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CS Professional · Labour Laws and Practice · The Labour Laws (Simplification of Procedure for Furnishing Returns and Maintaining Registers by Certain Establishments) Act, 1988

Sunrise Printers Pvt Ltd in Pune has never had more than 8 persons employed on any day in the preceding twelve months. Under the Labour Laws (Simplification of Procedure for Furnishing Returns and Maintaining Registers by certain Establishments) Act, 1988, how is this establishment classified?

It is a very small establishment. The Act defines a very small establishment as one employing not more than nine persons on any day of the preceding twelve months, and this firm never exceeded eight persons.

  1. AVery small establishmentCorrect
  2. BSmall establishment
  3. CMedium establishment
  4. DNot an establishment covered by the Act

Explanation

Section 2(f) defines a very small establishment as one in which not more than nine persons are employed or were employed on any day of the preceding twelve months. With a maximum of 8, Sunrise Printers falls within this limit. It is not a small establishment, which needs at least ten persons.

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