Overview

• The Labour Department held a stakeholder meeting this week to gather responses on draft amendments to the Karnataka Shops and Commercial Establishments Act, 1961.
• The proposal would raise the daily work limit from nine to ten hours and cap total daily hours, including overtime, at 12.
• Draft changes also call for tripling the three-month overtime cap from 50 to 144 hours and exempting establishments with fewer than ten employees from certain compliance requirements.
• The Karnataka State IT/ITeS Employees Union and other trade unions oppose the amendments as modern-day slavery and warn of negative impacts on work-life balance and job security.
• Industry bodies like the Federation of Karnataka Chambers of Commerce and Industries support the reforms, citing potential productivity gains and reduced regulatory burdens for small businesses.