Union Cabinet Deliberates Model Shops and Establishments Bill, 2016 [ Current News (Concise) ]


The Union Cabinet has deliberated the Model Shops and Establishment (Regulation of Employment and Conditions of Service) Bill, 2016. This Bill will be sent to States/UTs, so that they can modify their individual Acts, if they want. The States/UTs can either approve the Bill as it is or change its provisions as per their requirements.

Key features of the Bill:

  • The bill will provide freedom to the shops and cinemas setting up to operate 365 days and also their opening/closing time as 24×7.
  • It covers only establishments employing ten or more workers under it zone, while it does not cover industrial units.
  • This bill permits women during night shift, if the establishments have provisions of housing, rest room, ladies toilet, transportation and sufficient protection of their pride etc.
  • In the matter of recruitment, training, promotions or transfer, the bill will not allow any judgment against women.
  • This bill also authorizes government to make rules towards sufficient actions to be taken for the safety and health of workers by the company.
  • Establishing one easy common online Registration procedure for Provision of clean and safe drinking water in the formations.
  • Provisions for common creche, toilet, first aid and canteen by group of formation, it will be appropriate. In case not possible for individual establishment due to constraint in space or otherwise.
  • This bill includes compulsory provisions of five paid festival holidays in addition to national holidays etc.
  • This bill provides freedom to highly skilled workers from daily working hours of 9 hours and weekly working hours of 48 hours.
  • Though, for the skilled workers this provision is matter to maximum 125 over-time hours in a quarter. In this case skilled workers may be workers employed in Biotechnology, R&D and IT division.

Benefits of the bill:

  • This Bill will take equivalence in the legislative provisions for making it easier for all the States to implement it.
  • It will ensure constant working conditions across the country and also facilitate generation of employment opportunities and comfort of doing business.
  • It will also permit shops, malls and cinema halls, between other establishments to run 24×7 during the year.

- Published/Last Modified on: July 1, 2016