The Government of Assam has officially notified the Plantations Labour (Assam Amendment) Act, 2025, introducing key changes to the penalty structure and allowing compounding of offences under the Act. The amendment, originally passed as Assam Act No. V of 2025, received Presidential assent on April 23, 2025, and was published via notification on May 2, 2025.
📜 Key Amendments:
1️⃣ Stricter Penalties for Violations (Section 35)
The penalty for contravening provisions of the Act has been significantly increased:
- Old Penalty:
- Imprisonment up to 6 months, or
- Fine up to ₹1,000, or both.
- New Penalty:
- Minimum fine: ₹50,000
- Maximum fine: ₹1,00,000
- For continued contravention:
- Imprisonment up to 3 months,
- Fine up to ₹2,00,000, or both.
2️⃣ New Section Inserted – Compounding of Offences (Section 35A)
A new provision Section 35A has been added to allow for compounding of certain offences, meaning they can be settled without full prosecution:
- Who can compound:
- A Gazetted Officer authorized by the Government.
- When it applies:
- Only to offences not punishable with imprisonment alone.
- Compounding Amounts:
- 50% of max fine for offences punishable with fine only.
- 75% of max fine for offences punishable with imprisonment up to 1 year or fine.
- Post-Compounding:
- No further legal action will be taken for the compounded offence.
- Non-compliance Penalty:
- If a person fails to comply with a compounding order, an additional penalty of 20% of the max fine is levied.
- Repeat Offences:
- Compounding not allowed if:
- The person repeats an offence within 3 years of an earlier compounding or conviction.
- Compounding not allowed if:
📍 Applicability:
- This Act extends to the whole of Assam and has come into force immediately from May 2, 2025