Proactive?

The Municipal Corporation of Greater Mumbai has issued a warning saying that there will be high tides on the 23rd and 24th and since it is monsoon season, it has warned people that there may be water logging and flooding if there are heavy rains.
They have issued this warning keeping in mind that a few years back, around the same time, due to unprecedented heavy rains lakhs of people were stranded in their offices or in the roads.
The reaction to this warning, at our company, has been that tomorrow has been made a working day and the management will take a call on whether 23rd or 24th be declared a holiday.
Why not ask people to work a day extra if really the office is closed on the 23rd or the 24th? What if the two days turn out to be bright an sunny with nary a cloud in sight? Will the company still declare a holiday?
Can this be termed as a strategic move to protect one day's productivity? It probably matters in a manufacturing unit where if the work stops for sometime then the productivity drops by that much and the question of making up without working hours is pretty difficult.
But is this true in company that is supposed to be developing software?
Is this decision justified?