Dear Seniors,

We are a Pvt. limited company since 2006. I just came to know that we are not registered under Delhi Shops and Commercial Establishment. Now I thought to get registration and contacted the labor department of Delhi. They informed me that there is no fee and documentation required as before, and it can be done online. When I inquired about the Labor Welfare Fund, they mentioned that it is a separate entity with no connection to this registration.

My queries are:

1. As we are late in registering, do we need to pay any late fees now, even though there are no charges for this currently?

2. Is it mandatory to pay the LWF? If so, is there a specific registration process for it?

3. If LWF payment is compulsory, do we need to pay the entire amount since 2006, or can we start from now onwards?

Please provide your answers.

Regards,
Nishu

From India, New Delhi
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Dear Nishu,

It is mandatory to register under the Delhi Shops and Commercial Establishment Act in the Delhi region. You can easily get your company registered online by providing details such as the employer's name, father's name, number of employees, and the company's name and address. Once you submit these details, your registration will be immediate. There are no late fees, but it is crucial to register your company promptly as it is required for all establishments. Failure to do so may lead to prosecution by the labour department against your company and the employer (company director).

Regarding the welfare fund, it is essential to start depositing into the labour welfare fund immediately. Since 2006, contributions should be made for all employees except those in managerial or supervisory roles. The contribution amounts to Rs. 0.75 from the employee and Rs. 1.50 from the employer. For example, if your company employs 30 people, the total contribution would be Rs. 67.75. This amount needs to be deposited at any Punjab National Bank branch in Delhi using the Labour Welfare Fund Challan, which should then be sent along with the details. This process is mandatory for all establishments under Delhi's jurisdiction. Failure to comply may result in prosecution by the Labour Department.

If you require further clarification, please feel free to contact me.

I hope this information addresses your queries.

From India, Gurgaon
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Dear Mukesh,

We have two locations in the same city (2-3 kilometers away). As far as I know, both locations have to be registered separately with separate registration numbers. So, in the case of employees, do we need to show only the employees sitting in these premises or working under these locations, or should we mention the total employees in both locations? Please help.

Thanks in anticipation.

From India, New Delhi
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Subject: Re: Regarding Registration in Delhi Shops and Establishment Act

Dear Nishu,

Both of your locations have to be registered separately with individual registration numbers, and you have to display the employees location-wise. If you need further clarification, feel free to contact me on my mobile phone.

From India, Gurgaon
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Hello, Mr. Mukesh. I want more information. We registered our company in Delhi Shop Act on dated 19/12/12 online. There was no online fee. We just got Form C registration certificate of establishment. However, when the MCD inspector came to our premise, they checked the Form C on dated 26/05/14. They told us that we will have to renew the Delhi Shop Act certificate every year.

In this regard, I just want to know how can I renew the Delhi Shop Act certificate. Is there any license fees every year like the Factory Act? I have no idea regarding the Delhi Shop Act. Please help me with how I can renew it.


From India, Chandigarh
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