Key Compliances under Bihar Industrial Establishments (National and Festival Holidays and Casual Leave) Act, 1976

Background

The Bihar Industrial Establishments (National and Festival Holidays and Casual Leave) Act, 1976 was enacted to regulate grant of national/festival holidays and casual leave for employees in industrial establishments. After the creation of Jharkhand in 2000, the Act was adopted by the state to ensure uniform leave benefits and worker welfare along with Bihar Industrial Establishments (National and Festival Holidays and Casual Leave) Rules, 1979. It aims to provide statutory holidays, leave entitlements, and maintain proper records. The law also balances employee rights with employer obligations for compliance and inspections.

Applicability

 

The compliances referred herein shall be applicable to Industrial Establishment being a factory and plantation in the State of Jharkhand.

Nothing contained in this Act shall apply to –

(a) any such employee who gets monthly wages of more than five hundred rupees and be chiefly employed

on a managerial administrative or supervisory post;

(b) any industrial establishment under the control of the Central Government or the State Government; and

(c) any mine or oil field.

Compliance Requirements under the Act in accordance with the Rules

  • Grant of National and Festival Holidays to Employees in Jharkhand (Section 3)

Every employee shall be granted following holidays in each calendar year in such manner and on such terms and conditions as may be prescribed: –

(a) Three National Holidays on the 26th January, 15th August and the 2nd October.
(b) Four other holidays on any festival out of the festivals mentioned in the Schedule.
(c) International Labour day on 1st May.

  • National Holiday Working Compliance – Prior Notice Obligation in Jharkhand (Section 3, Rule 3)

Employees cannot be required to work on National Holidays under Section 3(1)(a) or on 1st May unless the management provides at least 48 hours’ prior notice. A copy of this notice must also be displayed on the establishment’s notice board.

  • Form 1: Register of Workers Required to Work on a National Holiday in Jharkhand (Section 3, Rule 3)

Every industrial establishment must maintain a register in the prescribed Form I containing details of employees required to work on a National Holiday or on 1st May.

  • Notice Displaying Festival Holiday Selection by Employee in Jharkhand (Section 3, Rule 3(2))

At the beginning of each calendar year, or within 60 days of starting operations for a new establishment, the employer must display a notice asking employees to indicate their choice of four festival holidays from the prescribed list under Section 3(1)(b) as:
1. New Year’s day.
2. Id-Uz-Zoha.
3. Basant Panchami.
4. Good Friday.
5. Holi.
6. Id-Ud-Zoha.
7. Muharram.
8. Dashahara.
9. Diwali.
10. Christmas Day.
11. Guru Govind Singh Birthday.
12. Ram Navami.
13. Birthday of Bhagwan Mahabir.
13. Janmashtami.
14. Vishwakarma Diwas.
15. Budh Purnima.
16. Chhath.
17. Makar Sankranti.
18. Guru Nanak Birth-day.
19. Bhaiya Dooj.
20. Maha-Shivaratri
21. Raksha Bandhan.
22. Sarhul.

  • Festive Holiday Working Compliance – Prior Notice Obligation in Jharkhand (Section 3, Rule 3(3))

Every employee should be allowed to avail festival holidays as per their indicated choice. However, if management requires employees to work on such days, it must record reasons and provide at least 3 days’ prior notice. This balances operational needs with employee rights.
1. New Year’s day.
2. Id-Uz-Zoha.
3. Basant Panchami.
4. Good Friday.
5. Holi.
6. Id-Ud-Zoha.
7. Muharram.
8. Dashahara.
9. Diwali.
10. Christmas Day.
11. Guru Govind Singh Birthday.
12. Ram Navami.
13. Birthday of Bhagwan Mahabir.
13. Janmashtami.
14. Vishwakarma Diwas.
15. Budh Purnima.
16. Chhath.
17. Makar Sankranti.
18. Guru Nanak Birth-day.
19. Bhaiya Dooj.
20. Maha-Shivaratri
21. Raksha Bandhan.
22. Sarhul.

  • Form 2: Register of Workers Required to Work on a Festival Holiday in Jharkhand (Rule 5(1))

Every employer must maintain a Register of workers required to work on a Festival Holiday in Form No. 2 and make it available for inspection by the Inspector.

  • Casual Leaves to Employees in Jharkhand (Section 4, Rule 4)

Every employee shall be granted at least seven days of casual leave annually, in addition to other applicable leave entitlements. Leave should generally be applied for 48 hours in advance, except in cases of illness. Employers cannot refuse valid leave requests without urgent reasons, and refused leave must be allowed before year-end. Proportionate leave applies to employees with less than one year of service, with specific exclusions under the Act.

  • Form 3: Register of Casual Leave in Jharkhand (Section 5, Rule 5(2))

Every employer must maintain a register of casual leave in Form No. 3 and make it available for inspection by employees and the Inspector.

  • Account for Festival Holidays in Jharkhand (Section 5)

Every employer must maintain an account of festival holidays for each employee in the prescribed format and allow employees to inspect their leave accounts.

  • Payment of Wages for National Holidays and Casual Leave in Jharkhand (Section 6)

Employers must pay wages for national holidays and casual leave. If an employee works on a holiday, they may choose either double wages or wages plus a substitute paid holiday within three days. Employees with less than one month of continuous service are not eligible for such benefits except for national holidays.

  • Inspection Book to be Maintained by Employer in Jharkhand (Rule 7)

Every employer must maintain a bound inspection book for the industrial establishment and produce it whenever required by the Inspector.

Penalty & Punishment

U/s 9: Any employer who contravenes any provisions of sections or rule or order made under this Act

  • First Offence: upto Rs. 50/-
  • Subs Offence: upto Rs. 250/-
  • Compensation Order: whole or part of the fine be paid as compensation to the person who suffered loss or injury due to the offence

U/s 10: Whoever knowingly fails to produce on demand by an Inspector any register, record or notice which is required to be maintained under the provisions

  • Imprisonment: Minimum 1 week Maximum 3 months
  • Same offence: Minimum Rs. 50/- Maximum Rs.500/-
  • (Fine may be imposed alone or along with imprisonment)

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