UT administration proposes reforms for factory licenses, women employment

Time of India

4 days ago

Chandigarh: Factories in Chandigarh will soon be required to renew their licences for five years at a time, and licences will be granted within seven days, instead of the current 30-day timeline.
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Additionally, women will be permitted to work in all occupations in the city. These are some of the reform measures the Chandigarh Administration recently took up with the ministry of home affairs (MHA).
The UT has submitted a proposal to the MHA to amend Rule 10 of the Punjab Factory Rules, 1952, allowing the renewal of licences for five years at a time. Further, the proposal has been sent to the Department of Personnel, Chandigarh Administration, for the revision of the timeline under the Right to Service (RTS) from 30 days to seven days for the grant of a new licence under the Factories Act, 1948.
Deputy commissioner Nishant Kumar Yadav said, "The services of registration of shops and commercial establishments in Chandigarh are being provided online through a single form. Further, the requirement of renewal for registration under the Shops & Establishment Act has already been eliminated. Simplifying approval and renewal of factory licences/trade licences by reducing the steps involved in documentation, and online registration under the Shops & Establishments Act has also been initiated.
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Another proposal for raising the threshold for compliance under the Shops & Establishments Act to 20 workers has also been taken up with the MHA. Currently, the threshold limit is zero for compliance under the Shops & Establishments Act.
Increasing the threshold will encourage MSMEs by reducing the compliance burden on them. As per recent Periodic Labour Force Survey (PLFS) data, 4.4% of non-agricultural establishments in India employ between 10 to 19 people.
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Raising the applicability threshold to 20 workers would reduce per-worker costs for these enterprises. Yadav said, "A proposal has been sent to the MHA to amend Section 1(4) of the Punjab Shops and Commercial Establishments Act, 1958, to raise the threshold limit for compliance under the act from 0 to 10 workers.
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The administration has also proposed to remove prohibitions on women from working in certain 'hazardous' industries.
"The administration has submitted a proposal to the MHA to amend Rule 102 of the Punjab Factory Rules, 1952, to permit women (except pregnant and lactating mothers) to work in hazardous industries," said Yadav.
Further, revising limits on work hours for commercial establishments has also been recommended.
A proposal has been sent to the MHA to amend Sections 7(1), 7(2)(a), and 8(2) of the Punjab Shops & Commercial Establishments Act, 1958 (as applicable to Chandigarh), so that the working hour limits for commercial establishments may be revised in UT, Chandigarh.
Yadav said, "The administration has already implemented several reforms to support the industry and business community. Fixed-term employment offers businesses flexibility in workforce management, enabling them to adapt swiftly to market demands. Women in night shifts have been allowed with robust safety measures, promoting gender inclusivity and expanding the talent pool for industries. Also, compliance notice before prosecution introduces a compliance-first approach, reducing litigation risks and fostering a cooperative regulatory environment.
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