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Maharashtra Shops & Establishments Act - State Cabinet clears rise in working hours in shops, factories

The Maharashtra Shops and Establishments (Regulation of Employment and Conditions of Service) Act, 2017 applied to the establishments employing 10 or more workers and for less than 10 workers, it was required to give an intimation of having commenced the business to the Facilitator in whose jurisdiction the establishment is located by submitting an online application in the prescribed form together with such self declaration and self certified documents containing details such as the name of the employer and manager, name of the establishment, nature of the business, number of workers, and such other details as may be prescribed.

Original publication: 2025-09-09

Maharashtra Shops & Establishments Act -  State Cabinet clears rise in working hours in shops, factories

Maharashtra Shops & Establishments Act — Working Hours and Coverage Changes

State Cabinet clears rise in working hours in shops and factories (news-based update)

Important: This article is based on news reports. Official Government notification is awaited and will be effective only after passage by State Legislature (“Shops” Act), Presidential assent (“Factories” Act), and/or Governor’s assent in the Maharashtra Gazette.

Current Law — Maharashtra Shops and Establishments Act, 2017

The Act applies to establishments employing 10 or more workers. For fewer than 10 workers, employers must file an online intimation with details such as:

  • Employer and manager names
  • Name and nature of business
  • Number of workers
  • Other prescribed details

Proposed Amendments (Cabinet-Cleared)

  • Applicability threshold raised from 10+ to 20+ workers.
  • Laws like the Minimum Wages Act and Maternity Benefit Act will still apply to smaller establishments.

Working Hours, Rest Period and Overtime

  • Shops and Establishments: 9 → 10 hours/day
  • Factories: 9 → 12 hours/day
  • Rest interval: 30 minutes every 6 hours (previously 5 hours)
  • Total spread (with overtime): 10.5 → 12 hours

Overtime: Additional hours will be paid at 2× basic wage + allowances.

Impact on Establishments

The Act currently covers about 85 lakh establishments. With the amendment, this will reduce to around 56,000.

Stakeholder Response

The Federation of Retail Traders Welfare Association welcomed the move, noting it will reduce registration burdens and paperwork for small shops.

Role of Karma Global

Karma Management Global Consulting Solutions, Mumbai is a leading provider of Shops and Establishments compliance solutions across India.

  • 50+ senior professionals and 200+ support staff
  • Expertise in compliance challenges
  • Instant AI-driven compliance solutions

For assistance, contact: marketing@karmamgmt.com

Disclaimer: This article is for informational purposes only. Implementation depends on official government notification.

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