National Holidays Debate: Are Organizations No Longer Required to Observe Them?

Dear Seniors, Recent posts in TOI and other newspapers about national holidays raise questions for all of us. Kindly inform on the status of such holidays... does it now mean it is not compulsory for an organization to observe these holidays and break the notion followed since birth? RL here for reference: August 15 is not a national holiday? - The Times of India Regards

I respect your views. I was, in fact, searching for some validated proof to it. Please provide the URL where it clearly mentions that no such proof is provided by the concerned authority if such holidays are really mandatory holidays. In such a case, what will be the conclusion and how should an HR act, whether to curtail or move with the so-called 'national holidays'?

Regards

Yes, all three are national as well as compulsory holidays. Additionally, 1st May is also observed in the Maharashtra region.

Regards,
Hiten Dalal

I do not know about the government orders in the Archives Department, etc., but we follow the Andhra Pradesh National & Festival Holidays Act. Accordingly, Republic Day, May Day, Independence Day, and Gandhi Jayanthi are national holidays.

Dear Kartiken, don't follow TOI; follow the notification issued by the Government every year. The notification for holidays, issued by the concerned state government where your work/office is located, is to be followed. Just as additional information, you have to take prior permission for keeping your establishment open on a national holiday or face a penalty. By the way, rules and regulations issued by the competent authority are to be followed.

Regards,
Prem

Understanding Leave Policies and National Holidays

First of all, let me clarify how you can avail of leaves.

Under Section 25 of the NEGOTIABLE INSTRUMENTS ACT, 1881, it is stated that if the maturity date of any negotiable instrument falls on a public holiday, the instrument shall be payable on the next working day. Every year, the government, whether central or state, declares a list of holidays to be observed as public holidays for financial institutions. These holidays are specifically for government employees. However, private company employees are entitled to leaves as per the governing law, such as the Shops Act or Factories Act. Three national holidays are available to all, regardless of whether they work for the government or private sector: 26th Jan, 15th Aug, and 2nd Oct.

Many businesses operate 24x7x365 due to their operational requirements. They obtain necessary approvals to operate on all days, but this does not mean employees are exploited. Employees working on a national holiday are entitled to double the ordinary rate of wages and, in some cases, a compensatory off if permitted by the applicable law. For instance, the Bombay Shops and Establishment Act Section 35 (4) mandates additional holidays on specified dates, with corresponding wage rates and leave provisions.

Employers also grant customary offs for local festivals in addition to the standard leaves and national holidays. I hope this clarifies the leave policy. If you have any further questions or doubts, please feel free to reach out.

Regards

Understanding National and Festival Holidays

There is no central labor act governing national or festival holidays. Kerala has one, but it is not applicable to central establishments. Check for such an act in your state. If not found, follow government orders or the company's policies.

Regards,
Varghese Mathew
BIL, PGDPM
[Phone Number Removed For Privacy Reasons]

Essential Business Classification

Every business, company, or organization is categorized based on the nature of its work. If a business falls under the "essential business" category, then the company can operate even on national holidays. To be included in the "essential business" list, special approvals must be obtained from the government. In cities, most global organizations, MNCs, and BPO businesses fall into this category.

Regards,
Vandana

If you are in Mumbai and your organization is covered under the Shop & Establishment Act, then this rule is applicable, as mentioned by Kamal Nath Tyagi.