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Shops and Establishments Act in Manipur: Rules & Registration

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The primary statute governing commercial workplaces in the state is the Manipur Shops and Establishments (Regulation of Employment and Conditions of Service) Act, 2021, which repealed and replaced the erstwhile 1972 Act. It covers shops and establishments with 10 or more workers, requires registration for a Labour Identification Number, and limits work to 9 hours a day and 48 hours a week.

What is the Shops and Establishments Act in Manipur?

The Manipur Shops and Establishments (Regulation of Employment and Conditions of Service) Act, 2021, is the state law governing employment conditions in shops and commercial establishments across Manipur. Enacted as Act No. 9 of 2023, it replaced the Manipur Shops and Establishments Act, 1972.

The Act generally applies to establishments employing 10 or more workers, subject to specified exclusions and exemptions.

It regulates key aspects of employment, including:

• Registration: Mandatory licensing and Labour Identification Number (LIN) issuance.
• Working Conditions: Limits on daily and weekly hours, overtime, and mandatory rest intervals.
• Leave & Holidays: Provisions for weekly rest, casual leave, earned leave, and festival holidays.
• Wages: Timely payment of wages and statutory payroll obligations.
• Workplace Welfare: Health, safety, hygiene, and workplace amenities (such as crèches and canteens).
• Compliance & Records: Maintenance of statutory registers, returns, and inspection compliance.

The Manipur Labour Department administers the relevant provisions and provides registration-related services.

What Changed From 1972 to 2026: A Timeline

Manipur replaced its 1972 Shops and Establishments Act with a new law in 2023, deemed effective from 29 June 2021. Subsequent legislative developments include the enforcement of the central Labour Codes and the publication of Manipur’s draft state rules in 2026.

Note: The 2026 OSH Rules were published as draft rules. Check the Manipur Labour Department for subsequent notifications and final rules.

Which Law Applies Today?

The Manipur Shops and Establishments Act, 2021, remains part of the state’s legal framework and remains in active effect alongside emerging central code framework notifications. The four central labour codes came into force on 21 November 2025, as confirmed by the Press Information Bureau.

On 24 June 2026, Manipur published draft rules under the Occupational Safety, Health and Working Conditions Code in the Manipur Gazette. The draft addresses establishment registration, weekly rest, overtime and safeguards for women working night shifts, with a 45-day period for objections and suggestions.

Employers must monitor official Labour Department notifications to track when draft rules are finalized.

Manipur Shops and Establishment Rules after 2021

The Act leaves several compliance details to be prescribed, including working hours, weekly rest, registers and returns. The Manipur Labour Department lists the Shops and Establishments Rules without specifying the year, leaving the operational status of the legacy 1973 Rules subject to clarification by the Labour Department.

However, savings provisions under the 2021 Act preserve valid actions taken under the 1972 Act, provided they do not conflict with the current law. Employers should verify the applicable rules with the Labour Department, including whether the draft Occupational Safety, Health and Working Conditions (Manipur) Rules, 2026, have been finalized.

Manipur Shops and Establishments Act: Key Limits at a Glance

Registration under the Act

Manipur Shops and Establishment Registration

Covered establishments must complete registration and obtain a Labour Identification Number (LIN) within six months of commencement or setup. Registration is valid for 1 calendar year and must be renewed annually.

Establishments already registered under EPF or ESI enactments are deemed registered under the Act; however, they must still obtain a LIN within 6 months.

Employers must also maintain the prescribed registers and file the required annual return.

Hours, Overtime and Leave

Working Hours and Overtime

Employers must communicate work schedules to employees in writing and submit them to the Facilitator, the officer responsible for inspections under the Act. The Act provides statutory exemptions for urgent or intermittent work, subject to regulatory approvals and conditions.

If an employee is denied the weekly rest day, the employer must provide compensatory leave within 2 months. Work performed on a rest day must be paid at twice the ordinary rate.

Leave and Holidays

• Casual Leave: 8 days per calendar year, credited on a quarterly basis.
• Earned leave: 1 day for every 20 days worked, for employees who worked at least 240 days in the preceding year.
• Leave accumulation: Up to 45 days. Eligible employees may encash leave exceeding this limit when leave requested at least 15 days in advance is refused.
• Festival holidays: 8 paid holidays, including Independence Day, Republic Day, and Gandhi Jayanti, plus 5 additional days agreed upon in advance. Refer to the Manipur holiday list for the applicable dates.

While the Act does not explicitly mandate separate sick leave, employers may integrate sick leave provisions into a comprehensive Paid Time Off (PTO) policy.

Wage Payment and Minimum Wages

• Wage payment: Wages must be disbursed within 7 days after the end of the wage period, which cannot exceed 1 month.
• Final wages: On termination, outstanding wages must be paid before the end of the second working day. Employers can document the settlement using a full and final settlement letter.
• Minimum wages: Applicable rates depend on the worker’s category and the relevant government notification. Employers must verify current rate notifications issued by the Manipur Labour Department before running payroll.

Women, Crèche and Canteen

The Act prohibits gender discrimination across recruitment, training, transfers, promotions, and wages. Female employees cannot be required or permitted to work between 9:00 PM and 6:00 AM unless specifically authorized by state notification, subject to written consent and mandatory safety safeguards.

Employers must provide prescribed health, safety, and welfare facilities, including:

• Basic Facilities: Clean drinking water, adequate lighting, proper ventilation, hygiene standards, and fire prevention measures.
• Sanitation: Separate, clean latrines and urinals for male and female employees.
• Crèche: Mandatory for establishments employing 30 or more female workers or 50 or more total workers, subject to statutory guidelines.
• First Aid: Fully equipped, readily accessible first-aid facilities.
• Canteen: Mandatory for establishments employing 100 or more workers.

Maintaining a formal employee welfare policy ensures transparent communication of available amenities and streamlined statutory compliance.

Penalties under the Act

The Manipur Shops and Establishments Act, 2021, prescribes fines for general violations, repeat offenses, workplace accidents, and obstruction of inspections.

The Facilitator must file a formal complaint within three months from the date the alleged offense comes to light. For violations involving non-compliance with a written order, the limitation period for filing a complaint extends to six months from the date of commission.

Compliance Checklist for Employers in Manipur

• Verify Coverage: Confirm whether the establishment has 10 or more workers and falls within the statutory scope.
• Complete Registration: Submit registration within six months of opening to obtain a Labour Identification Number (LIN).
• Maintain Annual Validity: Ensure annual renewal of registration for every calendar year.
• Adhere to Working Hours: Limit work shifts to 9 hours per day and 48 hours per week, with a mandatory 30-minute rest break after 5 consecutive hours of work.
• Regulate Overtime: Cap overtime at 125 hours per quarter (3-month period) and remunerate at double the ordinary wage rate.
• Grant Weekly Rest: Provide 24 consecutive hours of weekly rest or issue compensatory leave within two months when weekly rest is deferred.
• Comply with Wage Deadlines: Disburse wages within the prescribed payment period and clear all outstanding dues by the second working day following employee termination.
• Maintain Statutory Amenities: Ensure immediate availability of drinking water, first aid, and separate sanitation facilities, along with crèche and canteen facilities where applicable.
• Maintain accurate records: Keep the prescribed registers and use reliable methods to record employee attendance accurately.
• Remit Professional Tax: Review applicable professional tax slabs in Manipur to guarantee accurate deduction and timely remittance.

Conclusion

The Manipur Shops and Establishments (Regulation of Employment and Conditions of Service) Act, 2021, sets the primary legal framework governing workforce conditions across commercial establishments in the state. Employers must pay attention to the 10-worker coverage threshold, timely registration and annual renewal, working hours, overtime, leave, weekly rest, and workplace welfare requirements.

With ongoing state updates to the unified Labour Codes, employers must actively monitor government notifications to ensure compliance with current procedural rules. Maintaining accurate records and reviewing compliance regularly can help businesses manage their statutory responsibilities and prepare for regulatory changes.

Frequently Asked Questions

Can an Employer be Penalized for Obstructing an Inspection in Manipur?

Yes. The Act prescribes a penalty up to ₹2,00,000 for obstructing a Facilitator or failing to produce requested records. The applicable amount should be confirmed against the current official Gazette.

Can an Offense under the Manipur Shops and Establishments Act be Compounded?

Yes. Specific non-repeat offenses can be compounded by paying 50% of the maximum statutory fine. However, repeat offenses committed within five years are ineligible for compounding. Employers should verify the current statutory wording before relying on this option.

Are Managerial and Supervisory Employees Covered by the Manipur Shops and Establishments Act?

The Act excludes certain employees holding confidential, managerial, or supervisory positions. Certain employees holding executive, managerial, or confidential roles are exempt from coverage. Exemption status is determined by actual job duties and decision-making authority rather than designation alone.

Can the Manipur Government Exempt a Shop or Establishment from the Act?

Yes. The Act empowers the State Government to grant exemptions by notification in the circumstances provided under the law. Employers should check whether a specific notification applies to their establishment or category of work.

What Should Employers do if the Manipur Labour Department’s Online Registration Requirements Differ from Older Guidance?

Employers must follow the latest digital procedures issued on the official Manipur Labour Department portal. Outdated offline processes or legacy references under the repealed 1972 Act are no longer valid.

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