Chandigarh, Nov 3 (PTI) The Haryana Cabinet on Monday approved ‘The Factories (Amendment) Ordinance, 2025’ to modernise labour regulations in line with present-day industrial practices, promote ease of doing business, and ensure gender equality and worker welfare in factories across the state.
The Ordinance introduces key amendments to the Factories Act, 1948, pertaining to the issuance of appointment letters to workers, women’s participation in all types of factory work, flexible working hours and regulated overtime provisions.
According to the amendment, every employer or factory management will now be mandated to issue a formal appointment letter to each worker at the time of joining, ensuring transparency, clarity on employment terms, and legal protection for both employers and workers.
In another progressive step, women workers will be allowed to work on or near machinery, provided necessary safety measures and protective equipment are ensured by employers, said a statement issued after the Cabinet meeting chaired by Chief Minister Nayab Singh Saini.
It said the outdated restriction under Section 27 of the Act prohibiting women and children from working near cotton openers has been omitted, as child labour is already banned under existing laws.
To enhance industrial efficiency, flexibility in working hours is provided to facilitate a five-day working week or a six-day working week, while maintaining the weekly limit of 48 hours.
The amendment also increases the permissible overtime limit from 115 hours to 144 hours per quarter. All overtime work will remain voluntary, properly recorded and compensated at double the normal rate of wages, ensuring protection of workers’ rights.
The amendment ordinance will be effective after obtaining the assent of President Droupadi Murmu, the statement said.
The new provisions aim to balance the twin objectives of worker welfare and industrial growth, fostering an environment conducive to investment, productivity, and employment generation in Haryana, it said.
The Cabinet also approved the Haryana Shops and Commercial Establishments (Amendment) Ordinance, 2025, aimed at modernising labour laws, simplifying compliance procedures and promoting a business-friendly environment while safeguarding workers’ welfare.
The amendment aligns the Haryana Shops and Commercial Establishments Act, 1958, with current economic realities and the State’s ongoing reforms for ease of doing business.
The key objectives include rationalising regulations, introducing digital systems for transparency, decriminalising minor offences, and ensuring balanced protection for workers.
Under the amended provisions, the Act will now apply to establishments employing 20 or more workers, registration will be in automatic mode based on self-certification through an online portal, ensuring faster, transparent and accountable service.
To enhance operational flexibility, working hours are made flexible to suit a five-day work week or a six-day work week, while weekly working limits remain unchanged at 48 hours.
The continuous and the quarterly overtime limit has been raised from 50 to 156 hours, enabling businesses to manage peak workloads efficiently and allowing voluntary workers to avail more overtime allowance at twice the normal wage rates.
The Ordinance makes it mandatory for all employers to issue appointment letters and identity cards to their employees.
The amendment also replaces imprisonment clauses for minor procedural or economic offences with monetary penalties, ensuring effective enforcement without criminalising small business owners.
The penalties have been rationalised to promote compliance and accountability in a fair and facilitative manner. PTI SUN RHL
This report is auto-generated from PTI news service. ThePrint holds no responsibility for its content.