The Cabinet’s decision to consider the Model Shops and Establishment (Regulation of Employment & Conditions of Service) Bill 2016 has brought cheer to retailers, malls and restaurants.

The Bill, which removes discrimination against women employees, will now be sent to States/UTs to enable them to modify their individual Acts, if they so desire, either by adopting this Bill or after modifying its provisions as per their requirements.

The industry believes this will boost footfalls, open new avenues of growth, and give them a level-playing field with e-commerce players. While implementation depends on states, small traders have pointed out to certain challenges like additional financial burden.

Retailers believe this will lead to addition of new skilled jobs and make it more convenient for the consumer. With the ball now in the States’ court, retailers hope that States will soon adopt the Bill.

Ajay Kaul, CEO, Jubilant FoodWorks, said this will not only benefit service providers but also the consumers. Besides, firms may opt for re-inventing offerings for customers.

Krish Iyer, President & CEO, Walmart India said, “We hope all the States will adopt it... This policy for retail stores in other developed economies has given significant boost to their growth in the past.”

Abhishek Bansal, Executive Director at Pacific India, which operates malls, said this will enable a level-playing for brands across retail platforms.

However, Confederation of All India Traders believes that before States decide to implement it, a pilot project should be conducted to assess the impact as it will have consequences in terms of law and order.

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