Hi, I wanted to know what the requirements are for a startup to have in place in terms of labor laws. If a company is labor-driven, what are the requirements to be followed, probably in terms of compensation, PF, leaves, and any other related aspects.
From India, Mumbai
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From India, Mumbai
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Dear Gauri, 1:- Check the list of acts applicable on your organization. 2:- As per the applicability prepare statutory chart. 3:- Eventually comply it.
From India, Pune
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65From India, Pune
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Dear Palekargauri,
Your query is not specific to any particular subject. Labour laws and their application are a very vast subject. There are many labour laws governing wages, social security, welfare, industrial relations, and cess. The application of each law depends on various parameters. It is a subject that requires study.
You need to have a professional like me who can guide you and advise you in this regard from time to time.
From India, Mumbai
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Your query is not specific to any particular subject. Labour laws and their application are a very vast subject. There are many labour laws governing wages, social security, welfare, industrial relations, and cess. The application of each law depends on various parameters. It is a subject that requires study.
You need to have a professional like me who can guide you and advise you in this regard from time to time.
From India, Mumbai
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Dear Gauri,
There are certain labor laws which you need to follow for a startup company.
1. If it is a manufacturing company, you need to apply for a factory license in the prescribed format along with the necessary documents. If it is not a manufacturing activity, then a shop act license is applicable.
2. Thereafter, you have to survey the surrounding companies with similar turnover and activity to bring parity in wages so that you don't pay less or more on that account.
3. In this regard, you need to follow the Minimum Wages Act as per the schedule applicable to your activity. You have to add the special allowance declared by the Government of Maharashtra every six months.
4. In case you engage more than 50 workmen, you are liable to pay the minimum House Rent Allowance (HRA) as per the Maharashtra Minimum HRA Act, which is 5% of basic plus DA.
5. You have to give the notice of opening under the Payment of Gratuity Act to the concerned authority.
6. In case you plan to engage contract labor for allied activity, then registration under the Contract Labor Act is required if they exceed 20 in number.
7. If ESI and PF are applicable, then you have to apply for a code number.
These are the initial formalities. Other labor laws to be followed include the Maharashtra Labor Welfare Fund, etc.
From India, Pune
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There are certain labor laws which you need to follow for a startup company.
1. If it is a manufacturing company, you need to apply for a factory license in the prescribed format along with the necessary documents. If it is not a manufacturing activity, then a shop act license is applicable.
2. Thereafter, you have to survey the surrounding companies with similar turnover and activity to bring parity in wages so that you don't pay less or more on that account.
3. In this regard, you need to follow the Minimum Wages Act as per the schedule applicable to your activity. You have to add the special allowance declared by the Government of Maharashtra every six months.
4. In case you engage more than 50 workmen, you are liable to pay the minimum House Rent Allowance (HRA) as per the Maharashtra Minimum HRA Act, which is 5% of basic plus DA.
5. You have to give the notice of opening under the Payment of Gratuity Act to the concerned authority.
6. In case you plan to engage contract labor for allied activity, then registration under the Contract Labor Act is required if they exceed 20 in number.
7. If ESI and PF are applicable, then you have to apply for a code number.
These are the initial formalities. Other labor laws to be followed include the Maharashtra Labor Welfare Fund, etc.
From India, Pune
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