Project on Model Shops and Establishment Act


Centre for Public Policy Research (CPPR) is conducting a study on the Model Shops and Establishments Act, approved by the Union Government in 2016. The Act aims to improve the working conditions of workers, create more job opportunities for women and provide a favourable environment for doing business.

The main provisions of the Model Act are as follows:

  • Covers only establishments with 10 or more workers
  • Freedom to operate 365 days a year
  • Flexibility in opening and closing time of shops and establishments
  • Provision to allow women to work in night shifts, if they are willing to work. (It is incumbent on the employer to provide transportation facilities and ensure safety of women in workplace)
  • Online one common registration through a simplified procedure
  • Clean and safe drinking water, lavatory, creche, first aid and canteen facilities to be provided for the employees by individual establishments or group of establishments
  • 12 days of casual and sick leave
  • Five paid holidays for festivals in addition to three national holidays
  • Exemption of high-skilled workers (workers in IT, biotechnology and R & D division)from daily working hours of nine hours and weekly working hours of 48 hours)

CPPR intends to facilitate the speedy implementation of the Act in Kerala, including the relevant provisions of the Model Act, which would benefit shops and establishments. We plan to do it by working with the government and meeting the stakeholders, partners, and well-wishers. Discussion forums are being conducted for various stakeholders to harness a collective overview of their concerns, and preferences and the challenges they face.


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