The Gujarat Assembly has approved a significant reform aimed at boosting economic activity: the Gujarat Ease of Doing Business Bill, 2026. This new legislation amends the Gujarat Shops and Establishments Act, enabling a wide range of commercial establishments, including shops, malls, restaurants, hotels, cafes, garages, and showrooms, to operate round the clock.
24/7 Operations and Previous Restrictions
Under the new provisions, eligible businesses can now remain open 24 hours a day, seven days a week. This marks a substantial shift from previous regulations that imposed mandatory closing hours. Previously, establishments located in municipal and state highway areas were generally required to close between 2 AM and 6 AM, while businesses in other regions faced closures from 11 PM to 6 AM.
Worker Rights and Public Safety Maintained
Crucially, the new bill ensures that existing worker protection laws remain in full effect. Provisions governing working hours, mandatory rest intervals, leave policies, employment conditions, and worker safety will continue to apply. Businesses opting for extended hours must also adhere to requirements related to cleanliness, traffic management, and public safety.
Simpler Regulations and Technology-Driven Governance
Dr. Jairam Gamit, Gujarat's Minister of State for Industry, stated that the legislation is designed to make regulatory processes “simpler, faster, transparent, and more industry-friendly.” The reforms seek to reduce unnecessary regulatory burdens, promote self-declaration and self-certification, and encourage the adoption of technology in governance.
The comprehensive bill incorporates 12 amendments across five existing state laws. Key changes include:
- Risk-based fire-safety regulations.
- Streamlined registration processes under the Shops and Establishments Act.
- Enhanced facilitation measures for micro, small, and medium enterprises (MSMEs).
Auto-Appeal and Auto-Escalation Mechanism
A notable feature of the legislation is the introduction of technology-based auto-appeal and auto-escalation mechanisms for public services. This system will automatically advance unresolved government services or complaints to a higher authority if deadlines are missed, aiming to improve accountability and prevent delays from negatively impacting businesses and citizens.
Vision for Developed Gujarat
Minister Gamit linked these reforms to the Gujarat Industrial Policy 2026 and the state's broader vision of “Developed Gujarat to Developed India @2047.” He emphasized that these measures are intended to create a more favorable environment for investment, entrepreneurship, and employment, all while safeguarding workers' rights, public safety, and public health.