The Government of Maharashtra has, through the Maharashtra Ordinance No. VIII of 2025, promulgated the Maharashtra Shops and Establishments (Regulation of Employment and Conditions of Service) (Amendment) Ordinance, 2025, with effect from 1st October 2025. The amendment has been introduced by the Industries, Energy, Labour and Mining Department, with the objective of easing compliance requirements for smaller establishments while ensuring continued protection of workers' rights. The move is part of the State's broader initiative to enhance the Ease of Doing Business and Ease of Living within Maharashtra, and to promote flexibility in operations for employers engaged in the industrial and service sectors.

Below attached is the Summary of Amendments carried out under the Ordinance

Summary of Amendments under the Ordinance

Section of the Principal Act (Mah. LXI of 2017) Existing Provision Amended Provision Key Effect / Objective
Section 1(3)(a) & (b) Registration mandatory for establishments employing ten or more persons. Threshold increased to twenty or more persons. Reduces compliance burden on small establishments; only intimation required for those employing fewer than twenty workers.
Section 6(1) Required registration for establishments with ten or more employees. Required registration for establishments with ten or more employees has been substituted with twenty or more employees. Aligns registration threshold with revised limit.
Section 7(1) & (2) (Intimation of establishment employing less than ten workers.) References to Intimation of commencement of business of establishment employing less than ten workers. Intimation of commencement of business of establishment employing less than ten workers has been substituted to less than twenty workers. Harmonises procedural and regulatory applicability throughout the Act.
Section 12 Maximum daily working hours: nine hours; maximum continuous work: five hours before rest; the proviso stated that the working hours or weekly holiday may be relaxed in case of work of urgent nature with the previous permission of the Facilitator. Maximum daily working hours: Nine hours of maximum continuous work has been substituted with ten; and five hours before rest has been substituted with six; along with that the proviso has been deleted. Extends daily working hours and continuous work period, ensuring operational flexibility.
(However, if a worker works for more than 9 hours in a day or 48 hours in a week, overtime at twice the ordinary rates of wages shall be payable.)
Section 14 Spread over of working hours not to exceed ten and a half hours in any day and for intermittent nature of work or urgent work the spread over of working hours not to exceed twelve hours. Entire section has been substituted with: “The spread-over of a worker in the establishment shall not exceed twelve hours in any day.” Increases permissible spread-over period in a day.
Section 15 Overtime limited to one hundred and twenty-five hours per quarter. Overtime limit enhanced to one hundred and forty-four hours per quarter. Allows increased overtime engagement while ensuring lawful compensation.

The Maharashtra Shops and Establishments (Regulation of Employment and Conditions of Service) Act, 2017, as amended by the present Ordinance, applies uniformly across the entire State of Maharashtra, encompassing all districts, municipal corporations, councils, and rural regions within the State's territorial jurisdiction.

The Ordinance embodies a calibrated approach aimed at harmonizing operational flexibility with regulatory oversight, thereby enhancing both business efficiency and labour protection. Employers are accordingly advised to review their workforce composition, registration obligations, and internal governance mechanisms pertaining to working hours, rest intervals, and overtime management to ensure conformity with the amended legal regime.

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