Sixty days’ notice to be given of intention to close down any undertaking.

General2020104 sections14 chapters

Chapter IX LAY-OFF, RETRENCHMENT AND CLOSURE

Statutory text

(1) An employer who intends to close down an undertaking shall serve, at least sixty days before the date on which the intended closure is to become effective, a notice, in such manner as may be prescribed, on the appropriate Government stating clearly the reasons for the intended closure of the undertaking: Provided that nothing in this section shall apply to---
- (i) an industrial establishment in which less than fifty workers are employed or were employed on any day in the preceding twelve months;
- (ii) an industrial establishment set up for the construction of buildings, bridges, roads, canals, dams or for other construction work or project.
(2) Notwithstanding anything contained in sub-section (1), the appropriate Government may, if it is satisfied that owing to such exceptional circumstances as accident in the undertaking or death of the employer or an extraordinary situation such as natural calamities or the like, it is necessary so to do, by order, direct that the provisions of sub-section (1) shall not apply in relation to such undertaking for such period, as may be specified in the order.

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