The Government of Haryana has promulgated the Haryana Shops and Commercial Establishments (Amendment) Ordinance, 2025, introducing major structural and compliance-related reforms to the existing 1958 Act. The ordinance was introduced under Article 213 of the Constitution as the State Legislature was not in session and immediate action was deemed necessary.
The ordinance significantly updates working hours, registration norms, penalties, compliance thresholds, and introduces new employee welfare provisions.
Key Amendments Under the 2025 Ordinance
1. Applicability of the Act — Threshold Revised
A major structural change has been introduced through a new subsection (5) in Section 1:
- All provisions of the Act except Section 13A will now apply to establishments employing 20 or more workers.
- Section 13A will exclusively apply to establishments employing fewer than 20 workers.
This creates a dual compliance framework based on workforce size.
2. Changes to Working Hours (Section 7)
- Daily working hours increased from nine to ten hours.
- In the proviso to Section 7(2), the overtime limit has been increased from 50 hours to 156 hours.
This substantially expands the permitted overtime capacity for establishments.
3. Rest Interval Extension (Section 8)
- Maximum period of continuous work before a rest interval is now six hours (earlier: five hours).
4. Overhaul of Registration Requirements — New Section 13
The ordinance replaces Section 13 entirely, introducing a robust, online registration system:
For Establishments with 20+ Workers
- Mandatory online registration within one month of business commencement.
- Required details include employer/manager info, GPS location, employee count, nature of business, etc.
- Inspectors must verify applications and issue registration certificates within timelines specified under the Haryana Right to Service Act, 2014.
- Registration remains valid unless amended, cancelled, or revoked.
- Employers must report changes within 7 days.
- Closing of establishment must be reported within 30 days.
Penalties
- First violation: ₹3,000 to ₹10,000
- Second violation: ₹5,000 to ₹25,000
- Continuous non-compliance: ₹500 per day
5. New Section 13A — Intimation for Establishments with Less Than 20 Workers
- Smaller establishments must submit an online intimation within one month of starting operations.
- A Basic Information Proforma ID will be issued in place of full registration.
6. Updated Definitions (Section 19)
- Reference changed from IPC Section 21 to clause (28) of Section 2 of the Bharatiya Nyaya Sanhita, 2023.
7. Revised Penalties & Compliance Rules (Section 20 and 26)
Section 20 amendments include:
- Daily penalty up to ₹500 for contravention of Section 20.
- False entries, omissions, or fraudulent records:
- First violation: ₹3,000–₹10,000
- Second violation: ₹5,000–₹25,000
- Continuous violations: ₹500 per day
Section 26 substitution:
- A general penalty clause now applies where no specific penalty exists:
- First violation: ₹3,000–₹10,000
- Second violation: ₹5,000–₹25,000
- Continuous offence: ₹500 per day
8. Mandatory Appointment Letters & Employee IDs (Sections 20A & 20B)
Two new sections have been inserted:
- Section 20A: Employers must issue appointment letters with employee photos and obtain acknowledgment.
- Section 20B: Every worker must be provided an identity card with prescribed details.
These additions strengthen employee documentation and transparency.
9. Enhanced Penalty for Obstructing Inspectors (Section 21)
- New penalty: ₹3,000–₹10,000 for obstructing authorities or preventing employee examination.
What This Means for Employers
- Increased documentation and online compliance obligations
- Higher penalties for violations and false records
- Clearer differentiation between establishments below and above 20 workers
- Extended working hours and overtime thresholds
- Mandatory issuance of appointment letters and ID cards
- Stricter enforcement provisions