Service licence mandatory for all non-tribal staff in trade & business

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SHILLONG, June 21: In a significant regulatory tightening, the Khasi Hills Autonomous District Council (KHADC) has passed the Khasi Hills Autonomous District (Trading by Non-Tribals) (Amendment) Bill, 2026, making it mandatory for every employer to obtain a Non-Tribal Employee’s Service Licence for each non-tribal employee or agent engaged in any trade or business within the district.
The Bill, which amends the 72-year-old United Khasi-Jaintia Hills Autonomous District (Trading by Non-Tribals) Regulation of 1954, was passed on the final day of the Council’s Summer Session on Friday.
The amendment Bill, will now be forwarded through the District Council Affairs Department to the Governor for assent before it comes into force.
The amendment introduces several key changes. It makes it compulsory for any person or firm employing or engaging a non-tribal employee or agent to obtain a Non-Tribal Employee’s Service Licence within 30 days from the date of employment.
The Bill now clearly defines a Non-Tribal Employee’s Service Licence as a licence issued to a non-tribal employee or agent engaged by any person or firm for trade or business.
Applications for the licence must be submitted to the Licensing Officer along with an Elector Photo Identity Card, two passport-size photographs, a recommendation from the concerned village headman, proof of permanent residence, and other required documents. The Licensing Officer is required to scrutinise the application within seven days and must dispose of it within 30 days of submission.The new rules also establish an appeal mechanism — applicants aggrieved by the Licensing Officer’s decision may appeal to the Executive Member concerned, with a further appeal possible before the Executive Committee. The licence will be valid for one year and must be renewed annually. Failure to apply for renewal within 30 days of expiry will result in automatic cancellation of the licence.
Additionally, the amendment empowers Licensing Officers and authorised Council officials to inspect business establishments and verify whether non-tribal employees possess the required service licences. Officials must identify themselves and produce written authorisation while exercising these powers.
These changes also remove provisions that overlapped with the state government’s Labour Clearance Certificate (LCC) system following consultations with the state government.
Chief Executive Member Winston Tony Lyngdoh explained that the Bill was originally slated for the previous session but was deferred following the demise of Shillong MP Ricky A.J. Syngkon.

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