Paid Holidays Count Toward Continuous Service’ – Rajasthan High Court

In CW No. 1334 of 2015, the Rajasthan High Court quashed a Central Industrial Tribunal award that excluded paid holidays from the computation of 240 days of continuous service under Section 25B of the Industrial Disputes Act, 1947. The Court held that such an exclusion contravened the Supreme Court’s ruling in Workmen of American Express International Banking Corp. v. Management.

The case was remanded to the Tribunal for fresh adjudication, with explicit directions to include Sundays and paid holidays in determining continuous service.

Sundays and paid holidays must be counted when calculating 240 days of continuous service under the Industrial Disputes Act.