The Tamil Nadu Government has notified amendments to the Tamil Nadu Shops and Establishments Act, 1947 (“Principal Act”). The effective date of the amendment will be appointed by the Tamil Nadu Government separately through a notification. The amendment substitutes Chapter IX of the Principal Act pertaining to ‘Penalties and Adjudicating Mechanism’.
Key Highlights:
- Consolidation of Penalties- Section 45A (Penalty for failure to comply with the provisions of section 41-A*) and Section 46 (Penalty for obstructing Inspector) have been consolidated into one penalty Section under Section 45.
- Insertion of provisions related to appointment of Adjudicating Officer and procedure for appeal against an order passed by the Adjudicating Officer-
- Section 46-A. Adjudicating Officer- It provides for appointment of adjudicating officer for holding inquiries and imposing penalty.
- Section 46-B. Appeal- It allows any person aggrieved by an order passed by the adjudicating officer to prefer an appeal within sixty days from the date of receipt of order in such manner as may be prescribed, to the Appellate Authority.
Source: Tamil Nadu Government
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*Section 41-A. Payment of full wages to person employed pending proceedings in Higher Courts-
Where in any case, the appellate authority, by its decision under Section 41, directs reinstatement of any person employed and the employer prefers any proceeding against such decision in a High Court or the Supreme Court, the employer shall be liable to pay such person employed, during the period of pendency of such proceedings in the High Court or the Supreme Court, full wages last drawn by him, inclusive of any maintenance allowance admissible to him under any rule if the person employed had not been employed in any establishment during such period and an affidavit by such person employed had been filed to that effect in such Court:
Provided that where it is proved to the satisfaction of the High Court or the Supreme Court that such person employed had been employed and had been receiving adequate remuneration during any such period or part thereof, the Court shall order that no wages shall be payable under this section for such period or part, as the case may be.
