  400 032, dated the 23 rd March 2018.
NOTIFICATION

MAHARASHTRA SHOPS AND ESTABLISHMENTS (REGULATION OF EMPLOYMENT AND CONDITIONS OF SERVICE) ACT, 2017.
 

No. MSA 11/ 2017/ CR 298/ Labour 10.-- In exercise of the powers conferred by sub-section (1) of section 37 of the Maharashtra Shops and Establishments (Regulation of Employment and Conditions of Service) Act, 2017 (Mah. LXI of 2017) and of all other powers enabling it in that behalf, the Government of Maharashtra hereby makes the following rules; the same having been previously published as required by sub-section (2) of section 37 of the said Act, namely :-- 

1.   Short title.- These rules may be called the Maharashtra Shops and Establishments (Regulation of Employment and Conditions of Service) Rules, 2018.
2.  Definition.--

(1) In these rules unless the context otherwise requires,- 

(a) “Act” means the Maharashtra Shops and Establishments (Regulation of Employment and Conditions of Service) Act, 2017(Mah.LXI of 2017) ;

(b) “Form” means the forms appended to these rules ;

(c) “Government” means the Government of Maharashtra ;

(d) “Schedule” means a Schedule appended to these rules ;

(e) “section” means a section of the Act ;

(f) “Managerial Functions” means all such functions which are inherently supervisory in nature and are bestowed with powers and authority to take all policy and administrative decision in an organisation, e.g. power to sanction leave, award increment, take disciplinary action, to terminate, suspend or dismiss a worker or indulge in policy making decision regarding any aspect of the business or service, conditions of workers and such other similar powers.

(2)  Words and expressions used in these rules but not defined hereinabove shall have the same meanings as are respectively assigned to them in the Act.

3. Application for registration of establishment.-- The employer of every establishment engaging ten or more workers shall  submit online application in Form ‘A’ for registration of the establishment as per section 6 of the Act along with the required documents as specified in Part A of the Schedule.

4. Payment of Electronic Transaction or Service Charges.-- No fee is prescribed  under this Act and rules. However, the employer shall pay the electronic transaction or service charges as fixed by the Government from time to time for availing e-services under the Act and these rules.

5.  Manner of registration of establishment.-

(1) Every online application in Form ‘A’ for registration of establishment may be assigned to any of the Facilitator of that local office, who shall scrutinize the application, uploaded documents along with the details mentioned in the application. If the application is complete in all respects and supported with all the required documents, he shall digitally sign the certificate of registration, which shall be in Form ‘B’ within working seven days from the date the application appears on the dashboard of the Facilitator. The digitally signed certificate may be downloaded by the applicant. The entry of the establishment which is registered shall be made in the Register of Establishments to be maintained in Form ‘C’. 

(2)  If an application is incomplete or not supported with required documents as mentioned in these rules, then the Facilitator, may reject such application by mentioning the reasons thereof within working seven days from the date on which the application appears on the dashboard of the Facilitator.

6.  Renewal of registration certificate.-- Every application for renewal of registration shall be submitted online in Form ‘D’ alongwith the required documents as specified in Part B of the Schedule.

7.  Issue of renewed certificate.--

(1) The Facilitator shall scrutinise the application for renewal of registration and the documents uploaded. If an application is complete in all respects and supported with all the required documents, he shall digitally sign the renewed certificate of registration which shall be in Form ‘E’ within working seven days from the date on which the application appears on the dashboard of the Facilitator. The digitally signed certificate may be downloaded by the applicant.

(2) If an application is incomplete or not supported with required documents as mentioned in these rules, the Facilitator by mentioning the reasons thereof, may reject such application within working seven days from the date on which such application appears on dashboard of the Facilitator

8.  Form for intimation of commencement of business by such employer engaging less than ten workers.- The employer of every establishment engaging less than ten workers shall submit an online intimation in Form ‘F’ of commencement of the business alongwith the required documents as specified in Part ‘C’ of the Schedule.

9.  Issue of receipt of intimation.- After receiving an intimation in Form ‘F’ alongwith all the documents, a receipt of such intimation in Form ‘G’ shall be issued to the applicant online and the details thereof shall be recorded in a register maintained for that purpose in Form ‘H’. 

10. Notice to make changes in registration certificate.-

(1) Any changes in the certificate of registration shall be notified online in Form ‘I’ to the Facilitator as per section 9 of the Act within thirty days from the date the change took place alongwith the required documents to be uploaded as specified in the application and Part ‘D’ of the Schedule.

(2) On receipt of such notice the Facilitator shall scrutinise the same and shall digitally sign and issue a fresh modified certificate within working seven days from the date of receipt of such notice. However, if the notice is not complete or is not supported by the required documents he shall reject the notice by mentioning the reasons thereof.

11. Closing of business.-

(1) Every employer of an establishment engaging ten or more workers, on closing its business permanently shall communicate the same to the Facilitator in Form ‘J’. 

(2) Every employer of an establishment engaging less than ten workers on closing of its business permanently shall communicate the same to the Facilitator, in Form ‘K’.

12. Power of Government for regulating opening and closing timings of establishments.- The Government may, in the public interest, on its own and, if necessary, after obtaining the views of the concerned Municipal Commissioner in Corporation area or District Collector in other areas and the concerned Police Commissioner or Superintendent of Police, as the case may be, may fix or change the opening or closing timings of any or all classes of establishments in any area or premises.