Employer of Record India

India Employee Benefits

Employer of Record India

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Pensions in India

One of the main Indian employee benefits are the pension plans. There are two main types of pensions: the Employee Provident Fund (EPF) and the Public Provident Fund (PPF).

The EPF is a mandatory savings scheme for employees in the organized sector. Both the employer (around 8.3%) and the employee contribute a percentage of the employee’s salary to the EPF, and the money is invested to earn interest. The employee can withdraw the EPF balance when they retire or leave the company. However only about 10% of workers are eligible.  

The PPF is a savings scheme available to all citizens of India. It’s a long-term investment option and the money invested in a PPF account earns interest. The interest rate is set by the government and it’s tax-free. The money in a PPF account can be withdrawn after 15 years, and it can be extended for blocks of 5 years.

It’s also worth noting that there are other pension schemes available in India such as National Pension System (NPS) and Atal Pension Yojana (APY) these are schemes aimed at encouraging people to save for their retirement and provide a financial safety net during old age; however these aren’t very common.

India Healthcare Benefits

When it comes to medical care, not all Indians have access to India’s National Health Service. However, registered employees are supported by the Employees’ State Insurance (ESI) Act during times of illness and childbirth.  

It is possible that workers in the ‘unorganised’ sector (companies with ten or fewer employees) in India are not covered by the country’s social insurance system. Schemes like maternity, health insurance, and medical benefits are available to both nationals of India and those working for foreign organisations. The size of the employer’s contribution is proportional to the size of the workforce. 

Medical treatment in India is publicly sponsored and supported by social security contributions. Preventative and promotive health care is the focus of this insurance, hence not all medical costs are covered.  

Employers may, but are not obligated to, provide some sort of supplementary health insurance for their workers. Unlike mandatory social security payments, these programmes are voluntary.

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We are India Employer of Record experts

We have extensive experience helping businesses expand their workforce in India. Take a look at our areas of expertise to find out more:

Find out how payroll works in India and what you can expect when it comes to salaries, bonuses and rates of pay

Enhance your understanding of what your employee is entitled to when it comes to Statutory Leave in India

Unsure what’s required when employing staff in India? Find out about India Work Permits and Visas here

Wondering what it’s like to work in India? We’ve got you covered in our extensive guide

We deliver a fully managed EOR Service in India, including Payroll, HR and Legal compliance support

Without Agility EOR, our ability to move quickly and scale would be extremely limited. Superb work from A to Z.

Carol Oliveira
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Frequently Asked Questions

Payrolling the employees is a key part of the service offered by an Employer of Record company. The Employer of Record will calculate and remit all taxes, social securities and similar payments, on behalf of both employer and employee. The client will be invoiced in advance by the EOR company, for the total cost of the payroll.

Yes. Our clients are free to dictate the structure of the employees’ remuneration including any bonuses or commissions they wish to offer. In some countries, there is a statutory requirement to provide “bonuses”, for example in the form of Christmas or holiday allowances.

Yes. Agility EOR will calculate what pay is due upon termination of an employee, factoring in such things as any untaken leave entitlements.

We find that most of our clients are in the Tech, IT, Finance, NGO (Not for Profit) and Professional Services industries. However, we have acquired the skills, knowledge and experience to help all industries across the globe.

As a private company, we’re not beholden to shareholders Private Equity targets. We aim to build long-term relationships with our clients. At Agility EOR, our approach is that we never forget that our business is all about people. Our Employer of Record solutions are tailored to each requirement, not a one-size-fits-all tech platform. We do the right thing by our clients and by the laws of each country we operate in. And we believe in openness; if we don’t feel we can offer you the best solution for a specific territory, we’ll say so. 

We pride ourselves on our personable-approach so once you enter your new employees details into our dedicated platform, we’ll arrange a call with you to go through the details of the employment contract where together we can review and amend to your requirements. We liaise directly with your employee to build a rapport and obtain the necessary information to hire them compliantly, and set them up ready for their first payroll.

We never stop delivering! Even if you’re employee has been onboarded and is happily working for you and being paid each month, we’re here to partner with you whenever you or your employees need us. Even your ex-employees may need our assistance for tax documents, proof of employment requests etc… Our service never stops!