Labour Laws
The small units manufacturing items reserved for manufacture in small scale sector do not require any prior licence. This is a major relaxation where no licensing or restriction in production in small scale sector exists. The locational restrictions have also been minimised. Similarly, Labour Act has been simplified in 1988 to assist the small establishments. The Act, namely "Labour Laws (exemption from furnishing returns and maintaining registers by certain establishments), Act, 1988" covers labour related acts and thus provides -

1. Establishment employing 10-19 persons require to maintain only 3 registers and to submit an annual core return only.

(i) No extra records are required to be maintained by small scale units and their own records with minor additional requirements, if necessary, will be treated adequate for excise purpose. This facility is for small units, when their turnover exceeds Rs.30 lakhs and when they are required to pay duty;

(ii) No separate gate passes or other documents will be required. Their own documents or challans or invoices will be accepted;

(iii) When the exemption limit of Rs. 30 lakh is crossed, the duty can be paid on the basis of bills or challans or invoices and no additional excise documentati0on will be required;