The recent death of a young Ernst & Young (EY) employee of Pune, Anna Sebastian Perayil, has raised widespread concern over excessive workloads many professionals in India face. Perayil, a 26-year-old audit executive, allegedly died from stress caused by backbreaking workload, a claim brought forth by her mother in a letter to EY India’s chairman. Her death has brought attention not only to EY’s practices but also to the broader issue of overwork in India, which impacts millions across multiple industries.
EY’s Pune office has been found to be operating without a mandatory registration under Maharashtra’s Shops and Establishments Act, according to the state’s additional labour commissioner, Shailendra Pol.This Act regulates working hours and employee welfare. The office had been in operation since 2007 without the proper permit. This negligence has prompted a government investigation into the circumstances surrounding Perayil’s death and the practices at EY’s Pune office.
Permissible working hours: A state-wise list
India’s labour laws stipulate specific limits on working hours at the state level. The Shops and Establishments Act (for Maharashtra) and the Factories Act provide guidance on daily and weekly work hour limits, as well as provisions for overtime. However, the enforcement of these laws and the actual workload employees face vary across states.
Here’s a breakdown of the working hours and overtime limits in major Indian states:
These limits reflect an attempt to balance productivity with worker protection. Under the Minimum Wages Act, 1948, the government can establish a standard working day, typically set at 8 hours. Employees are entitled to a day of rest every seven days, but certain sectors with urgent or emergency work may have more flexible arrangements.
The culture of overwork in India
The issue of long working hours has been long-standing in India. According to the International Labour Organization (ILO), India ranks among the most overworked countries globally, with the average employee clocking 46.7 hours per week. More than half of the workforce, 51%, works over 49 hours weekly. This incident has sparked renewed discussions about workplace pressure, especially in the context of Indian labour laws and regulations.
Across industries such as healthcare, IT, journalism, and emergency services, Indian employees are often expected to work beyond their contractual hours. Overtime and working on rest days are common, with a societal expectation that work should take precedence. This culture of overwork has had damaging effects on employees’ mental and physical health.
In July 2024, the Economic Survey presented by the Ministry of Finance further fueled the conversation around extending work hours. The report emphasised the need to increase the ‘monetizable time’ of Indian workers and suggested easing the limits on overtime to enable employees to earn more. While the Factories Act limits employees to 48 hours per week and a maximum of 10.5 hours per day, proposals to amend these laws have been made.
India is not alone in its struggle with long working hours. Other South Asian nations, like Bhutan, Bangladesh, and Pakistan, also see significant portions of their workforce exceeding 49 hours per week. Bhutan tops the global list, with 61% of its workforce working overtime, highlighting the regional prevalence of overwork.
Proposals to amend labour laws
Recent attempts to amend the local, a key law that governs working hours in India, have caused controversy. Last year, both Tamil Nadu and Karnataka governments proposed amendments to extend work shifts to up to 12 hours. While Tamil Nadu withdrew its proposal following protests, Karnataka’s Congress government floated a draft bill to increase work hours for IT sector employees to 14 hours a day. This proposal was met with significant opposition, as the Shops and Establishment Act caps daily working hours at 9 and weekly hours at 48.
The ongoing debate raises questions about balancing productivity and employee well-being. While there are economic arguments for increasing work hours, they must be weighed against the mental and physical toll such practices place on workers.
What lies ahead?
The conversation around working hours in India is far from over. The government’s push to relax the restrictions on overtime, coupled with the recent tragic incident at EY, has brought these issues into sharp focus. As the investigation into EY continues, it serves as a stark reminder of the potential human cost of overworking. This case has not only raised questions about corporate responsibility but has also reignited the debate over India’s labour laws, especially on the aspect of regulation of working hours.
