Understanding the Gujarat Shops Act 2019: How Does It Affect Employee Leave and Holidays?

Please find attached the Gujarat Government Extraordinary Gazette on The Gujarat Shops and Establishments (Regulation of Employment and Conditions of Service) Act, 2019.

1. 7 days of Casual Leave and 7 days of Sick Leave are to be credited to the employee's account at the beginning of the calendar year.

2. Earned Leave: 1 day for every 20 working days will be credited to the employee's account if they have worked for 240 days in a calendar year, to be availed in the subsequent year starting from 1st January. Maximum accumulation is 15 days. Calculation: 365-52-8.

3. There are 8 Paid (Festival) Holidays including 26th Jan, 15th Aug, and 2nd Oct, along with five other holidays. The Act will come into force on a date as determined by the State Government through a notification in the Official Gazette.

The provisions mentioned in The Gujarat Shops and Establishments (Regulation of Employment and Conditions of Service) Act, 2019 provide a framework for the regulation of employment and conditions of service in Gujarat. Here is a breakdown of the key points mentioned in the Act:

- Casual Leave and Sick Leave: Employees are entitled to 7 days of Casual Leave and 7 days of Sick Leave, credited at the beginning of the Calendar Year.
- Earned Leave: Employees are eligible for Earned Leave at the rate of 1 day for every 20 working days, to be credited to their account if they have worked for 240 days in a calendar year. The accumulated leave is credited on 1st January of the subsequent year, with a maximum accumulation of 15 days.
- Paid Holidays: The Act mandates 8 Paid (Festival) Holidays, including specific dates like 26th Jan, 15th Aug, and 2nd Oct, along with five other holidays.

Employers in Gujarat must adhere to these provisions regarding leave entitlements and holidays as outlined in the Act. It is crucial for both employers and employees to understand and follow these regulations to ensure compliance with the law.