India, officially the Republic of India, is the second-most populous country in the world. It covers an area of 3.29 million square kilometers. The country is surrounded by the Bay of Bengal in the east, the Arabian Sea in the west, and the Indian Ocean in the south. India occupies a major portion of the South Asian subcontinent. There are 28 states and eight Union territories in the country. The agricultural sector remains the country’s main employer. However, it is no longer the largest contributor to GDP. Major growth has been in trade, finance, and other services.
*Please note that the official currency is the currency of remuneration when employed through WorkMotion in India.
Indian Rupee (₹, INR)
Languages spoken :
1.39 billion (2021 est.)
Minimum wage 2023 :
Differs across individual states
Cost of Living index :
$ (137 of 139 nations)
Payroll Frequency :
VAT - standard rate :
GDP - real growth rate :
8.9% (2021 est.)
The approximate time for sharing the contract with an employee in India is 4 business days assuming no special requests or changes to our standard employment contract. Any such requests or changes would need to undergo internal and external review, directly leading to a time delay.
NOTE: This number is subject to change and is only an estimation of the Contract Sharing Time. The estimated Contract Sharing Time begins from the moment that WorkMotion has received all required information from both the client and the employee.
It is not mandatory for employers to purchase accident insurance, but employers must provide compensation to their employees in cases of injuries, accidents, or death.
The normal working hours and days for the employee must be clearly stated and included in the employment contracts. Usually, the Shops and Establishment Acts (SEAs) of different states provide provisions for working hours for the private sector.
Any hours that are worked above the contractually defined normal working hours are considered overtime.
The employer should pay the employee for work on any day in excess of the number of hours constituting a normal working day, at not less than twice the normal wages, for every hour or for part of an hour so worked in excess.
Probation is not mandatory. The common practice is three to six months depending on the seniority of the position.
There are both national-level and state-level regulations. The common practice is to give 30 days’ notice. For senior positions, the notice period is up to 90 days. However, the notice period can be shortened via mutual agreement.
Though variations appear between the national and state legislation, the length of annual leave usually ranges between 12 and 15 days per year.
There is no central legislation explicitly mandating “sick leave”, so employees in practice use their annual leave to cover periods of sickness after working at least 240 days or more during a calendar year. The pay is as if they are taken as annual leave.
There is no statutory provision for parental leave.
The maximum period for which any woman should be entitled to maternity benefit is 26 weeks, of which not more than eight weeks should precede the date of her expected delivery.
WorkMotion allows all male employees to avail of 15 calendar days of paternity leave within a month of their spouse’s delivery for a maximum of two occasions.
There are no other types of paid statutory leave.
Any leave taken outside the conditions for any form of paid leave is classified as unpaid leave. The leave has to be authorized by the employer.
WorkMotion offers various health insurance benefits to employees, including their family members. Employees earning less than 21,000 per month must enroll in Employee State Insurance (ESI).
If personal injury is caused to an employee by accident arising out of and in the course of their employment, the employer is liable to pay compensation.
Employers are not required to purchase unemployment insurance for employees.
The employer and the employee each contribute 12% to the Employee’s Provident Fund Scheme (EPFS) per month respectively.
The retirement age in India is 58 years old for workers in the private sector.
Anyone who contributes to the Employees’ Provident Fund (EPF) is automatically enrolled and entitled to benefits from EDLIS.
The information contained in this Country Guide is provided for informational purposes only and should not be construed as legal advice on any subject matter. The contents of this Country Guide contain general information and may not reflect current legal developments or address your situation. You should not act or refrain from acting on the basis of any content included in this Country Guide without seeking the advice or representation of a licensed attorney. WorkMotion Software GmbH disclaims all liability for actions you take or fail to take based on any content included in this Country Guide.
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