In India, the company recognized and observed holidays are those holidays officially designated by Government. Employees are given time-off with full pay on Company-recognized holidays. Staff employees are given an alternate day off or overtime pay if important work requires attendance on the day of the holiday. If a holiday falls on a Saturday or Sunday the following day is usually observed as a holiday. If a holiday falls on an employee’s normal day off the employee is granted an alternate day off at the convenience of the Company.

In India, three national holidays are to be observed compulsorily. These are 26th January (Republic Day), 15th August (Independence Day), and 2nd October (Mahatma Gandhi’s birthday). Besides the weekly close day (usually Sunday for commercial establishments) is also a compulsory holiday.

Generally, a company decides how many holidays in a year will be provided. It may range from 10 to 20. According to the importance of a day in a particular state, these holidays are fixed.

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