Quick answer: National and festival holidays are the paid days off an Indian employer must give each year. Three are national and apply in every state: Republic Day (26 January), Independence Day (15 August) and Gandhi Jayanti (2 October). States add festival holidays through their Shops and Establishments Acts. Maharashtra requires 8 paid holidays a year.
- The three national holidays india observes everywhere are 26 January, 15 August and 2 October.
- Maharashtra’s Act fixes four of its eight: 26 January, 1 May, 15 August and 2 October.
- The other four are agreed between you and your workers before the calendar year begins.
- If you require work on a festival holiday in Maharashtra, you pay double the daily average wage and give a substitute day off.
How does a holiday list in India get built?
Start with the national three, add your state’s fixed days, then choose the rest.
For a Pune office, the Maharashtra Shops and Establishments Act sets the frame. Section 18(7) gives 8 paid festival holidays, as the Act’s text on LawGist shows.
| Holiday | Date | Status in Maharashtra |
|---|---|---|
| Republic Day | 26 January | Fixed by law |
| Maharashtra Day | 1 May | Fixed by law |
| Independence Day | 15 August | Fixed by law |
| Gandhi Jayanti | 2 October | Fixed by law |
| Four festival days | Your choice, agreed in advance | Chosen with workers |
Most Pune employers pick from Diwali, Ganesh Chaturthi, Holi, Gudi Padwa, Eid and Christmas. Many offer more than eight. That’s allowed.
Pay for each holiday is the daily average of wages, excluding overtime, for the month it falls in.
What happens if an employee works on a holiday?
You pay double and give another day off. Both, not one or the other.
The proviso to section 18(7) says so for Maharashtra. Let’s say a Pune support engineer’s daily average wage is ₹2,000 and you need her on Gandhi Jayanti. She earns ₹4,000 for the day plus a substitute holiday later.
Plan rosters early. For 24×7 support teams, rotate holiday cover and record it in your attendance and leave management system.
What do foreign employers get wrong about national holidays in India?
They import their home calendar, or they use one list for every Indian city.
A US company might give Thanksgiving and skip 1 May. In Maharashtra, that breaches the Act. And a team split between Pune, Chennai and Delhi needs a holiday list per state, since each state fixes its own days.
Holidays also differ from leave. A festival holiday falling inside a block of earned leave isn’t counted as leave. Don’t deduct it. They’re separate from casual leave too.
Our piece on holiday policies in India covers the cultural side.
How does Remunance manage holidays for your India team?
Remunance publishes a state-specific holiday list for every employee before the year starts, agrees the optional days and pays double wages plus a substitute day when holiday work is needed. We’re an India-only employer of record with our own entity in Kothrud, Pune, so the Maharashtra rules are home ground. To build a holiday calendar for a team across Indian states, talk to an India HR specialist.
What else do people ask about the holiday list in India?
How many national holidays are there in India?
Three: Republic Day, Independence Day and Gandhi Jayanti. All other public holidays are set by states.
Are festival holidays paid in India?
Yes. In Maharashtra, all 8 festival holidays are paid at the daily average wage for that month.
Can an employer change the festival holiday list mid-year?
Not freely in Maharashtra. The four optional days are agreed before the calendar year begins, so changes need the workers’ agreement.