The New 48-Hour Week Rule — Working Hours, Overtime & Spread-Over
In one line: Under the OSH & Working Conditions Code, 2020, every adult worker in India is capped at 8 hours a day and 48 hours a week. Any work beyond this must be paid at 2× the regular wage rate — and there are statutory limits on how much overtime is even permitted.
The Statutory Basis
- Section 25 — Maximum 8 hours/day, 48 hours/week.
- Section 26 — At least one day off per week (typically Sunday or as fixed by employer with notice).
- Section 27 — Any work beyond statutory hours must be paid at twice the ordinary rate of wages.
- Section 28 — Notice of working hours must be posted at the workplace and shared with each worker.
- Section 29 — Daily working time including intervals cannot exceed 12 hours in a day (spread-over limit).
- Quarterly OT cap — Total overtime across a quarter cannot exceed 125 hours (varies by state rules).
How To Calculate Overtime Pay
Formula: OT Pay = (Monthly wages ÷ 26 ÷ 8) × 2 × OT hours
Worked Example
- Monthly wages: ₹26,000
- Daily wage = ₹26,000 ÷ 26 = ₹1,000
- Hourly wage = ₹1,000 ÷ 8 = ₹125
- OT rate = ₹125 × 2 = ₹250/hour
- 10 hours OT in a month = ₹2,500 added to pay
Note: “Wages” here means the Section 2(y) definition — not just basic + DA, but the post-50%-rule wages. If your CTC has excluded allowances above 50%, the excess gets added in. This makes OT pay materially higher than under the old Factories Act.
What Counts As “Working Hours”?
Counts ✅
- Actual work time at workstation
- Statutory rest intervals (paid breaks)
- Time spent on mandatory training during shift
- Travel between worksites (in same employment)
Does not count ❌
- Unpaid lunch break
- Commute to/from home
- Authorised personal leave during shift
Industry-Specific Carve-Outs
| Sector | Rule |
|---|---|
| IT / ITES | Same 48-hour cap. No special exemption despite older state notifications. |
| Factories | 48-hour cap applies. Continuous-process factories may stagger via “relays” but cannot exceed weekly cap per worker. |
| Mines | Section 67 — underground workers capped at 8 hrs/day. |
| Transport | Motor Transport Workers — drivers max 9 hrs/day with mandatory rest. |
| Press / Audio-Visual | Working journalists & AV workers — special daily limits notified separately. |
| Sales promotion employees | Same 48-hour cap; commission excluded from wages for OT calculation. |
The 4-Day Work Week Question
The Central Rules permit a 4-day, 12-hour-per-day schedule only if the worker consents in writing and total weekly hours stay at 48. Spread-over still caps at 12 hours/day. Daily OT trigger remains 8 hours — anything beyond 8 in a “4-day” week still attracts 2× pay unless explicitly contracted as compressed standard hours.
Common HR Mistakes
| Mistake | Fix |
|---|---|
| Paying OT at 1.5× as per legacy Factories Act | Update payroll software to 2× per OSH Code Section 27 |
| Treating all managers as exempt | Only those in supervisory capacity drawing above ₹18,000/month are exempt — verify each role |
| Not maintaining attendance register | OSH Code Section 123 mandates electronic or manual register — penalties up to ₹50,000 per failure |
| Compensating OT with comp-off only | Comp-off allowed only if mutually agreed in writing; otherwise cash payment is mandatory |
| Ignoring 125-hour quarterly OT ceiling | Hard cap — excess hours = double violation: pay OT and face penalty |
Penalties For Non-Compliance
- First offence: Up to ₹50,000 fine
- Repeat offence (within 5 years): Up to ₹1,00,000 + 3 months imprisonment
- Continuing default: Additional ₹2,000/day
- Worker complaint route: Direct to Inspector-cum-Facilitator (OSH Section 34)
What HR Must Audit This Week
- Pull last 90 days of attendance/biometric logs
- Identify anyone clocking above 48 hours weekly
- Verify OT payment is at 2×, not 1.5×
- Check quarterly cumulative OT is below 125 hours per worker
- Ensure 1 weekly holiday per worker — no exceptions
- Post the working-hours notice at all workplaces
- Train shift supervisors on the spread-over rule
Frequently Asked Questions
Can my employer make me work on Sundays? Only if you’ve been given a substitute weekly off within the same week. Otherwise it’s a violation and the entire day attracts OT.
My salary is ₹50,000 — am I “managerial” and exempt? Not automatically. Exemption is for “supervisory capacity” with specific decision-making authority and wages above ₹18,000/month. Just earning more doesn’t make you a manager under the Code.
Do interns and trainees count? Apprentices under the Apprentices Act, 1961 are excluded. Other interns and trainees are covered by the Code.
Is “always-on” WhatsApp messaging counted as working time? Grey area. Some High Courts have ruled employer-initiated work outside hours counts as working time. Best practice: enforce a “no work after hours” policy in writing.
What is the maximum overtime allowed per quarter? 125 hours per quarter per worker under the Central Rules. States may vary this limit in their own rules.
Last verified: 8 May 2026
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