Telangana Shops and Establishments Act, 1988

(Act No. 20 of 1988)

tel059

The Andhra Pradesh Shops and Establishments Act, 1988 received the assent of the
President on the 18th July, 1988. The said Act in force in the combined State, as on
02.06.2014, has been adapted to the State of Telangana, under section 101 of the Andhra
Pradesh Reorganisation Act, 2014 (Central Act 6 of 2014) vide. the Notification issued in
G.O.Ms.No.5, Labour, Employment, Training and Factories (Labour) Department, dated
01.02.2016.
1. Short title, extent, commencement and application. - (1) This Act may be called
the [Telangana] Shops and Establishments Act, 1988.
(2) It extends to the whole of the State of [Telangana].
(3) It shall come into force on such date as the Government may, by notification, appoint.
(4) It shall apply-
(i) in the first instance to all areas [in Telangana] in which the Andhra Pradesh Shops
and Establishments Act, 1966 was in force immediately before the commencement of
this Act;
(ii) to such other areas in the State on such date as the Government may, by
notification, specify.
2. Definitions. - In this Act, unless the context otherwise requires,-
(1) "apprentice" means a person who is employed whether on payment of wages or not,
for the purpose of being trained in any trade, craft or employment in any
establishment;
(2) "Chief Inspector" means the Chief Inspector appointed under section 57;
(3) "child" means a person who has not completed fourteen years of age;
(4) "closed" means not open for the service of any customer, or for any trade or
business or for any other purpose connected with the establishment except loading,
unloading and annual stock taking;
(5) "commercial establishment" means an establishment which carries on any trade,
business, profession or any work in connection with or incidental or ancillary to any
such trade, business or profession or which is a clerical department of a factory or an
industrial undertaking or which is a commercial or trading or banking or insurance
establishment and includes an establishment under the management and control of a
co-operative society, an establishment of a factory or an industrial undertaking which
falls outside the scope of the Factories Act, 1948, (Central Act 63 of 1948) and such
 other establishment as the Government may, by notification, declare to be a
commercial establishment for the purposes of this Act but does not include a shop;
(6) "day" means the period of twenty-four hours beginning at mid-night:
Provided that, in the case of an employee, whose hours of work extend beyond mid-night,
day means the period of twenty-four hours beginning from the time when such employment
commences.
(7) "dependent" means, in relation to a deceased employee, his nominee or in the
absence of such nominee, the heir or legal representative;
(8) "employee" means a person wholly or principally employed in, and in connection
with, any establishment and includes an apprentice and any clerical or other staff of a
factory or industrial establishment who fall outside the scope of the Factories Act,
1948, (Central Act 63 of 1948); but does not include the husband, wife, son,
daughter, father, mother, brother or sister of an employer or his partner, who is living
with and depending upon such employer or partner and is not in receipt of any wages
(9) "employer" means a person having charge of or owning or having ultimate control
over the affairs of an establishment and includes the manager, agent or other person
acting in the general management or control of an establishment;
(10) "establishment" means a shop, restaurant, eating-house, residential hotel, lodging
house, theatre or any place of public amusement or entertainment and includes a
commercial establishment and such other establishment as the Government may, by
notification, declare to be an establishment for the purposes of this Act;
(11) "factory" means factory within the meaning of the Factories Act, 1948, (Central Act
63 of 1948);
(12) "Government" means the State Government;
(13) "Inspector" means an Inspector appointed under section 57;
(14) "notification" means a notification published in the [Telangana Gazette] and the
word "notified" shall be construed accordingly;
(15) "opened" means opened for the service of any customer or for any trade or
business connected with the establishment;
(16) "periods of work" means the time during which an employee is at the disposal of
the employer;
(17) "prescribed" means priscribed by rules made by the Government under this Act;
(18) "register of establishment" means a register maintained for the registration of
establishment under this Act;
(19) "registration certificate" means a certificate issued under this Act;
(20) "service compensation" means the service compensation payable under section
47;
(21) "shop" means any premises where any trade or business is carried on or where
services are rendered to customer and includes a shop run by a co-operative society
an office, a store room, godown, warehouse or work place, whether in the same
premises or otherwise, used in connection with such trade or business and such
other establishments as the Government may, by notification, declare to be a shop for
the purposes of this Act, but does not include a commercial establishment;
(22) "theatre" includes any premises intended principally or wholly for the exhibition of
pictures or other optical effects by means of a cinematograph or other suitable
apparatus or for dramatic or circus performances or for any other public amusement
or entertainment;
(23) "wages" means every remuneration, whether by way of salary, allowance, or
otherwise expressed in terms of money or capable of being so expressed which
would, if the terms of employment, express or implied were fulfilled, be payable to an
employee in respect of his employment or of work done in such employment, and
includes-
(a) any remuneration payable under any settlement between the parties or order of
a tribunal or court;
(b) any remuneration to which the employee is entitled in respect of overtime work
or holidays or any leave period;
(c) any additional remuneration payable under the terms of employment, whether
called a bonus or by any other name;
(d) any sum which by reason of the termination of employment of the employee is
payable under any law, contract or instrument which provides for the payment of
such sum, whether with or without deductions but does not provide for the time
within which the payment is to be made;
(e) any sum to which the employee is entitled under any scheme framed under
any law for the time being in force; but does not include,-
(i) any bonus, whether under a scheme of profit sharing or otherwise, which
does not form part of the remuneration payable under the terms of
employment, or which is not payable under any award or settlement
between the parties or order of a court;
(ii) the value of any house accommodation, or of the supply of light, water,
medical attendance or other amenity or of any service excluded from the
computation of wages by a general or special order of the Government;
(iii) any contribution paid by the employer to any person or provident fund,
and the interest which may have accrued thereon;
(iv) any travelling allowance or the value of any travelling concesssion;
 (v) any sum paid to the employee to defray special expenses entailed on
him by the nature of his employment;
(vi) any service compensation payable on the termination of employment in
cases other than those specified in sub-clause (d);
(vii) the subscription paid by the employee to life insurance and the
contribution paid by the employer to the life insurance of the employee
under the provisions of this Act and the bonus which may have accrued
thereon; or
(viii) house rent allowance payable by the employer;
(24) "week" means a period of seven days beginning at mid-night on Saturday;
(25) "young person" means a person who is not a child and has not completed eighteen
years of age.

CHAPTER-II

Registration of Establishments.
3. Registration of establishments. - (1) Every employer of an establishment shall,-
(i) in the case of an establishment existing on the date of commencement of this Act,
within thirty days from that date; and
(ii) in the case of a new establishment, within thirty days from the date on which the
establishment commences its work, send to the Inspector concerned a statement
containing such particulars, together with such fees, as may be prescribed.
(2) On receipt of such statement, the Inspector shall register the establishment in the
register of establishments in such manner as may be prescribed and shall issue in the
prescribed form a registration certificate to the employer who shall display it at a prominent
place of the establishment:
[Provided that if no adverse order is passed by the Inspector within thirty days from the date
of submission of the statement under sub-section (1), then the registration shall be deemed
to be duly granted.]
[Provided further that to facilitate the starting of business, no inspection need be conducted
prior to registration.
Provided also that, on uploading the application for registration along with other enclosures
as may be prescribed, provisional registration shall be granted within 24 business hours and
be valid until a final order is passed on the application for registration.]
(3) Every registration certificate issued under subsection (2), shall be valid with effect from
the date on which it is issued upto the 31st day of December following.
(4) Every employer shall give intimation to the Inspector, in the prescribed form, any change
in any of the particulars in the statement made under sub-section (1) within fifteen days
after the change has taken place. The Inspector shall, on receipt of such intimation and the
fees prescribed therefor make the change in the register of establishments in accordance
with such intimation and shall amend the registration certificate or issue a fresh registration
certificate, if necessary.
(5) The employer shall, within fifteen days of the closure of the establishment, give
intimation thereof in writing to the Inspector, who shall, on receipt of such intimation, remove
the name of the establishment from the register of establishments and cancel the
registration certificate:
Provided that, where the Inspector is satisfied otherwise than on receipt of such intimation,
that the establishment has been closed, he shall remove the name of such establishment
from the register and cancel the registration certificate.
4. Renewal of Registration Certificate. - (1) The Inspector may, on an application made
by the employer accompanied by the fees prescribed therefor, renew the registration
certificate for a period of one year or for such number of years as may be prescribed,
commencing from the date of its expiry.
(2) Every application for the renewal of the registration certificate shall be made in such
form and in such manner as may be prescribed so as to reach the Inspector not later than
thirty days before the date of its expiry:
Provided that, an application for the renewal of a registration certificate received not later
than thirty days after its expiry may be entertained by the Inspector on the applicant paying
such penalty as may be prescribed, by the Government from time to time.
(3) An applicant for the renewal of a registration certificate under sub-section (2) shall, until
communication of orders on his application, be entitled to act as if the registration certificate
had been renewed:
[Provided that if no adverse order is passed by the Inspector within thirty days from the date
of submission of the application then the registration certificate shall be deemed to have
been renewed.]
5. Revocation or Suspension of the Registration Certificate. - If the Inspector is
satisfied, either on a reference made to him in this behalf or otherwise, that-
(a) the Registration Certificate granted under section 3 or renewed under section 4 has
been obtained by misrepresentation, fraud or suppression of any material fact; or
(b) the employer has wilfully contravened any of the provisions of this Act or the Rules
made thereunder, the Inspector may, without prejudice to any other penalty to which
the employer may be liable under this Act, revoke or suspend the Registration
Certificate, after giving the employer an opportunity of showing cause.
6. Appeal against revocation or suspension of the Registration certificate. - (1) Any
person aggrieved by an order made under section 5 may, within thirty days from the date on
which the order is communicated to him, prefer an appeal to such authority as may be
prescribed:
Provided that the appellate authority may entertain the appeal after the expiry of the said
period of thirty days if he is satisfied that the appellant was prevented by sufficient cause
from filing the appeal in time.
(2) On receipt of an appeal under sub-section (1), the appellate authority shall, after giving
the appellant an opportunity of being heard, dispose of the appeal within two months.

CHAPTER-III

Shops.
7. Opening and Closing hours of shops. - (1) No shop shall on any day be opened earlier
or closed later than such hour as may, after previous publication, be fixed by the
Government by a general or special order in that behalf:
Provided that, any customer who was being served or was waiting to be served in any shop
at the hour fixed for its closing may be served during the quarter of an hour immediately
following such hour.
(2) The Government may, for the purposes of this section, fix different hours for different
classes of shops or for different areas or for different time of the year.
8. Selling outside prohibited, before opening and after closing hours of shops. - No
person shall carry on, in or adjacent to, a street or public place, the sale of any goods,
before the opening and after the closing hours fixed under section 7 for the shops dealing in
any kind of goods in the locality in which such street or public place is situated:
Provided that, nothing in this section shall apply to the sale of -
(i) News papers;
(ii) flowers;
(iii) pan;
(iv) vegetables and fruits; and
(v) such other goods as the Government may, by notification, specify from time to time.
9. Daily and weekly hours of work in shops. - (1) Subject to other provisions of this Act,
no employee in any shop shall be required or allowed to work therein for more than eight
hours in any day and forty-eight hours in any week.
(2) Any employee may be required or allowed to work in a shop for any period in excess of
the limit fixed under subsection (1) on payment of over-time wages, subject to a maximum
period of six hours in a week.
(3) For the purpose of stock-taking and preparation of accounts, an employer may, with the
previous intimation to the Inspector, require or allow any employee to work in a shop for not
more than any six days in a year in excess of the period fixed in sub-section (1), on
payment of over-time wages; so however, that the excess period shall not in aggregate,
exceed twenty-four hours.
10. Interval for rest. - No employee in any shop shall be required or allowed to work
therein for more than five hours in any day unless he has had an interval for rest of at least
one hour:
Provided that, an employee who was serving a customer at the commencement of the
interval may be required to serve him during the quarter of an hour immediately following
such commencement.
11. Spread over periods of work. - The periods of work of an employee in a shop shall be
so arranged that along with his intervals for rest, they shall not spread over for more than
twelve hours in any day:
Provided that, where an employee works on any day for the purpose of stock-taking and
preparation of accounts, the spread over shall not exceed fourteen hours in any such day
on payment of over-time wages.
12. Closing of shops and grant of holidays. - (1) Every shop, whether with or without
employees, shall remain closed on every Sunday which shall be a holiday for every
employee in the shop:
Provided that the Chief Inspector may, by notification, specify in respect of any shop or
class of shops or in respect of shops or class of shops in any area any day in the week
instead of Sunday on which day such shop or class of shops shall remain closed.
(2) (a) The Chief Inspector may, by notification, require in respect of any specified class of
shops that they shall in addition to the weekly holiday mentioned in sub-section (1), be
closed for one half day in a week, as may be fixed by the Government;
(b) Every employee in any shop to which a notification under clause (a) applies, shall be
allowed in each week an additional holiday of one half day fixed for the closing of the
shop under clause (a).
(3) The Chief Inspector may, for the purposes of subsection (2), fix different hours for
different classes of shops or for different areas or for different times of the year.
(4) The weekly day on which a shop is closed in pursuance of a requirement under sub-
section (2) shall be specified by the employer in a notice prominently exhibited in a
conspicuous place in the shop.
(5) It shall not be lawful for the employer to call an employee at or for the employee to go to
his shop or any place for any work in connection with the business of his shop on any day
or part of the day on which it has remained closed.
(6) No deduction shall be made from the wages of any employee in a shop on account of
any day or part of a day on which it has remained closed; and if such employee is employed
on the basis that he would not ordinarily receive wages for such day or part of a day he
shall none the less be paid for such day or part of a day the wages he would have drawn
had the shop not remained closed, or had the holiday not been allowed, on that day or part
of a day.
13. Closing of shops in public interest during special occasions. - In addition to the
holidays mentioned in section 12 the Chief Inspector may, by notification and during with
the previous approval of the Government, require in respect of any specified class of shops
that they shall be closed on any specified day or days in the public interest.

CHAPTER-IV

Establishments other than Shops.

14. Application of this chapter to establishments other than shops. - The provisions of
this Chapter shall apply only to establishments other than shops.
15. Opening and closing hours. - (1) No establishment shall on any day be opened
earlier, or closed later, than such hour as may, after previous publication, be fixed by the
Government by general or special order in that behalf:
Provided that, in the case of a restaurant or eatinghouse, any customer who was being
served or was waiting to be served therein at the hour fixed for its closing may be served
during the quarter of an hour immediately following such hour.
(2) The Government may, for the purposes of this section, fix different hours for different
classes of establishments or for different areas or for different times of the year.
16. Daily and weekly hours of work. - (1) Subject to the provisions of this Act, no
employee in any establishment shall be required or allowed to work therein for more than
eight hours in any day and forty eight hours in any week.
(2) Any employee may be required or allowed to work in an establishment for any period in
excess of the limit fixed under sub-section (1), on payment of over-time wages, subject to a
maximum period of six hours in any week.
(3) For the purposes of stock taking and preparation of accounts, an employer may, with the
previous intimation to the Inspector, require or allow any employee to work in an
establishment for not more than any six days in a year, in excess of the period fixed in sub-
section (1) on payment of overtime wages; so however, that the excess period shall not, in
the aggregate, exceed twenty-four hours.
17. Interval for rest. - No employee in any establishment shall be required or allowed to
work in such establishment for more than five hours in any day unless he has had an
interval for rest of at least one hour:
Provided that the Chief Inspector may, in the case of an establishment whose daily hours of
work are less than eight hours, reduce interval for rest to half-an-hour on an application
made by the employer, with the consent of the employees.
18. Spread over of periods of work. - The periods of work of an employee in an
establishment shall be so arranged that, along with his interval for rest, they shall not
spread over for more than twelve hours on any day:
Provided that, where an employee works on any day for the purpose of stock taking and
preparation of accounts the spread over shall not exceed fourteen hours on any such day
on payment of over-time wages.
19. Holidays. - (1) Every employee in any establishment shall be allowed in each week a
holiday of one whole day:
Provided that, nothing in this sub-section shall apply to any employee whose total, period of
employment in the week, including any days spent on authorised leave is less than six
days.
(2) The Government may, by notification, require in respect of any specified class of
establishments that every employee therein shall be allowed in each week an additional
holiday of one half-day commencing at such hour in the afternoon as may be fixed by the
Government.
(3) The Government may, for the purposes of subsection (2), fix different hours for different
classes of establishments or for different areas or for different times of the year.
(4) No deduction shall be made from the wages of any employee in an establishment on
account of any day or part of a day on which a holiday has been allowed in accordance with
this section and if such employee is employed on the basis that he would not ordinarily
receive wages for such day or part of a day, he shall none the less be paid for such day or
part of a day the wages he would have drawn, had the holiday not been allowed on that day
or part of a day.
(5) It shall not be lawful for the employer to call an employee at or for the employee to go to,
his establishment or any other place for any work in connection with the business of his
establishment on any day or part of a day on which a holiday has been allowed in
accordance with this section.

CHAPTER-V

Employment of Women, Children and Young Persons.

20. Children not to work in establishment. - No Child shall be required or allowed to work
in any establishment.
21. Special provision for young persons. - No young person shall be required or allowed
to work in any establishment before 6 a.m. and after 7 p.m.
22. Daily and weekly hours of work for young persons. - Notwithstanding anything in
this Act, no young person shall be required or allowed to work in any establishment for more
than 7 hours in any day and forty-two hours in any week nor shall such person be allowed
to work overtime.
23. Special provision for women. - No Woman employee shall be required or allowed to
work in any establishment before 6-00 a.m. and after 8-30 p.m.
24. Maternity leave. - The periods of absence from duty in respect of which a women
employee is entitled to maternity benefit under section 25, shall be treated as authorised
absence from duty, and the women employee shall be entitled to maternity benefit, but not
to any wages for any of those periods.
25. Maternity benefit. - Every woman who has been for a period of not less than six
months preceding the date of her delivery in continuous employment of the same employer
whether in the same or different shops or commercial establishments, shall be entitled to
receive from her employer for the period of-
(a) six weeks immediately preceding the day of delivery; and
(b) six weeks following the day of delivery; such maternity benefit and in such manner
as may be prescribed:
Provided that, no woman employee shall be entitled to receive such benefit for any day
during any of the aforesaid periods, on which she attends work and receive wages thereof.

CHAPTER-VI

Health and Safety.

26. Clean lines. - The premises of every establishment shall be kept clean and free from
effluvia arising from any drain or privy or other nuisance and shall be cleaned at such times
and by such methods as may be prescribed.
27. Ventilation. - The premises of every establishment shall be ventilated as provided for in
the laws relating to the municipalities, gram-panchayats or other local authorities for the
time being in force.
28. Precautions for the safety of employees in establishments. - (1) In every
establishment other than such esablishment or class of establishments as the Government,
may by notification, specify, such precautions against fire shall be taken as may be
prescribed.
(2) If power driven machinery is used, or any process which, in the opinion of the
Government, is likely to expose any employee to a serious risk of bodily injury is carried on
in any establishment, such precautions including the keeping of first aid box shall be taken
by the employer for the safety of the employees therein, as may be prescribed.
29. Maximum permissible load. - (1) No employee in any establishment shall be required
or allowed to engage in the manual transport of a load therein which by reason of its weight
is likely to jeopardise his health or safety.
(2) The Government may, for the purposes of this section prescribe different maximum
limits of weight for different classes of employees in any establishment.
Explanation. - For the purposes of this section, the term "manual transport of a load" means
any transport in which the weight of the load is wholly borne by one employee, inclusive of
the lifting and putting down of load.

CHAPTER-VII
 Leave and holidays with wages and Insurance Scheme for Employees
30. Leave. - (1) Every employee who has served for a period of two hundred and forty days
or more during a continuous period of twelve months in any establishment shall be entitled
during the subsequent period of twelve months, to leave with wages for a period of fifteen
days, provided that such leave with wages may be accumulated upto a maximum period of
sixty days:
Provided that any continuous period of service in an establishment preceding the date on
which this Act applies to that establishment shall also count:
Provided further that any leave accumulated by an employee in an establishment under the
law applicable to that establishment preceding the date on which this Act applies to it, shall
not be affected:
Provided also that every employee in any shop or establishment shall be entitled for
encashment of the leave with wages for a period of eight days in every year.
(2) An employee may apply in writing to the employer, not less than seven full working days
before the date of availing himself of his leave, to allow all the leave or any portion thereof,
to which he is entitled under sub-section (1):
Provided that the number of installment for taking leave shall not exceed three during a
period of twelve months.
(3) An employee who has been allowed leave for not less than five days under sub-section
(2) shall before his leave begins, be paid the wages due for the period of the leave allowed
if he makes a request therefor.
(4) Every employee who has served for a period of not less than two hundred and forty days
during a continuous period of twelve months in any establishment shall be entitled for
encashment of eight days of leave with wages that has accrued to him under sub-section
(1) during the subsequent period of twelve months. The employer shall pay to the employee
the wages for the leave so encashed by the employee within a week of receipt of the
application for such encashment from the employee.
(5) Every employee in any establishment shall also be entitled during his first twelve months
of continuous service and during every subsequent twelve months of such service
(a) to leave with wages for a period not exceeding twelve days on the ground of any
sickness or accident and (b) to casual leave with wages for a period not exceeding
twelve days on any reasonable ground.
(6) Every employee in an establishment after he has put in not less than six months of
service under the same employer, shall also be entitled for a special casual leave not
exceeding six days only once during his entire service, if he has undergone vasectomy or
tubectomy operation, subject to the production of a certificate therefor from an authorised
medical practitioner under whom he has undergone the operation.
(7) If any employee entitled to any leave under subsection (1) is discharged by his employer
before he has been allowed such leave, or it the leave applied for by such employee has
been refused and if he quits his employment before he has been allowed the leave, the
employer shall pay him the amount, payable under this Act in respect of the period of leave.
(8) If an employee is lawfully discharged by his employer when he is sick or suffering from
the result of an accident, the employer shall pay him the amount payable under this Act in
respect of the period of leave to which he was entitled at the time of his discharge in
addition to the amount, if any payable to him under sub-section (3).
(9) An employee in a hostel attached to a school or college or in an establishment
maintained in connection with the boarding and lodging of pupils and resident masters, shall
be allowed the privileges referred to in sub-sections (1) to (8), reduced however
proportionately to the period for which he was employed continuously in the previous year
or to the period for which he will be employed continuously in the current year, as the case
may be; and all references to the periods of leave in sub-sections (1) and (5) shall be
construed accordingly, fractions of less than half a day being disregarded.
31. Other holidays. - (1) Every employee in any establishment shall also be entitled to nine
holidays in a year with wages on the days to be specified by notification, from time to time,
by the Government which shall include, the 26th January (Republic Day), 1st May, (May
Day), 15th August (Independence Day), 2nd October (Gandhi Jayanthi) and [2nd June,
(Telangana Formation Day)] and on every such holiday, all the establishments, either with
or without employees, shall remain closed.
(2) Notwithstanding anything contained in sub-section (1) the Chief Inspector may, having
due regard to any emergency or special circumstances prevailing in the State or any part
thereof, notify any other day or days as holidays with wages to employees or class of
employees as he may deem fit. The holidays so notified shall be deemed to be additional
holidays:
Provided that, any such employee in any residential hostel, restaurant, eating-house,
theatre, or any place of public amusement or entertainment may be required to work in such
establishment on any such holiday declared under sub-section (1) or sub-section (2),
subject to the condition that in lieu thereof, a compensatory holiday with wages shall be
allowed to such person within thirty days from the date of such holiday:
Provided further that, such compensatory holidays shall not exceed seven in a year and
where any such employee in any such establishment is required to work on any such
compensatory holiday, he shall be paid additional wages at the ordinary rate of wages in
lieu of such holiday.
(3) Nothing in sub-section (1) shall apply in respect of any establishment where the number
of holidays with wages allowed by the employer is more than the holidays notified, by the
Government under that sub-section:
Provided that, every such employer shall send a list of holidays with wages allowed by him,
which shall include the five holidays specified in sub-section (1), to the inspector and to the
Chief Inspector and shall also display the list at a prominent place of the establishment.
32. Pay during leave and holidays. - (1) Every employee shall, for the period of the leave
allowed under sub-sections (1) and (5) of section 30 or the holidays allowed under section
31, be paid at a rate equivalent to the daily average of his wages for the days on which he
actually worked during the preceding month exclusive of any earning in respect of overtime.
33. Power to increase the period of leave allowable under section 30. - Notwithstanding
anything in section 30, the Government may, by notification, increase the total number of
days of leave allowable under sub-section (1) of that section and the maximum number of
days upto which such leave may be accumulated in respect of any establishment or class of
establishments.
34. Compulsory enrolment of employees to Insurance-cum-Savings Scheme. - (1)
Every employee who has served in an establishment for a period of not less than one year
shall subscribe to the insurance scheme or Insurance-cum-Saving scheme as may be
notified by the Government to be applicable to the establishment in which the employee is
working, at the rates, stipulated by the Government in the notification either in lumpsum
every year or in monthly installments as may be prescribed by the Government in the
notification. For this purpose the employer, shall make the payment to the authority notified
by the Government on behalf of the employee on or before the stipulated date and recover
the same from the wages payable to the employee.
(2) In addition to the subscription of the employee mentioned in sub-section (1), every
employer of the establishment to which the scheme of insurance or Insurance-cum-Savings
is made applicable by the Government, shall also pay such percentage of annual wages of
employee as may be notified by the Government, from time to time to the authority notified
for the purpose as employer"s contribution on or before the specified date every year.

CHAPTER-VIII

Wages, Conditions for termination of services, appeals, Suspension and terminal

benefits.
35. Responsibility for payment of wages. - Every employer shall be responsible for the
payment by him to employees of all wages and sums, required to be paid under this Act.
36. Fixation of wage period. - (1) Every employer shall fix periods (herein-after referred to
as wage-periods) in respect of which such wages shall be payable.
(2) No wage-period shall exceed one month.
37. Wages for overtime work. - Where any employee in any establishment is required to
work over-time he shall be entitled, in respect of such overtime work, to wages at twice the
ordinary rate of wages:
Provided that, where the normal hours of work in an establishment are ordinarily less than
eight hours a day and 48 hours a week, he shall be entitled in respect of work in excess of
such normal hours upto eight hours a day and forty eight hours a week to wages at the
ordinary rate of wages and in respect of work in excess of eight hours a day and forty eight
hours a week at twice the ordinary rate of wages, in addition to the wages for the normal
hours of work.
Explanation. - For the purpose of this section, the expression "ordinary rates of wages" shall
mean such rate of wages as may be calculated in the manner prescribed.
38. Time of payment of wages. - (1) The wages of every employee shall be paid before
the expiry of the fifth day after the last day of the wageperiod in respect of which the wages
are payable.
(2) Where the service of any employee is terminated by or on behalf of the employer the
wages earned by such employee shall be paid before the expiration of the second working
day from the day on which his employment is terminated.
(3) The Government may, by general or special order and for reasons stated, therein
exempt an employer from the operation of this section in respect of the wages of any
employee or class of employees to such extent and subject to such conditions as may be
specified in the order.
(4) All payments of wages shall be made on a working day.
39. Wages to be paid in current coin or currency notes. - All wages shall be paid in
current coin or currency notes or in both.
40. Deductions which may be made from wages. - (1) The wages of an employee shall
be paid to him without deduction of any kind except those authorised by or under this Act.
Explanation. - Every payment made by an employee to the employer shall, for the purposes
of this Act, be deemed to be a deduction from wages.
(2) Deductions from the wages of an employee shall be made only in accordance with the
provisions of this Act and may be of the following kinds only, namely:-
 (a) fines and other penalties lawfully imposed;
(b) deductions for absence from duty;
(c) deductions for damages to, or loss of goods expressly entrusted to the employee for
custody or for loss of money for which he is required to account, where such damage
or loss is directly attributable to his neglect or default;
(d) deductions for house accommodation provided by the employer;
(e) deductions for such amenities and services supplied by the employer as the
Government may, by general or special order, authorise;
(f) deductions for recovery of advances or for adjustment of over-payments of wages;
(g) deductions of income-tax or profession-tax payable by the employee;
(h) deductions required to be made by order of a court or other authority competent to
make such order;
(i) deductions for subscriptions to, and for repayment of advances from, any provident
fund to which the Provident Funds Act, 1925, (Central Act 19 of 1925) applies or any
recognised provident fund as defined in section 2 (38) of the Income Tax Act, 1961,
(Central Act 43 of 1961) or any provident fund approved in this behalf by the
Government during the continuance of such approval;
(j) deductions for payments to co-operative societies approved in this behalf by the
Government or any officer authorised by them in this behalf or to a scheme of
insurance maintained by the Indian Post Office or the Life Insurance Corporation of
India established under Life Insurance Corporation Act, 1956, (Central Act 31 of
1956);
(k) deductions made with the written authorisation of the employee in furtherance of any
savings scheme approved by the Government or the purchase of securities of the
Central or State Government.
41. Fines. - (1) No fine shall be imposed on any employee save in respect of such acts and
omissions on his part as the employer, with previous approval of the Government or of the
prescribed authority may have specified by notice under sub-section (2).
(2) A notice specifying such acts and omissions shall be exhibited in the prescribed manner
on the premises in which the employment is carried on.
(3) No fine shall be imposed on any employee until he has been given an opportunity of
showing cause against the fine or other wise than in accordance with such procedure as
may be prescribed for the imposition of fines.
(4) The total amount of fine which may be imposed in any one wage period on any
employee shall not exceed an amount equal to three paise in the rupee of the wages
payable to him in respect of that wage period.
(5) No fine shall be imposed on any employee who has not completed the age of fifteen
years.
(6) No fine imposed on any employee shall be recovered from him after the expiration of
sixty days from the day on which it was imposed.
(7) Every fine shall be deemed to have been imposed on the day of the act or omission in
respect of which it was imposed.
(8) All fines and all realisations thereof shall be recorded in a register to be kept by the
employer in such form as may be prescribed; and all such realisations shall be applied only
to such purposes beneficial to the employees in the establishment as are approved by the
prescribed authority.
Explanation. - When the employees are only part of a staff employed under the same
management all such realisations may be credited to a common fund maintained for staff as
a whole, provided that the fund shall be applied only to such purposes as are approved by
the prescribed authority.
42. Deductions for absence from duty. - (1) Deductions may be made under clause (b) of
subsection (2) of section 40 only on account of the absence of an employee from the place
or places where by the terms of his employment, he is required to work, such absence
being for the whole or any part of the period during which he is so required to work.
(2) The amount of such deduction shall in no case bear to the wages payable to the
employee in respect of the wage period for which the deduction is made, a larger proportion
than the period for which he was absent bears to the total period, within such wage-period
during which by the terms of his employment, he was required to work:
Provided that, subject to any rules made in this behalf by the Government, if ten or more
employees acting in concert absent themselves without due notice, that is to say, without
giving the notice which is required under the terms of their contract of employment and
without reasonable cause, such deduction from any such employee may include such
amount not exceeding his wages for four days as may by any such terms be due to the
employer in lieu of due notice.
Explanation. - For the purpose of this section, an employee shall be deemed to be absent
from the place where he is required to work, if, although present in such place he refuses, in
pursuance of a stay in strike or for any other cause which is not reasonable in the
circumstances, to carry out his work.
43. Deductions for damage or loss. - (1) A deduction under clause (c) of sub-section (2)
of section 40 shall not exceed in respect of the damage of goods, one half of the amount of
such damage and in respect of loss of goods or money, the amount of such loss caused to
the employer by negligence or default of the employee and shall not be made until the
employee has been given an opportunity of showing cause against the deduction, or
otherwise than in accordance with such procedure as may be prescribed for the making of
such deductions.
(2) All such deductions and all realisations thereof shall be recorded in a register to be kept
by the employer in such form as may be prescribed.
44. Deductions for services rendered. - A deduction under clause (d) or clause (e) of
subsection (2) of section 40 shall not be made from the wages of an employee unless the
house accommodation, amenity or service has been accepted by him as a term of
employment or otherwise, and such deduction shall not exceed an amount equivalent to the
value of the house accommodation, amenity or service supplied and in the case of a
deduction under the said clause (e), it shall be subject to such conditions, as the
Government may impose.
45. Deductions for recovery of advances. - Deductions under clause (f) of sub-section (2)
of section 40 shall be subject to the following conditions, namely:-
 (a) recovery of an advance of money given before employment began shall be made
from the first payment of wages in respect of a complete wage-period but no recovery
shall be made of such advance given for travelling, expenses;
(b) recovery of advances of wages not already earned shall be subject to any rules
made by the Government regulating the extent to which such advances may be given
and the installments by which they may be recovered.
46. Deductions for payments to cooperative societies and insurance schemes, etc. -
Deductions under clause (j) and clause (k) of subsection (2) of section 40 shall be subject
such conditions as the Government may impose.
47. Conditions for terminating the services of an employee, payment or service
compensation for termination, retirement, resignation, disablement, etc., and
payment of subsistence allowance for the period of suspension. - (1) No employer
shall, without a reasonable cause terminate the service of an employee who has been in his
employment continuously for a period of not less than six months without giving such
employee atleast one month"s notice in writing or wages in lieu thereof and in respect of an
employee who has been in his employment continuously for a period of not less than one
year, a service compensation amounting to fifteen days average wages for each year of
continuous employment:
Provided that every termination shall be made by the employer in writing and a copy of such
termination order shall be furnished to the Inspector having jurisdiction over the area within
three days of such termination.
(2) The service of an employee shall not be terminated by the employer when such
employee made a complaint to the Inspector regarding the denial of any benefit accruing to
him under any labour welfare enactment applicable to the establishment and during the
pendency of such complaint before the Inspector. The services of an employee shall not
also be terminated for misconduct except for such acts or omission and in such manner as
may be prescribed.
(3) Every employee who has put in a continuous service of not less than one year shall be
eligible for service compensation amounting to fifteen days average wages for each year of
continuous employment, (i) on voluntary cessation of his work after completion of 60 years
of age. (ii) on his resignation, or (iii) on physical or mental infirmity duly certified by a
Registered Medical Practitioner or (iv) on his death or disablement due to accident or
disease:
Provided that the completion of continuous service of one year shall not be necessary
where the termination of the employment of an employee is due to death or disablement:
Provided further that in case of death of an employee service compensation payable to him
shall be paid to his nominee or if no nomination has been made to his legal heir.
(4) Where a service compensation is payable under this section to an employee, he shall be
entitled to receive his wages from the date of termination or cessation of his services until
the date on which the service compensation so payable is actually paid.
(5) The payment of service compensation under this section shall not apply in cases where
the employee is entiled to gratuity under the Payment of Gratuity Act, 1972 and gratuity has
been paid accordingly consequent on the termination or cessation of service.
(6) Where an employee is placed under suspension pending enquiry into grave misconduct
the employer shall pay a subsistence allowance equivalent to fifty per cent of the last drawn
wage for the first six months and at seventy five per cent of the last drawn wage beyond six
months during the period of suspension. The total period of suspension shall not however
exceed one year in any case. If the misconduct is not established or the total period of
suspension exceeds one year, the employee shall be entiled to full wages during
suspension period and the period of suspension shall be treated as on duty.
Explanation. - (1) For the purposes of this section:-
(a) the term "employee" shall include part-time employee also;
(b) the expression "average wages" means the daily average of wages for the days an
employee actually worked during the thirty days immediately preceding the date of
termination or cessation of service;
(c) the expression "wages" does not include over-time wages;
(d) an employee in an establishment shall be deemed to have been in continuous
employment for a period of not less than six months if he has worked for not less than
one hundred and twenty days in that establisment within a period of six months
immediately preceding the date of termination or cessation of the service of that
employee; Central Act 39 of 1972.
(e) where the total continuous employment is for a fraction of a year or extends over a
fraction of a year in addition to one or more completed years of continuous
employment, such fraction, if it is not less than a half year shall be counted as a year
of continuous employment in calculating the total number of years for which, the
service compensation is to be given;
(f) the service compensation of an employee whose services have been terminated for
any act, wilful omission or negligence causing any damage or loss to or destruction of
property belonging to the employer, shall be forfeited to extent of the damage or loss
caused;
(g) "disablement" means such disablement which incapacitates an employee for the
work which he was capable of performing before the accident or disease resulting in
such disablement.
(2) An employee who has completed the age of sixty years or who is physically or mentally
unfit having been so declared by a Registered Medical Practitioner or who wants to retire on
medical grounds or to resign his service may give up his employment after giving to his
employer notice of atleast fifteen days and where no such notice is given, the service
compensation payable to him shall be forfeited to the extent of fifteen days in lieu of the
notice.
48. Appointment of authority to hear and decide appeals arising out of termination of
services. - (1) (a) The Chief Inspector may, by notification, appoint for any area as may be
specified therein, any authority to hear and decide appeals arising out of the termination of
service of employees under section 47:
Provided that the Chief Inspector may on administrative grounds transfer any appeal arising
in the territorial jurisdiction of any authority to the file of another authority for disposal, and
such authority to whom the appeal is transferred by the Chief Inspector shall dispose of the
appeal so transferred.
(b) Any employee whose services have been terminated may appeal to the authority
concerned within such time and in such manner as may be prescribed.
(2) The appellate authority may, after inquiry in the prescribed manner, dismiss the appeal
or direct the reinstatement of the employee with or without wages for the period he was kept
out of employment or direct payment of compensation without reinstatement or grant such
other relief as it deems fit in the circumstances of the case:
Provided that the authority concerned shall, without delay, hear such appeal and pass such
orders within a period of three months from the date of receipt of such appeal:
Provided further that where any such authority considers it necessary or expedient so to do,
it may, for reasons to be recorded in writing, extend such period by such further period as it
may think fit:
Provided also that no proceedings before such authority shall lapse merely on the grounds
that any period secified in this sub-section had expired without such proceedings being
completed.
(3) Against any decision of the authority under subsection (2), a second appeal shall lie to
such authority as may be notified by the Government within thirty days from the date of
communication of the decision and the decision of such authority on such appeal shall be
final and binding on both the employer and the employee and shall be given effect to within
such time as may be specified in the order of that authority:
Provided that the second appeal shall not be entertained unless the employer deposits the
entire amount of back wages as ordered by the appellate authority under sub-section (2) or
the amount of compensation ordered as the case may be:
Provided further that if the second appeal is against the order of reinstatement given by the
appellate anthority under sub-section (2), the employee shall be entitled to wages last
drawn by him during the pendency of the proceedings before the appellate authority.
(4) Where in any case, an appellate authority by its award directs reinstatement of any
employee and the employer challenges such award in any court of Law, the employer shall
be liable to pay such employee during the pendency of such proceedings, full wages last
drawn by him, if the employee had not been employed in any establishment during such
period and an affidavit by such employee had been filed to that effect in such Court:
Provided that where it is proved to the satisfaction of the court that such employee has been
employed and has been receiving remuneration during any such period or part thereof the
Court shall order that no wage shall be payable under this section for such period or part, as
the case may be.
(5) Any amount directed to be paid under this section may be recovered,-
(a) if the authority appointed under sub-section (1) is a Magistrate, by the authority, as if
it were a fine imposed by him as Magistrate; and
(b) if the authority is not a Magistrate, by any Magistrate to whom the authority makes
application in this behalf as if it were a fine imposed by such Magistrate.
49. Notice and payment of service compensation to employees in the case of transfer
of establishment. - Where the ownership or management of an establishment is
transferred, whether by agreement or by operation of law, from the employer in reIation to
that establishment to a new employer, every employee who has been in continuous
employment for not less than six months in that establishment immediately before such
transfer shall be entitled to the notice and the service compensation in accordance with the
provisions of sub-section (1) of section 47:
Provided that nothing in this section shall apply to an employee in any case where there has
been a change of employers by reason of the transfer, if-
(a) the employment of the employee has been interrupted by such transfer;
(b) the terms and conditions of employment applicable to the employee after such
transfer are not in any way less favourable to the employee than those applicable to
him immediately before such transfer; and
(c) the new employer is under the terms of such transfer or otherwise, legally liable to
pay to the employee in the event of termination of his services, service compensation
on the basis that his employment has been continued and has not been interrupted
by the transfer.

CHAPTER-IX

Appointment, Powers and duties etc., of the authority to hear and decide claims
relating to wages etc. of employees in establishments.
50. Appointment of authority to hear and decide claims relating to wages etc. - The
Government may, by notification, appoint an authority to hear and decide for any specified
area all claims arising out of deductions from the wages or delay in payment of the wages
or service compensation payable under this Act to employees in any establishment in that
area.
51. Claims arising out of deductions from wages or delay in payment of wages etc.,
and penalty for malicious or vexatious claims. - (1) Where, contrary to the provisions of
this Act, any deduction has been made from the wages of an employee in an establishment
or any payment of wages or service compensation to him has been delayed, such
employee himself, or if he is dead any of his dependants or any legal practitioner, or any
official of a registered trade union authorised in writing to act on behalf of such employee or
dependant, or any Inspector under this Act or any other person acting with the permission of
the authority appointed under section 50 may apply to such authority for a direction under
sub-section (2):
Provided that every such application shall be presented within one year from the date on
which the deduction from the wages was made or from the date on which the payment of
the wages or service compensation was due to be made, as the case may be:
Provided further that any application may be admitted after the said period from year when
the applicant satisfies the authority that he had sufficient cause for not making the
application within such period.
(2) When any application under sub-section (1) is entertained the authority shall, hear the
applicant and the employer or give them an opportunity of making representation either in
person or through an authorised representative, and after such further inquiry, if any, as
may be necessary, may, without prejudice to any other penalty to which such employer is
liable under this Act, direct the refund to the employee of the amount deducted, or the
payment of the delayed wages or the service compensation together with the payment of
such compensation as the authority may think fit, not exceeding ten times the amount
deducted or the amount of delayed wages and not exceeding ten rupees in case of service
compensation:
Provided that, no direction for the payment of compensation shall be made in the case of
delayed wages or service compensation if the authority is satisfied that the delay was due
to-
(a) a bonafide error or a bonafide dispute as to the amount payable to the employee; or
(b) the existence of exceptional circumstances, such that the employer was unable,
though exercising reasonable diligence, to make prompt payment; or
(c) the failure of the employee to accept payment.
(3) If the authority hearing any application under this section is satisfied that it was either
malicious or vexatious, the authority may direct that a penalty not exceeding five rupees be
paid to the employer by the person presenting the application.
(4) Any amount directed to be paid under this section may be recovered-
(a) if the authority is a Magistrate, by the authority as if it were a fine imposed by him as
Magistrate; and
(b) if the authority is not a Magistrate, by any Magistrate to whom the authority makes
an application in this behalf, as if it were a fine imposed by such Magistrate.
Explanation. - For the purposes of this section, the term "employee" shall include part-time
employee also.
52. Single application in respect of claims from unpaid group. - (1) Employees are said
to belong to the same unpaid group if they are borne on the same establishment and if their
wages or service compensation for the same period or periods have remained unpaid after
the day on which they were due.
(2) A single application may be presented under section 51 on behalf, or in respect, of any
number of employees belonging to the same unpaid group, and in such case the maximum
compensation that may be awarded under subsection (2) of that section shall be ten rupees
per head.
(3) The authority may deal with any number of separate pending applications, presented
under section 51 in respect of persons belonging to the same unpaid group, as a single
application presented under sub-section (2) of this section, and the provisions of that sub-
section shall apply accordingly.
53. Appeal. - (1) An appeal against an order dismissing either wholly or in part an
application made under sub-section (1) of section 51 or against a direction made under sub-
section (2) or sub-section (3) of that section may be preferred before the authority to be
notified by Government within thirty days of the date on which the order or direction was
served on the applicant or the employer, as the case may be-
(a) by the employer, if the total sum directed to be paid by way of wages, service
compensation and compensation exceeds three hundred rupees; or
(b) by the person who had applied under sub-section (1) of section 51 if the total amount
of wages or service compensation claimed to have been withheld from the employee
or from the unpaid group to which he belonged exceeds fifty rupees; or
(c) by any person directed to pay a penalty under sub-section (3) of section 51.
(2) Save as provided in sub-section (1) any order dismissing either wholly or in part an
application made under sub-section (1) of section 51 or a direction made under sub-section
(2) or sub-section (3) of that section shall be final.
54. Conditional attachment of property of employer. - (1) Where at any time after an
application has been made under sub-section (1) of section 51, or where at any time after
an appeal has been filed under clause (b) of subsection (1) of section 53, the authority
referred to in those sections is satisfied that the employer is likely to evade payment of any
amount that may be directed to be made under section 51 or section 53, the Authority,
except in cases where it is of opinion that the ends of justice would be defeated by the
delay, after giving the employer an opportunity of making representation may direct the
attachment of so much of the property of the employer as is in the opinion of the authority
sufficient to satisfy the amounts which may be payable under the direction.
(2) The provisions of the Code of Civil Procedure, 1908, (Central Act V of 1908) relating to
attatchment before judgement under that Code, shall, so far as may be, apply to any
direction for attachment under sub-section (1).
55. Power of authority appointed under section 50. - Every authority appointed under
section 50 shall have all the powers of a Civil Court under the Code of Civil Procedure,
1908, (Central Act V of 1908) for the purpose of taking evidence and of enforcing the
attendance of witnesses and compelling the production of documents, and every such
authority shall be deemed to be a Civil Court for all the purposes of section 195 and of
Chapter XXVI of the Code of Criminal Procedure, 1973.
56. Power of Government to prescribe costs and court fees for proceedings under
this Chapter. - The Government may prescribe the scales of costs which may be allowed
and the amount of court-fees which shall be payable in respect of any proceedings under
this Chapter.

CHAPTER-X

Appointment, Powers and Duties of the Chlef Inspector and Inspectors.

57. Appointment of Chief Inspector and Inspectors. - The Government may, by
notification, appoint a Chief Inspector and such number of Inspectors as may be necessary
for the purposes of this Act and fix the local limits of their jurisdiction.
58. Powers and duties of Chief Inspector. - The Chief Inspector may exercise and
perform in addition to the powers and duties conferred and imposed on him by or under this
Act, all the powers and duties of an Inspector under this Act.
59. Powers and duties of Inspectors. - An Inspector may, within the local limits for which
he is appointed,-
(a) enter at all reasonable hours with the assistance of such persons in the service of
the Government or any local authority as he thinks fit, any place which is or which he
has reason to believe is used as an establishment;
(b) make such inspection of the premises and of any registers or other records and take
on the spot or otherwise evidence of such persons as he may deem necessary in the
manner prescribed;
(c) exercise such other powers as may be necessary for carrying out the purposes of
this Act.
60. Chief Inspector and Inspectors to be public servants. - The Chief Inspector and
every Inspector shall be deemed to be public servants within the meaning of section 21 of
the Indian Penal Code, 1860.

CHAPTER-XI

Penalties for Offences

61. Penalties. - (1) Any employer who makes any false or incorrect statement under section
3 shall be punishable with fine which may extend to one hundred rupees.
(2) Any employer who contravenes any of the provisions of the sections 3, 4, 5, 7, 9 to 12,
13; 15 to 32; 34 to 47; 49; 68 and 69 shall be punishable for a first offence with fine which
may extend to rupees one hundred, for a second offence with fine which shall not be less
than rupees two hundred and fifty but which may extend to rupees five hundred and for the
third or subsequent offences with imprisonment for a term which may extend to three
months and with a fine which shall not be less than rupees five hundred but which may
extend to rupees one thousand:
Provided that where any employer fails to possess a valid certificate of registration in
contravention of the provisions of sections 3, 4 and 5 he shall, on conviction be punishable,
in the case of a continuing offence with a further fine which may extend to rupees two
hundred and fifty for each day during which the offence continues.
(3) Whoever contravenes the provisions of section 8 shall be punishable for a first offence
with fine which may extend to one hundred rupees, and for a second or subsequent offence
with fine which may extend to two hundred and fifty rupees.
(4) Whoever contravenes the provisions of sub-section (2) of section 48 shall on conviction
be punishable with fine which may extend to rupees fifty for each day during which the
offence continues.
(5) Whoever contravenes the provisions of sub-section (3) of section 48 shall on conviction
be punishable with a fine which may extend to rupees fifty for each day during which the
offence continues.
62. Power to Compound offence. - The Chief Inspector may authorise by notification any
officer to accept from any person who is reasonably believed to have committed an offence
under sections 3, 4, 7, 8, 10, 12, 15, 16, 17; 19; 20; 31 and 63 of this Act or the rules made
thereunder a sum of money not exceeding rupees one hundred in case of each violation by
way of compounding such offence. Any proceedings taken against such person in respect
of such offence shall on payment of such money be withdrawn and no further proceedings
shall be taken in respect of such offence.
63. Penalty for obstructing Inspector, etc. - Any person who wilfully obstructs an
Inspector in the exercise of any power, conferred on him by or under this Act or any person
lawfully assisting such Inspector in the exercise of such power, or who fails to comply with
any lawful direction made by such Inspector, shall be punishable with imprisonment for a
term which may extend to three months or with both.
64. Procedure in trial of offences. - (1) No Court shall take cognisance of a complaint
against an employer under sub-section (2) of section 61 relating to deductions from the
wages or delay in payment of wages of service compensation payable under this Act to an
employee, unless an application in respect of facts constituting the offence has been
presented under section 51 and has been granted wholly or in part and the authority
empowered under the latter section or the appellate authority granting such applications has
sanctioned the making of the complaint.
(2) Before sanctioning the making of a complaint against the employer for such an offence,
the authority empowered under section 50 or the Appellate Authority, as the case may be,
shall give such employer an opportunity of showing cause against the granting of such
sanction, and the sanction shall not be granted if such employer satisfies the authority or
Court that his default was due to-
(a) a bonafide error or bonafide dispute as to the amount payable to the employee; or
(b) the existance of exceptional circumstances, such that the employer was unable,
though exercising deligence, to make prompt payment; or
(c) the failure of the employee to accept payment.
(3) No Court shall take cognisance of a complaint against any person for an offence under
section 61 other than the offence referred to in sub-section (1) or for a contravention of any
rule made under section 71 except on a complaint made by or with the previous sanction in
writing of an Inspector under this Act within six months from the date on which the offence
or contravention is alleged to have been committed.
(4) In imposing any fine for an offence referred to in subsection (1), the Court shall take into
consideration the amount of any compensation already awarded against the accused in any
proceedings taken under section 51.
65. Bar of suits. - No Court shall entertain any suit for the recovery of wages or service
compensation or of any deduction therefrom in so far as the sum so claimed-
(a) forms the subject of an application under section 51 which has been presented by
the plaintiff and which is pending before the authority appointed under section 50 or
of an appeal under section 53; or
(b) has formed the subject of a direction under section 51 in favour of the plaintiff; or
(c) has been adjudged, in any proceeding under section 51 not to be owed to the
plaintiff; or
(d) could have been recovered by an application under section 51.
66. Contracting Out. - Any contract or agreement, whether made before or after the
commencement of this Act, where by an employee relinquishes any light conferred by this
Act shall be null and void in so far as it purports to deprive him of such right.
67. Offences to be tried by Magistrate of Second Class or above. - No Court, inferior to
that of a Magistrate of the Second Class shall try any offence punishable under this Act or
any rule or order made thereunder.

CHAPTER XII

Miscellaneous
68. Maintenance of registers and records and display of notices, etc. - (1) Subject to
the control of the Government an employer shall maintain such registers and records and
display such notices, as may be prescribed. All such registers and records shall be kept,
and all such notices shall be displayed on the premises of the establishment to which they
relate:
[Provided that the Government, by order may devise or notify consolidated forms for
maintaining registers and records and furnishing reports and returns in lieu of the forms
prescribed under the Act or Rules made thereunder:
Provided further that the Government may allow the registers and records to be maintained
in computerized or digital formats.]
(2) Every employer shall, on demand produce or cause to be produced for inspection by an
Inspector all registers, records, and notices required to be kept by or under this Act.
(3) Every employer shall submit such returns relating to his business, in such manner,
within such period, and to such authority as may be prescribed.
(4) Every employer shall give an order of appointment to his employee in the establishment
before such employee joins the service and shall also furnish a copy of such order to the
Inspector having jurisdiction over the area, within three days of issue of each such order:
Provided that in case of an employee in the service at the commencement of this Act, the
employer shall give such order of appointment within a period of three months from the date
of such commencement.
69. Restriction on double employment on a Holiday or during leave. - No employee
shall work in any establishment nor shall any employer knowingly permit an employee to
work in any establishment on a day or part of a day on which the employee is given a
holiday or is on leave in accordance with the provisions of this Act.
70. Delegation of powers. - (1) The Government may, by notification, authorise any officer
or authority subordinate to them to exercise anyone or more of the powers vested in them
by or under this Act, except the powers mentioned in section 71 subject to such restrictions
and conditions, if any, as may be specified in the notification.
(2) The exercise of the powers delegated under subsection (1) shall be subject to control
and revision by the Government or by such persons as may be empowered by them in that
behalf. The Government shall also have power to control and revise the acts or proceedings
of any persons so empowered.
71. Power to make rules. - (1) The Government may, by notification, make rules for
carrying out the purposes of this Act.
(2) In making a rule under sub-section (1), the Government may provide that a
contravention there of shall be punishable with fine which may extend to fifty rupees.
(3) The power to make rules conferred by this section shall be subject to the condition of the
rules being made after previous publication.
(4) Every rule made under this Act shall, immediately after it is made, be laid before the
Legislature of the State if it is in session and if it not in session in the session immediately
following for a total period of fourteen days which may be comprised in one session or in
two successive sessions, and if, before the expiration of the session in which it is so laid or
the session immediately following the LegIslature agrees in making any modification in the
rule or in the annulment of the rule, the rule shall from the date on which the modification on
or annulment is notified have effect only in such modified form or shall stand annulled, as
the case may be, so however that any such modification or annulment shall be without
prejudice to the validity of anything previously done under that rule.
72. Rights and privileges under other laws etc not affected. - Nothing in this Act shall
effect any rights or privileges which any employee in any establishment is entitled to, on the
date on which this Act applies to such establishment, under any other law, contract custom
or usage applicable to such establishment, if such rights or privileges are more favourable
to him than those to which he would be entitled under this Act.
73. Exemption. - (1) Nothing in this Act shall apply to-
 (a) employees in any establishment in a position of management and having control
over the affairs of the establishment, whose average monthly wages exceed sixteen
hundred rupees;
(b) establishments under the Central and State Governments, local authorities, the
Reserve Bank of India, a railway administration operating any railway as defined in
clause (20) of article 366 of the Constitution and Contonment authorities;
(c) establishment in mines and oil fields;
(d) establishments in bazars in places where fairs or festivals are held temporarily for a
period not exceeding one month at a time.
(2) Nothing in section 7 or section 15, as the case may be, shall apply to-
(a) hospitals or other institutions for treatment or care of the sick, the infirm, the destitute
or the mentally unfit;
(b) such chemists" and druggists" shops as the Government may, by general or special
order, specify;
(c) hair-dressing shops, clubs and residential hotels, educational institutions, hostels
attached to schools or colleges and establishments maintained in connection with the
boarding and lodging of pupils and resident masters;
(d) stalls and refreshment rooms at railway stations, docks, wharves, ports, airports or
bus stands;
(e) establishments wholly or principally engaged in the sale of ice or aerated waters;
(f) establishments wholly or principally engaged in the sale of funeral requisites.
(3) Nothing in sections 7, 9 and 12 or in section 15, shall apply to,-
(a) person whose work is of an intermittent nature such as caretaken, sweeper,
travelling staff;
(b) persons employed for loading and un-loading of goods at godowns.
(4) The Government may, by notification, exempt either permanently or for any specified
period, any establishment or class of establishments, or persons or class of persons, from
all or any of the provisions of this Act, subject to such conditions as they may deem fit.
(5) Notwithstanding anything in the foregoing subsections, the Govenrnment may, by
notification apply or any of the provisions of this Act to any class of persons or
establishments mentioned in those sub-sections other than those mentioned in clause (b) of
sub-section (1) and modify or cancel any such notification.
74. Application of the Workmen"s Compensation Act, 1923. - The provisions of the
Workmen"s Compensation Act, 1923, (Central Act 8 of 1923) and the Rules thereunder
shall, so far as may be, apply to every employee to whom this Act applies.
75. Protection of persons acting in good faith. - No suit, prosecution or other legal
proceeding shall lie against any person for anything which is in good faith done or intended
to be done under this Act.
76. Power of Government to suspend provisions of the Act during fair and festivals. -
On any special occasion in connection with a fair or festival or a succession of public
holidays, the Government may, by notification, suspend for a specified period the operation
of all or any of the provisions of this Act, subject to such conditions as may be specified in
such notification.
77. Application of this Act to Cooperative Societies. - Notwithstanding anything in
the [Telangana] Cooperative Societies Act, 1964, the provisions of this Act shall apply to the
Co-operative Societies.
78. Central Act 18 of 1942 not to apply to establishments governed by this Act. - On
and from the date on which this Act comes into operation in respect of an establishment, the
Weekly Holidays Act, 1942, shall cease to apply to such establishment.
79. Repeal and Saving. - With effect on and from the date on which this Act is brought into
force in any area, the Andhra Pradesh Shops and Establishments Act, 1966, (Act 15 of
1966) as in force in that area shall stand repealed:
Provided that-
(a) every appointment, order, rule, notification or notice made, issued or given under the
provisions of the Act so repealed shall, in so far as it is not inconsistent with the
provisions of this Act, be deemed to have been made, issued or given under the
provisions of this Act, unless and until superseded by any appointment, order, rule,
notification or notice made, issued or given under this Act;
(b) any proceedings relating to the trial of any offence punishable under the provisions
of the Act so repealed shall be continued and completed as if the said Act had not
been repealed but had continued in operation and any penalty imposed on such
proceedings shall be recovered under the Act so repealed.
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THE TELANGANA
SHOPS & ESTABLISHMENTS
RULES, 1990
1[G.O.Ms.No. 169, Womens’s Development, Child Welfare and Labour
(Lab.II), dated 28th October, 1991].
“In exercise of the powers conferred by sub-section (1) of Sec. 71 of
the TELANGANA Shops and Establishments Act, 1988 (Act No. 20 of
1988) the Governor of TELANGANA hereby makes the TELANGANA
Shops & Establishments Rules as provided in the Annexure, the same
having been previously published as required by sub-section (3) of Section
71 of the said Act.”
The said Rules shall come into force with effect from 1-11-1991.
1. Short title:- These rules may be called the TELANGANA Shops
and Establishments Rules, 1990.
2. Definitions:- In these rules, unless the context otherwise requires:-
(a) “Act” means the TELANGANA shops and Establishments
Act, 1988;
(b) “Family members” means father, mother, wife, husband, sons,
daughters, sisters and brothers, wholly dependent on the
earnings of the employer;
(c) “Form” means a form appended to these Rules;

(d) “Government” means the State Government of TELANGANA;

(e) “Section” means a section of the Act;
(f) Words and expressions used but not defined in these rules shall
have the same meanings assigned to them in the Act.
3. Registration of Establishments and Renewal of Registration
Certificate:- (1) The statement specified in sub-section (1) of Section 3 of
the Act shall be submitted by the employer in Form-I to the Inspector of
the area concerned. The statement shall be accompanied by a challan in
support of the payment of fees prescribed in Schedule-I.
(2) The Inspector shall maintain Register of Establishments in Form-V.
(3). The Inspector shall issue a Certificate of Registration in Form-II.
1. R.S. to Part II, TELANGANA Gazette, dt. 1-11-1991.

2 THE TELANGANA SHOPS & ESTABLISHMENTS RULES, 1990

(4). Every application for renewal of Registration Certificate made

under Section 4 of the Act shall be submitted by the employer to the
Inspector of the area concerned in Form-III. The application for renewal of
Certificate of Registration shall be accompanied by a challan for the fees
prescribed in Schedule-I.
(5) The period of renewal of Certificate of Registration shall be one
year or upto three years from the date of its expiry, at the option of the
employer.
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(6) On receipt of application for renewal of Certificate of
Registration, the Inspector shall issue Renewal of Registration Certificate
in Form-IV.
(7) Where the application for Renewal of Registration Certificate is
not made within the date i.e., atleast 30 days before its expiry, penalty as
specified below shall be levied.
1. Application submitted on or | 25% of the fees Prescribed.
after 2nd December, but before |
31st December.
2. Application submitted on or | 50% of the fees Prescribed.
after 1st January. |
Provided that the Government or subject to the control of the
Government the Chief Inspector may, if they are or he is satisfied that there
is sufficient reason for the employer in not sending the application for the
renewal of the Certificate of Registration before the expiry of the time limit
specified in sub-section (2) of Section 4, by an order and for reasons
recorded therein, waive the payment of penalty either in part or wholly by
the employer in respect of the renewal of the Certificate of Registration
applied for.
4. Payment of Fees:- The fees prescribed under these Rules shall be
remitted into the Government Treasury/State Bank of India/State Bank of
Hyderabad under the Head of Account “0230 Labour and Employment
(101) Receipts under Labour Laws”. The fees once remitted shall under no
circumstances be refunded.
5. Issue of duplicate Registration Certificate:- If the Certificate of
Registration issued under sub-rule (3) of Rule 3 is lost, destroyed or
defaced, the employer of the Establishment shall forthwith report the
matter to the Inspector of the area concerned and shall apply in Form-VI
with a fee as prescribed in Schedule-II for the issue of duplicate
registration certificate. Upon the receipt of such application together with
the fee, the Inspector shall furnish to the employer with a duplicate copy of
registration certificate duly stamped ‘Duplicate copy of the Registration
Certificate’.

THE TELANGANA SHOPS & ESTABLISHMENTS RULES, 1990 3

6. Notice of Change:- (1) Notice shall be given by the employer to

the Inspector of the area concerned as required under sub- section (4) of
Section 3 of the Act, in Form-VII together with the Certificate of
Registration and a challan for the amount of fee remitted as specified in
Schedule-II and the amount, if any, payable as specified in Schedule-I
having regard to increase in the number of employees:
Provided that no notice need be given by the employer to the
Inspector of the area concerned in respect of any change in the number of
employees if such change does not affect the licence for remittance as
specified in Schedule-I.
(2) On receipt of notice of change the Inspector shall amend the
Certificate of Registration or issue a fresh one, if necessary and send it to
the employer.
(3) Where the Inspector cancels the Certificate of Registration on
receipt of information with regard to the closure of Shop/Establishment, he
shall intimate the employer about the cancellation of the Registration
Certificate. The Communication to the employer shall be sent under
Certificate of Posting.
7. Authority to whom appeals shall lie against revocation of
suspension of registration certificate:- An appeal under sub-section (1)
of Section 6 of the Act against the orders of revocation or suspension of the

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Registration Certificate shall lie to the Labour Officer in whose jurisdiction
the Shop/Establishment lies.
8. Form of appeal, mode of submission and procedure to be
followed by the appellate authority:- (1) Every appeal, under Section 6
shall be presented to the Appellate Authority in person or sent to him by
Registered Post under Acknowledgement Due.
(2) The appeal shall be in form of a memorandum and shall be
accompanied by a certified copy of the order appealed against.
(3) The memorandum shall set forth the grounds of the appeal.
(4) Where the memorandum of appeal does not comply with the provisions
of sub-rules (2) and (3) above, it may be returned, within fifteen days from the
date of its receipt to the appellant for the purpose of being amended. The
appellant shall resubmit the appeal duly amended as directed by the Appellate
Authority within a period of thirty days from the date of its return.
(5) Where the memorandum of appeal is in order, the Appellate
Authority shall admit the appeal, endorse thereon the date of presentation
and shall register the appeal in the Register of Appeals in Form VIII.

4 THE TELANGANA SHOPS & ESTABLISHMENTS RULES, 1990

(6) Where the appeal is admitted, the Appellate Authority shall obtain
the connected records from the Inspector concerned against whose order
the appeal has been preferred.
(7) The Appeallate Authority shall give an opportunity to the
appellant for being heard, by fixing a date.
(8) If, on the date fixed for personal hearing, the appellant does not
appear, the Appellate Authority shall decide the appeal on the basis of the
records made available to him and shall communicate his order to the
appellant.
9. Ascertainment of age by the Inspectors:- An employer may be
required to produce one of the following documents in support of the age
of an employee:
(i) School Certificate.
(ii) Extract from the register of Birth.
(iii) Certificate in Form IX from the Government Medical Officer
not below the rank of Assistant Civil Surgeon.
10. Maternity Benefit:- (1) The payment of Maternity Benefit to a
woman employee under Section 25 of the Act shall be at the same rate of
daily, weekly or monthly wages last paid, In the case of piece rate
employees, the rate of maternity benefit shall be on the basis of the average
earning of one month or wages drawn on the last working day whichever is
higher.
(2) The payment of maternity benefit accruing to a woman employee
shall be made to her at any time not later than one week after receipt of
intimation in writing about the date of her delivery:
Provided that if woman dies during this period, that maternity benefit
shall be payable only for the days upto and including the day of her death.
(3) In case of miscarriage, the woman employee shall on production
of a certificate granted to that effect by a Registered Medical Practitioner,
be entitled to the maternity benefit for a period of six weeks immediately
following the date of her miscarriage.
(4) The amount payable to a woman employee a maternity benefit in
accordance with aforesaid rules shall, for the purpose of its recovery be
deemed to be wages as defined under sub-section (23) of Section 2 of the
Act.

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(5) Payment in respect of claim of maternity benefit shall be made by
the employer to the woman employee concerned or to a person authorised
by

THE TELANGANA SHOPS & ESTABLISHMENTS RULES, 1990 5

her in writing. In the case of her death, the same shall be payable to her
legal heirs.
(6) No woman employee having more than two children shall be
eligible for maternity benefit.
11. Cleanliness:- The premises of every establishment shall be kept
clean in the following manner:—
(1) (a) In every establishment, all the inside walls of the rooms and
all the ceilings of the such rooms (whether such walls or ceilings be
plastered or not) and all the passages and staircases shall be white-washed
or colour washed at intervals not more than two years from the time when
they were last white-washed or colour washed and shall be maintained in a
clean state.

(b) All beams, rafters, doors, window frames and other wood work
with the exception of floors shall be either whitewashed or colour-washed
at intervals of not more than twelve months from the time when they were
last white-washed or colour-washed or shall be painted or varnished at
intervals of not more than seven years from the time when they were last
painted or varnished and shall be maintained in a clean state.
(c) This sub-rule shall not apply to the following:-
(i) Rooms used only for the storage of articles;
(ii) walls or ceilings of rooms which are made of galvanised iron,
flat tiles, asbestos sheets, glazed bricks, glass slate, bamboo,
thatch, cement, plaster or polished chunam;
(iii) ceilings of rooms in which the lowest part is atleast 6.0 meters
from the floor;
(iv) any other establishment or part thereof in which
white-washing, colour-washing, painting or varnishing is, in
the opinion of the Chief Inspector, unnecessary to satisfy the
requirement of Section 26 of the Act in regard to cleanliness.
(2) Rubbish, filth or debris shall not be allowed to accumulate or to
remain on any part of the establishment for more than 24 hours and shall
be disposed of. All waste matter shall be kept in covered receptacles.
(3) All drains carrying waste or sullage water or sewage shall be
constructed of masonry or other impermeable material and shall be
regularly flushed at least twice daily and where possible, connected with
some recognised drainage line.

6 THE TELANGANA SHOPS & ESTABLISHMENTS RULES, 1990

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(4) The establishment and the compound surrounding it shall be
maintained in a strictly sanitary and clean condition. The floor shall be
swept or otherwise cleaned atleast once daily, and the ceilings shall be
dusted atleast once a month.
(5) The employer shall enforce the proper use of latrines and urinals
and prevent pollution by excreta or urine on the surface of the ground in
the vicinity or the latrine or the urinal and the compound of the
establishment. The employer shall make suitable arrangements for the
regular cleaning and conserving of the latrines and urinals to the
satisfaction of the Inspector.

(6) Employer shall provide drinking water and keep the area around
the place of drinking water clean and properly drained.
12. Precautions against fire:- Every establishment shall provide
under sub-section (1) of the Section 28 with adequate means of escape in
case of fire and shall also provide buckets of substantial construction full
of water or sand and/or chemical fire extinguishers in suitable number and
at suitable sites according to the nature of work carried on and the size of
the premises.
13. Safety:- (1) Every dangerous part of machinery in an
establishment other than a shop shall be securely fenced by safeguards of
substantial construction which shall be kept in position while the part of
machinery is in motion or in use.
(2) In every establishment where manufacturing process is carried on
with the aid of electric power, suitable devices for disconnecting the power
supply during the emergencies from running machinery shall be provided
and maintained.
(3) No employee, with loose fitting clothes on, shall be allowed or
made to work near the moving machinery or belt and the tight fitting
clothes for the purpose shall be provided by the employer.
14. First Aid Appliances:- In every establishment other than a shop,
a first aid box shall be kept and it shall contain the following equipment
together with a book of instructions on first aid namely:-
(i) 3 small sterilised dressings;
(ii) 2 medium size sterilized dressings;
(iii) 2 large size sterilized dressings;
(iv) 2 large size sterilized burn dressings;

THE TELANGANA SHOPS & ESTABLISHMENTS RULES, 1990 7

(v) 2 (15.0 grams) packets sterilized cotton wool;

(vi) 1 pair of dressing scissors;
(vii) 1 (30.0 grams) bottle containing solution of salvolatine having
the dose and mode of administration indicated on the label;
(viii) 1 (30.0 grams) bottle containing solution of iodine or
mecurrichrome;
(ix) 1 (30.0 grams) bottle containing Potassium Permanganate
crystals;
(x) any antidotes for burns.
15. Maximum permissible load, training and instruction, medical
examination and provision of technical devices:- (1) For the purposes of
this rule, the term Regular “Manual Transport of Load” means any activity
which is continuously or principally devoted to the manual transport of

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loads, or which normally includes, eventhough intermittently, the manual
transport of loads.
(2) The maximum permissible weight which may be transported
manually by an adult male worker shall not be more than fifty five kgs. and
in the case of women and young persons the maximum permissible weight
shall not be more than thirty kgs.
(3) No woman employee shall be assigned to manual transport of
loads during pregnancy or during the ten weeks following confinement.
(4) (i) Every employee who is assigned to manual transport of loads
other than light loads shall be given, prior to such assignment, adequate
training or instruction in working techniques, with a view to safeguarding
health and preventing accidents.
(ii) Such training or instruction should include methods of lifting,
carrying, putting down, unloading, stocking of different types of loads, and
shall be given by suitably qualified persons or institutions, and be followed
up, wherever practicable, by supervision on the job to ensure that the
correct methods are used.
(iii) Every employee occasionally assigned to manual transport of
loads shall be given appropriate instructions on the manner in which such
operations may be safely carried out.
(5) (i) Every employer shall make available, suitable technical
devices in order to limit or to facilitate the manual transport of loads,
which shall be used.

8 THE TELANGANA SHOPS & ESTABLISHMENTS RULES, 1990

(ii) The packaging of loads which may be transported manually

should be compact and of suitable material and should as far as possible
and appropriate, be equipped with devices for holding and so designed as
not to create risk of injury; for example, it should not have sharp edges,
projections or rough surfaces.
(6) (i) The employer shall arrange for the medical examination of
fitness for employment of each employees as far as practicable and
appropriate before assignment of the employees to manual transport of
loads.

(ii) Medical examination shall be made every one year in respect of

each such employee.
(iii) Employer shall bear the cost of medical examinations.
(7) The training or instructions provided for in this rule shall not
involve the employee in any expense.
16. Manner of calculating ordinary rate of wages:- For the purpose
of the explanation of Section 37, ordinary rates of wages per hour shall be
calculated by dividing the total wages payable to a person employed for the
hours actually worked by him during the wage period by the number of
such hours in the wage period:
Provided that hours worked by a person employed in excess of the
normal daily hours during the wage period shall be excluded in calculating
the number of hours actually worked by him.
17. Fines and deductions for damage or loss:- (i) (a) The Chief
Inspector shall be the Authority competent to approve, the acts and
omissions in respect of which fines may be imposed and to approve the
purpose to which the fines realised shall be applied.
(b) Any employer requiring the power to impose fines in respect of
any acts and omissions on the part of the employees shall send to the Chief

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Inspector:-
(i) a list in English or in Telugu in duplicate, clearly defining
such acts and omissions;
(ii) in the case where the employer himself does not intend to be
the sole person empowered to impose fines, a list in duplicate
showing those appointments in his establishment the
incumbents of which may pass orders imposing fines and the
class of establishment on which the incumbent of such
appointment may impose fines; and

THE TELANGANA SHOPS & ESTABLISHMENTS RULES, 1990 9

(iii) a list showing the purpose to which the fines realised shall be
applied.
(c) The Chief Inspector may on receipt of the list prescribed in clause
(a) or sub-clause (iii) of clause (b) above after such enquiry as he considers
necessary, pass order either:-
(i) disapproving the list; or
(ii) approving the list either in its original form or as amended by
him in which case such list shall be considered to be an
approved list;
Provided that no orders disapproving or amending any list shall be
passed unless the employer shall have given an opportunity of showing
cause orally or in writing against such order.
(d) The employer shall display at or near the main entrance of the
establishment or at a conspicuous place a copy in English and in Telugu of
the list approved under clause (c) above.
(e) No fine shall be imposed by any person other than an employer or
a person holding an appointed name in the list submitted under clause (b).
(2) (a) Any employer desiring to impose fine on an employee or to
make a deduction from his wages for damage or loss shall explain
personally to the said person the act or omission, or damages or loss, in
respect of which the fine or deduction is proposed to impose, and shall hear
his explanation. The charge in respect of which it is proposed to impose the
fine or deduction and explanation of the person concerned shall be reduced
to writing, the signature of such employee shall be obtained.
(b) Any person other than employer imposing a fine or directing the
making of a deduction for damage or loss shall at once inform the
employer of all particulars so that the register prescribed in sub- rule (3) or
sub-rule (4) below may be duly completed.
(3) (a) The employer of any establishment in respect of which he has
obtained approval under sub-section (1) of Section 41 to a list of acts and
omissions in respect of which fines may be imposed, shall maintain a
Register of Fines in Form-X.
(b) At the beginning of the Register of Fines, the approved purpose or
purposes on which the fines are to be expended shall be entered and
serially numbered.
(c) When any disbursements are made from the fines realised, a
deduction entry of the amount so expended shall be made in the Register of

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10 THE TELANGANA SHOPS & ESTABLISHMENTS RULES, 1990

Fines, the vouchers or receipts in respect of the amounts so expended shall

be serially numbered and kept separately, the serial number of each
voucher or receipt and the amount to which it relates being noted in the
remarks column of the register. If fine for more than one purpose has been
approved, the entry of the disbursements shall also indicate the purpose for
which it is made.
(4) In every establishment in which deductions for damage or loss are
made, the employer shall maintain the register in Form-XI.
18. Advances — Advance of wages shall be subject to the following
conditions, namely, (1) Any advance of wages not already earned shall not,
without the previous permission of the Labour Officer having jurisdiction,
exceed an amount equivalent to the wages earned by the employee during
the preceding two calendar months, or if he has not been employed for that
period, twice the wages, he is likely to earn during the subsequent calendar
month.
(2) Any advance may be recovered in instalments by deductions from
wages, spread over not more than twelve months.
(3) No instalments by which an advance is repaid shall exceed one
fourth or where the wages for any wage period are not more than twenty
rupees, one fourth of the wages of any wage period in respect of which the
deduction is made.
(4) The amounts of all advances and all repayments of such advances
shall be entered in a Register of Advances in Form XII.
19. Acts and Omissions constituting misconduct:- (1) The
following acts and omissions shall be treated as misconduct on the part of
the employees:—
(a) Wilful insubordination or disobedience of instruction whether
alone or in combination with others or any lawful and
reasonable order of a superior;
(b) Striking work or inciting others to strike work in
contravention of the provisions of the Industrial Disputes Act,
1947;
(c) Damage, theft, fraud or dishonesty in connection with the
employer’s business or property;
(d) Habitual absence without leave, or absence without leave for
more than five consecutive days or overstaying the sanctioned
leave without sufficient grounds or proper or satisfactory
explanation;

THE TELANGANA SHOPS & ESTABLISHMENTS RULES, 1990 11

(e) Engaging trade within the premises of the establishment;

(f) Unprovoked misbehaviour with customers, drunkenness,
riotous, disorderly or indecent behaviour in the premises of the
establishment;
(g) Habitual neglect of work, or habitual negligence disclosing
any information in regard to the business/process of the
establishment to any unauthorised person which may be
prejudicial to the interest of the establishment;
(h) Gambling within the premises of the establishment;
(i) Conviction by any Court of Law for any criminal offence
involving moral turpitude.

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(2) Every employer shall display or cause to be displayed at or near
the main entrance or at any conspicuous place of the establishment a copy
of the list of acts and omissions specified under sub-rule (1) above in
English and Telugu. If the establishment consists of several departments,
such lists shall be displayed in each department.
20. Procedure for terminating the services of an employee:- (1) No
employer shall terminate the services of an employee unless an enquiry is
held against the employee concerned in respect of any alleged misconduct
in the manner set forth in sub-rule (2).
(2) An employee against whom an enquiry has to be held he shall be
given a charge-sheet clearly setting forth the circumstances appearing
against him and requiring explanation. He shall be given an opportunity to
answer the charge and shall also be permitted to produce witnesses in his
defence and cross-examine any witness on whose evidence the charge
rests. Act concise summary of the evidence led on either side and the
employee’s plea shall be recorded and signature of the parties obtained.
(3) In awarding punishment under this Rule, the employer shall take
into account the gratuity of the misconduct, the previous record, if any of
the employee and any other extenuating or aggravating circumstances that
may exist:
Provided that no punishment shall be awarded based on the previous
record and other circumstances that may exist unless the employee has
been given an opportunity of making representation in respect of those
charges.
21. Appeals:- (1) An appeal under sub-section (1) of Section 48 shall
be preferred to the Appellate Authority by the employee within 60 days
from the date of service of the order terminating his services with the
employer,

12 THE TELANGANA SHOPS & ESTABLISHMENTS RULES, 1990

such service shall be deemed to be effective, if carried out either personally

if that is not practicable, by prepaid registered post to his last known
address, when the date of such service shall be deemed to be the date when
the letter would arrive in ordinary course of post:
Provided that the Appellate Authority may admit an appeal after the
expiration of the period of sixty days where the appellant satisfies the
Appellate Authority that he had sufficient cause for not preferring the
appeal within the stipulated period of sixty days.
(2) (a) The procedure to be followed by the Appellate Authority for
hearing appeals preferred to it under sub-section (1) of Section 48 shall be
summary. It shall pass orders giving its reasons therefor. A Register of
Appeals in Form XIII shall be maintained by the Appellate Authority
wherein the particulars of the appeal and summary of the final order shall be
recorded.
(b) If the employer fails to appear on the specified date, the Authority
may proceed to hear and determine the application ex parte.
(c) If the employer fails to appear on two successive dates of hearing,
the Authority may dismiss the application:
Provided that an order passed under clause (b) or clause (c) above
may be set aside and the application re-heard, if any good cause being
shown by the defaulting party within one month from the date of the said
order, after service of notice to opposite party.
(d) The parties shall not be entitled to produce additional evidence
whether oral or documentary before the Appellate Authority. But it can be
entertained on the following grounds:

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(i) the employer from whose order the appeal is preferred has
refused to admit evidence which ought to have been admitted;
or
(ii) the Appellate Authority requires any document to be produced
or any witness to be examined to enable it to pass orders or for
any other substantial cause, the Authority may allow such
evidence or document to be produced or witness to be
examined.
(e) Wherever additional evidence is allowed to be produced by the
Appellate Authority, it shall record the reasons for its admission.
(f) The result of the appeal shall be communicated to the parties as
soon as possible. Copies of the orders shall also be furnished to the parties
if required by them. The copies shall be on stamped papers to be furnished
by the parties.

THE TELANGANA SHOPS & ESTABLISHMENTS RULES, 1990 13

(3) The second Appellate Authority shall follow the same procedure
as enumerated in sub-rule (2) above. He shall also maintain a Register of
Second Appeals in Form XV.
22. Permission to act on behalf of employee or employer:- Any
person desiring to act on behalf of the employee whose appeal against
termination of his services is pending disposal or the employer thereto shall
present to Appellate Authority a Letter of Authorisation in Form XIV from
the employee or employer as the case may be, on whose behalf he seeks to
act, together with a written statement explaining his interest on the matter
and praying for permission so to act. The Appellate Authority shall record
thereon an order either according his approval or specifying in the case of
refusal to grant permission prayed for the reasons for such refusal.

23. Application for payment of Wages or service compensation

etc.:- An application for payment of Wages for service compensation etc.,
by or on behalf of an employee or group of employees, shall be made in
duplicate in Form XVI or Form XVII as the case may be, one copy of
which shall bear Court fee prescribed in Rule 27.
24. Authorisation:- The Authorisation to act on behalf of an
employee, employees employer under Section 51 or Section 52 of the Act
shall be given in Form XVIII by an instrument which shall be presented to
the Authority hearing the application and shall form part of the record.
25. Procedure for dealing with application for recovery of wages
of service compensation:- (1) Any other person desiring to act on behalf
of any employee shall present to the Authority under Section 50 of the Act,
a brief written statement explaining his interest in the matter praying for
permission so to act, and the Authority shall record thereon an order
specifying, in the case of a refusal to grant the permission prayed for, the
reasons of such refusal shall be furnished.
(2) Applications under Rule 23 above other documents relevant to
such applications shall be presented either in person to the Appellate
Authority appointed under Section 50 of the Act or shall be sent to the
Appellate Authority by registered post, acknowledgement due and the
Authority shall at once endorse or cause to be endorsed on each such
application or other document the date of presentation or receipt thereof, as
the case may be.
(3) On receipt of an application under Rule 23 above, the Appellate
Authority shall issue a notice in Form XIX calling upon the applicant as
well as the employer, as the case may be, to appear before him on a
specified date together with all relevant documents and witnesses, if any.

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14 THE TELANGANA SHOPS & ESTABLISHMENTS RULES, 1990

(4) If the employer fails to appear on the specified date, the authority
may proceed to hear and determine the application ex parte.
(5) If the applicant fails to appear on the two successive specified
dates, the authority may dismiss the application:
Provided that an order passed under sub-rule (4) or sub-rule (5) above
may be set aside on sufficient cause being shown by the defaulting party
within one month of the date of the said order and the application shall
then be reheard after service of notice on the opposite party of the date
fixed for rehearing in the manner specified in sub-rule (3).
(6) The Authority dealing with the applications under Section 51 of
the Act shall maintain a register in Form XX.
(7) The Authority dealing with the appeals under sub-section (1) of
Section 53 of the Act shall follow the same procedure as prescribed for the
authority under Section 50 of the Act in dealing with the appeals. He shall
maintain a register in Form XXI.
26. Costs:- (1) Where the Authority appointed under Section 48 or
Section 50 of the Act, as the case may be, directs that any cost shall not
follow the event, the reasons for the directions shall be recorded in writing
by such Authority.
(2) The costs which may be awarded shall include:-
(i) Expenses incurred on account of Court Fee,
(ii) Expenses incurred on subsistance money to witnesses, and
(iii) Pleader’s fee to the extent of ten rupees provided that the
Authority in any proceedings may reduce the fees to a sum not
less than five rupees or, for reasons to be recorded in writing,
increase it to a sum not exceeding thirty rupees.
(3) Where there are more than one pleader or more than one applicant
or opponent the Authority may, subject to the conditions as aforesaid,
award to the successful party or parties such costs as it may deem proper.
(4) The fee payable for obtaining the copies of document filed with
the Authority shall be as prescribed in TELANGANA Court-fees and Suits
Valuation Act:
Provided that such Authority may in consideration of the poverty of
the applicant grant copies free of cost.
27. Court-fees:- The Court-fee payable in respect of proceedings
shall be as prescribed in Schedule-III.

THE TELANGANA SHOPS & ESTABLISHMENTS RULES, 1990 15

28. Duties of Inspectors:- (1) The Inspector shall make such

inspection as may appear to him to be necessary for the purpose of
satisfying himself that the provisions of the Act and of the Rules and any
orders issued by the Government under the Act are duly observed. In
particular, he shall satisfy himself—
(i) that the establishments are duly registered under the Act;
(ii) that the registers, records and notices required to be
maintained or displayed under the Act or rules are properly
maintained or displayed;
(iii) that the intervals of rest and holidays required to be granted or
observed under the Act or granted or observed and that the
limit of hours of work and spread over laid down under the
Act are not exceeded;

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(iv) that the provisions of the Act and any orders issued by the
Government regarding the opening and closing hours are duly
observed;
(v) that every employee in an establishment is furnished with a
letter of appointment;
(vi) that the provisions of the Act and rules regarding leave,
holidays with wages and maternity benefit are properly
observed;
(vii) that the provisions of the Act and the rules relating to
cleanliness, ventilation, precautions against fire and safety of
employees are properly observed;
(viii) that the provisions of the Act relating to the payment of
overtime work are duly observed; and
(ix) that no child is allowed to work in any establishment.
(2) For carrying out such inspection, the Inspector may interrogate
such persons in the premises, as he may deem necessary:
Provided that no such person shall be required under this rule, to
answer any question, the answer to which might tend to incriminate him.
29. Maintenance of registers and records and display of notices:-
Every employer shall maintain registers and records and display notices in
the following manner:-
(1) Every employer shall maintain a Register of Employment in Form
XXII.

16 THE TELANGANA SHOPS & ESTABLISHMENTS RULES, 1990

(2) Every employer shall maintain a Register of Wages in Form XXIII.

(3) Every employer of an establishment other than a shop shall
exhibit in his establishment a notice in Form XXIV specifying the day or
days of the week on which his employees shall be given a holiday. The
notice shall be exhibited, before the employees, to whom it relates
immediately preceding the first week during which it is to have effect.
(4) Every employer shall exhibit in his establishment a notice
containing such abstracts of the Act and Rules as the Government may
direct.
(5) Any notice required to be exhibited under these Rules shall be
exhibited in such manner that it can be readily seen and read by any person
whom it affects and shall be renewed whenever becomes defaced or
otherwise ceased to be clearly legible.
(6) Every employer shall maintain a Register in Form XXV for the
leave granted to persons employed in his establishment.
(7) In any register or record which an employer is required to maintain
under these rules, the entries relating to any day, shall be made on such date
and shall be authenticated under the signature of the employer or the
Manager on the same day. The entries relating to overtime work shall be
made before the commencement and immediately after completion of such
overtime work.
(8) The registers, records and notices relating to any calendar year
shall be preserved for a period of three years after the last entry is made
therein.
(9) Save as otherwise provided in sub-rule (4) above, all Registers,
records and notices required to be maintained and exhibited shall be either
in English or in the language of the majority of the employees in the
establishment.
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(10) (a) Every employer shall maintain a Visit Book in which an
Inspector visiting the establishment may record his remarks regarding any
defects that may come to light at the time of his visit or give directions
regarding production of any documents required to be maintained or
produced under the provisions of the Act and the Rules.
(b) This Visit Book shall be a bound book more or less of size (18
cms. X 15 cms.) containing atleast 100 pages.
(c) The first page of the Visit Book shall contain the following
particulars:-
(i) Name of the Shop or Establishment;
(ii) Address;

THE TELANGANA SHOPS & ESTABLISHMENTS RULES, 1990 17

(iii) Registration Number;

(iv) Name of the Employer;
(v) Father’s Name;
(vi) Residential Address.
(d) In case the Visit Book containing remarks passed by the
Inspectors, lost, destroyed or defaced, the employer of the establishment
shall report the fact forthwith in writing to the Inspector of the area and
immediately arrange to maintain a new Visit Book.
(e) The Visit Book shall be kept always in the business premises of
the Establishment and shall be produced or caused to be produced on
demand by the Inspector.
(11) Where an office, store-room, godown, warehouse or workplace
used in connection with trade and business of a shop is situated at premises
other than the premises of the shop, all registers, records, visit book and
notices required to be maintained, exhibited or given under the Act and the
Rules shall be separately so maintained, exhibited or given in respect of
and at such office, store-room, godown, warehouse or workplace.
(12) No employer with intent to deceive shall make or cause or allow
to be made, in any register, record or notice prescribed to be maintained
under the provisions of the Act or the Rules, an entry which is false in any
material particular, or wilfully omits or causes or allows to be omitted from
any such register, record or notice, an entry which is required to be made
therein, under the provisions of the Act and Rules, or maintain or cause or
allow to be maintained, more than one set of any register, record or notice.
(13) The name board of every shop or establishment shall be in
Telugu and wherever other languages are used, the versions in such other
languages shall be below the Telugu version.
30. Letter of Appointment:- Every employer shall furnish to all
employees with the Letters of Appointment, with the photograph of the
employee in Form XXVI affixed thereon and obtain acknowledgement in
token of having served also the said letter. He shall prepare the Letter of
Appointment in triplicate, issue the original copy to the employee, retain
the duplicate copy with him and the triplicate copy shall be handed over to
the Inspector of the area concerned.
31. Admissibility of Forms other than those prescribed in the
Rules:- If an application made by an employer or Manager in writing, the
Deputy Commissioner of Labour of the area concerned is satisfied that any
muster roll, register or record maintained by the employer or Manager
gives

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18 THE TELANGANA SHOPS & ESTABLISHMENTS RULES, 1990

in respect of all or any of the employees in his establishment the particulars

required to be shown in any register, record or notice prescribed under
these rules, the Deputy Commissioner of labour of the area concerned may,
by order in writing direct that such muster roll, register or record shall, to
the corresponding extent be maintained in place of such register, record or
notice prescribed under this rule, as the case may be:
Provided that no wages register need be maintained where a wage
register under the TELANGANA Minimum Wages Rules, 1960 is
maintained.
32. Period of supplying information required by Inspector:- Any
information or document required by the Inspector for carrying out the
purposes of the Act and the Rules shall be furnished to him by the
employer of an establishment within fifteen days from the date of receipt of
such requisition by the employer:
Provided that the Inspector can extend such period as is necessary and
in no case exceeding three months, for valid reasons on application by the
employer.
33. Periodical returns:- Every employer having ten or more
employees shall send a return in Form XXVII for months ending March,
June, September and December of every year so as to reach the Inspector
within whose jurisdiction the establishment is situated not later than 10th
day of the month following the month to which the return relates.
34. Penalty:- Any employer who contravenes any of the provisions of
these Rules shall, on conviction, be punished with a fine which may extend
to fifty rupees.
For a second offence with fine which shall be not less than one
hundred rupees but which may extend to two hundred rupees and for the
third or subsequent offences, with a fine which shall not be less than two
hundred and fifty rupees but which may extend to rupees five hundred.
35. Repeal and savings:- The TELANGANA Shops and
Establishments Rules, 1968 are hereby repealed:
Provided that any order made or action taken under the rules so
repealed shall be deemed to have been made or taken under the
corresponding provisions of these rules:
Provided further that any proceedings relating to the trial of any
offence punishable under the provisions of the rules so repealed shall be
continued and completed as if the said rules had not been repealed but had
continued in operation and any penalty imposed on such proceedings shall
be recovered under the rules so repealed.

THE TELANGANA SHOPS & ESTABLISHMENTS RULES, 1990 19

FORM-I
(See Rule 3)
Statement

1. Classification of 1. Proprietor Firm.

Establishments. 2. Partnership Firm.
3. Private Ltd., Company.
4. Public Ltd., Company.
2. Category of 1. Shop.
Establishments. 2. Commercial Establishment.
3. Hotel, Restaurant, Catering
House, Lodging and Cafe.
4. Theatres, Cinema and other
places of Public amusements.

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3. Name of Shop/Establishment. 1. 2. 3.
4. Address : Door No. Locality
Village/Town
Door No.
District.
Locality.
Pin Code.
5. Location of Office.
Godown, Warehouse or
work place attached to
the Shop/Establishment
but situated outside the
premises of it.
6. Employer, Managing Name.
Partner or Managing Father’s Name.
Director as the case may be Designation.
7. Residential address Door No.
of the Employer. Locality
Village/Town.
8. Manager/Agent if any Name.
(with residential Father’s Name.
address). Designation.
Door No.
Locality.
Village/Town.
9. Nature of business.
10. Date of Commencement Date. Month. Year.
of business.

20 THE TELANGANA SHOPS & ESTABLISHMENTS RULES, 1990

11. Name of family Relationship, adults, young Persons.

members of employer’s
family engaged in
Shop/Establishment.
Male.
Female.
—————————————
Total :
—————————————
12. Total No. of employees : Adults Young Persons.
Male :
Female :
—————————————
Total :
—————————————
13. Names of Employees.
(i) In a managerial capacity.
(ii) As sweeper, caretaker
and travelling staff.
(iii) As persons employed for
loading and unloading
of godowns.
(iv) Others.
14. Details of remittances of the fees.

Name of the Challan No. Date. Amount of fee paid.

Treasury.
(1) (2) (3) (4 )

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I hereby declare that the above information is true to the best of my knowledge
and belief.
Signature of employer.

THE TELANGANA SHOPS & ESTABLISHMENTS RULES, 1990 21

FORM-II
[See Rule 3 (3) ]
Certificate of Registration

The TELANGANA Shops and Establishments Act, 1988.

Registration Certificate of Establishment.
1. Registration Number.
2. Name of the establishment.
3. Postal address of establishment.
4. Name of the employer.
5. Nature of business.
6. Number of employees.
It is hereby certified that the ........................................ has been registered as
................................. under the TELANGANA Shops and Establishments Act, 1988
this.............. day of........... 19 .
Seal.
Signature of Inspector.

FORM-III
[See Rule 3 (4) ]
Application for Renewal
1. Name of the Shop/Establishment.

2. Previous Registration Certificate.

No. and Date.
3. Year for which renewal is required along with
(i) Challan No. with date.
(ii) Amount paid through the Challan.
4. Full Name of the employer, including
Father’s Name.
5. Full name of the Manager, if any,
including Father’s name.
6. Change in the name of partners, if any.

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22 THE TELANGANA SHOPS & ESTABLISHMENTS RULES, 1990

7. Change in the postal address and

Door No. if any, of the Shop/
Establishment.
8. Total number of employees.
I hereby declare that the above information is true to the best of my knowledge
and belief.

Signature of the employer/Manager.

FORM-IV
[See Rule 3 (6)]
Renewal of Certificate of Registration

It is certified that the Registration Certificate number ...........................

................................................. of ............... (name of the Establishment)
......................................................... has been renewed under the TELANGANA
Shops and Establishments Act, 1988 for the period from ...........................................
to ...........................................

Signature of the Inspector.

THE TELANGANA SHOPS & ESTABLISHMENTS RULES, 1990 23

Remarks
(Fees.paid(Challan.Noand.Date
Dateofrenewal
Dateofinspection
ployees
{ Youngpersons
ister of Establishments

-ofem Total number

Women
Adultmen
travelling ,staff etc.
Noofotherpersonsemployed. suchas
ofmanagement
Natureofotherpersonsoccupyingposition
nts

{ YoungPersons
s

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{ P Y

IV — Theatres, Chinemas and Other .Places of Public entertainment or amusemen

FORM - V [See Rule 3(2)] Regi

,III — Residential Hotels, Restaurants .Eating Houses, Lodging Houses and Cafe
(ingofSection.2(8
-ees”withinthemean
-whoarenot“employ Women
employer’s Family
Numberofmembersof
Adultmen
Dateofcommencementofbusiness
Natureofbusiness
establishment
premises different fromthose ofthe
attachedtotheestablishment,butsituatedin
,godowns,ware-houseorworkplace,ifany
Exactlocationof office,store ,room
Establishment
exactlocation ofthe PostalAddress and

.II — Commercial Establishments

Address
with residential Nameofthe ,Manager
Addresses
and their residential Nameof partners
Address
with residential theEmployer Nameof
.I — Shops

NameoftheEstablishment
Registration
Dateof RegistrationCertificate Noand.
SerialNumber
- Part
- Part
- Part
- Part

24 THE TELANGANA SHOPS & ESTABLISHMENTS RULES, 1990

FORM-VI
[See Rule 5]
Notice of Loss of Registration Certificate and Application
for Issue of Duplicate Certificate
Name of the Establishment :
Address :
Registration No.:
To,
The Inspector,

Sir,
This is to inform you that the Registration Certificate of this establishment has
been lost/destroyed/defaced.
Please issue a duplicate Certificate.
Challan No. Date. for Rs.
is enclosed herewith.
Yours Faithfully,
Date : (Signature of employer)

FORM-VII
[See Rule 6]
Notice of Change
Name of the Establishment already
registered :
Name of the Employer :
Registration Certificate Number :
Address :
Dated the day of 19 .
To,
The Inspector,

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Notice is hereby given that the following change has taken place in respect of
information forwarded to you in Form ‘A’ which please note.
The Registration Certificate and Challan No.
Dated for Rs. is
enclosed.
Signature of Employer.
Note :- The notice of Change in this Form shall be sent together with such fees as are
prescribed in Schedule-II.

THE TELANGANA SHOPS & ESTABLISHMENTS RULES, 1990 25

FORM-VIII
[See Rule 8 (5) ]
Register of Appeals

Sl. Name and Date of Date of Presen- Date of Date of Whether

No. address appeal tation of hearing final allowed
of the appeals. order. or rejected
applicant
(1) (2) (3) (4) (5) (6) (7)

FORM-IX
[See Rule 9]
Certificate of Age
I hereby certify that I have personally examined (Name) ....................
................................................ Son/Daughter residing at
of........................................

............................... and that he/she has completed his/her fourteenth/eighteenth year

of age.
Description marks are :-
1.
2.
Medical Practitioner.
Signature or thumb
impression of employee.

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261990 RULES, ESTABLISHMENTS & SHOPS .P.A THE

FORM - X
[See Rule 17(3)(a)]
Register of Fines
Name of Establishment :

Sl. Name Father’s or Act of Whether Total Amount Date on Date on Remarks
No. of the Husband’s Commis- workmen Wages of fine which which
Employee name sion for showed for the fine fine
which cause wage- imposed realised
fine against in which
imposed fine or the fine
not, and imposed
if so,
date on
which
cause was
shown

(1) (2) (3) (4) (5) (6) (7) (8) (9) (10)

1990 RULES, ESTABLISHMENTS & SHOPS .P.A THE

FORM - XI
[See Rule 17(4)]
Register of deductions for the Damage or Loss caused to the Employer
by the Neglect or Default of Employees
Name of the Establishment :

Sl. Name Father’s or Damage Whether Amount of Date on No. of Date on Remarks
No. of the Husband’s or loss worker deduction which instal- which
Employee name caused against imposed deduction ments total
showed imposed if any amount
cause realised
deduc-
tion or
not and
27

if so, date
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on which
cause was
shown

(1) (2) (3) (4) (5) (6) (7) (8) (9) (10)

28
1990 RULES, ESTABLISHMENTS & SHOPS .P.A THE
FORM - XII
[See Rule 18(4)]
Register of advances of wage
Name of the Establishment :
Sl. Name Father’s or Amount Date on Purpose(s) No. of Postpone- Date on Remarks
No. of the Husband’s of which for which instal- ment which
Employee name advance advance advance ments by granted total
given was was which amount
given given advance is re-
has to covered
be reco-
vered

(1) (2) (3) (4) (5) (6) (7) (8) (9) (10)

FORM - XIII
[See Rule 21(2)]
Register of Appeals
Sl. Date of Effective Name and Name and address Dates of Date of Summary
No. receipt of date of address of the of the opposite hearing the final of the
the appeal termination appellant party order final order

(1) (2) (3) (4) (5) (6) (7) (8)

THE TELANGANA SHOPS & ESTABLISHMENTS RULES, 1990 29

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FORM-XIV
[See Rule 22]
Letter of Authorisation
In the Court of the Authority appointed under Section 48 of TELANGANA
Shops and Establishments Act, 1988.
Application No. of 19 .
1.
2.
3. Applicant (s)
Versus
1.
2. Opponent (s)
3.

I/We hereby authorise Sri ....................................... ........................

....................... an official of the Registered Trade Union/Employer Association of
.................................. ............................... legal practitioner to appear and act on
my/our behalf on the above described proceedings and to do all things incidental to
such appearing at action.
Signature or thumb impression of
Employee(s) Employer(s)

Witness :
1.
2.

I accept the authorisation.

Signature :

30
1990 RULES, ESTABLISHMENTS & SHOPS .

FORM - XV
[See Rule 21(3)]
Register of Second Appeals
Sl. Date of Date of the Name and Name and Amount Dates of Date of Summary
No. receipt of order of the address address deposited hearing final of the
the lower of the of the if any order final
Appeal authority/ appellant opposite order
Date of party
communication

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P.A THE
(1) (2) (3) (4) (5) (6) (7) (8) (9)

THE TELANGANA SHOPS & ESTABLISHMENTS RULES, 1990 31

FORM-XVI
(See Rule 23)
Application for Payment of Wages, etc.
In the Court of the Authority appointed under Section 50 of the TELANGANA
Shops and Establishments Act, 1988.
Application No. of 19 ............
Between A.B.C. Designation of Applicant ..................
(through Sri
a legal practitioner or an official of
which is registered trade union).
And
The applicant(s) state(s) as follows :
1. A.B.C. is a/are person(s) employed in establishment entitled and reside(s)
at
The address(es) of the applicant(s) for the service of all notices and processes
is/(are)
2. X.Y.Z. the Opposite Party is the person responsible for the payment of his
(their) wages under the Act, and his (their) address for the service of all notices and
processes is :
3. (a) The wages of applicant (s) have not been paid for the following
wage-period (s) (give date) ................................................................. or a sum of Rs.
................................................. has been unlawfully deducted from his wages
of......................... (amount) for the wage period (s) which ended on (give date/dates).
(b) (or give any or compensation)
4. The applicant (s) estimate (s) the value of the relief sought by him (them) at
the sum of Rupees :
5. The applicant (s) pray (s) that a direction may be issued under the said Act
for :
(a) Payment of this (their) delayed wages or service compensation as estimated
for such greater or lesser amount authority may find to be due or refund of the amount
illegally deducted.
Compensation amounting to
The applicant (s) certify (ies) that the statement of facts contained in this
application is true to the best of his knowledge and belief.
Signature or Thumb Impression of the
employee (s) or legal practitioner or
official of a registered Trade Union
duly authorised.
Date :
Note :- When the application is by a group of employees the thumb impression or
signatures of two of the applicants need be put to the application and a full
list of applicants should be appended.
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32 THE TELANGANA SHOPS & ESTABLISHMENTS RULES, 1990

FORM-XVII
[See Rule 23]
Form of application by an Inspector or person permitted by
the Authority or authorised to Act
In the Court of the Authority appointed under Section 50 of the Andhra
Pradesh Shops and Establishments Act, 1988.

Application No. of 19 .
Between :
ABC (Designation) .................................................... (An Inspector under the
Shops and Establishments Act, 1988 or a person permitted by the Authority/
authorised to act under Section 51) ............... APPLICANT.
AND
XYZ .......... The Opposite Party.
The applicant states as follows :
1. XYZ the Opposite Party, is the person responsible under the Act for the
payment of wages to the following person (s)
(1)
(2)
(3)
(4)
(5)
2. His address for the service of all notices and processes is :
3. The wages of the said person (s) due in respect of the following wages period
(s) have not been paid/have been subjected to the following illegal deductions :
4. The applicant estimates the value of the relief sought for the employee (s) at
the sum of Rs.
5. The applicant prays that a direction may be issued under the Act for.
6. (a) Payment of the delayed wages (or gratuity) as estimated or such greater or
lesser amount as the authority may find to be due.
OR
Refund of amount illegally deducted :
(b) Compensation amounting to :
The applicant certifies that the statement of facts contained in this application is
true to the best of his knowledge and belief.
Date :
Signature.

THE TELANGANA SHOPS & ESTABLISHMENTS RULES, 1990 33

FORM-XVIII
(See Rule 24)
Letter of Authorisation
In the Court of the Authority appointed under Section 50 of the Andhra
Pradesh Shops and Establishments Act, 1988.

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1. Application No. of 19 .

2.
3. .... Applicant (s)
Versus
1.
2.
3. .... Opponent (s)
I/We hereby authorise Sri
............................................................. a legal
practitioner/ ............................................ an official of the Registered Trade Union
of .................................. to appear and act on my/our behalf in the above described
proceedings and to do all things incidental to such appearing and acting. Signature or
Thumb impression
of Employees.
Witness :
1.
2.
I accept the authorisation.
Signature :
Address :

FORM-XIX
[See sub-rule (3) of Rule 25 ]
Notice for the Disposal of Application
To,
Whereas under the TELANGANA Shops and Establishments Act, 1988 (Act
No. 20 of 1988) a claim has been presented to me by ...............................................
against you by an application, you are hereby called upon to appear before me either
personally or through a person duly authorised in this behalf, for the purpose of
answering all material questions relating to the application on the
..............................................day of .............................. 19 . at O’ Clock in the
fore/afternoon in support of/to answer the claims and as the day fixed for your
appearance is appointed for final disposal of the application, you must be prepared to
produce on that day all the witnesses upon whose evidence, and the documents upon
which you intend to rely in support of your claim/defence.
Take notice that in default of your appearance on the .............................. day
before-mentioned, the application will be dismissed/heard and determined in your
absence.
Given under hand and seal, this .................................................................... day
of .......................................19 .
Signature of Authority.

34
1990 RULES, ESTABLISHMENTS & SHOPS .P.A THE

FORM - XX
[See Rule 25(6)]
Register of Applications under Section 51
Sl. Date of Date on which Name and Name and Amount Date of Date of Amount
No. receipt of the deduction address address claimed hearing final awarded
application from wages/ of the of the order
payment of application opposite
wages/service party
compensation
was due

(1) (2) (3) (4) (5) (6) (7) (8) (9)

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FORM - XXI
[See Rule 25(7)]
Register of Appeals under Sections 53
Sl. Date of Date of Name and Name and Date of Date of Summary
No. receipt of service of address address hearing final order of the
application the order of the of the final
u/S. 51 appellant opposite
party

(1) (2) (3) (4) (5) (6) (7) (8)

THE TELANGANA SHOPS & ESTABLISHMENTS RULES, 1990 35

FORM-XXII
[See Rule 29 (1)]
Register of Employment

Name of the Establishment/Shop ............................................................ for the

month of .............................................................. 19 .

Address : Registration No.

Sl Name of Sex Age Days of Date on Remarks.

No. the months which over-
employee time is done
and extent
of such over-
time work in
each day
(1) (2) (3) (4) (5) (6) (7)

Time at Time at Rest Date From to Extent

which which Interval (a) (b) (c) (d)
employment employment
commences ceases

(a) (b) (c)

Note:- (a)The mark “H” shall be made in the column relating to any day on which a
holiday is given in accordance with the notice referred in sub-rule (3) of
Rule 29 and ‘A’ if the employee is absent on any other day.
(b) The entries under the heading “rest interval” shall be the actual hours at
which intervals are to begin and end (e.g., 1 P.M. to 2 P.M.).

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36
1990 RULES, ESTABLISHMENTS & SHOPS .P.A THE
FORM - XXIII
[See Rule 29(2)]
Register of wages

Name of the Establishment/Shop Wage period

Address : from to
Registration No.

Name Date of Rate of Normal Wages Gross Deduc- Actual Date of Signature
of the appoint- wages wages earned wage tions wages payment or thumb
emp- ment earned for over- payable if any paid impres-
loyee time and rea- sion of the
work sions employee
thereof

(1) (2) (3) (4) (5) (6) (7) (8) (9) (10)

THE TELANGANA SHOPS & ESTABLISHMENTS RULES, 1990 37

FORM-XXIV
[See Rule 29 (3)]
Notice of Weekly Holiday
The person employed in this..................................(name of Establishment).
Establishment/shop shall be given a Holiday on the day below in the week following
the date of this notice and until further notices.

Sl Names of the Day on which Remarks

No. employees. holiday is
allowed
(1) (2) (3) (4)

Signature of the Employer.

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38
1990 RULES, ESTABLISHMENTS & SHOPS .P.A THE
FORM - XXV
[See Rule 29(6)]
Register of Leave

Name of the Establishment/Shop Name of the employee :

Address : Father’s/Husband’s Name :
Registration No. Date of appointment :
LEAVE WITH WAGES

Date of Applied No. of No. of days Leave granted Balance If refused, in part Reasons Signature of
appli- From To days to which From To No. of or full Employee Employer
cation the employee days From To No. of
is entitled days
(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14) (15)

Sick leave (same as the statement for leave with wages).

Casual leave (same as the statement for leave with wages).

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THE TELANGANA SHOPS & ESTABLISHMENTS RULES, 1990 39

FORM-XXVI
[See Rule-30]
*[Letter of Appointment]

Name and address of the establishment.

Name and address of the employer. Passport size photo of
the employee duly
Registration No. attested by the
Sri/Srimathi/Kumari, employee
Son/Wife/Daughter of

Aged .......... Date of Birth is appointed

as (describe here the nature of appointment) in this Establishment
with effect from in the scale of pay of Rs.
2. His/her scale of pay/rate of increment in wages (insert
the period) shall be
3. He/she will draw a total Per day/week/month
composed of the following namely :
(i) Basic pay.
(ii) Dearness Allowance.
(iii) Other Allowances.
*[Signature of the Employer.

To
Sri/Smt./Kumari,
(here enter full address of the employee).

* Vide Errata issued by G.O.Ms. No. 6, Women’s Development, Child Welfare & Labour
(Lab-ii) Dt. 8-1-1992.

40
1990 RULES, ESTABLISHMENTS & SH

FORM - XXVII
[See Rule 33]
Return for the month of March/June/September/December
1. Name and address the Establishment :
2. Name and address of the Employer :
3. Category of the Establishment* :

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HOPS .P.A THE

4. Number of days worked during the month :
5. Normal working hours :
6. Rest intervals : Hours :
7. No. of employees and their earnings :
Men, Women No. in employ- No. of Emoluments Money value Ex-gratia Contribution No. of
and young ment at the Mandays paid in cash of concession in cash be employer unpaid
persons end of the worked before in kind payment to social helpers
months during deductions security
the month funds
(1) (2) (3) (4) (5) (6) (7) (8)

Note:- Ex-gratia cash payments include profit having bonus as may be paid annually, quarterly or over any other period and other adhoc cash
payments, if any.
* Whether the establishment is a (i) Shop, (ii) Commercial establishment, (iii) Restaurant, eating house or hotel (iv) theatre or a
place of entertainment, or (v) other type should be mentioned here.
To
The Inspector,

THE TELANGANA SHOPS & ESTABLISHMENTS RULES, 1990 41

1[Schedule I

[See Rule 3]
The Statement in Form-I or an application in Form-II shall be sent to
the Inspector together with the fees specified in the schedule for a year.
Sl. Category of Establishments Registration and
No. Renewal Fees
Rs. Ps.
1. Shops/Establishments employing no persons. 30.00
2. Shops/Establishments employing up to 5 persons. 100.00
3. Shops/Establishments employing 6 and above and
up to 10 persons. 200.00
4. Shops/Establishments employing more than 11 and
up to 20 persons. 350.00
5. Shops/Establishments employing 21 and above
and up to 50 persons. 1000.00
6. Shops/Establishments employing 51 persons and
above and up to 100 persons. 2000.00
7. Shops/Establishments employing 101 and above. 2500.00

Schedule II
[See Rules 5 and 6]
Sl. Category of Establishments Registration and
No. Renewal Fees.
1 2 3
Fee for Notice of Change Rs. Ps.
1. Establishment having no employees 30.00
2. Establishment having employees 60.00
Fee for issue of duplicate certificate for Registration
1. Establishment having no employees 30.00
2. Establishment having employees 60.00]

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1. Subs. by G.O.Ms.No. 65, Labour, Employment, Training and Factories (Lab. II), dated
17-11-2003.

42 THE TELANGANA SHOPS & ESTABLISHMENTS RULES, 1990

SCHEDULE-III
[See Rule-27]
The Court fee payable under the provisions of the TELANGANA Shops and
Establishments Act, 1988 and the rules made thereunder shall be as prescribed below :

Sl. Category of documents Fee payable

No.

Rs. P.
1. For every application to summon a witness. 1-00
2. For every application made by or on behalf 1-00
of an individual.
3. For every other application made by 1-00 Subject to a
or on behalf of an unpaid group in respect maximum of
of such applications for each member Rs. 10/-
of the group. 10-00
4. For every appeal preferred before the
Authority under Section 53.
5. Copies of the orders of documents 0-75 Paise
containing evidence, etc., 176 words adhesive,
or fraction thereof. Court Fee
label.

Note :- For items 1 to 4 above, the authority may exempt the employees wholly or
partly from the payment of fee if in its opinion the applicant is a pauper.
No fee shall be chargeable in respect of an application by an Inspector.

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