Smaller-unit workers may lose benefits under amended Act

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A caller amendment projected by the Delhi authorities to the Delhi Shops and Establishments Act, 1954, is apt to reshape workplace protections for lakhs of workers employed crossed smaller establishments.

The Delhi government’s projected Delhi Shops and Establishments (Amendment) Bill, 2026 seeks to exclude shops and establishments with less than 20 employees from the purview of the Act, according to a transcript of the Bill accessed by The Hindu.

Currently, the Act applies to each shops and establishments successful the city, offering safeguards to employees specified arsenic mandatory leave, play holidays, fixed moving hours, and a month’s announcement earlier dismissal. By introducing a threshold of “20 oregon much employees”, the amendment would region lakhs of workers from these protections, labour unions and experts said.

The Bill is scheduled to beryllium tabled by Law Minister Kapil Mishra during the ongoing Assembly league connected Thursday. It was circulated to MLAs connected Tuesday and listed for instauration connected Wednesday, but the House adjourned earlier it could beryllium taken up.

‘Extremely one-sided’

Professor Surajit Mazumdar of the Centre for Economic Studies and Planning, Jawaharlal Nehru University, warned that the alteration would deed a immense fig of workers employed successful smaller establishments. “These amendments are extraordinarily one-sided successful character, favouring the already stronger party, the employer. They let employers to summation the moving hours of employees, enabling them to trim wage costs,” helium said.

The government, however, has said that the reforms purpose to beforehand employment generation, spur economical activity, and promote sex inclusion portion maintaining idiosyncratic protections. The Bill besides proposes changes to moving hours. The existent regular headdress of 9 hours is acceptable to summation to 10, arsenic per the Bill. 

Published - January 08, 2026 01:28 americium IST

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