The Maharashtra Government has introduced the Maharashtra Shops and Establishments (Amendment) Ordinance, 2025, which came into force on 1st October 2025 which is considered as an important labour law update regulates industrial and service sectors employing large number of workers.
It is implemented to reduce compliance burdens for small businesses and increase flexibility in working hours. The key changes which include raising the registration threshold from 10 to 20 workers in an establishment, increasing daily and continuous working hours, extending the spread-over period, and raising the quarterly overtime limit from 125 to 144 hours. The goal is to boost economic activity by making it easier for small businesses to operate while ensuring continued protection for workers under various labour laws. These new rules are intended to create a more business-friendly environment in Maharashtra.
With this amendment, establishments with less than 20 workers will no longer need a registration certificate from the Facilitator but they will only need to provide an intimation of their business.
Brief Description of Key Amendments
| Provision | Previous Law | New Amendment (2025) |
|---|---|---|
| Threshold for Registration | Establishments with 10 or more workers | Establishments with 20 or more workers |
| Daily Working Hours | Maximum 9 hours (including rest) | Maximum 10 hours (including rest) |
| Spread-Over of Work | Maximum 10.5 hours per day | Increased to 12 hours per day |
| Continuous Working Hours without Rest | Maximum 5 hours | Increased to 6 hours |
| Overtime Hours Allowed Per Quarter | 125 hours | Increased to 144 hours |
Regulatory Impact on Businesses and Industries
- Establishments will be able to manage their workforce more efficiently and there will be increase in the flexibility to handle emergencies, peak demand or staff shortages.
- Flexibility for extended working hours and 24×7 operations boost sales and footfall.
- Businesses or Industries shall maintain registers for attendance, wages, overtime and leave.
- This Amendment will provide greater scheduling in establishment for daily working requirements.
- Wages and Payments: Businesses shall ensure payment of wages as per the Maharashtra Minimum Wages Act.
Regulatory Impact on Businesses and Industries
- The major change through this amendment will increase worker’s earning potential and formalize overtime practices, ensuring that all additional hours are properly recorded and compensated, which will help in preventing exploitation of workers.
- A landmark change in the 2025 amendment is the permission for women employees to work night shifts, subject to safety measures.
Disclaimer
The information provided in this article is intended for general informational purposes only and should not be construed as legal advice. The content of this article is not intended to create and receipt of it does not constitute any relationship. Readers should not act upon this information without seeking professional legal counsel.
