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CS Executive · Setting Up of Business, Industrial and Labour Laws · Evaluation of Labour Legislation and need of Labour Code

Sunrise Textiles Pvt Ltd in Surat was already registered under a Central labour law that was in force before the Code on Social Security, 2020 applied. As per the Code on Social Security, 2020, what is the position on its registration under that Code?

Sunrise Textiles need not register again. The Code on Social Security, 2020 says an establishment already registered under any other Central labour law then in force is not required to obtain registration afresh, and its existing registration is deemed registration for the Code.

  1. AIt must cancel the old registration and register afresh within one month
  2. BIt need not register again; the earlier registration is deemed registration under the CodeCorrect
  3. CIt must register again only if it has more than 500 workers
  4. DIt is exempt from the Code altogether

Explanation

Section 3 of the Code on Social Security provides that an establishment already registered under any other Central labour law in force need not obtain registration again, and that registration is deemed to be registration for this Code. Requiring fresh registration contradicts this proviso.

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