Overview of Shop & Establishment License in Chhattisgarh

The **Chhattisgarh Shops and Establishments (Regulation of Employment and Conditions of Service) Act, 2017** (which repealed the older 1958 Act) and the **Rules, 2021** govern the operation of shops and commercial establishments in Chhattisgarh. This license, often referred to as **Gumasta License**, is mandatory for nearly all businesses, including:

• Shops
• Commercial establishments (offices, agencies)
• Societies
• Charitable trusts
• Educational institutions run for gain
• Premises where banking, insurance, stock or share brokerage is carried on
• Restaurants, hotels, theatres, etc.

The Act primarily regulates aspects such as:

• Working hours for employees
• Rest intervals and meal breaks
• Opening and closing hours of the establishment
• Weekly holidays and national/religious holidays
• Overtime work and wages
• Employment of women and young persons
• Leave policies (annual, casual, sick, maternity)
• Record keeping
• Cleanliness, lighting, and ventilation

The objective is to ensure fair working conditions, protect employee rights in the unorganized sector, and provide a legal identity to the business.

Key Provisions of the New 2017 Act (Effective Feb 2025)

The Chhattisgarh Shops and Establishments (Regulation of Employment and Conditions of Service) Act, 2017, fully effective from February 13, 2025, brings several changes:

• Scope: The new Act applies statewide, unlike the old one which was primarily for urban areas.
• **Exemption for Small Establishments (Key Change):** The new law *primarily* applies to shops and establishments employing **ten or more workers**. Previously, all shops, even without employees, were often under the Act's purview. This provides relief to very small businesses.
• Flexible Working Hours: Shops can now potentially remain open 24/7, seven days a week, offering more flexibility to traders. However, a mandatory weekly holiday for each worker remains compulsory. No employee can be required to work more than eight hours a day.
• **Labour Identification Number (LIN):** Every shop and establishment employing ten or more workers must apply for registration and obtain a LIN within six months of the Act's commencement or the establishment's existence.
• **Deemed Registration:** Establishments already registered under the Employees' State Insurance Act, 1948, or the Employees' Provident Fund and Miscellaneous Provisions Act, 1952, are deemed registered under this Act. They still need to obtain a LIN.
• **Women Employment Hours:** No woman shall be required or allowed to work in a shop or establishment, except between 6 AM and 9 PM.
• **Leave Entitlements:** Specific provisions for casual leave (8 days/year), earned leave (1 day for every 20 days worked after 240 days), and festival holidays (8 paid days/year). Earned leave accumulation up to 45 days.
• **Overtime:** Maximum 125 hours in three months. Workers on a day of rest are entitled to double wages.
• **Cr¨che Facility:** Mandatory in establishments employing 30 or more women workers or 50 or more workers ordinarily.

Who Needs to Apply?

Any commercial establishment or shop, with **10 or more employees**, undertaking any trade, business, or profession in Chhattisgarh is generally required to obtain this license. Even individuals running a business from their homes might need it for legal purposes (e.g., opening a current bank account, applying for loans).

It's important to consult the latest rules or a legal expert for specific applicability based on the nature and size of your business and number of employees.

Online Application Process for Shop & Establishment License

The application process for the Shop & Establishment License in Chhattisgarh is largely online, facilitated through the Labour Department's Single Window System.

Steps for Online Application:

1. User Registration (Single Window):
   • Go to the Labour Department, Government of Chhattisgarh website: https://shramevjayate.cg.gov.in/
   • Look for "Single Window" or " " (Citizen Services) or " " (Online Services). You might need to register as a new user if you haven't already. This creates your user account.
   • You may also need to generate a **Udyam Akanksha Number (UAN)**.
2. Unit Registration / Apply for Service:
   • Log in to the Single Window portal using your generated user ID and password.
   • Navigate to the section for "Shop & Establishment Registration" or "License for Shops & Establishments."
   • Click on "Apply" or " ."
3. Fill Online Form:
   • The application form will open. Carefully fill in all the required details:
     • Name of the shop/establishment.
     • Address of the premises.
     • Nature of business.
     • Details of the employer/proprietor/partners/directors.
     • Number of employees (male/female, adult/young, etc.).
     • Date of commencement of business.
     • Other relevant information.
4. Upload Documents:
   • Scan and upload the necessary documents (see list below) in the prescribed format and size.
5. Make Payment:
   • Pay the prescribed registration fees online. This is usually done through an e-challan system or online payment gateway integrated with the portal. You might need to generate an e-challan from the Chhattisgarh Treasury portal (http://www.cg.nic.in/eChallan/), deposit the amount, and then upload the receipt/treasury reference number back into your application.
   • Fees typically vary based on the number of employees.
6. Submit Application: Review all the entered information and uploaded documents, then submit the application.
7. Receive Acknowledgement: An application reference number will be generated. Keep this number safe for status tracking.

Tracking Application Status & Downloading Certificate:

• You can track the status of your application by logging into your account on the Labour Department's Single Window portal and entering your application reference number.
• Once approved, the digitally signed registration certificate can be downloaded directly from the portal. You may also receive an SMS/email notification.

Documents Required (Commonly):

• Applicant's Identity Proof: PAN Card, Aadhaar Card, Voter ID, Driving License.
• Applicant's Address Proof.
• Passport-sized Photograph of the Applicant/Owner.
• Proof of Establishment Address:
  • If owned: Property Tax Receipt, Sale Deed, Electricity Bill, Water Bill.
  • If rented: Rent Agreement / Lease Deed.
• Details of Employees: Names, addresses, date of joining, nature of work, wages (though detailed individual employee data might be submitted separately as part of compliance later).
• Nature of Business.
• Trade Name of the Shop or Establishment.
• Cancelled Cheque or Bank Statement: For bank account details of the establishment.
• GST Certificate (if applicable).
• Partnership Deed (for Partnership Firms).
• Memorandum of Association (MoA) & Articles of Association (AoA) (for Companies).
• Proof of commencement of business.

Always check the latest official guidelines on the Labour Department's website for the exact and most up-to-date list of required documents.

Validity and Renewal

• The registration certificate is typically valid for **five years** under the new Act and needs to be renewed thereafter.
• Application for renewal should be made well in advance (e.g., at least 30 days) before the expiry of the current certificate to avoid late fees or penalties.
• Renewal also involves a prescribed fee.

Important Points to Note:

• Timely Registration: Businesses should apply for registration within **30 days** of commencing operations. Delay in registration can lead to penalties.
• Compliance: Obtaining the license is just the first step. Businesses must also comply with all the provisions of the Act regarding working hours, holidays, wages, leave, and record-keeping.
• Labour Identification Number (LIN): The new Act emphasizes the LIN, which links the establishment to the Shram Suvidha Portal, streamlining compliance with various labour laws (EPFO, ESIC, etc.).

Official Portals and Contacts

• Labour Department, Government of Chhattisgarh (Shram Ayukt): https://shramevjayate.cg.gov.in/ (This is the primary portal for online application).
• eDistrict Chhattisgarh Portal: While the direct application is via the Labour Department's portal, eDistrict (https://edistrict.cgstate.gov.in/) does list "Shop and Establishment Registration" as a service, implying integration or information availability.
• Chhattisgarh Infotech Promotion Society (CHiPS): https://www.chips.gov.in/ (The nodal agency for e-governance in the state).
• e-Challan Portal (for fees payment): http://www.cg.nic.in/eChallan/
• Helpdesk (Labour Department): Check the official Labour Department website for updated contact numbers and email IDs.

For the most accurate and current information, it is always recommended to visit the official website of the Labour Department, Government of Chhattisgarh, or consult a legal professional specializing in labor laws.