How Should We Compensate Overtime on a Paid Holiday and Weekly Off Under the Factories Act?

Ours is a manufacturing company which operates round the clock (3 shifts). I have a doubt and requested clarification. An employee's weekly off fell on a paid holiday (Public Holiday). Due to the exigency of work, he was asked to do overtime. How should his paid holiday, weekly off, and extra wages be compensated as per the Factories Act? Please advise.

Yagniah K

Hi,

As per the Factories Act, if an employee works on public holidays in the sense of a National Holiday, he is eligible for a day off and one-day payment (this is normal payment as he is eligible for comp off also). The overtime wages are to be calculated as they are done for normal cases.

The only difference between working on a Sunday and a public holiday is that for Sunday work, the employee will be getting a comp off within 3 days (either prefix or suffix), whereas in the case of public holiday work, he gets one day off and one day payment. If he does overtime, the OT payment is as usual (double the standard rate).

I hope this is clear.

Regards,
R Sudhakar