Labour Minister Bandaru Dattatreya has said that start-ups will be exempt from inspection by labour inspectors for up to three years on provision of self-declaration that they are complying with labour laws, as reported by PTI.
The labour laws are Industrial Disputes Act, 1947, Trade Unions Act, 1926, Building and Other Constructions Workers’ (Regulation of Employment and Conditions of Service) Act, 1996 and Industrial Employment (Standing Orders) Act, 1946.
In their second and third year, start-ups would be required to furnish self-certified returns. They would be inspected only if credible and verifiable complaint of violation was filed in writing and approval was obtained from the higher authorities.
In a written reply in the Rajya Sabha, the Minister said the advisory was intended to encourage the start-ups to be self-disciplined and adhere to the rule of law.