Karnataka government proposes 10-hour workdays, higher overtime cap: Report

Under the proposed revisions, the daily work limit would rise to 10 hours in Karnataka, with overtime extending up to 12 hours per day.

The Karnataka government is considering a sweeping reform of labour laws that could extend the state’s maximum workday to 10 hours and significantly increase the cap on overtime, moves that are raising eyebrows among worker unions and policy experts alike, Deccan Herald reported.

Currently, the law limits daily work hours to nine and restricts overtime to 10 hours in total.(Pixabay)

According to the draft proposals, the state aims to amend both the Karnataka Shops and Commercial Establishments Act, 1961, and the corresponding Rules of 1963, the report further added. 

Currently, the law limits daily work hours to nine and restricts overtime to 10 hours in total.

But under the proposed revisions, the daily work limit would rise to 10 hours, with overtime extending up to 12 hours per day. More strikingly, the three-month overtime cap could increase from 50 to 144 hours. 

More strikingly, the three-month overtime ceiling could be increased from 50 to 144 hours.

The Labour Department has justified the changes by citing directives from the central government encouraging states to align with the national model labour codes. 

Officials also argued that several state, including Maharashtra, Gujarat, Uttar Pradesh, Chhattisgarh, and Uttarakhand, have already adopted similar provisions, setting a precedent for Karnataka to follow suit.

More changes

In addition to altering work hours, the state is also looking to ease regulatory requirements for smaller establishments. Amendments to Rule 24 of the 1963 Rules would exempt businesses with fewer than 10 employees from maintaining records, registers, and other compliance documentation typically required during labour inspections. This, too, is being attributed to central guidance, which recommends exempting units with under 20 employees.

Industry groups have welcomed the proposal. MG Balakrishna, president of the Federation of Karnataka Chambers of Commerce and Industries (FKCCI), hailed the reforms as both business-friendly and reflective of a younger, more dynamic workforce. "Longer hours can drive productivity, which is critical for staying competitive globally," he said. He also stressed that easing compliance norms for micro-establishments would help prevent bureaucratic harassment.

However, the move has sparked strong opposition from labour unions. Maitreyi Krishnan, state general secretary of the All India Central Council of Trade Unions (AICCTU), called the proposals “unconstitutional” and accused the government of turning its back on the Directive Principles of State Policy.

“It’s ironic that Karnataka is using states like Uttar Pradesh and Chhattisgarh as benchmarks,” Krishnan said. “These are the very states whose workers are migrating to Karnataka in search of better conditions. If we follow their lead, we risk driving our own workforce away.”

The Labour Department is scheduled to hold consultations with stakeholders, including government officials, business leaders, and union representatives, on Wednesday to deliberate on the proposed changes and possibly finalise the draft.