Home India CENTRAL SECTION HB-2403 Part V-A Extra 30 Date 8-12-2025, Publication of a b...
Date: 2025-12-08 Category: Not Applicable State: Maharashtra Country: India

HB-2403 Part V-A Extra 30 Date 8-12-2025, Publication of a bill further to amend the Maharashtra Shops & Establishments (Regulation of Employment and Conditions of Services) Act, 2017 as L.A. Bill No. LXXXIX of 2025 by Secretary-1, Maharashtra Legislative Assembly. Extra Ordinary No. 30, Ank 17.

Issued by CENTRAL SECTION · Not Applicable

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Executive Summary & Key Takeaways

**Executive Summary** This document is the Maharashtra Shops and Establishments (Regulation of Employment and Conditions of Service) (Amendment) Act, 2025, introduced in the Maharashtra Legislative Assembly on December 8th, 2025. It further amends the 2017 Act and replaces the Maharashtra Shops and Establishments (Regulation of Employment and Conditions of Service) (Amendment) Ordinance, 2025, which was promulgated on October 1st, 2025. The Act aims to reduce compliance burden for smaller businesses while ensuring worker protection. **Key Points / Main Content** * **Short Title and Commencement:** * This Act is called the Maharashtra Shops and Establishments (Regulation of Employment and Conditions of Service) (Amendment) Act, 2025. * It came into force on October 1st, 2025. * **Amendment of Section 1:** * In sub-section (3), in clauses (a) and (b), the word "ten" is substituted with "twenty". * **Amendment of Section 6:** * In sub-section (1), the word "ten" is substituted with "twenty". * **Amendment of Section 7:** * In sub-section (1), in paragraph (a) and the first proviso, the word "ten" is substituted with "twenty". * In sub-section (2) and in the marginal note, the word "ten" is substituted with "twenty". * **Amendment of Section 12:** * The word "nine" is substituted with "ten". * The word "five" is substituted with "six". * The existing proviso shall be deleted. * **Substitution of Section 14:** * Section 14 of the principal Act is substituted with: "The spread-over of a worker in the establishment shall not exceed twelve hours in any day." * **Amendment of Section 15:** * The words "one hundred and twenty-five hours" are substituted with "one hundred and forty-four hours". * **Repeal and Saving:** * The Maharashtra Shops and Establishments (Regulation of Employment and Conditions of Service) (Amendment) Ordinance, 2025, is repealed. * Actions taken under the Ordinance are considered done under the amended Act. * **Statement of Objects and Reasons:** * Increase threshold of 10 or more employees to 20 or more employees in any establishment for registration to reduce compliance burden for smaller businesses. * Increase the daily hours of work from the existing nine hours upto ten hours, inclusive of rest intervals, subject to a maximum of forty-eight hours in any week. * Extend the spread-over of working hours from the existing ten and a half hours to twelve hours in a day. * Increase the maximum continuous working hours without a rest interval from five to six hours. * Increase overtime period within quarter from 125 hours to 144 hours. **Impact Analysis** **Stakeholders** * **Small Businesses/Establishments** **Impact:** Reduced compliance burden and increased operational flexibility through revised employee number thresholds for registration and more flexible working hours. **Action Required:** Adjust to new registration requirements based on the employee number threshold. * **Workers/Employees** **Impact:** Potential for increased earning potential through overtime work, formalized overtime practices, and statutory protections that remain the same even for establishments with less than 20 workers. Increased flexibility for employers to determine their shifts. **Action Required:** Be aware of the new overtime regulations and spread-over provisions. * **The Government of Maharashtra** **Impact:** Advancement of economic growth by reducing compliance burden and providing regulatory reforms. **Action Required:** Enforce the new regulations.

Key Entities Referenced

Maharashtra Shops and Establishments (Regulation of Employment and Conditions of Service) Act, 2017: Principal Act being amended by this bill; regulates employment and service conditions in shops and establishments in Maharashtra. Maharashtra Shops and Establishments (Regulation of Employment and Conditions of Service) (Amendment) Act, 2025: The bill itself, seeking to amend the 2017 Act. Maharashtra Shops and Establishments (Regulation of Employment and Conditions of Service) (Amendment) Ordinance, 2025: The ordinance that the Act aims to replace. Maharashtra: The state to which the policy applies.
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RNI No. MAHBIL /2009/40123 महाारााष्ट्रट शाासन रााजपत्र असाधााराण भााग पाच–अ वर्षष ११, अंक १७ ] सोमवारा, डि�संबरा ८, २०२५/अग्रहाायण १७, शाके १९४७ [पृष्ठेे ४, डिकंमत : रुपये ३६.०० असााधाारण क्रमांा�क ३० प्रााधिधाकृत प्राकाशन मांहााराष्ट्र धि�धाानसाभाेत � मांहााराष्ट्र धि�धाानपारिरषदेेत साादेर केलेेलेी धि�धाेयके (इं�ग्रजीी अनु�ादे). MAHARASHTRA LEGISLATURE SECRETARIAT The following Bill was introduced in the Maharashtra Legislative Assembly on the 8th December, 2025 is published under Rule 117 of the Maharashtra Legislative Assembly Rules. L. A. BILL No. LXXXIX OF 2025. A BILL further to amend the Maharashtra Shops and Establishments (Regulation of Employment and Conditions of Service) Act, 2017. WHEREAS both Houses of the State Legislature were not in session ; AND WHEREAS the Governor of Maharashtra was satisfied that circumstances existed which rendered it necessary for him to take immediate Mah. action further to amend the Maharashtra Shops and Establishments LXI of (Regulation of Employment and Conditions of Service) Act, 2017, for the 2017. purposes hereinafter appearing ; and, therefore, promulgated the Maharashtra Mah. Shops and Establishments (Regulation of Employment and Conditions of Ord. Service) (Amendment) Ordinance, 2025 on the 1st October 2025 ; VIII of 2025. भााग पााच-अ-३०–१. HB-2403–1.2 महाारााष्ट्रट शाासन रााजपत्र असाधााराण भााग पाच–अ, डि�संबरा ८, २०२५/अग्रहाायण १७, शाके १९४७ AND WHEREAS it is expedient to replace the said Ordinance by an Act of the State Legislature; it is hereby enacted in the Seventy-sixth Year of the Republic of India as follows :— Short title and 1. (1) This Act may be called the Maharashtra Shops and Establishments commencement. (Regulation of Employment and Conditions of Service) (Amendment) Act, 2025. (2) It shall be deemed to have come into force on the 1st October 2025. Amendment 2. In section 1 of the Maharashtra Shops and Establishments (Regulation Mah. of section 1 of of Employment and Conditions of Service) Act, 2017 (hereinafter referred to as LXI of Mah. LXI of 2017. “the principal Act”), in sub-section (3),— 2017. (1) in clause (a), for the word “ten” the word “twenty” shall be substituted; (2) in clause (b), for the word “ten” the word “twenty” shall be substituted. Amendment 3. In section 6 of the principal Act, in sub-section (1), for the word “ten” of section 6 of the word “twenty” shall be substituted. Mah. LXI of 2017. Amendment 4. In section 7 of the principal Act,— of section 7 of (1) in sub-section (1),— Mah. LXI of 2017. (a) for the word “ten” the word “twenty” shall be substituted; (b) in the first proviso, for the word “ten” the word “twenty” shall be substituted; (2) in sub-section (2), for the word “ten” the word “twenty” shall be substituted; (3) in the marginal note, for the word “ten” the word “twenty” shall be substituted. Amendment 5. In section 12 of the principal Act,— of section 12 (1) for the word “nine” the word “ten” shall be substituted; of Mah. LXI of 2017. (2) for the word “five” the word “six” shall be substituted; (3) the existing proviso shall be deleted. Substitution 6. For section 14 of the principal Act, the following section shall be of section 14 substituted, namely :— of Mah. LXI of 2017. Spread-over in “14. The spread-over of a worker in the establishment shall not establishments. exceed twelve hours in any day.”. Amendment 7. In section 15 of the principal Act, for the words “one hundred and of section 15 twenty-five hours” the words “one hundred and forty-four hours” shall be of Mah. LXI of substituted. 2017. Repeal of 8. (1) The Maharashtra Shops and Establishments (Regulation of Mah. Mah. Ord. Employment and Conditions of Service) (Amendment) Ordinance, 2025, is Ord. VIII of 2025 VIII of hereby repealed. and saving. 2025. (2) Notwithstanding such repeal, anything done or any action taken (including any notification or order issued) under the corresponding provisions of the principal Act, as amended by the said Ordinance, shall be deemed to have been done, taken or, as the case may be, issued under the corresponding provisions of the principal Act, as amended by this Act.महाारााष्ट्रट शाासन रााजपत्र असाधााराण भााग पाच–अ, डि�संबरा ८, २०२५/अग्रहाायण १७, शाके १९४७ 3 STATEMENT OF OBJECTS AND REASONS The State of Maharashtra is India’s most economically dynamic State which accomodates enormous industrial and service sectors employing large number of workers. It is an endeavour of the State to reduce compliance burden for small businesses for promoting economic growth while ensuring continued protection for workers under various labour laws. The regulatory reforms in operational flexibility and reduction in compliance burden will eventually lead to economic growth of the State. 2. To align with the reform of regulations and procedures related to Ease of Doing Business and Ease of Living, it was considered necessary to reduce the compliance burden on smaller establishments. It was also considered necessary to provide operational flexibility of working hours without changing the fixed limit of weekly forty-eight hours of work. For the above purposes, the Government considered it expedient to amend the Maharashtra Shops and Establishments (Regulation of Employment and Conditions of Service) Act, 2017( Mah. LXI of 2017), suitably. 3. The salient features of the amendments are as follows, namely :— (a) to increase threshold limit of 10 or more employees to 20 or more employees in any establishment for registration and other regulatory provisions of the said Act in order to reduce compliance burden for smaller businesses, encourage job creation and eliminate the fear of non- compliance. Establishments with less than 20 workers will no longer need a registration certificate from the Facilitator but they will only need to provide an intimation of their business. However, the other statutory protections to their workers remain the same; (b) to increase the daily hours of work from the existing nine hours upto ten hours, inclusive of rest intervals, subject to a maximum of forty- eight hours in any week. This measure aims to create greater economic activity, enhance employment opportunities and give establishments the flexibility to handle emergencies, peak demand or staff shortages without disruption; (c) to extend the spread-over of working hours from the existing ten and a half hours to twelve hours in a day to accommodate the increased daily working hours and to provide greater scheduling in establishment; (d) to increase the maximum continuous working hours without a rest interval from five to six hours, to provide flexibility and smoother adjustments to the daily maximum hours of work; (e) to increase overtime period within quarter from 125 hours to 144 hours so that establishments will be allowed to engage workers in overtime for an increased period per quarter to address exceptional work pressure. This change will increase workers’ earning potential and formalize overtime practices, ensuring that all additional hours are properly recorded and compensated, which will help in preventing exploitation of workers. However the overtime working will not be mandatory for the workers.4 महाारााष्ट्रट शाासन रााजपत्र असाधााराण भााग पाच–अ, डि�संबरा ८, २०२५/अग्रहाायण १७, शाके १९४७ 4. As both Houses of the State Legislature were not in session and the Governor of Maharashtra was satisfied that circumstances existed which rendered it necessary for him to take immediate action further to amend the Maharashtra Shops and Establishments (Regulation of Employment and Conditions of Service) Act, 2017, for the purposes aforesaid, the Maharashtara Shops and Establishments (Regulation of Employment and Conditions of Service) (Amendment) Ordinance, 2025 (Mah. Ord. VIII of 2025), was promulgated by the Governor of Maharashtra on the 1st October 2025. 5. The Bill is intended to replace the said Ordinance by an Act of the State Legislature. Mumbai, AKASH FUNDKAR, Dated the 4th November, 2025. Minister for Labour. Vidhan Bhavan : JITENDRA BHOLE, Nagpur, Secretary-1, Dated the 8th December, 2025 Maharashtra Legislative Assembly. ON BEHALF OF GOVERNMENT PRINTING, STATIONERY AND PUBLICATION, PRINTED AND PUBLISHED BY DIRECTOR, RUPENDRA DINESH MORE, PRINTED AT GOVERNMENT PRESS AND BOOK DEPOT, CIVIL LINES, NAGPUR-440 001 AND PUBLISHED AT DIRECTORATE OF GOVERNMENT PRINTING, STATIONERY AND PUBLICATION, 21-A, NETAJI SUBHASH ROAD, CHARNI ROAD, MUMBAI-400 004. EDITOR : DIRECTOR, RUPENDRA DINESH MORE.

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