Can Companies Offer More Holidays Than the Standing Order Requires? Seeking Clarity!

Dear Seniors,

Good day. Kindly inform if there are X number of holidays given in the standing order, can an organization provide X+Y number of holidays? I hope yes, but it should not be fewer. I was not sure about it.

Regards

Dear Member,

In our opinion, no law is an obstacle if better facilities are provided by the management. If anything is offered above and beyond what is mandated by law, then it is acceptable.

With Regards,
R N KHOLA

Considerations for Offering Additional Holidays

You may give holidays that are better than those prescribed under applicable laws. Having said that, you may want to think about why you would want to do it. If the 'why' can be answered in business terms, then you have a clear reason to do it or not to do it. In other words, does it make good, sustainable business sense to do it? It may benefit the employee, but does it also make good business sense? For example, giving more leave may improve employee morale and productivity. At the same time, it may increase costs. So where would you trade-off? You will need to take these into consideration before you implement. Because once a benefit is improved, rolling back to a lower level later is always expensive and difficult.

No restriction. A standing order provides for the barest minimum benefits that must not be denied to the employees/workers. There is no bar if any liberal benefit is provided to the employees by the management in addition to the provisions of the standing order.

Understanding Standing Orders and Holiday Regulations

You must be aware that the standing orders are not prepared either by the management or by the workers' union. These are prepared and certified through a tripartite meeting with the intervention of the Labour Commissioner of the area. Once certified and enforced, they become binding. Any modifications can only be made in a tripartite meeting jointly by management, the workers' union affiliated with any trade unions, and the jurisdiction Labour Commissioner.

In the absence of any certified standing orders, model standing orders are made applicable, and they follow the Holidays Act as specified in the Industrial Dispute Act. In productive industries, normally a maximum of 10-12 days of holidays are allowed, including national and festival holidays. This is part of the statutory regulations and not subject to anyone's will or wish.

Regards, Adoni Suguresh Labour Laws Consultant

You can always provide better facilities to employees. If you are going beyond the standing orders and providing higher benefits/leaves to people, why not? It is always appreciated and liked by the employees.