The Government of Puducherry has taken a major step toward liberalizing business hours and boosting employment flexibility by allowing shops and establishments to operate 24×7 on all days. The new policy also permits women to work in night shifts, subject to certain conditions aimed at protecting worker welfare.
This progressive reform has been notified through notification dated 14th August 2025, under the Puducherry Shops and Establishments Act, 1964.
What the Notification Says:
- Scope of Exemption:
- Shops/Establishments with less than 50 employees: Exempted from all provisions of the Act.
- Shops/Establishments with 50 or more employees: Exempted from specific provisions:
- Section 12(1) & 12(2) (Hours of work)
- Section 17(1) & 17(2) (Weekly holidays)
- Effective Date:
The exemptions come into force from the date of publication in the Official Gazette – AUGUST 14TH 2025.
Key Conditions and Safeguards:
To balance flexibility with employee welfare, the following conditions have been mandated:
Work Hours:
- Maximum 12 hours/day and 48 hours/week per employee.
- Overtime allowed beyond 48 hours, with proper wages, limited to 180 hours per quarter.
Rest Intervals:
- Two 30-minute rest breaks must be provided per day.
- Rest breaks should occur after every 4 hours of continuous work.
Night Shift for Women:
- The notification implicitly permits women to work night shifts by lifting restrictions on operating hours.
- Employers are expected to ensure safe working conditions and transport arrangements as per other applicable laws.
Impact and Implications:
This move is expected to:
- Boost retail and service sector productivity.
- Improve employment opportunities, especially for women.
- Align Puducherry with progressive labour reforms seen in other Indian states.
The government’s decision also reflects a business-friendly environment that prioritizes flexibility while maintaining worker safeguards.
Conclusion:
With this bold move, Puducherry joins the league of Indian states enabling round-the-clock business operations, signalling a shift towards a more dynamic, modern economy. Employers must now adhere to the conditions outlined to ensure fair and humane working conditions while benefiting from operational freedom.