Country Guide
Capital City
Languages
Currency
Population Size
Employer Taxes
Employee Costs
Payroll Frequency
We serve as your Employer of Record in India, with its developing economy and large, skilled workforce, presents an attractive opportunity for international businesses.
However, safely getting around India’s complex regulatory environment, including its labor laws and tax system, can be daunting. To help you enter the market, an Employer of Record (EOR) in India acts as your local expert and support system, ensuring a seamless setup process and ongoing regulatory compliance.
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Company incorporation in India is often believed to be the only choice for expansion, but there are many comparative advantages that come with choosing to use an Employer of Record in India over opening a new company entity, such as:
The Advantage in Figures
PEO/EOR
Company Incorporation
Price
80% Less Expensive
Market Entry
2-5 Days
6 Months
Seamless Setup
Avoid the complexities of navigating India’s unique tax system and labor laws. An Employer of Record streamlines the setup process so you’re ensured total legal and regulatory compliance from the start.
Ongoing Compliance Expertise
India’s regulations can be intricate and may differ according to the state or locality. Employer of Record s like INS Global possess the expertise to ensure your business remains compliant with local tax laws, labor regulations, and social security contributions.
Reduced Risks and Liabilities
An Employer of Record acts as the legal employer for your staff in India, minimizing the risks associated with employment regulations and ensuring compliance.
Focus on Your Business Goals
The right support lets you offload HR tasks like onboarding, payroll processing, and tax administration to your Employer of Record . This allows you to focus on achieving your business goals in India.
Effective Budgeting
For smaller teams or companies with temporary needs, Employer of Record services can be more cost-efficient than establishing a local subsidiary as you avoid upfront incorporation costs and ongoing administrative burdens.
1
The journey to mastery of the Indian market begins with a collaborative discussion between you and an Employer of Record like INS Global. Expansion experts delve into your specific goals for India, including the number and roles of employees you plan to hire and your desired timeline.
This initial consultation ensures the Employer of Record understands your vision and tailors their services to best integrate your needs with India’s unique tax system and labor laws.
2
Whether you’re building a new team in India or transferring existing staff, the Employer of Record handles the legalities of hiring or transferring staff on your behalf. This includes visa and work permit applications, ensuring compliance with India’s regulations.
An Employer of Records expertise and local resources allow them to act as the legal employer in India from day one, eliminating the need to establish your own entity and saving you significant time and resources.
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Once your employees are operational, the Employer of Record takes over ongoing HR and payroll functions in India. This includes processing salaries, managing employee benefits, and taking care of Provident Fund (PF) contributions.
The Employer of Record acts as your HR liaison between you and your India team, handling any administrative tasks or employee concerns. By outsourcing these complexities, you gain peace of mind, allowing you to focus on growing your business in India.
Check Our India Labor Law Guides
India’s business environment is known for its potential, but its labor laws can have hidden complexities that may not be apparent to those unfamiliar with the market:
Employment contracts in India must be written in English or a recognized local language and clearly outline key terms of employment, including salary, benefits, working hours, termination clauses, and statutory minimum wage requirements. An Employer of Record can ensure your contracts comply with legal requirements and protect your interests by helping with each step of the hiring and onboarding process.
Probationary Periods
Probation periods are common in India and can last up to 6 months. An Employer of Record in India like INS Global can guide you on setting up probationary periods that adhere to local laws while allowing you to properly assess new employees.
Working Hours
Standard work hours in India are typically 48 hours per week, with limitations on overtime. Employer of Records help you track working hours and ensure compliance with overtime regulations to avoid penalties.
Provident Fund (PF)
Employers and employees contribute to the PF, a mandatory retirement savings scheme. Your Employer of Record in India handles these contributions for you as part of the standard payroll process.
Severance Pay
Severance pay is required by law under certain circumstances, such as termination by the employer without cause. An Employer of Record in India can guide you on severance pay practices and calculations to ensure compliance with local laws.
Navigating these intricacies in-house can be time-consuming and requires ongoing monitoring of legal updates. Instead, partnering with an Employer of Record in India like INS Global allows a team of experts to act as your local legal representatives, ensuring your business remains compliant with state and federal labor laws and protects you from potential risks.
Paid Leave
Employees are entitled to various forms of paid leave in India, including national holidays, annual leave, sick leave, and statutory maternity leave. An Employer of Record in India can track and manage leave requests and ensure proper compensation on your behalf, so you’re always working according to India’s labor laws.
Selecting the right Employer of Record in India is crucial for a successful market entry. Here are 5 key factors to consider:
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faqs
An Employer of Record in India acts as your legal employer for local employees, handling all HR, payroll, and compliance tasks on your behalf, ensuring you meet local regulations without needing to set up a legal entity.
Using an Indian Employer of Record streamlines the market entry process, ensures compliance with local laws, reduces administrative burden, and can be more cost-effective than setting up a subsidiary.
An Indian Employer of Record offers faster setup, expertise in local compliance, and reduced administrative costs. Setting up a subsidiary provides more direct control but involves significant time and financial investment.
Indian Employer of Record services typically include HR management, payroll processing, compliance with tax and labor laws, visa and work permit assistance, and managing employee benefits.
Indian Employer of Records employ local experts who stay updated on regulatory changes and handle all compliance aspects, ensuring your business adheres to Indian tax and labor regulations.
Yes, Employer of Records in India can scale their services to meet the growing needs of your business, managing increasing employee numbers and evolving compliance requirements as your operations expand in India.
A Global Employer of Record is an effective solutions for companies like yours that are looking to expand a workforce abroad effortlessly.
This approach allows you to outsource the international hiring process quickly and efficiency, providing access to a global talent pool while still managing payroll compliance in each country.
Public Holidays Calendar
India
| Date | Day | Holiday | Notes |
| 26 January | Sunday | Republic Day | Commemorates the adoption of the Constitution of India in 1950. |
| 14 March | Friday | Holi | Celebrated as a gazetted holiday across India. |
| 31 March | Monday | Idul Fitr | Marks the end of Ramadan; date may vary based on moon sighting. |
| 6 April | Sunday | Ram Navami | Celebrates the birth of Lord Rama; observed in various states. |
| 18 April | Friday | Good Friday | Christian observance commemorating the crucifixion of Jesus Christ. |
| 12 May | Monday | Buddha Purnima | Marks the birth, enlightenment, and death anniversary of Lord Buddha. |
| 7 June | Saturday | Bakrid / Eid al-Adha | Feast of the Sacrifice; date may vary based on moon sighting. |
| 6 July | Sunday | Muharram | Islamic New Year; date may vary based on moon sighting. |
| 15 August | Friday | Independence Day | Commemorates India’s independence from British rule in 1947. |
| 16 August | Saturday | Janmashtami | Celebrates the birth of Lord Krishna; observed in various states. |
| 2 October | Thursday | Gandhi Jayanti | Marks the birth anniversary of Mahatma Gandhi. |
| 2 October | Thursday | Vijaya Dashami (Dussehra) | Celebrates the victory of good over evil; observed in various states. |
| 21 October | Tuesday | Diwali | Festival of Lights; celebrated across India. |
| 5 November | Wednesday | Guru Nanak Jayanti | Marks the birth anniversary of Guru Nanak, the founder of Sikhism. |
| 25 December | Thursday | Christmas Day | Celebrates the birth of Jesus Christ; observed in various states. |
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