Overtime, Working Hours and Shift Compliance in Factories

Working hours, overtime, and shift management are daily operational realities in Indian factories. Production targets, seasonal demand, breakdowns, and manpower shortages often push factories towards extended hours and additional shifts.

However, working time violations are among the most frequently observed non-compliances during factory inspections. For Factory HR teams, the challenge lies in balancing production needs with statutory limits, worker health, and proper documentation.

This article explains how HR must manage working hours, overtime, and shifts lawfully and practically.

Statutory Limits on Working Hours

Under the Factories Act, key limits include:

• 9 hours per day

• 48 hours per week

• Mandatory weekly holiday

• Daily spread-over limits (including rest intervals)

Any deviation requires overtime compensation and, in some cases, approval from authorities.

Overtime: Legal Requirements and HR Oversight

Overtime must be:

• Voluntary, not forced

• Paid at twice the ordinary rate of wages

• Recorded accurately in overtime registers

• Limited to statutory ceilings

HR must monitor overtime closely, as excessive overtime often attracts scrutiny and indicates manpower planning gaps.

Shift Scheduling and Night Work

Factory HR is responsible for:

• Designing shift rosters within legal limits

• Ensuring rest intervals and weekly offs

• Managing night shifts, especially for women workers (where permitted by state rules)

• Communicating shift changes in advance

Poor shift planning directly impacts safety, morale, and compliance.

Weekly Offs and Compensatory Holidays

Factories must provide:

• One weekly holiday

• Compensatory holidays when workers are required to work on weekly offs

HR must track eligibility, accumulation, and utilisation properly.

Record-Keeping and Documentation

HR must maintain:

• Attendance and muster rolls

• Overtime registers

• Shift rosters

• Wage and overtime payment records

Incomplete or inconsistent records are treated as violations even if payments are correct.

Common Compliance Risks in Factories

HR teams often face issues such as:

• Exceeding daily or weekly limits

• Improper overtime calculation

• Missing approvals for extended hours

• Poor shift communication

• Fatigue-related safety incidents

These risks increase when HR is not closely integrated with production planning.

Conclusion

Overtime and shift compliance is not just a legal requirement—it is a workforce sustainability issue. Excessive hours lead to fatigue, accidents, absenteeism, and industrial relations problems.

Factory HR must enforce statutory limits firmly while working with operations to plan manpower realistically. Structured scheduling, disciplined record-keeping, and proactive monitoring ensure compliance without compromising productivity.

🗹 Factory HR Checklist for Working Hours and Overtime

🗹 Monitor daily and weekly working hour limits
🗹 Pay overtime at double rate
🗹 Obtain approvals where required
🗹 Plan shifts with adequate rest intervals
🗹 Track weekly offs and compensatory holidays
🗹 Maintain accurate attendance and OT registers
🗹 Coordinate shift planning with production teams
🗹 Review overtime trends periodically

Working Hours & Overtime – Key HR Responsibility Matrix

Conclusion--

Effective labour law compliance depends on how well HR operations, payroll, and business processes work together. When compliance is embedded into everyday workflows, organisations reduce risk, improve accuracy, and build sustainable governance systems. HR teams that prioritise integration over isolation are better positioned to manage compliance confidently and consistently.