Applicability of Karnataka Shops and Commercial Establishments Act – 1961

The Shops and commercial Establishment Act is regulated by the Labor Department. The Act regulates all the shops and commercial establishments operating within the state. Shops means any premises where any trade or business is carried on or where services are rendered to customers and includes offices, storerooms, godowns, warehouses, whether in the same premises or otherwise, used in such connection with such trade or business, but does not include a commercial establishment or a shop attached to a factory.

Who should get registered under Shops & Establishment Act
  1. Every shops, commercial establishment within 30 days from starting the business shall submit application form to register the establishment.
  2. Registration certificate must be displayed on visible place inside the office premises.
  3. Registration certificate is valid for 5 years period. Before the expiry of the period, renewal application to be submitted for the next period.
Exemption from Registration under Karnataka Shops and Establishment Act– 1961
  1. Offices of, or under the central or state Government, or local authorities, except commercial undertaking.
  2. Any railway service, water transport service, postal, telegraph or telephone service, any system of public conservation or sanitation or any industry, or services like water, power, light to the public.
  3. Railway dining cars.
  4. Establishments for the treatment or care of the handicap or mentally unfit.
  5. Establishments of the food corporation of India.
  6. Offices of legal practitioners and medical practitioners in which not more than 3 persons are employed.
  7. Offices of banks
Working Hours as per Karnataka Shops and Establishment Act– 1961
  1. Business to be run during following hours.
  2. Prohibitions and Exemptions in workplace