Legal Update – Changes to be done in Salary Structure

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Labour Code

Legal Update – Changes to be done in Salary Structure

Dear All,

In accordance with the Notification of Wage Codes effective 21st November 2025. The Definition of Wages has been changed.

While we still wait for the rules to be published to get more clarity as there remains grey area on calculation of certain components which are excluded from Wages ie: Interest on Employer Share of Provident Fund, Gratuity, Overtime, etc., it will be imperative to make changes in the existing Salary Structure in line with the Codes.

These changes are necessary to incorporate as ESI has already issued circular which has been shared with you earlier.

We have enclosed a detailed document summarizing the inclusions & exclusions for your information & action.

Please feel free to contact your Account executive with your queries on your existing structure & allow us a few days to revert on an individual basis.

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Legal Update – Comparison of Old v/s New Labour Laws

Categories
Labour Code

Comparison of Old v/s New Labour Laws

Dear All,

In continuation of our earlier email, Find enclosed a detailed summary of all changes in the Labour & Employment Laws due to notification of the New Codes.

While we still await some more clarity on the definition of wages once the rules are published, You may go through the enclosed comparison sheet for your reference.

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Legal update : Impact on ESI due to change in wage definition

Categories
ESIC Labour Code

Impact on ESI due to change in wage definition

Dear all,

Find enclosed circular issued by ESI Offices notifying changes in wage definition for the coverage of employees in ESIC.

In view of the above, ESI coverage will be determined on the basis of Basic Wages instead of erstwhile Gross Wages.

This change will impact additional coverage of employees who were outside ESI ambit otherwise.

You are requested to share with your respective account executive KYC in r/o employees who are drawing Basic wages upto 21000/- per month for registering them under ESI.

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Legal Update – Mandatory ESI Registration for Education Institutions & Hospitals

Categories
Labour Code

Mandatory ESI Registration for Education Institutions & Hospitals

Dear all,

In view of the implementation of the new labour codes, please note that ESI (Employees’ State Insurance) coverage has now been extended to Education Institutions and Hospitals effective 21/11/2025.

Accordingly, all such establishments are required to register under ESI at the earliest to ensure compliance with statutory requirements.

If you need any assistance with the registration process or have queries regarding compliance, please feel free to contact us. Our team will be glad to guide you through the necessary steps.

Legal Update – Factories Act Amendment – Maharashtra

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Factories Act

Factories Act Amendment – Maharashtra

Dear All,

In continuation of our earlier email pertaining to Maharashtra Factories (Second Amendment) Rules, based on the notification, Below are the key changes –

1. Digitalization of Processes
– Applications, notices, and licenses must now be submitted electronically in prescribed forms (Form 1 and Form 4).
– Renewal and amendments of licenses will also be processed online.

2. Stability Certificate
– For non-hazardous factories, the certificate of stability (Form 1A) must be submitted within 12 months of license issuance.

3. Updated Fee Schedules
Schedule A (all factories except power stations) and Schedule B (power generating stations) revised with new fee structures effective from 2026.

4. Medical Examination
– Annual free medical check-up for workers aged 45 years and above.
– Conducted by qualified practitioners or authorized medical officers.
– Results to be submitted electronically in Form 7-A within 15 days.

5. Safety & Security for Women Workers
– Women allowed to work 7:00 PM to 6:00 AM with conditions:
– Adequate transport facilities.
– Well-lit workplace and amenities.
– Minimum two women workers per worksite.
– CCTV surveillance with 45-day recording.
– Written consent retained for 3 years.

6. Additional Safety for Pregnant & Lactating Women
– Prohibited from hazardous operations involving carcinogenic or teratogenic substances.
– Mandatory protective gear (respirators, masks, overcoats).
– Training on hazards and emergency escape routes.

7. Mock Drills
– Every factory must conduct mock drills for emergency scenarios at least once every six months and report to the Inspector within 15 days.

8. Forms & Documentation
Form 1: For new factory construction, registration, license grant/renewal/amendment, notice of occupation, manager change.
Form 4: Electronic factory license.
Form 7-A: Health register for workers (except hazardous processes).

9. Deleted Rules & Forms
– Rule 11 and Form 5 removed.
– Schedule XIII deleted.

Objective
The amendments aim to:
Digitize compliance for ease and transparency.
Enhance worker health and safety, especially for women and vulnerable groups.
Update fee structures and operational norms in line with current industrial practices.

In reference to the above, Points 4 & 7 require regular administrative compliance which is to be done by you. You are requested to take note of this and adhere to the compliance as stated above.

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Legal Update – Maharashtra Factories (Second Amendment) Rules, 2025 Key highlights

Categories
Factories Act

Maharashtra Factories (Second Amendment) Rules, 2025 Key highlights

The Government of Industries, Energy, Labour, and Mining Department issued some amendment in Maharashtra Factories Rules, 1963.
Enclosing herewith the highlights of the rules under Maharashtra Factories (Second Amendment) Rules, 2025.

Legal Update : Govt Announces Implementation of Labour Codes

Categories
Labour Code

Govt Announces Implementation of Labour Codes

This is to inform you that the Four Labour Codes have been formally brought into force with effect from 21 November 2025 by the Central Govt.

However, these Codes will not replace the existing labour laws until the respective State Governments notify their Rules.

Accordingly, all current labour laws will continue to remain applicable, and there is no immediate or abrupt change in compliance requirements for employers at this stage related to Compliance records, Registers, Returns etc.

Implementation of the Labour Codes will commence gradually once the State Rules are notified. We will keep you informed of all relevant updates and provide guidance on the compliance steps to be taken as the transition progresses.

We expect respective states to issue gazzette notification informing the implementation date in the next few weeks.

Until then please remain patient and wait to hear from us.

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Legal Update – Exemption for Shops & Establishments Employing up to 10 Employees in Telangana

Categories
Shop & Establishments

Exemption for Shops & Establishments Employing up to 10 Employees in Telangana

The Government of Telangana has granted an exemption to all shops and establishments employing up to 10 employees from most provisions of the Telangana Shops & Establishments Act, 1988, effective 24th September 2025.

Please find the enclosed notification for more details.

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