- Odisha government suggests amendments to enhance ease of doing business and jobs
- Reforms involve raising admissible working hours and permitting female employees to work night shifts
- Units will be able to work 24×7 all year round
The state government of Odisha has declared amendments to labour laws intended to enhance ease of doing business and create additional jobs in the state.
The Cabinet of Odisha on Monday approved a couple of amendments to the Orissa Shops and Commercial Establishments Act, 1956, and the Factories Act to bring these provisions into force.
According to the new regulations, any business or commercial place having over 20 employees can open day and night without taking special approval.
Working hours for employees on a daily basis have been extended from 9 to 10 hours with an off-duty break of 30 minutes.
Chief Minister Mohan Majhi said that the reforms would minimize compliance costs on small businesses, induce entrepreneurship, enhance economic activity, and improve employee wages through more overtime opportunities. The amendments also aim to induce more women's participation in the organised and corporate sectors.
Commercial entities no longer require individual sanction for the women to work during night shifts. The employee's written consent, plus compliance with regulations prescribed by the government as safety conditions, is enough.
These safety measures include GPS-protected transport of employees, a minimum of one female security officer, and proper lighting in the working area.
The threshold for overtime has been increased from 50 to 144 hours within three months. Workers who put in more than 10 hours of work a day or more than 48 hours a week will be eligible for double the base overtime wage rate.
Officials of the government said these changes were needed to spur business expansion and enhance labor force participation, especially by women.
