Manufacturing employs 11% of our labour force. Manufacturing is governed by the Factories Act, 1948, a Central Act. It combines with State Factory Rules. The services are governed by the Shops and Establishments Act.
Maharashtra factory employer (with 100 employees) under the Factories Act and Rules have to comply with 502 provisions, file one return and maintain 9 registers.
A service organisation in Maharashtra (with 10000 employees) has to comply with 101 provisions, file one return and maintain two registers under the Shops and Establishments Act and Rules.
Both create jobs, and job creating organisations must not be heavily regulated. The regulation, in fact, must be invisible.
There is an urgent need to revamp the Factories Act.