Generally speaking one and a half day off is required every week. For more details check different labour laws/ Acts which are particularly applicable to your establishment.
The need of the factory is important. If the factory needs to run 24x7, then engage labours in three shifts. Just because you need to run the factory everyday, does not mean one has to work everyday.
If any labour is working more than the prescribed limit of work per week, then the company is liable to pay him the overtime wages. The plea of "labour himself works for overtime" is irrelevant and does not have any meaning. If he is working overtime, he is entitled to overtime wages provided that no law is broken to that effect.