The Odisha government has approved key amendments to the Odisha Shops and Commercial Establishments Act, 1956. The move is aimed at improving the ease of doing business and creating more economic opportunities. The decision was taken at a State Cabinet meeting chaired by chief minister Mohan Charan Majhi.
Under the revised provisions, the law will now apply to shops and establishments in the state that employ 20 or more workers. The amendments bring significant changes to working conditions, including an increase in daily working hours from nine to ten. Employees will also see a sharp rise in the overtime limit, which has been raised from 50 hours to 144 hours over a three-month period.
The new rules mandate that no employee can work for more than six continuous hours without a break of at least 30 minutes. Those working beyond ten hours a day or 48 hours a week will be entitled to double their normal wage rate as overtime pay.
One of the most notable changes allows establishments to remain open around the clock, all year round. The government has also lifted restrictions on employing women during night shifts. However, employers will need to obtain written consent from women workers and ensure strict measures for their safety, security and dignity.
The reforms are expected to reduce compliance burdens on businesses, giving entrepreneurs greater flexibility. At the same time, they are designed to safeguard workers’ rights by ensuring rest intervals, fair overtime pay, and better opportunities for women in the organised and corporate sectors.
With these changes, the state hopes to encourage more investment, stimulate job creation, and expand participation in the workforce.
