Holiday Dilemma: Should Companies Offer Extra Pay or Substitute Days for Sunday Holidays?

Query on Holidays Falling on Sundays

In the year 2011, May Day and Gandhi Jayanti fall on a Sunday. Is it mandatory for management to pay extra wages or declare substitute holidays for those days? Please clarify the same.

Regards,
Sandeep Gowda
HR Executive

Dear Bhaskar,

You are right, but I would like to add 1st May (International Labor Day) as a compulsory holiday to your holiday list.

Happy New Year.

Regards,
Ilyas Hungund
[Phone Number Removed For Privacy Reasons].

Not at all, Mr. Ilyas.

In Gujarat, we did not declare a Paid Holiday during 2010. When I discussed this with my previous boss, he informed me that the National Holidays are only on 26 Jan, 15 Aug, and 02 Oct. If any of these dates fall on a Sunday, ensure that no one works on the work premises. You can choose some other day as per your company's wishes.

With warm regards,

S. Bhaskar
909904667

May Day Observance

May Day is not a national holiday. Labor-oriented units declare it as a paid holiday.

Regards,
R. Ponraj

If it has been the practice to declare May Day and Gandhi Jayanti as holidays, then you might as well consider declaring two more days as holidays in lieu of this. If you do so, then you need not pay extra wages.

Regards,
M.V. Kannan

Compensatory Holidays and May Day Observance

Compensatory holidays may be given subject to the approval of the company's management, but it is not mandatory. It depends on the policies of each company. Please note that May Day is not a national holiday in India.

Regards

As per the National and Festival Holidays Act of 1963, the employer has to provide 10 published holidays. According to the Act, the 2nd of October and May Day are compulsory holidays. May Day is also a holiday in India. However, since it falls on a Sunday in 2011, the company can provide another day off in lieu. There is no need to pay extra wages for these holidays.

Shops & Commercial Activity Act says that:

Every employee in an establishment shall be allowed –
(a) a holiday with wages on Independence Day (15 Aug), Republic Day (26 Jan), and Mahatma Gandhi's birthday (2 Oct);
and (b) three other holidays with wages in a year in connection with such festivals as the Government may declare from time to time by notification. Provided that an employee required to work on any such holiday should be paid remuneration at double the rate of his normal wages calculated by the hour.

However, this is the minimum requirement of the government. An establishment may declare any number of paid holidays, as it may deem fit, in addition to the above.

Hi Bhaskar,

I am talking about Maharashtra. As per the Bombay Shops & Establishment Act, in Maharashtra, 1st May is a compulsory holiday along with 26th Jan, 2nd Oct, and 15th August. If an employer may require any employee to work in the establishment on all or any of these days, subject to the condition that for such work, the employee shall be paid double the amount of the daily average wages and also leave on any other day in lieu of the compulsory holiday.

Thanks Regards,
Ilyas Hungund.