Restricted Holiday (India)
An optional paid holiday in India from a government-published list that employees may choose to observe based on their personal, religious, or cultural preferences, with Central Government employees typically allowed to select 2 per year.
- What Is a Restricted Holiday in India?
- How the Restricted Holiday System Works
- Sample Restricted Holiday List (Central Government)
- How Private Companies Adapt the Restricted Holiday Model
- Restricted Holidays and Workplace Inclusion
- Restricted Holiday Statistics [2026]
- Tips for Administering Restricted Holidays
- Frequently Asked Questions About Restricted Holidays in India
What Is a Restricted Holiday in India?
Key Takeaways
- ✓A restricted holiday is an optional paid day off from a government-published list, allowing employees to observe festivals and occasions important to their faith or culture.
- ✓Central Government employees get 2 restricted holidays per year out of a list of approximately 19 options published by the DoPT.
- ✓The restricted holiday list covers festivals from Hinduism, Islam, Christianity, Sikhism, Buddhism, Jainism, Zoroastrianism, and other traditions.
- ✓Employees must give advance notice (typically 48 hours) and get supervisory approval before taking a restricted holiday.
- ✓Private sector companies often adapt the restricted holiday concept into their own "floating holiday" or "optional holiday" policies.
India recognizes more religious festivals and cultural celebrations than almost any other country. The government can't declare every festival a gazetted holiday without shutting down operations for weeks. So it created a two-tier system: gazetted holidays (mandatory for everyone) and restricted holidays (pick your own). For Central Government employees, the DoPT publishes an annual list of roughly 19 restricted holidays alongside the gazetted holiday list. Employees can pick any 2 from this list. The holiday is "restricted" in the sense that it isn't automatically given. You have to request it. Your supervisor needs to approve it. And you need to plan ahead. The system works because India's workforce is extraordinarily diverse. A Hindu employee might choose Maha Shivaratri and Janmashtami. A Muslim employee might pick Shab-e-Qadr and Milad-un-Nabi. A Christian employee might choose Ash Wednesday and All Saints Day. Everyone gets equal treatment because everyone gets the same number of choices. The private sector has adopted this concept widely, though the implementation varies from company to company.
How the Restricted Holiday System Works
The process is straightforward but has specific procedural requirements that government departments and many private employers follow.
Annual list publication
The DoPT releases the annual holiday list (covering both gazetted and restricted holidays) through an official circular, usually in November or December for the following calendar year. The restricted holiday list includes approximately 19 observances spanning multiple religions and cultural traditions. State governments publish their own restricted holiday lists, which may differ from the central list based on local demographics and traditions.
Employee selection process
Employees don't have to declare their 2 choices at the start of the year. They request each restricted holiday as the date approaches, typically with at least 48 hours advance notice. The request goes to the employee's reporting officer or supervisor. Approval is expected unless there's an operational reason to deny it (critical deadline, essential staffing requirement). In practice, restricted holiday requests are rarely denied.
Record keeping
HR departments track restricted holiday usage against each employee's 2-day allocation. Once both restricted holidays are used, additional festival days must come from earned leave, casual leave, or other leave categories. Most HRMS platforms have a specific leave type for restricted holidays, making tracking automatic.
Sample Restricted Holiday List (Central Government)
The exact list changes slightly each year. Here's a representative sample of the types of observances typically included.
| Holiday | Religion/Tradition | Approximate Date |
|---|---|---|
| Basant Panchami | Hindu | January/February |
| Guru Ravidas Jayanti | Sikh/Hindu | February |
| Maha Shivaratri | Hindu | February/March |
| Holika Dahan | Hindu | March |
| Hazrat Ali's Birthday | Islam | Varies |
| Vaisakhi/Vishu/Meshadi | Sikh/Hindu | April |
| Jamat-ul-Vida | Islam | Varies |
| Rath Yatra | Hindu | June/July |
| Raksha Bandhan | Hindu | August |
| Janmashtami | Hindu | August/September |
| Onam | Kerala regional | August/September |
| Milad-un-Nabi (Prophet's Birthday) | Islam | Varies |
| Karva Chauth | Hindu | October/November |
| Guru Tegh Bahadur Martyrdom Day | Sikh | November/December |
| Christmas Eve | Christian | December 24 |
How Private Companies Adapt the Restricted Holiday Model
Most private employers don't use the term "restricted holiday" directly but apply the same principle under different names.
Floating holidays
Many IT, consulting, and multinational companies offer 2 to 4 "floating holidays" that employees can use for any observance. This is the restricted holiday concept stripped of government-specific language. The floating holiday list might mirror the DoPT restricted list, or the company might let employees pick any calendar date. Some companies don't even require the day to be a recognized festival. Employees can use floating holidays for birthdays, cultural events, or personal occasions.
Optional holidays
Some companies publish an "optional holiday" list of 8 to 12 dates and let employees choose 2 to 4. This gives employees structured choices while keeping office staffing predictable. It also avoids the situation where half the company takes the same floating holiday on a date that wasn't anticipated.
Holiday swap policies
A growing number of organizations allow employees to "swap" a gazetted holiday for a restricted one. If an employee doesn't celebrate Christmas but does celebrate Pongal, they can work on December 25 and take January 15 off instead. This keeps the total holiday count the same while giving employees more control. The key is administrative: the HRMS must track swaps cleanly, and managers need clear guidelines for approval.
Restricted Holidays and Workplace Inclusion
The restricted holiday system is one of the earliest examples of institutional diversity and inclusion policy, predating modern DEI frameworks by decades.
Recognition of religious diversity
India's restricted holiday list formally acknowledges that different employees celebrate different occasions. By giving everyone equal access to optional days, the system avoids privileging one religion's festivals over another. The gazetted list already includes major festivals from multiple faiths, and the restricted list fills in the gaps. For private companies, adopting a similar approach signals respect for all employees, not just those whose festivals happen to be on the standard calendar.
Best practices for inclusive holiday policies
Don't require employees to disclose which festival they're observing when requesting a restricted or floating holiday. The point is personal choice, not justification. Communicate the full list of options at the start of the year so employees can plan ahead. Ensure the policy doesn't accidentally disadvantage employees whose religious calendar is lunar (Eid, for example, shifts by about 11 days each year), making advance planning harder.
Restricted Holiday Statistics [2026]
Numbers that show the scope of restricted holiday practices in India.
Tips for Administering Restricted Holidays
Practical guidance for HR teams managing restricted holiday policies.
- Create a dedicated leave type in your HRMS for restricted holidays. Don't lump them in with casual leave or earned leave.
- Set the annual allocation (typically 2 days) in the system so employees can track their own usage.
- Allow requests with at least 48 hours notice to give managers time to adjust staffing.
- Publish the full restricted holiday list on the company intranet or HR portal at the start of each year.
- For multi-state operations, combine the central and state restricted holiday lists into a single reference document for each location.
- Track utilization data to understand which holidays are most popular. This can inform future decisions about converting restricted holidays to gazetted holidays in the company calendar.
Frequently Asked Questions
Can an employer deny a restricted holiday request?
Do unused restricted holidays carry over to the next year?
Can an employee take both restricted holidays on consecutive days?
Are restricted holidays paid or unpaid?
How do restricted holidays differ from floating holidays in private companies?
Written by Adithyan RK