Chapter I PRELIMINARY

In this Act, unless the context otherwise requires.- (1)“apprentice” means a person, aged not less than twelve years, whom an employer employs in his service for training by himself or by any other person for any trade or calling: (2)“child” means a person who has not completed his fourteenth year; (3)“closed” means not open for the service of any customer or open to any business connected with the establishment; (4)“commercial establishment” means a commercial or industrial or trading or banking or insurance establishment, an establishment or administrative service in which the persons employed are mainly engaged in office work, hotel, restaurant, boarding or eating house, café or any other refreshment house, a theatre or any other place of public amusement or entertainment and includes such other establishment as the Government may, by notification in the Gazette, declare to be a commercial establishment for the purposes of this Act, but does not include a factory to which all or any of the provisions of the Factories Act, 1948 (Central Act 63 of 1948) apply; (5)“day” means the period of twenty-four hours beginning at mid-night; Provided that in the case of an employee whose hours of work extend beyond mid-night, day means the period of twenty-four hours beginning when such employment commences; (6)“employee” means a person wholly or principally employed in, and in connection with, any establishment and includes an apprentices; (7)“employer” means a person owning, or having ultimate control over the affairs of, an establishment and includes the manager, agent or other person acting in the general management or control of an establishment; (8)“establishment” means a shop or a commercial establishment; (9)“inspector” means an Inspector appointed under this Act; (10)“leave” means leave provided for in Chapter III of this Act: (11)“opened” means opened for the service of any customer or to any business connected with the establishment; (12)“period of work” means the time during which an employee is at the disposal of the employer; (13)“prescribed ” means prescribed by rules made under this Act; (14)“prescribed authority” means the authority prescribed by rules made under this Act; (15)“shop” means any premises where any trade or business is carried on or where services are rendered to customers, and includes offices, store-rooms, godowns or warehouses, whether in the same premises or otherwise, used in connection with such trade or business but does not include a commercial establishment or a shop attached to a factory where the persons employed in the shop are allowed the benefits provided for workers under the Factories Act, 1948 (Central Act 63 of 1948); (16)“spread over” means the period between the commencement and the termination of the work of an employee on any day; (17)“week” means the period of seven days beginning at mid-night on Saturday night or such other night as may be approved in writing for a particular area by the prescribed authority; (18)“year” means a year commencing on the first day of January. In section 2 of the Kerala Shops and Commercial Establishments Act, 1960 (34 of 1960) (hereinafter referred to as the principal Act),- (1) after clause (1), the following clause shall be inserted, namely:-- "(1A) "big establishment" means a shop or commercial establishment which employs twenty or more employees.". (2) for clause (8), the following clause shall be substituted, namely:- "(8) "establishment" means a shop or commercial establishment which may be a small establishment, a medium establishment or a big establishment.". (3) after clause (10), the following clause shall be inserted, namely:- "(10A) "medium establishment" means a shop or commercial establishment which employs six or more, but less than twenty employees.". (4) after clause (15), the following clause shall be inserted, namely:- "(15A) "small establishment" means a shop or commercial establishment which employs no employee or not more than five employees.".

(1) Nothing contained in this Act shall apply to- (a)persons employed in any establishment in a position of management; (b)persons whose work mainly involves traveling, and persons employed as canvassers and caretakers and whose names do not appear in the muster rolls; (c)establishments under the Central or any State Government, local authorities, the Reserve Bank of India and cantonment authorities; (d)establishment in mines and oil fields; (e)establishments in bazaars in places where fairs or festivals are held temporarily for a period not exceeding fifteen days at a time; (f)establishments which, not being factories within the meaning of the Factories Act, 1948 (Central Act 63 of 1948) are in respect of matters dealt with in this Act, governed by a separate law for the time being in force in the State of Kerala. (2)Nothing contained in section 10 shall apply to— (a)hospitals and other institutions for the treatment or care of the sick, the infirm, the destitute or the mentally unfit; (b)such chemists’ or druggists’ shops, as the Government may, by general or special order, specify; (c)clubs and residential hotels, hostels attached to schools or colleges, and establishments maintained in boarding schools, in connection with the boarding and loading of pupils and resident masters; (d)stalls and refreshment rooms at railway stations docks, wharves or ports. After Chapter IIA of the principal Act, the following Chapter shall be inserted, namely:-- "Chapter IIA CONDITIONS FOR ENGAGING EMPLOYEES 5D. Issue of appointment letter.--Every employer of a medium or a big establishment shall issue an appointment letter, in such manner as may be prescribed, to the employees at the time of appointment. 5E. Prohibition of retaining education certificate or experience certificate.-- No educational certificate or experience certificate in original received from an employee shall be retained by the employer of any establishment at the time of appointment or during the course of employment. 5F. Issue of service certificate.--Every employer shall provide service certificate to the employee engaged by him, in such manner as may be prescribed, at the time of resignation or retrenchment or superannuation of the employee or while applying for another job.". In section 5A of the principal Act,-- (1) in sub-section (1), after the words "make an application", the words "through Labour Commissionerate Automation System" shall be inserted; (2) for sub-section (6), the following sub-section shall be substituted, namely:-- "(6) An application for the renewal of a registration certificate granted under this Act shall be made at least thirty days before the expiry of the period thereof, and on payment of such fees, as may be prescribed, through Labour Commissionerate Automation System, the registration certificate shall be renewed automatically."; (3) sub-section (7) shall be omitted; (4) in sub-section (8), after the words "granted or renewed", the words "through Labour Commissionerate Automation System" shall be inserted.

Notwithstanding anything contained in section 3, the Government may, by notification in the Gazette, apply all or any of the provisions of this Act to any class of persons or establishments mentioned in that section, other than those mentioned in clauses ( ) and (f) of sub-section (1) and modify or cancel any such notification. In Chapter VI of the principal Act, after section 21, the following section shall be inserted, namely:-- "21A. Hostel facilities.--Every employer of a big establishment employing more than fifty employees shall provide hostel facilities to such employees, in such manner as may be prescribed.". (1) The Kerala Shops and Commercial Establishments (Amendment) Ordinance, 2021 (123 of 2021) is hereby repealed. (2) Notwithstanding such repeal, anything done or deemed to have been done or any action taken or deemed to have been taken under the principal Act as amended by the said Ordinance shall be deemed to have been done or taken under the principal Act as amended by this Act.

The Government may, if they are satisfied that public interest so requires or that the circumstances of the case are such that it would be just and proper to do so having regard to the nature and capacity of the establishment, by notification in the Gazette, exempt either permanently or for any specified period, any establishment or class of establishments in any area or persons or class of persons to which or to whom this Act applies, from all or any of its provisions subject to such restrictions and conditions as the Government deem fit. In Chapter VIII of the principal Act, in section 29,-- (1) in sub-section (1),-- (i) in clause (a),- (a) for the words "two hundred and fifty rupees" the words "five thousand rupees" shall be substituted; (b) for the words "ten rupees" the words "two hundred and fifty rupees" shall be substituted. (ii) in clause (b) for the words "ten rupees" the words "two hundred and fifty rupees" shall be substituted. (2) in sub-section (1A),- (a) before the figure "6" the figures and letters, "5D, 5E, 5F" shall be inserted; (b) after the figure "21" the figure and letter "21 A" shall be inserted; (c) for the words "two hundred and fifty rupees" the words "five thousand rupees" shall be substituted; (d) for the words "five hundred rupees" the words "ten thousand rupees" shall be substituted. (3) in sub-section (2), for the words "fifty rupees" the words "two thousand and five hundred rupees" shall be substituted. (4) in sub-section (4), for the words "Magistrate of a Second class" the words "Magistrate of the First class" shall be substituted.

(1) The employer of every establishment shall make an application to such authority as the Government may, by notification in the Gazette, specify in this behalf (in this Chapter referred to as the "competent authority"), in such form on payment of such fees as may be prescribed, for a registration certificate in respect of that establishment. (2) An application under sub-section (1) shall be made within sixty days from the date of commencement of this section: Provided that in the case of an establishment started after the commencement of this section, such application shall be made within sixty days from the date on which the establishment commences its work. (3) The application shall specify the following particulars namely:— (a) the name of the employer and the manager, if any; (b) the postal address of the establishment; (c) the name, if any, of the establishment; (d) the category of the establishment, that is to say, whether it is a shop or a commercial establishment; (e) the number and names of employees employed in the establishment; (f) such other particulars as may be prescribed. (4) On receipt of an application under sub-section (1), the competent authority shall, if it is satisfied that the application is in accordance with the provisions of this Act and the rules made thereunder, register the establishment and issue to the employer a registration certificate in the prescribed form which shall be conclusive evidence that such establishment is duly registered under this Act. (5) A registration certificate granted under this Act shall not be valid beyond the year in which it is granted but may be renewed from year to year. (6) An application for the renewal of a registration certificate granted under this Act shall be made at least thirty days before the expiry of the period thereof, on payment of such fees as may be prescribed, and where such an application has been made, the registration certificate shall be deemed to continue notwithstanding the expiry of the period thereof, until the renewal of the registration certificate or, as the case may be, rejection of the application for the renewal thereof. (7) The competent authority shall not grant or renew a registration certificate unless it is satisfied that the provisions of this Act and the rules made thereunder have been substantially complied with. (8) The competent authority may, after giving the holder of a registration certificate granted or renewed under this Act, an opportunity of being heard, by order cancel or suspend the registration certificate if it appears to it that such registration certificate has been obtained by mis-representation or fraud or that the employer has contravened or failed to comply with any of the provisions of this Act or the rules made thereunder.

Any person aggrieved by an order of the competent authority refusing to grant or renew a registration certificate or cancelling or suspending the same, may, within a period of sixty days of the receipt by him of such order and on payment of such fees as may be prescribed, appeal to such authority as the Government may, by notification in the Gazette, specify in this behalf, and such authority may by order confirm, modify or reverse the order appealed against.

(1) A registration certificate granted or renewed under this Act shall be prominently displayed by the employer in the premises of the establishment. (2) The employer shall give notice in the prescribed form to the competent authority and the Inspector having jurisdiction over the area in which the establishment is situate of any change in respect of any of the particulars contained in his application under sub-section (1) of section 5A within seven days after the change has taken place. (3) A notice under sub-section (2) shall be accompanied by such fee as may be prescribed. (4) On receiving a notice under sub-section (2) and the prescribed fees, the competent authority shall, if it is satisfied about the correctness of the notice, register the change and amend the registration certificate or issue a fresh registration certificate. (5) The employer shall within ten days of closing his establishment, give notice thereof to the competent authority and the Inspector having jurisdiction over the area in which the establishment is situate. (6) On receiving a notice under sub-section (5), the competent authority shall, if it is satisfied about the correctness of the notice remove the name of such establishment from the register and cancel the registration certificate.