INTRODUCTION
The Delhi Shops and Establishments Act, 1954, focuses on the consolidation of various aspects concerning all shops and commercial establishments operating within the territory of Delhi State. These aspects include payment of wages, work duration, terms of service amongst other key employment related issues. The scope of this Act is crucial as it addresses important issues relating to labour laws and is designed to address the matters of fair wages, working hours and workers safety. These issues are important as they form the main object of any progressive and inclusive labour legislation.
In a move to enhance the digitisation of government functions, the Delhi Government has recently released the draft of Delhi Shops and Establishments (Amendment) Rules, 2021 ("Draft DSE Rules"). These rules aim to streamline the processes associated with the general practices followed for the registration of shops and commercial establishments in Delhi. The Draft DSE Rules have been released in the public domain on 24th September 2021 for inviting objections and suggestions from concerned stakeholders.
PROPOSED CHANGES
The following are the key changes proposed in the Draft DSE rules:
The occupier of an establishment, within 90 days of the commencement of work, can make an application for registration through the online Shop and Establishment portal of the Delhi Labour Department. This new process aims to do away with the physical form submissions as stipulated earlier under the Delhi Shops and Establishment Rules, 1954.
Rule 4, that deals with the manner of registering establishments and form of registration certificate, the following has been substituted: On submission of application online on the Shop & Establishment portal of Labour Department, GNCT of Delhi, the registration certificate shall be generated online in Form C.
Under the DSE Act, in the event of any change in the information submitted to the Chief Inspector as part of the registration process, it is mandatory for the occupier to inform the Chief Inspector of such changes through physical submission of Form D. The Draft DSE Rules propose that such changes shall have to be intimated exclusively through the online portal.
The time period for informing any change in information submitted to the Chief Inspector at the time of registration has been extended from 15 days to 30 days under the Draft DSE Rules.
Requirement of payment of fee for registration and notification of changes has been waived off under the Draft DSE Rules.
The Draft DSE Rules introduce a consolidated form (Form G) for recording details of wages, deductions, overtime, advances, attendance of the employees engaged in an establishment. In the Principal Rules, Schedule-I and II are deleted. Additionally, the form ‘H’ which deals with ‘Register of Employment and Remuneration of Employees’ and ‘I’ which deals with ‘Register of Leave’ shall be deleted.
The Amendment has substituted rule 3 which deals with Form for submitting statement and other particulars relating to name of the employer, the category of the establishment etc.
VIEW
The Draft DSE Rules propose to bring in substantial amendments to create the compliance framework, simple and flexible, especially for employers. The proposed rules are focused on creating an online ecosystem and does away with unnecessary paperwork. The Rules will lead to ease of doing business in Delhi and promotes transparency. It aims to bring Delhi’s business practices in sync with upto date global standards.
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