EOR India
Hire effortlessly with EOR services in India
Looking to hire and employ workers in India? Choose an Employer of Record (EOR) to carry out all tasks, from onboarding to exit, efficiently and without any hassles.
- HR Administration
- Payroll
- Compliance
Leading enterprises across all industries rely on us
Employment & hiring statistics in India
INR ₹
Salary payment currency
English / Hindi
Contract language
40
Working hours per week
Varies across states
Min. hourly salary
16.75%
Employer cost
10
Bank holidays per year
Hire effortlessly in India with EOR
What you need to know before
hiring in India
Hire and manage your workforce anywhere in APAC
Contracts & Agreements
In India, it is recommended that employers hire employees through a written employment contract although it isn't a strict legal requirement. In addition to establishing the legal rights and responsibilities of the employer and employee, this minimizes the likelihood of employment disputes.
Permanent Employment Contract
Permanent employment agreements may specify full- or part-time work. All types of statutory benefits and rights are often available to employees with this contract.
Fixed-term Contracts
Fixed-term agreement in India can be for a term of lesser than 4 years. Employment on a fixed-term basis offers both employment security and the advantages of a permanent contract.
With An EOR solution, your employees sign a legal contract with the Employer Of Record while they share a normal working relationship with you.
Compensation & Benefits
Minimum Pay
There are no legal provisions for minimum wages for corporates but only for factory workers.
Payout Cycle
The payroll cycle in India is monthly. Employers are required to provide employees with payslips.
Working Hours
An employee is expected to work about 8 hours per day. Employees are entitled to an unpaid lunch break of about 30 minutes between working hours.
Guaranteed Benefits
- Businesses seeking to expand into India need to budget for supplemental benefits. Supplementary benefits in India can include House rent allowance (HRA), Conveyance allowance, Telephone/mobile phone allowance, and more.
- Employees receive paid time off that includes 10 paid public holidays. Three of these days are set nationally, while the rest will vary between states, local customs, and religions.
- It is increasingly common for employees in some industries in India (such as IT) to be part of an employer-provided Employee Stock Options Plan.
Ask us for a Salary Benchmark for your EOR worker.
Find out how Employer of Record (EOR) can help you make your first hire in India
Taxes & Costs
Tax for Employees
Income tax is applied to an employee’s salary, according to the following structure:
| Taxable income band (INR) | National income tax rate | |
|---|---|---|
|
Income up to INR 2,50,000 |
No tax |
|
|
Income greater than INR 2,50,000 to INR 5,00,000 |
5% |
|
|
Income greater than INR 5,00,000 to INR 7,50,000 |
10% |
|
|
Income greater than INR 7,50,000 to INR 10,00,000 |
15% |
|
|
Income greater than INR 10,00,000 to INR 12,500,000 |
20% |
|
|
Income greater than INR 12,50,000 to INR 15,00,000 |
25% |
|
|
Income greater than INR 15,00,000 |
30% |
|
Employer Cost
Employers in India are required to contribute to the Employee Provident Fund (EPF) which is a state pension fund, funding the Employee Pension Scheme. Employers are required to contribute 12% of an employee’s monthly salary to EPF. Employers are also required to pay 3.25% for Employee’s State Insurance (ESI) for employees with salaries of up to 21,000 INR per month.
Looking for a Gross to Net simulation or a Total Employment Cost calculation for your EOR worker?
Leaves
Every employee working in India is provided different types of leaves throughout the year. These include:
Annual Leave
Indian employees get 15 days of paid leave each year, and they’re entitled to carry over up to 30 days of paid leave into the following year.
Sick Leave
Paid sick leave depends on the state in question, but is usually around 10 days paid leave per year. It is quite common for employers to offer unpaid leave for long-term medical issues, but this is not required by law.
Maternity & Paternity Leave
Female employees are entitled to 26 weeks of maternity leave in India. Although India does not mandate paternity leave, some employers may offer it as a benefit.
In addition to these leaves, employees are provided 10 days of public holidays. For a full list of leaves and public holidays that your new hire in India is entitled to,
talk to one of our experts.
Termination & Severance
Termination
An employee can be terminated due to several reasons like resignation by the employee, retirement age, non-renewal of the job contract, and more. The employee must get a notice period of 30 days before the termination. The termination letter must state a valid reason for the termination.
Severance Pay
Employees in India are entitled to severance pay based on the reason for termination. Usually, an employee who has worked for 1 year gets 15 days of severance pay.
Ready to expand your business across multiple countries in the APAC region?
Why choose an Employer Of Record (EOR)
in India?
An Employer Of Record (EOR) solution is relevant for multiple use cases:
- Enter new markets quickly & expand internationally with ease.
- Hire skilled talent in a foreign location.
- Avoid contractor misclassification & convert contractors to employees.
- Mobilize existing talent for secondment or remote opportunity.
- Focus on core business activities while you outsource HR administration.
Why trust BGC as your Employer Of Record (EOR)?
Industry Expertise
Since 2005, BGC has an extensive experience and proven track record of earning the trust of numerous clients.
Technology Leverage
Streamline operations with advanced technology which result in quicker time to onboard and pay.
Cost-effective pricing
Transparent and affordable monthly pricing that allows you to scale your workforce without any hassles.
Talk to us and make hiring in APAC a breeze!
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