National Festival Holiday on a Sunday: Should We Pay Extra or Extend the Holiday?

Clarification on National Festival Holiday

I need clarification on National Festival Holiday. If a national holiday falls on a Sunday, do we need to give extra wages to workers, or can we extend the holiday for that particular year, or is it okay not to do anything?

Kindly do the needful.

Regards,
Rohith

Generally, when a national holiday falls on a Sunday, companies declare an additional festival holiday falling on a weekday in lieu of it. By doing this, the employee enjoys the total number of holidays in the calendar year (8 days or 9 days as the case may be).

Regards,
M.V. KANNAN

I also agree with Kannan, and I had never heard of a company paying extra wages in these cases. It is a good practice to give another holiday in such cases.

[White Eagle](http://kuldeeprathore.blogspot.com/)

Thank you very much for making time for me. In our company last year, we extended a holiday to a total of 13 days because August 15th fell on a Sunday. This year, we are not extending the holiday, even though there are two national holidays that fall on a Sunday. Therefore, for 2011, our total holiday days will be 12.

Is this acceptable, or will any compliance issues be raised? Kindly advise.

Regards,
Rohith

Let me clarify how holidays are decided. First, decide the total holidays you intend to extend to your employees. If you choose to declare, for example, 12 days in the year, then list out the 12 days as follows:

1. 01st January
2. 26th January
3. 14th April
4. 01st May
5. 15th August
6. 02nd October
7. 25th December
8. Ayudha Pooja
9. Deepavali
10. Ganesh Chathurthi
11. Ramzan
12. Good Friday

If one or more holidays fall on a Sunday, it is advisable to give employees a compensatory day off. Generally, companies only declare 8 or 9 days as holidays. However, if you have extended holidays beyond the mentioned days, you cannot revert to 8 or 9 days as any benefit superior to the act cannot be withdrawn.

I trust the matter is clear.

Regards,
M.V. KANNAN

Let me clarify point number 1 raised by you. We should never think in terms of paying for holidays in cash. All we want is that employees should have rest and come back refreshed. If we start thinking of paying cash for a holiday, it will set a bad precedent and cannot be withdrawn later. Just like once you have started giving 12 paid holidays, you cannot reduce them now.

Regards,
JR KUMAR
Faculty Director FAPCCI, Hyd