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.

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

1st April - 31st March

Tax cycle

5%-30%

Employee tax

Hire effortlessly in India with EOR

What you need to know before
hiring in India

Contracts & Agreements

Compensation & Benefits

Taxes & Costs

Termination & Severance

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

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:

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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