HR & Legal AI

The four labour codes took effect on 21 November 2025 and the 29 earlier laws were repealed. The central rules were notified on 8 May 2026.

Unless it falls under central jurisdiction such as railways, mines, ports, telecom or banking, most factories and commercial establishments follow the state government's rules. Check each state's notification separately.

As of May 2026, Maharashtra, Gujarat and Karnataka had notified most rules under the four codes, while West Bengal and others still had some pending. We check the latest notifications for each site.

Wage definitions, working hours and termination procedures have changed, so using them as they are may conflict. We recommend reviewing them against the new codes and the model standing orders.

Industrial establishments with 300+ workers must have standing orders. In May 2026 the central government issued models for manufacturing, services and mining that you can use as a reference.

If excluded items such as HRA, overtime and commission exceed 50% of total pay, the excess is treated as wages. This raises the base for gratuity, PF and overtime.

Generally establishments with 20+ employees must register, within 15 days of crossing the threshold. Once covered, it continues to apply even if headcount falls.

From 17 September 2026 it rose from ₹15,000 to ₹25,000 a month. The 12% rate is unchanged.

According to the EPFO FAQ, the ₹15,000 ceiling applies pro rata to 1–16 September and ₹25,000 to 17–30 September, paid in a single ECR.

Employees earning up to ₹21,000 gross a month in establishments with 10+ employees (20+ in some states). Employee 0.75%, employer 3.25%; the ESIC threshold is unchanged even though the PF ceiling rose.

PF carries 12% a year interest plus 1% a month damages (capped at 100% of arrears); ESIC carries 12% a year interest plus 5–25% damages. Both are due by the 15th of each month.

Monthly salaries must be paid before the end of the 7th of the following month, and the wage period cannot exceed one month.

A state tax of up to ₹2,500 per person a year. Slabs and payment frequency vary by state, so register in each state where you have a site.

Yes, 8.33%–20% depending on profits and production. Check state rules for the wage range covered.

Every employer must issue a written appointment letter in the prescribed form on hiring, covering wages, grade, working conditions and social security coverage.

Fixed-term employees who complete one year or more must get pro-rata gratuity. Contracts under a year, such as 11 months, are not covered.

There is no single national figure; it varies by state, zone, occupation and skill. For example, Delhi unskilled ₹18,456 a month (notified April 2025) and Karnataka unskilled ₹19,319–23,376 (22 May 2026).

With 50+ contract workers in the past 12 months, registration and a licence may be needed, and use in core activities may be restricted. If a contractor doesn't pay wages within 7 days, the principal employer may have to.

Yes, in all sectors between 7 pm and 6 am, with their consent and safety and transport arrangements.

8 hours a day and 48 hours a week. Overtime needs the worker's consent and is paid at twice the ordinary rate.

Factories, mines and plantations with an average of 300+ workers over the past 12 months need prior permission for lay-off, retrenchment or closure. Smaller ones need no permission but must give notice and compensation.

15 days' average pay per completed year of service, plus a separate 15 days' pay per person into a reskilling fund.

Last drawn wages × 15/26 × years of service. Five years' service is the general rule, with a cap of ₹20 lakh.

Wages must be settled within 2 working days of leaving, whether by resignation, dismissal or retrenchment.

Termination on expiry of the contract is not treated as retrenchment. Contracts renewed repeatedly need separate review.

Small establishments give 60 days' notice; those with 300+ workers must apply for permission 90 days in advance.

A salary above US$25,000 a year, skilled personnel, and sponsorship by a company registered in India.

No. Working for an Indian company, receiving a salary there or carrying out a project requires an employment visa.

If you enter on an employment visa for more than 180 days, register within 14 days of arrival.

If seconded by a Korean company for up to 5 years, they can be exempted by submitting a Korean National Pension certificate of coverage to the EPFO. Otherwise 12% of actual salary is paid with no ceiling.

The Korean employer applies to the National Pension Service, attaching the secondment order and other documents.

Strikes require 14 days' notice and are banned during conciliation and for 7 days after it ends. It's important to set up dialogue channels such as a grievance redressal committee first.

Workplaces with 10+ employees (per office or branch) must have an internal committee. Those with fewer go to the local committee.

Failing to form a committee or file the annual report can cost up to ₹50,000; repeat violations double it and can lead to cancellation of licences.

Up to 26 weeks, of which up to 8 weeks can be taken before the expected delivery date.

Industrial establishments with 20+ workers, with equal numbers of employer and worker representatives.

Before major decisions such as M&A, joint ventures or technology agreements. It's a formal report issued by a qualified Indian lawyer or company secretary.

Yes — some provisions name individuals, such as unpaid TDS (up to 7 years), arrest powers for GST evasion above ₹5 crore, and late commencement of business filing (₹1,000 a day per officer).

Some provisions turn on whether you are listed as a director, so it's safer to assume that living abroad is no defence.

Adullam works in 8 steps, from first draft to advocate-signed notarisation. Expect about 4–6 weeks depending on size (example).