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Govt gives nod to bill allowing 24x7 eateries, malls, and movie theatres in India

Think Change India
posted on 29th June 2016
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This could very well herald the return of the buzzing night-life in Bengaluru. A report in The Economic Times states that, dining out or catching a favourite film 24/7 will now be a reality with the clearance of the Model Shops and Establishments (Regulation of Employment and Conditions of Services) Act 2015. The government today has approved the Model Shop & Establishment Act, which will permit eating joints, movie theatres, malls, and local markets to remain open round the clock. Aimed at generating employment prospects, the move also has the potential to pave way for a level playing field between online and offline retailers.

Representational Image, Source - Arabian Industry
Representational Image, Source - Arabian Industry

All public amusement establishments such as shopping malls, restaurants and local markets, which are not covered under the Factories Act 1948 come under its purview. These establishments must employ at least 10 or more employees to be able to come under the Act. The Act, is however, not applicable to government offices such as banks including the Reserve Bank of India, insurance companies and factories that are covered under the Factories Act 1948 will not be covered under the legislation.

The Act is aimed at increasing the ease of doing business could be a game-changer for retailers as competition will increase between online and offline players. The implementation of this Act will also generate high employment opportunities for both men and women. Women will now be permitted to render services in 24/7 establishments. Companies will be mandated to facilitate women with safe transportation services and other related facilities such as creches during night schedules.

The implementation of this Act is expected to be issued as an advisory to states. A consensus with trade unions, who have been calling this Act biased towards multinational companies, will not need to be arrived. This is part of the Narendra Modi government's plan to have a single Indian market. The labour ministry feels that with adequate safeguards, this would go a long way in creating more jobs and ensuring labour welfare. Women will also be empowered and not discriminated against.

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