The Gujarat Government will introduce Gujarat Bill No. 1 of 2026 — the Gujarat Shops and Establishments (Regulation of Employment and Conditions of Service) (Amendment) Bill, 2026 — in the State Assembly. The Bill will be tabled by Labour, Skill Development and Employment Minister Kunvarjibhai Bavaliya and aims to modernise labour laws, improve working conditions and create more employment opportunities, especially for women.
Worker Threshold Increased
A key proposal in the amendment is to raise the employee threshold for certain regulations under the Act. The existing limit of establishments employing “ten” or more workers will be increased to “twenty” or more workers. This change is expected to provide greater operational flexibility to small businesses and shops across the state.
Women Allowed to Work Night Shifts
One of the major highlights of the Bill is the provision allowing women to work night shifts. As per the amended Section 13, women may work between 9 pm and 6 am with their consent. However, employers must meet strict safety and welfare conditions, including:
- Provision of rest rooms and night crèches
- Separate toilet facilities for women
- Measures to ensure dignity, safety and prevention of sexual harassment
- Transportation arrangements from the workplace to residence
The state government will retain the authority to regulate or prohibit such employment in certain areas through official notification if required in public interest.
Flexible Working Hours and Higher Overtime Limit
The Bill also proposes changes to working hours. The maximum daily working hours will increase from nine to ten hours. The limit for continuous work before a mandatory break will rise from five hours to six hours.
In addition, the permissible overtime limit per worker in a quarter will increase from 125 hours to 144 hours. Workers will continue to receive double wages for overtime. These provisions are intended to help businesses manage peak demands more efficiently.
Retrospective Effect
Once passed, the amendment will be deemed effective from December 16, 2025. It will replace the Gujarat Shops and Establishments (Amendment) Ordinance, 2025, which was issued when the Assembly was not in session.
According to the Statement of Objects and Reasons, the amendments aim to promote gender equality, improve workplace standards and enable businesses to operate year-round with simplified online registration procedures.