My company is in the ITES industry and is registered under the Shop & Commercial Estab. Act. In Gurgaon, there are 700 employees, and in Bangalore, there are 250 employees.
My query is related to whether my company is covered under the definition of an industrial establishment under the Industrial Emp. (Standing Order) Act or under the Payment of Wages Act. Or, is there any specific guideline/notification from the respective State Govt. to make the captioned Acts applicable to an ITES company.
From India, New Delhi
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2My query is related to whether my company is covered under the definition of an industrial establishment under the Industrial Emp. (Standing Order) Act or under the Payment of Wages Act. Or, is there any specific guideline/notification from the respective State Govt. to make the captioned Acts applicable to an ITES company.
From India, New Delhi
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Dear Swati,
As far as your Haryana Unit is concerned, it is hereby clarified that you are not required to have Standing Orders certified by the Certifying Officer, Haryana under the Industrial Employment (Standing Orders) Act, 1946. In my opinion, your unit is not covered under this Act. After reviewing the Payment of Wages Act, 1936, it is evident that your unit is also not covered under this Act. Furthermore, it is important to note that the Government of Haryana has issued a notification stating that units covered under the scheduled employments list under the Minimum Wages Act, 1948, shall be subject to provisions regarding deductions from or delays in payment of wages to employees in scheduled employments.
Opinion submitted as requested.
Regards,
R.N.Khola
(Labour Law & Legal Consultants)
09810405361
From India, Delhi
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As far as your Haryana Unit is concerned, it is hereby clarified that you are not required to have Standing Orders certified by the Certifying Officer, Haryana under the Industrial Employment (Standing Orders) Act, 1946. In my opinion, your unit is not covered under this Act. After reviewing the Payment of Wages Act, 1936, it is evident that your unit is also not covered under this Act. Furthermore, it is important to note that the Government of Haryana has issued a notification stating that units covered under the scheduled employments list under the Minimum Wages Act, 1948, shall be subject to provisions regarding deductions from or delays in payment of wages to employees in scheduled employments.
Opinion submitted as requested.
Regards,
R.N.Khola
(Labour Law & Legal Consultants)
09810405361
From India, Delhi
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Swati,
The Industrial Employment Act applies to every industrial establishment where 100 or more workmen are employed. Both the central and state governments have the power to apply this act to any establishment employing even less than 100 workmen. Actually, the act is central legislation but is administered by both the central and state governments.
Thank you.
From India, Mumbai
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The Industrial Employment Act applies to every industrial establishment where 100 or more workmen are employed. Both the central and state governments have the power to apply this act to any establishment employing even less than 100 workmen. Actually, the act is central legislation but is administered by both the central and state governments.
Thank you.
From India, Mumbai
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Dear Sir,
I am working in an IT Company based in Gurgaon. If you could please help me out by providing information on the act that exempts IT Companies in Haryana from obtaining Certified Standing Orders, it would be greatly appreciated.
Regards,
Sachin
From India, Delhi
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I am working in an IT Company based in Gurgaon. If you could please help me out by providing information on the act that exempts IT Companies in Haryana from obtaining Certified Standing Orders, it would be greatly appreciated.
Regards,
Sachin
From India, Delhi
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Dear Sachin,
When the IT company is not covered under the definition of an Industrial Establishment, how can this Act be applicable? On the contrary, please let me know where it is written that this Act covers IT companies for certification of Standing Orders. The Haryana Government has not issued any notification for their coverage. For further clarification, you can contact the office of the Labour Commissioner, Haryana.
Regards,
R N KHOLA
From India, Delhi
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When the IT company is not covered under the definition of an Industrial Establishment, how can this Act be applicable? On the contrary, please let me know where it is written that this Act covers IT companies for certification of Standing Orders. The Haryana Government has not issued any notification for their coverage. For further clarification, you can contact the office of the Labour Commissioner, Haryana.
Regards,
R N KHOLA
From India, Delhi
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Mr. Khola,
To my knowledge, IT companies are covered by the Shops and Establishments Act. If this is correct, why wouldn't an establishment belonging to ITES also be covered by the Standing Orders Act? Could you please clarify your point in this context?
With due regards,
From India, Salem
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To my knowledge, IT companies are covered by the Shops and Establishments Act. If this is correct, why wouldn't an establishment belonging to ITES also be covered by the Standing Orders Act? Could you please clarify your point in this context?
With due regards,
From India, Salem
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Dear Umakanthan,
It is correct that IT/ITES units are covered under the definition of the establishment under Shops & Establishment Act. Here in the State of Haryana these units are covered under the applicable Punjab Shops & Commercial Establishment Act, 1958. They are not doing any manufacturing activity. According to section 1(3) of the I E (SO) Act, 1946 it applies to every industrial establishment wherein one hundred or more workmen are employed, or were employed on any day of the preceding twelve months:
Provided that the appropriate Government may, after giving not less than two months’ notice of its intention so to do, by notification in the Official Gazette, apply the provisions of this Act to any industrial establishment employing such number of persons less than one hundred as may be specified in the notification.
Haryana Govt. has made it applicable on every Industrial Establishment employing 50 or more workmen in place of 100.
Industrial establishment is defined at sec. 2(e) of the IE (SO) Act, 1946 & in my opinion as IT/ITES units are not covered by the definition of the industrial establishment & hence they are not covered by this Act.
Haryana Govt. has not issued any notification regarding applicability of this Act on such type of units. Govt. is also not certifying the standing orders of such type of units which are covered under State Shops Act.
Opinion submitted.
Regards,
R N KHOLA
From India, Delhi
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It is correct that IT/ITES units are covered under the definition of the establishment under Shops & Establishment Act. Here in the State of Haryana these units are covered under the applicable Punjab Shops & Commercial Establishment Act, 1958. They are not doing any manufacturing activity. According to section 1(3) of the I E (SO) Act, 1946 it applies to every industrial establishment wherein one hundred or more workmen are employed, or were employed on any day of the preceding twelve months:
Provided that the appropriate Government may, after giving not less than two months’ notice of its intention so to do, by notification in the Official Gazette, apply the provisions of this Act to any industrial establishment employing such number of persons less than one hundred as may be specified in the notification.
Haryana Govt. has made it applicable on every Industrial Establishment employing 50 or more workmen in place of 100.
Industrial establishment is defined at sec. 2(e) of the IE (SO) Act, 1946 & in my opinion as IT/ITES units are not covered by the definition of the industrial establishment & hence they are not covered by this Act.
Haryana Govt. has not issued any notification regarding applicability of this Act on such type of units. Govt. is also not certifying the standing orders of such type of units which are covered under State Shops Act.
Opinion submitted.
Regards,
R N KHOLA
From India, Delhi
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Dear Khola sir , Please Let me know how many state issued notification regarding applicability of Standing order Act IT/ITES units? Whether tamilnadu ,karnataka applicable to IT establishments
From India, Coimbatore
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From India, Coimbatore
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Dear Member,
This is to inform you that my area of work is limited to Haryana State. I do not collect information on other states. Members from Tamil Nadu and Karnataka will be able to provide the appropriate response. I have heard that the Government of Karnataka has issued such a notification.
Regards,
R N KHOLA
From India, Delhi
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This is to inform you that my area of work is limited to Haryana State. I do not collect information on other states. Members from Tamil Nadu and Karnataka will be able to provide the appropriate response. I have heard that the Government of Karnataka has issued such a notification.
Regards,
R N KHOLA
From India, Delhi
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Dear Members,
In continuation to my reply I would like to add here that while going through the Bombay Shops Act we came across section 38B which reveals that shops & establishments covered under this Act are also covered under IE (SO) Act, 1946 & the Rules made thereunder employing 50 or more employees. Relevant section may be read as under:
38-B. Application of Industrial Employment (Standing Orders) Act to establishments.-The provisions of the Industrial Employment (Standing Orders) Act, 1946, in its application to the State of Maharashtra (hereinafter in this section referred to as "the said Act"), and the rules and standing orders (including model standing orders) made thereunder from time to time, shall, mutatis mutandis, apply to all establishments wherein fifty or more employees are employed and to which this Act applies, as if they were industrial establishment within the meaning of the said Act.
This shows that the establishments which are not covered under the definition of the ‘Industrial Establishment’ as defined under the IE (SO) Act, 1946 are either required to be notified by the appropriate Govt. or there must be any provision in any of the enactments for applicability of this IE (SO) Act, 1946 on those establishments.
Regards,
R N KHOLA
From India, Delhi
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In continuation to my reply I would like to add here that while going through the Bombay Shops Act we came across section 38B which reveals that shops & establishments covered under this Act are also covered under IE (SO) Act, 1946 & the Rules made thereunder employing 50 or more employees. Relevant section may be read as under:
38-B. Application of Industrial Employment (Standing Orders) Act to establishments.-The provisions of the Industrial Employment (Standing Orders) Act, 1946, in its application to the State of Maharashtra (hereinafter in this section referred to as "the said Act"), and the rules and standing orders (including model standing orders) made thereunder from time to time, shall, mutatis mutandis, apply to all establishments wherein fifty or more employees are employed and to which this Act applies, as if they were industrial establishment within the meaning of the said Act.
This shows that the establishments which are not covered under the definition of the ‘Industrial Establishment’ as defined under the IE (SO) Act, 1946 are either required to be notified by the appropriate Govt. or there must be any provision in any of the enactments for applicability of this IE (SO) Act, 1946 on those establishments.
Regards,
R N KHOLA
From India, Delhi
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