Leave and Working Hours Policy 2025 : Delhi
Explore the vibrant professional ecosystem of Delhi, where IT, retail, and government sectors drive employment across India’s capital in 2025. The region operates under the Delhi Shops and Establishments Act, 1954 for private enterprises and the Central Civil Services (Leave) Rules for government employees.
This guide breaks down the essentials of leave entitlements, working hour regulations, overtime policies, and legal obligations for establishments with 10 or more employees. Whether you’re managing a software startup in Nehru Place or a boutique in Connaught Place, this police equips HR teams and business leaders to maintain compliance and foster employee well-being in Delhi’s fast-paced work culture.
Leave Rules
Types of Leave & Entitlements
Private Sector (Shops, Factories, Small-Scale Units)
| Leave Type | Entitlement | Notes |
|---|---|---|
| Earned Leave | 15 days/year | Accrues at 1 day per 20 days worked (240 days required); max 45 days carry-forward; encashable per employer policy. |
| Casual/Sick Leave | 12 days/year (combined) | Full pay; no carry-forward; lapses if unused; medical certificate required for sick leave. |
| National & Festival Holidays | 8 days/year | Includes Republic Day, Deepavali, Christmas; state-notified. |
| Maternity Leave | 26 weeks (180 days) | Per Maternity Benefit Act, 1961; for women with <2 surviving children; 6 weeks for miscarriage; requires 80 days worked in prior 12 months. |
| Paternity Leave | Not specified | May be offered at employer’s discretion; no mandatory provision. |
Government Sector (Central Civil Services Rules)
| Leave Type | Entitlement | Notes |
|---|---|---|
| Earned Leave | 30 days/year | Max 300 days carry-forward; encashable per policy. |
| Casual Leave | 8 days/year | Full pay; no carry-forward; lapses if unused. |
| Half Pay Leave (HPL) | 20 days/year | Credited 10 days biannually; half pay; for medical/private reasons. |
| Maternity Leave | 180 days | For <2 surviving children; 6 weeks for miscarriage. |
| Paternity Leave | 15 days | For <2 surviving children; full pay; combinable with other leaves. |
| Extraordinary Leave (EOL) | 5 years max | Unpaid; for special circumstances. |
| Study Leave | 2–3 years | For higher studies/training; pay per regulations. |
HR Action Tips:
- Automate leave operations: Simplify leave applications and balance tracking across roles using Keka HR, especially in sectors like IT and retail that experience frequent shift changes.
- Speed up medical verifications: Tie up with clinics in New Delhi for online sick leave validations to ensure compliance and reduce absenteeism in customer-facing retail jobs.
- Respect cultural preferences: Run quick monthly surveys to identify top-priority holidays (like Holi) and automate WFH approvals for non-official festive days via Microsoft Teams to boost inclusivity.
Working Hours Rules
Standard Working Hours
| Rule | Details |
|---|---|
| Daily Limit | 8 hours/day (shops); 9 hours/day (industrial/factories) |
| Weekly Limit | 48 hours/week (shops/industrial); 60 hours/week (factories) |
| Breaks | 30-minute break after 4 hours (shops/industrial/factories) |
| Weekly Off | One day off per week, typically Sunday |
Overtime Rules
| Rule | Details |
|---|---|
| Max Overtime | 75 hours/quarter (shops/industrial); 150 hours/quarter (factories) |
| OT Pay Rate | 2x regular wages |
| Approval Required? | Yes, prior permission for urgent work |
HR Action Tips
- Smarter shift rosters: Use Keka HR to sync shift patterns with business demand across malls and tech parks. Enable WhatsApp notifications for real-time scheduling updates.
- Reward compliant overtime: Offer recognition or digital gift cards along with double-pay for OT, tracked via dashboards to reduce disputes and improve engagement.
- Keep safety top-of-mind: Train factory and warehouse staff using learning modules. Schedule internal audits every 2 months to stay aligned with Delhi’s labor safety mandates.
Additional Provisions
- Night work restrictions: Women are restricted from working between 7:00 PM and 6:00 AM unless explicit exemptions are granted. Employers must ensure safe transport, on-site security, and rest areas.
- Mandatory record-keeping: All establishments must maintain Form IX or equivalent records for attendance, leave, wages, and overtime. Logs must be updated monthly and accessible during Labour Department inspections.
- IT/ITES flexibility: Certain working hour regulations may not apply to IT/ITES businesses, pending approval—enabling flexible schedules in Puducherry’s emerging tech zones.
Penalties under Puducherry Shops and Establishments Act:
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- Hours/leave violations: ₹25 to ₹250 per instance
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- Non-registrations: ₹50 to ₹500
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- Inspector obstruction: ₹500 to ₹2,000 or up to 6 months’ imprisonment
- Registration requirement: All establishments must register with the Labour Department online within 30 days of starting operations.
- Work-from-home flexibility: WFH can be offered on non-notified festival days, particularly beneficial for back-office and creative teams.
Got questions?
They are entitled to pro-rated earned leave (1 day per 20 days worked) and full 12-day casual/sick leave, supporting project-based flexibility.
They face fines ranging from ₹25–₹250 per violation, with stricter action during Labour Department inspections. exemptions.
Enabling remote work on low-demand or festival days supports work-life balance and enhances retention in competitive IT roles.
Female employees with fewer than two surviving children qualify for 180 days of maternity leave, regardless of their length of service.
Employers must arrange transport, secure facilities, and female-friendly amenities for women working between 7:00 PM and 6:00 AM.