Public Limited Company Holiday Choices: Can We Pick Any 12 Festive Days Annually?

We are a public limited company with an IT background. We have allocated a total of 12 festive holidays annually to our employees. My question is, as a public limited company, are we allowed to choose any 12 festive holidays each year? Kindly assist!

Every employee shall be allowed in each calendar year a holiday of one whole day on the 26th January, the 1st May, the 15th August, and the 2nd October and five other holidays each of one whole day for such festivals as the Inspector may, in consultation with the employer and the employees, specify in respect of any industrial establishment. Apart from the 4 national holidays, you can have any number of Festival Holidays Act as approved by the Inspectorate Concerned.

National Holidays in India

As per my knowledge, there are three national holidays:

01- Republic Day - 26 January
02- Independence Day - 15 August
03- Gandhi Jayanti - 02 October

I am unable to understand why people count Labour Day as a national holiday. For festival holidays, you have to go through state rules. Generally, there are 08 holidays (05 festivals + 03 national). A national holiday means it is celebrated at the national level, and for festival holidays, you have to provide holidays according to the area. For example, in North India, Rakshabandhan is a big festival, but it may not be celebrated in South India. Therefore, you always have to consider the area and the majority of workers. Suppose you have Muslim employees, then you have to allow some Muslim festival holidays like Eid. The same goes for a Christian majority.

This is the minimum requirement under the law, but there is no limit to the maximum number of holidays you may provide.

Dear Colleague, as stated, there are four compulsory national holidays that must be followed. Some state Shops Acts have provided for additional holidays; for example, in Maharashtra, there are eight holidays. Please verify this information.

The number of holidays, in addition to national holidays, is governed by state laws or left to the company's policy. It is my understanding that holidays are decided in consultation with any inspector. He is required to be sent a copy of the list of holidays decided by the management.

You have listed twelve festival holidays, which exceed some state laws. If you are an all-India organization, you should consider regional preferences in selecting holidays while maintaining the total number at twelve.

Regards, Vinayak Nagarkar HR Consultant