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A race to nowhere: Do longer working hours lead to increased productivity?

By: Sapkal, Rahul Suresh Chakma, Kinchan and Parmar, Daksha C.
Material type: materialTypeLabelBookPublisher: Economic & Political Weekly Description: 61(6), Feb 7, 2026: p.33-40. In: Economic & Political WeeklySummary: The extension of statutory working-hour limits has emerged as a pro-business instrument, promoted by the union government as part of the ease of doing business agenda. While such labour law reforms appear to have supported manufacturing performance in select capital-intensive industries, they have shifted the social costs of adjustment onto workers while increasing employer profits. This article examines the economic rationale for changes to work-time regulations, focusing on the Factories Act, 1948. Using evidence from the Annual Survey of Industries, it questions the assumptions of the neoclassical labour demand model and argues that longer working hours may undermine workers’ welfare.-Reproduced https://www.epw.in/journal/perspectives/race-nowhere.html
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Articles Articles Indian Institute of Public Administration
61(6), Feb 7, 2026: p.33-40 Available AR138636

The extension of statutory working-hour limits has emerged as a pro-business instrument, promoted by the union government as part of the ease of doing business agenda. While such labour law reforms appear to have supported manufacturing performance in select capital-intensive industries, they have shifted the social costs of adjustment onto workers while increasing employer profits. This article examines the economic rationale for changes to work-time regulations, focusing on the Factories Act, 1948. Using evidence from the Annual Survey of Industries, it questions the assumptions of the neoclassical labour demand model and argues that longer working hours may undermine workers’ welfare.-Reproduced

https://www.epw.in/journal/perspectives/race-nowhere.html

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