Gandhinagar: The Gujarat Government has approved 12-hour work shifts at Micron Semiconductor Technology India Private Limited’s semiconductor facility in Sanand, as part of the state’s rapidly growing semiconductor manufacturing ecosystem. This will be done with the maximum working hours of 48 hours a week and it is approved under the Occupational Safety, Health and Working Conditions (OSH) Code, 2020.
So this is the first such exemption granted to a factory in Gujarat under the new labour framework. OSH Code came into effect nationwide on November 21, 2020 and states that it can be granted to factories under certain circumstances and it must be protected from workers. Gujarat officials said that it has been made on the basis of industrial development, employment generation and the operation of strategically important industries like semiconductors.
Under the approved arrangement adult employees can work for up to 12 hours in a day, but total working hours can not exceed 48 hours in a week. The longer shifts will also get paid leave on the rest of the day, so companies can plan for fewer working days while still meeting the statutory ceiling at 48 hours. The workers should have been given written consent before they enter into the extended shift arrangement.
The approval also places restrictions on the overall duration of the workday. The total period, including rest intervals, cannot exceed 12 hours and breaks and other requirements must comply with the OSH Code and the Gujarat Occupational Safety, Health and Working Conditions Rules, 2025. The company is also required to keep separate records of employees working under the 12-hour arrangement. Any breach of the conditions could result in cancellation of the approval and legal action.
Semiconductor manufacturing's unique requirements are at the heart of the shift. Unlike many other factory settings, semiconductor assembly and testing facilities are highly automated systems and cleanroom environments are very controlled. Production equipment can run in a continuous manner and personnel changes can bring more people to and out of the room. Longer shifts can reduce shift handovers, reduce cleanroom traffic and make use of expensive manufacturing equipment more effectively. Most industry observers are aware that 12-hour shifts are already used in semiconductor manufacture in many places around the world.
Micron’s Sanand facility is one of the most important semiconductor investments in India. The company opened its semiconductor assembly and test facility in February 2026. The plant makes advanced DRAM and NAND wafers made elsewhere in Micron’s global manufacturing network into finished memory and storage products. Once fully ramped up, that first phase will have more than 500,000 square feet of cleanroom space and will be one of the world’s largest single-floor semiconductor assembly and test cleanrooms.
The facility is estimated to cost Micron and its government partners more than $2.75 billion to build. And its operations will help India to become a larger player in the global semiconductor supply chain, when demand for memory and storage products is rising along with artificial intelligence, cloud computing, data centres and advanced electronics.
The Sanand project was originally approved by the Union Cabinet in June 2023 with capital investment of ₹22,516 crore or $2.75 billion, and 50 per cent fiscal support on a pari-passu basis. The project was developed at a rapid pace, and the government estimated that it could create up to 5,000 direct and 15,000 indirect jobs over five years.
Gujarat has come to be a key destination for semiconductor investment with state-level incentives and the national India Semiconductor Mission. The state has tried to build a network of semiconductor assembly, testing, packaging and fabrication and electronics manufacturing in general. So the Micron facility is considered not only an industrial project but also the anchor for a supply chain with suppliers, technology companies, logistics companies, and skilled people.
The OSH Code, Minister Kunvarji Bavaliya said, will incorporate employee safeguards with measures to make business easy and comply. The state government has argued that such flexibility in the legislation can help attract investment and employment and keep the 48-hour weekly limit in place. It also puts Gujarat’s industrial development and support for industries that are strategically relevant to the national economy at the heart of the decision, Minister of State for Labour, Skill Development and Employment Kantilal Amrutiya said.
Micron’s approval will give it even more flexibility as its Sanand operations grow. Semiconductor plants require precise production schedules and extended hours of work without increasing total weekly work hours will allow the company to organise its workforce better. But that’s all done with voluntary consent and good record-keeping at the heart of the deal.
The decision in Gujarat will also bring more companies with a focus on investing in India looking to enter the country. Government policy makers are faced with the challenge of balancing manufacturing flexibility and workplace safety and employee protections. The Sanand arrangement is the first step towards this new labour framework applying in a highly specialized world of high-risk, high-tech, 24-7 factory-based manufacturing industry in India.
With Micron’s facility now operating and India’s semiconductor ambitions growing, Gujarat’s approval of 12-hour shifts shows a changing industrial policy that is focused on high-tech manufacturing. The government wants to create conditions that support production and investment; it wants to keep the 48-hour weekly limit and other labour protections intact.