Shop act license under maharashtra

This query is : Resolved 

12 November 2014    In terms of the Bombay Shops and Establishments Act, 1948, standing order is applicable to establishments having minimum 50 (and 100) employees. Please explain why standing orders are not applicable to the Indian Subsidiary? In case any notification exempting the applicability is available, please provide the same.


any idea what standing order is this ???

12 November 2014 can you please quote the concerned TEXT? Never came across with any such provision like standing order.

12 November 2014 This act may be called the Industrial Employment (Standing Orders) Act, 1946.

Above act i am talking about.

12 November 2014 Ok.
Then what is your query for Shops and Establishment Act?

12 November 2014 this cover under this above act, i need understand whom the exemption is available etc...

12 November 2014 I might be wrong, but I never came across with any such exemption.

I have been practising in Maharashtra for more than 30 years now.

Anyway, let us keep it open,

12 November 2014 yaa..if no exemption what is the requirement of act ? what we required to file forms etc??

25 July 2025 Got it! You’re asking about **Standing Orders** under the **Industrial Employment (Standing Orders) Act, 1946**, and how it relates to **Bombay Shops and Establishments Act, 1948**, particularly in Maharashtra.

---

### What are **Standing Orders**?

- **Standing Orders** are basically the written rules and regulations governing the conditions of employment, conduct, duties, and rights of employees and employers in an industrial establishment.
- The **Industrial Employment (Standing Orders) Act, 1946** mandates that every industrial establishment with **100 or more workmen** (or **50 or more in some states like Maharashtra**) must define and publish standing orders.
- These standing orders must be certified by the appropriate authority (usually the labor department) and are binding on both employer and employee.

---

### Applicability:

- This Act **applies to industrial establishments** (factories, mines, plantations, etc.) but **not necessarily to shops and commercial establishments** covered under the Bombay Shops and Establishments Act, 1948.
- **Indian subsidiaries operating as industrial establishments** with the specified number of employees (50 or 100) **are required to have certified standing orders** under this Act.
- **Shops and commercial establishments** are regulated under the Bombay Shops and Establishments Act, which is different and does **not require standing orders** under this Industrial Employment Act.

---

### Exemption:

- There is **no general exemption** for Indian subsidiaries or any industrial establishment if they meet the employee threshold.
- If the entity is registered under the Shops and Establishment Act (like a commercial office, retail shop), it generally **does NOT come under the Industrial Employment (Standing Orders) Act, 1946**.
- **Industrial establishments with requisite employee strength must comply with Standing Orders.**

---

### Key Points for Maharashtra:

- **Standing orders are applicable for industrial establishments with 50 or more employees** (Maharashtra is one of the states where threshold is 50).
- No exemption is typically granted just because the entity is an Indian subsidiary.
- **Bombay Shops and Establishments Act, 1948** covers shops, commercial establishments, and offices — no standing orders under this Act.
- Under Bombay Shops Act, you register your establishment, maintain attendance registers, working hours records, etc.

---

### What forms or filings are required?

- **For Standing Orders**: Submit draft standing orders to the labor commissioner for certification.
- Post certification, display the standing orders at the workplace for employee reference.
- For Bombay Shops Act: Register your shop or establishment within 30 days of commencement, file annual returns, maintain prescribed records (attendance, wages, leave, etc.).

---

### Summary:

| Act | Applicability | Requirement |
|---------------------------------|----------------------------------|------------------------------------------------|
| Industrial Employment (Standing Orders) Act, 1946 | Industrial establishments with 50+ employees (Maharashtra) | Draft, certify, and display Standing Orders |
| Bombay Shops & Establishments Act, 1948 | Shops, commercial establishments | Registration, maintain records, file returns |

---

If your company is an **industrial establishment**, then you must have standing orders if employee strength is 50+. If it is a **shop/commercial office**, only Shops Act applies — no standing orders required.

---

Would you like me to help draft a checklist for compliance for either Act?


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