The Government of Uttar Pradesh issued a notification on September 26th 2024 regarding exemption granted for two years for the establishments related to IT and ITES in Uttar Pradesh.
In a significant move to boost the Information Technology (IT) and Information Technology Enabled Services (ITES) sectors in Uttar Pradesh, the state government has granted a two-year exemption for these industries from Section 6 and Section 7 which highlights ‘Hours of work and overtime’ and ‘Intervals for rest and spread over of working hours in a day’ respectively, of the Uttar Pradesh Dookan Aur Vanijya Adhisthan Adhiniyam , 1962 (U.P. Act No. 26 of 1962).
The exemption comes with a set of conditions to ensure that workers’ rights and welfare are still safeguarded. Here’s a breakdown of the new rules and what they mean for both employers and employees in the IT and ITES industries.
Key Features of the Exemption
1. Revised Working Hours
Under the new exemption, working hours for employees are adjusted as follows:
- Young workers (ages 14 to 18 years) are restricted to working no more than 6 hours a day.
- Other employees (18 years and above) are permitted to work up to 12 hours per day, including breaks for rest.
2. Mandatory Rest Intervals
For the health and well-being of employees, the new rules stipulate that:
- Employees must receive a minimum rest period of 30 minutes after working for 5 continuous hours.
- The total workday (including rest breaks) cannot exceed 12 hours.
3. Overtime Pay
One of the most important changes under the new exemption is the treatment of overtime:
- Any employee working more than 48 hours in a week will be entitled to overtime pay.
- Overtime pay is set at twice the normal wage rate (basic wages plus any allowances, but excluding bonuses).
- Employees cannot work more than 125 hours of overtime per quarter (a quarter is defined as a 3-month period, starting on the 1st of January, April, July, or October).
These provisions ensure that employees are compensated fairly for the extra hours they put in, while also limiting the amount of overtime that can accumulate within a quarter.
4. Weekly Off
The new rules maintain the standard labor protection that every employee is entitled to a weekly off. Employers must ensure that employees have at least one day off every week, helping to balance the long hours typical in IT and ITES sectors.
5. Compensatory Holiday for Work on Public Holidays
If employees are required to work on a public holiday, they are entitled to a compensatory holiday at a later date. This ensures that employees are not deprived of their rest days and public holidays are still respected, even in industries with demanding schedules.
6. Security and Transport for Women Employees
The government has made it clear that for women employees working night shifts, adequate security and transport arrangements must be provided by the employer. This is a crucial step toward ensuring the safety and well-being of women workers, especially in sectors like IT where night shifts can be common due to international clients or project deadlines.
Effective Date :
The exemption, which comes into effect from September 26th 2024 provides flexibility to employers in the IT and ITES sectors while maintaining key protections for workers.
