It is mandatory provision on the part of the employer to notify any vacancy in any employment in that establishment. According to Section 4(1) of the Employment Exchange (CNV) Act, 1959, the employers in every establishment in Public sector shall, before filling up any vacancy in any employment in that establishment, notify that vacancy in the form for Notification of Vacancies to the Employment Exchange. Group 'D' vacancies to be filled up by direct recruitment, arising in Karaikal, Mahe and Yanam regions will be notified by the employers direct to the District Employment Exchange, Karaikal, Town Employment Exchange of Mahe and Yanam.. As and when the requisitions are received from the employers notifying the vacancies and also the qualifications required for filling up the vacancies, age prescribed for the post etc. in the prescribed form, the Employment Exchange selects the candidates from the particular code in which the requisite qualifications are entered in the Employment Exchange.

According to the norms prescribed in the Manual the ratio at which the candidates are to be sponsored for each vacancy is 1:20 and this is being followed scrupulously. While selecting the candidates the overall seniority of all the registrants (including the candidates registered in Puducherry, Karaikal, Mahe and Yanam) is taken into consideration. The lists of candidates sponsored to the employers is broadcasted in All India Radio and hosted in the Website, published in the leading Tamil newspaper and also displayed in the Notice Board of the Employment Exchange.

Further, in exercise of the powers conferred by the sub-section (2) of section 4 read with clause (g) of section 2 of the Employment Exchange (Compulsory Notification of Vacancies) Act, 1959 and the rules made thereunder, a notification vide G.O. Ms. No. 23/08/Lab/NES/Submn dt. 17.09.2008 of Labour Department, Puducherry was issued by the Government of Puducherry and the same has also been published in the Official Gazette No.40 dt. 30.09.2008, to enforce Private Sector Establishment in the Union Territory of Puducherry to notify the vacancies arising in their Establishment to the competent Employment Exchange on compulsory basis.

Accordingly, the employer of every establishment in Private Sector (where ordinarily 25 or more workers are employed) shall, before filling up any vacancy in that establishment, notify that vacancy to the Employment Exchange concerned. Failure to notify the vacancy may attract penal provision under Section 7(1) of the said Act and the employer concerned would be liable for prosecution.