In a significant move aimed at boosting economic activity and providing greater flexibility for businesses and consumers, the Karnataka government has approved a notification permitting all shops and commercial establishments in the state that employ ten or more people to remain open 24 hours a day, 7 days a week, throughout the year.
This decision comes after a thorough inquiry conducted under sub-section (2) of Section 11 of the Karnataka Shops and Commercial Establishments Act, 1961.
The notification, which was published in the official gazette, from the date of publication, grants permission to eligible establishments to operate around the clock for a period of three years from the date of publication.
However, it is subject to certain conditions outlined in sub-section (3) of Section 12 of the Act and additional stipulations imposed by the government.
Key Provisions and Conditions:
- Eligibility: The notification applies exclusively to shops and commercial establishments that employ a workforce of ten or more individuals. Smaller establishments with fewer employees are not covered under this provision.
- Time Period: The 24/7 operating hours are permitted for a duration of three years from the date the notification was published in the official gazette. After this period, the government may review the policy and decide whether to extend it or reinstate the previous restrictions.
- Employee Welfare: Employers are mandated to ensure that their employees are provided with adequate rest periods and work breaks in compliance with labor laws. They must also maintain accurate records of employee work hours and ensure that no employee is forced to work for excessively long hours without breaks.
- Rotational Holidays: To guarantee that all employees have the opportunity to enjoy a weekly off day, employers are required to implement a system of rotational holidays. This means that employees will be given a day off on a rotating basis, ensuring that everyone has the chance to rest and recharge.
- Wage Payments: Employers must adhere to all applicable wage laws and ensure that employees are paid their rightful wages on time. No deductions can be made from wages for any reason other than those permitted by law.
- Safety and Health Standards: The notification emphasizes the importance of maintaining safe and healthy working conditions for all employees. Establishments must comply with all occupational health and safety regulations and provide necessary protective equipment to their workers.
- Emergency Services: In the event of any emergencies or unforeseen circumstances, establishments must have adequate arrangements in place to ensure the safety and well-being of their employees and customers. This may include having emergency contact numbers readily available and implementing evacuation procedures.
- Female Employee Provision: Female employees shall not be allowed to work beyond 8:00 PM on any day under normal circumstances
The employer should get consent from women employee to allow her to work between 8:00 PM and 6:00 AM providing adequate protection for her dignity, honour, and safety
Impact and Implications:
The Karnataka government’s decision to allow 24/7 operations for eligible shops and establishments is expected to have a significant impact on the state’s economy.
It is anticipated to create new job opportunities, boost consumer spending, and promote economic growth. Additionally, it could lead to increased convenience for consumers who will have greater flexibility in terms of shopping hours.
However, there are also concerns that the policy may have negative consequences, such as increased traffic congestion, noise pollution, and strain on public services.
It is crucial for the government to monitor the implementation of the policy and take appropriate measures to address any potential issues that may arise.
Overall, the Karnataka government’s decision to permit 24/7 operations for shops and establishments employing ten or more people represents a bold step towards economic liberalization and modernization. While there are potential challenges to be addressed, the policy has the potential to bring significant benefits to both businesses and consumers in the state.
Additional Considerations:
- Public Consultation: It is important for the government to engage in public consultation and seek feedback from various stakeholders, including businesses, employees, and residents, before implementing the 24/7 policy. This will help ensure that the policy is aligned with the needs and concerns of the people.
- Impact Assessment: The government should conduct a thorough impact assessment to evaluate the potential benefits and drawbacks of the policy. This will help identify any potential negative consequences and develop strategies to mitigate them.
- Monitoring and Enforcement: Effective monitoring and enforcement mechanisms are essential to ensure compliance with the 24/7 policy and prevent any abuses. The government should establish clear guidelines and procedures for monitoring compliance and take appropriate action against violators.
- Flexibility: The government may consider introducing flexibility in the policy, allowing establishments to choose their operating hours within a certain timeframe rather than mandating 24/7 operations. This could provide businesses with greater autonomy and cater to the specific needs of different industries and locations.
The Karnataka government’s decision to permit 24/7 operations for eligible shops and establishments is a significant development that has the potential to reshape the state’s economic landscape.
While there are challenges to be overcome, the policy offers numerous opportunities for businesses and consumers.
By carefully considering the potential impacts and implementing appropriate measures, the government can ensure that the 24/7 policy benefits the state’s economy and society as a whole.
