THE LABOUR LAWS (EXEMPTION ) ACT, 1988

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THE LABOUR LAWS (EXEMPTION) ACT, 1988

By the Ministry of Labour and Employment on August 22, 2005. The Amendment and Miscellaneous Provisions Bill, 2005 was introduced in the Rajya Sabha. THE LABOUR LAWS (EXEMPTION ) ACT, 1988. The Bill was referred to the Parliamentary Standing Committee on Labour which submitted its report to the Lok Sabha on December 20, 2005.

Therefore, this Bill amends The Labour Laws Act, 1988 and certain other labour laws.

The Bill limits the application of the Act to establishments with 500 or fewer employees unless otherwise notified by the central government.THE LABOUR LAWS (EXEMPTION) ACT, 1988

Amendment of Bill, THE LABOUR LAWS (EXEMPTION ) ACT, 1988

The Bill changes the definition of “small establishment” to include establishments. With less than 10 employees and omits the concept of “very small establishments.”

While with fewer than 20 employees from furnishing returns and maintaining registers, the principal Act exempts establishments. With up to 500 employees the Bill expands this exemption to include establishments. Thus, providing they maintain a register or persons and wage roll in simple forms. As provided in the Bill and furnish an annual return.

For employers who fail to comply with the provisions of the Act. The Bill increases the penalty from Rs 5,000 to Rs 10,000 or imprisonment of up to 3 months or both. The Bill also grants the central government the power to amend any schedule by notification in the official gazette and lay before each house of Parliament while in session.

Also, the Bill grants the appropriate government authority to exempt any establishment from the maintenance of furnishing of any register. Therefore, providing their satisfaction with an alternative method for maintaining a registry.

The Bill amends 15 related labour laws listed in the principal Act. The Bill increases the amounts of fines for various penalties in each Act as well as the term of imprisonment for various offences.

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