Telangana increases working hours from 8 to 10 for commercial establishments

The Telangana government has officially allowed commercial establishments (excluding shops) to increase daily working hours from eight to ten, as per a Government Order (G.O.) dated 5 July 2025, issued by the Principal Secretary of the Labour, Employment and Factories Department.

The update was first reported by The Hindu BusinessLine, which confirmed that the government’s decision applies to commercial establishments as defined under the Telangana Shops and Establishments Act, 1988, and is aimed at providing operational flexibility while retaining the 48-hour weekly limit.

Quoting from the official G.O., the report stated: “Daily hours for an employee shall not exceed 10 hours and weekly working hours shall be 48 hours. For work done beyond 48 hours, the employee is entitled to overtime wages.”

The order includes detailed provisions on worker protection, especially concerning rest periods and shift lengths. It mandates that no employee shall work more than six consecutive hours without a rest break of at least 30 minutes. In total, a workday—including rest—must not exceed 12 hours.

“The periods of work of an employee in an establishment shall be so arranged that, along with his/her interval for rest, they shall not spread over for more than twelve hours on any day,” the G.O. states.

The changes apply to commercial establishments—which include any business engaged in trade, banking, insurance, professional services, or clerical operations related to industrial undertakings. However, shops are excluded from this directive and are regulated under separate provisions.

The definition also excludes any unit that falls under the Factories Act, 1948, thereby avoiding regulatory overlap.

Telangana’s decision follows similar labour reforms introduced in neighbouring states. Andhra Pradesh recently amended its labour laws to allow longer shifts for certain categories of workers. Similarly, Karnataka’s move toward a 10-hour workday has sparked state-wide debates about the consequences for employee well-being, work-life balance, and fair compensation.

Experts quoted in The Hindu BusinessLine noted that while longer shifts may support operational needs—especially in sectors like IT, logistics, and customer support—they also raise concerns about worker fatigue, mental health, and potential exploitation, especially in non-unionised workplaces.

The Telangana Labour Department has included safeguards in the G.O. to prevent overuse or abuse of extended working hours. Overtime pay remains mandatory for any work exceeding 48 hours per week, and the order reaffirms employees’ rights to rest and humane working conditions.

However, labour unions and rights groups have called for strict enforcement. Without robust monitoring, they warn, employers may sidestep rules on breaks and overtime compensation—especially in industries where casualisation and contract work are common.

A Hyderabad-based labour law consultant, speaking to The Hindu BusinessLine, said, “These reforms reflect the changing nature of employment, but enforcement must be strict to avoid exploitation. Otherwise, it’s the workers who bear the cost of ‘flexibility’.”

The order is being seen as part of Telangana’s broader efforts to improve ease of doing business and attract investment from domestic and global companies. The flexibility may benefit service sectors that operate in shifts or across time zones, but the long-term impact on workers remains to be seen.