Labour laws exemption expanded to 40-worker establishments

It also introduces simplified forms and allows employers to maintain records and submit returns electronically.

Who it concerns: Employers of 'small' and 'very small' establishments (defined as those employing up to 40 persons) that are subject to the 16 specific labour laws listed in the First Schedule, such as the Factories Act, 1948 and the Minimum Wages Act, 1948.

What the bill does

• Increases the employee threshold for exemption from 19 to 40 persons.
• Replaces multiple returns and registers with a single Annual Return (Form I) and simplified registers (Form II and Form III).
• Allows records to be maintained on computer, floppy, diskette, or other electronic media, provided printouts are available to Inspectors on demand.
• Permits submission of the Annual Return via electronic mail if the receiving authority has the facility.
• Exempts employers from penalties for failing to furnish returns or maintain registers under the specific Scheduled Acts, provided they comply with the new simplified requirements.
• Mandates continued issuance of wage slips and filing of accident returns under the Factories Act and Plantations Labour Act.

Also in the document

• The Bill amends the Labour Laws (Exemption from Furnishing Returns and Maintaining Registers by certain Establishments) Act, 1988.
• It lists 16 specific Acts in the First Schedule to which the exemptions apply.
• The Statement of Objects and Reasons notes that the 2005 Bill was referred to a Standing Committee, but this 2011 Bill is introduced as a new amendment.