India’s holiday system is uniquely complex because it combines central government gazetted holidays with state-specific holidays and individual “restricted” holidays that employees can choose based on their religion. In 2027, the central government announces approximately 17 gazetted holidays and 30+ restricted holidays, while each state adds its own list.
For employers, navigating India’s holiday calendar requires understanding the difference between gazetted, restricted, and state holidays — and how each affects pay and operations.
This article is general information, not legal advice.
Key Takeaways
- India has approximately 17 central government gazetted holidays and 30+ restricted holidays in 2027
- Gazetted holidays are mandatory for all central government offices and most private employers
- Restricted holidays allow employees to choose 2 holidays per year based on their religion
- Each state observes additional holidays based on local culture and religious demographics
- The Negotiable Instruments Act mandates paid leave on notified holidays
Central Government Gazetted Holidays 2027
These holidays apply to all central government offices and are widely observed by private employers:
| Holiday | Date | Day |
|---|---|---|
| Republic Day | 26 January | Tuesday |
| Maha Shivaratri | 15 February | Monday |
| Holi | 25 February | Thursday |
| Id-ul-Fitr | ~21 March* | Saturday |
| Ram Navami | ~29 March* | Monday |
| Mahavir Jayanti | ~8 April* | Thursday |
| Good Friday | 26 March | Friday |
| Buddha Purnima | 12 May | Thursday |
| Id-ul-Zuha | ~28 May* | Friday |
| Muharram | ~16 July* | Friday |
| Independence Day | 15 August | Sunday |
| Janmashtami | ~19 August* | Thursday |
| Mahatma Gandhi Jayanti | 2 October | Sunday |
| Dussehra | ~11 October* | Monday |
| Milad-un-Nabi | ~8 September* | Wednesday |
| Diwali | ~20 October* | Wednesday |
| Guru Nanak Jayanti | ~15 November* | Tuesday |
| Christmas Day | 25 December | Saturday |
*Dates marked with asterisk are estimated based on lunar/solar calendar calculations. Actual dates are announced by the central government each year.
Restricted Holidays
In addition to gazetted holidays, the central government notifies approximately 30+ restricted holidays. Employees can choose 2 restricted holidays per year from the list, which includes:
- Makar Sankranti / Pongal
- Basant Panchami
- Guru Tegh Bahadur Martyrdom Day
- International Women’s Day
- Maharashtra Day
- Buddha Purnima (also gazetted in some years)
- Various regional and religious observances
How Restricted Holidays Work
- Employees select 2 restricted holidays per year in advance
- The employer approves the selection
- Selected restricted holidays are treated as paid holidays
- Employees cannot take more than 2 restricted holidays without employer approval
State-Specific Holidays
Each Indian state observes additional holidays based on its demographic and cultural makeup. Common state holidays include:
| State | Additional Holidays |
|---|---|
| Maharashtra | Maharashtra Day (1 May), Ganesh Chaturthi |
| Tamil Nadu | Pongal (14 Jan), Tamil New Year |
| West Bengal | Poila Baisakh (Bengali New Year), Durga Puja |
| Kerala | Onam, Vishu |
| Gujarat | Gujarat Day (1 May), Navratri |
| Punjab | Lohri (13 Jan), Guru Gobind Singh Jayanti |
| Karnataka | Karnataka Rajyotsava (1 Nov) |
| Andhra Pradesh / Telangana | Ugadi, Bathukamma |
Important: State holidays are mandatory for commercial establishments registered in that state. If you operate in multiple states, your holiday calendar must be state-specific.
How Holidays Affect Pay
The Negotiable Instruments Act, 1881
Section 25 of the Negotiable Instruments Act mandates that every employee is entitled to paid leave on all notified holidays (gazetted holidays). This applies to:
- All commercial establishments
- Shops and factories
- Private sector employers
Working on a Gazetted Holiday
If an employee works on a gazetted holiday, they are entitled to:
- Double wages for the day worked, OR
- A substitute holiday within 30 days (in most states)
The specific entitlement depends on the state’s Shops and Establishments Act.
Working on a Restricted Holiday
If an employee works on a restricted holiday they have chosen, they are entitled to:
- Double wages for the day worked
- OR a substitute holiday if their state law provides for it
Employer Obligations
Display of Holidays
Employers must display a notice in a prominent place showing:
- The list of gazetted holidays observed
- The list of restricted holidays available
- The dates of each holiday
Advance Notice
The central government typically announces the gazetted holiday list for the following year in June. Employers should update their systems and communicate the list to employees promptly.
Record-Keeping
Maintain records of:
- Holidays observed at each workplace
- Restricted holidays chosen by each employee
- Days worked on holidays and compensation provided
Common Employer Challenges
1. Multi-State Operations
India’s 28 states and 8 union territories each have their own holiday calendars. A national employer may need to manage 100+ different holiday combinations.
2. Islamic Calendar Variability
Holidays based on the Islamic calendar (Id-ul-Fitr, Id-ul-Zuha, Muharram, Milad-un-Nabi) shift annually. Monitor government announcements for confirmed dates.
3. Restricted Holiday Tracking
Employees may forget to submit their restricted holiday selections by the deadline. Set clear policies and deadlines at the start of each year.
4. Factory vs Office
Factories and commercial establishments may have different holiday obligations under their respective state laws. Ensure your obligations match your establishment type.
Frequently Asked Questions
How many holidays are employees entitled to in India?
Employees are entitled to all gazetted holidays (approximately 17) plus 2 restricted holidays of their choice per year. State-specific holidays add to this number.
Can an employer reduce the number of gazetted holidays?
No. Gazetted holidays are mandated by law and cannot be reduced by the employer. Employers can offer additional holidays but cannot reduce below the statutory minimum.
Do employees get paid on restricted holidays?
Yes, for the 2 restricted holidays the employee has selected and the employer has approved. Other restricted holidays are not automatically paid.
What happens when a holiday falls on a Sunday?
If a gazetted holiday falls on a Sunday, the following Monday is typically observed as a replacement holiday. Check your state’s specific rules.
Are IT companies required to observe all holidays?
Yes. IT companies operating in a state must observe all gazetted holidays notified for that state. The Shops and Establishments Act of the applicable state governs this.