Shop & Establishment

Registration under Shop and Establishment Act (Gumaasta License)

Shops and Establishment Acts have been enacted by the states to regulate conditions of work and to provide for statutory obligations of the employers and rights of the employees in un-organized sector of employment such as shops, commercial establishments, residential hotels, restaurants, eating houses, theatres and other establishments in their jurisdiction.

To regulate conditions of work and employment in shops, commercial establishments, residential hotels, restaurants, eating houses, theatres, other places of public entertainment and other establishment’s .Provisions include Regulation of Establishments, Employment of Children, Young Persons and Women, Leave and Payment of Wages, Health and Safety etc.

Applicability of the Act

  • It applies to all local areas specified in Schedule-I.
  • Establishment means any establishment to which the Act applies and any other such establishment to which the State Government may extend the provisions of the Act by notification.
  • Employee means a person wholly or principally employed whether directly or through any agency, whether for wages or other considerations in connection with any establishment.
  • Member of the family of an employer means, the husband, wife, son, daughter, father, mother, brother or sister and is dependent on such employer.

Shop and Establishment Act is one of the most important State Government regulations which governs the functioning of businesses engaged within its Jurisdiction. The Shop and Establishment license is a primary proof of survival of business in a specific jurisdiction.