Basic Facts

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.

Capital :
New Delhi
Currency :
Indian Rupee (₹, INR)
Languages spoken :
Hindi, English
Population :
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.)

Statutory Holidays

Workers are entitled to paid holidays for National and Public holidays (often called “festival holidays”). The total number of paid holidays depends on the specific Shops and Establishments Act governed by the state. Pay on holidays also varies depending on the specific Shops and Establishment Act.


The table below shows the public holidays observed by WorkMotion India.

The holidays mentioned below are valid for the year 2024.

Holiday Name
Extra Information
January 15
Makara Sankranti (Uttarayana Punyakala)
January 26
Republic Day
National Holiday
April 9
Ugadi Festival
April 11
Ramadan (Eid-ul-Fitr)
May 1
May Day
August 15
Independence Day
National Holiday
October 2
Gandhi Jayanti
National Holiday
October 11
November 1
Rajyotsava (Karnataka)
Public Holiday
December 25
Public Holiday

Contract Sharing Time

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.

What You Need To Know

  • Remote work is not legally defined in India, but the Ministry of Labor and Employment made its first attempt to legally define “working-from-home” by issuing a draft standing order in January 2020 for organizations with 300 or more employees.
  • 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.

  • WorkMotion offers various health insurance benefits to employees, including their family members.

Labor Conditions

Working Hours

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 Period

Probation is not mandatory. The common practice is three to six months depending on the seniority of the position.

Termination Notice Period

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.


Leave / Time Off

Annual Leave

Though variations appear between national and state legislation, the length of annual leave usually ranges between 12 and 15 days per year.

Sick Leave

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.

Parental Leave

There is no statutory provision for parental leave.

Maternity Leave

The maximum period for which any woman should be entitled to maternity benefit is 26 weeks, of which no more than eight weeks should precede the date of her expected delivery.

Paternity Leave

WorkMotion allows all male employees to avail 15 calendar days of paternity leave within a month of their spouse’s delivery for a maximum of two occasions.

Other Types of Paid Leave

There are no other types of paid statutory leave.

Unpaid 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.

Statutory Benefits

Both the employer and the employee are required to contribute 12% to the Employee’s Provident Fund respectively. Yet, the employer must withhold the contributions for both parties and deposit the contributions (total of 24%) to the Provident Fund by the 15th day of the following month.

NOTE: Contributions to the Provident Fund are paid based on a maximum wage ceiling of Rs.15,000.

The full contribution breakdown is as follows:

Social Security Benefits
Employer Contributions
Employee Contributions
Employee’s Provident Fund
Employee Compensation Insurance

Health Insurance

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).

Other Insurances

Accident Insurance

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 contribute 0.2% to the Employee Compensation Insurance.

Unemployment Insurance

Employers are not required to purchase unemployment insurance for employees.

Public Pension

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.

Other Statutory Benefits

Employee Deposit Linked Insurance Scheme (EDLIS)

Anyone who contributes to the Employee 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.

Information provided in this Country Guide is provided “as is” without warranty of any kind, either express or implied, including without limitation warranties of merchantability, fitness for a particular purpose, or non-infringement. WorkMotion Software GmbH periodically adds, changes, improves, updates, or removes information without notice, and assumes no liability or responsibility for any errors or omissions in the contents of this Country Guide. This Country Guide may contain links to other websites. WorkMotion Software GmbH disclaims all liability for the privacy practices or the content of such websites.