2nd October - Is A Any More A Compulsory Holiday - CiteHR
Hr Executive
Consultancy_hr & Ir
Recruitment Coordinator
Shaswati Datta
Hr Professional
Service - Corporate Affairs

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Hi All,
As per the negotiable instrument act a company needs to give 10 holidays in year out of that 6th Jan, 15th August, 1st May & 2nd Octobers are compulsary.
I had a discussion with some of the HR & Labour Law consultant and they had confirmed that 15th Aug & 26th Jan is compulsary but 1st May & 2nd Oct is optional.
I would like to know your view on this. Pls treat this as an urgent and send me your views.
I personally belive that Bapu was a strong beliver for working hard and never supported a person not working for some reason. Even in actual we don't do any thing on that day to rememeber him; if we don't give off on taht day we can have one extra day off at the time of Diwali when we actually need time to spend with our family.
Would like to have your view on this.

Shweta, i agrre we should work on 2nd october as we are also working on coming Gandhi Jayanti. i beleive this is the good tribute to him as well. bharat.
In Maharashtra the Bombay Shops and Commercial Establishments Act mandates that 26th January, 1st May, 15th August and 2nd Ocotber have to paid holidays. If anyone has said anything other than this, that is WRONG in Maharashtra.
And yes, Negotiable Instruments Act declares days on which financial instruments may not be negotiated. On these days the Banks will be closed. Holidays declared by the Negotiable Instruments Act are distinctly different from what is popularly known as "Govt. Holidays" when the government establishment do not function.
And both these have nothing to do with and are not binding on Shops and Establsihements covered by the Bombay Shops and Commercial Establishments Act which only mandates by its own force the above four days to be paid holidays for shops and commercial establishments in Maharashtra.
If you need any further clarification, please take a contact.
September 28, 2007

Mostly companies in Pune and most other cities dont have holidays, because they must be into business having 24/7 services.
For Eg. For Diwali our company remains closed for 8 days. But for 8 days the security does not have leave as they need to keep a vigil watch for 24/7.
So in ITES companies working 24/7 the people who are going to work on holidays must be compensated for some other day or by overtime,, with their consent, that is what I think must be the case,
But some comments from persons working in 24/7 industries are needed to clarify it.

If some companies in Maharashtra do not declare a holiday on any or some or all the days specified under the Bombay Shops & Commercial Establishments Act, then they have either obtained an exemption or following a wrong (illegal) practice and fortunately are not yet caught in the act!! That does not make their practice LEGAL.
This Act does not make any differentiation between an ordinary regular industry and a Software industry or an ITES. It applies to all uniformly and the only to have independent practices is to seek an exemption or carry on regardless of the law and make merry till you are booked.
Asto the holidays on Diwali, these are not the specified holidays under this Act anyway.
So check your practices. Better to obtain a copy of the said Act and check it out for yourself!
September 29, 2007

Dear samvedan,
I am totally unaware about ITES and 24/7 companies, but i think there must be some employees who work on holidays like 15 Aug and 26 Jan also, I had some 2-3 frndzz in BPO who told they work 24/7 means on diwali and independence day also since their clients are from US or abroad,, and its great loss to them if they keep it closed,
so these 24/7 companies must be doing this hiding from the Govt and fooling the Govt. i think so,,
what u think ..

Dear samvedan and other members.. ,

Just now I chatted with my friend on the above topic and here is the discussion,,,, for your information...

my friend has worked in a BPO ,,, and this is opinion..

ME: ya really GUD

do tell me one thing

u were working in BPO '

so its 24/7 and works on night also



ME: so on aug 15, and 26 jan,,, and on diwali , festivals etc

it remained closed

or some employees worked

count the night also

MY FRIEND: ravi, d org used to run 24 hours, 7 days

ME: but as per govt rules there are specific days where compulsarily all companies need to give holidays


MY FRIEND: n employees wer given leaves n offs accrdng to d availability n priority of fest n religion

ME: so on these days was the company really closed

or working

MY FRIEND: those r MNC's nt indian comp

ME: but they are in india.

MY FRIEND: they dnt need to follow indian policis n all

ME: ooh

and if they follow it will be a total loss to them naa,

MY FRIEND: if indians r investing then its ther wish to follow whtever rules

ME: since keeping it closed would mean loss of money

even for one night


MY FRIEND: correct

ME: but they must need to follow the aug 15 and jan 26 holidays else they may face legal action

MY FRIEND: they dnt need to

y do they hv to

ME: mmmmmmmm ok

MY FRIEND: people who r wrking shud knw very well that they r in an MNC n they hv to follow wht ther boss


if nt ok, may leave

ME: ooh

thats really bad

even though we work for MNC

MY FRIEND: y bad

ME: we are indians

MY FRIEND: they pay u

ME: so aug 15 and jan 26

MY FRIEND: n they respect u too

ME: are our compulsary holidays


MY FRIEND: they dnt treat u like slaves though

we get lot of respect frm MNC's

then indian comp

n they keep their desicions open

they r d most professionals

As far as "opinions" go, I respect all opinions-even opinions unsupported by law.
There is nothing in the statute book that MNCs are EXEMPT from Indian laws and that they do not have to follow Indian law. Your friend's opinions in this regard are not even remotely connected with the legal position on the subject.
But forget my advice. In my last post, I had requested all to obtain a copy of the Bombay Shops & Commercial Establishments Act and check the position yourselves. if instead of doing that one likes to rely upon or be guided by an opinion unsupported by law, all I can say is, "to each his own!!"
I rest my case.
September 29, 2007

Dear Samvedan, Could you please tell me the applicability of the Bombay Shops & Commercial Establishments Act. and to which industries / states it applies

Given below a VERY BRIEF extract of the act. I will send detailed reply to your query on Monday/Tuesday. Suffice it say that the Act has a jurisdiction in the whole of Maharashtra. (Similar acts exist in each state anyway) It applies to all establishments except Factories registered as such under the Factories Act. A Shop, Cinema Theatre, Head Office of a corporate, or any other commercial establishment, Hotels, Eateries, Canteens and Clubs all are covered and bound by the act. It is better to obtain a copy and refer to it from time to time.



September 30, 2007


Bombay Shops & Establishments Act 1948

About What:

1. To regulate conditions of work and employment in shops, commercial establishments, residential hotels, restaurants, eating houses, theatres, other places of public entertainment and other establishments.

2. Provisions include Registration of Establishments, Employment of Children, Young Persons and Women, Leave and Payment of Wages, Health and Safety etc.

Applicability & Coverage:

1. It applies to all local areas specified in Schedule-I

2. Establishment means any establishment to which the Act applies and any other such establishment to which the State Government may extend the provisions of the Act by notification.

3. Employee means a person wholly or principally employed whether directly or through any agency, whether for wages or other considerations in connection with any establishment.

4. Member of the family of an employer means, the husband, wife, son, daughter, father, mother, brother or sister and is dependent on such employer


1. Form-A or Form-B (As the case may be)

Sec. 7(2-A), Rule 5

Before 15th December of the calendar year, i.e. 15 days before the expiry date.

The employer has to submit these forms to the authority notified along with the old certificate of registration and the renewal fees for minimum one year’s renewal and maximum of three year’s renewal.

2. Form-E, Rule 8

(Notice of Change)

Within 15 days after the expiry of the quarter to which the changes relate in respect of total number of employees qualifying for higher fees as prescribed in Schedule-II and in respect of other changes in

the original statement furnished within 30 days after the change has taken place. (Quarter means quarter ending on 31st March, 30th June, 30th September and 31st December)


1. Form-A, Rule 5

(Register showing dates of Lime Washing etc.)

2. Form-H, Form-J, Rule 20 (1) (if opening and closing hours are ordinarily uniform)

(Register of Employment in a Shop or Commercial Establishment)

3. Form-I Rule 20(3), Form-K (if opening and closing hours are ordinarily uniform)

(Register of Employment in a Residential Hotel, Restaurant, Eating-House, Theatre, or Other places of public amusement or entertainment)

4. Form-M, Rule 20(4)

(Register of Leave)

This and all the above Registers have to be maintained by the Employer.

5. Visit Book

This shall be a bound book of size 7”*6” containing atleast 100 pages with every second page consecutively numbered, to be produced to the visiting Inspector on demand. The columns shall be:

i. Name of the establishment or Employer.

ii. Locality

iii. Registration Number

iv. Date, and

v. Time.

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