COUNTRY

An employment contract in India may be verbal or written. Employment contract terms include:

• work location,

• salary,

• annual leave,

• work hours,

• overtime,

• conditions for termination,

• notice period,

• probation period, and

• dispute resolution procedures.

The standard work week in India is 48 hours. The workday is up to nine hours. The employer must pay double the employee’s regular hourly wage for overtime hours. Employees must receive at least one day off each week.

Sick leave is predominantly determined by company policy and state laws. Statutory sick leave provisions vary from industry to industry and range from 15 to 40 days. The best practice is to outline the terms and conditions of sick leave in contract documents. 

An employee having her first or second child is entitled to 26 weeks of maternity leave in India beginning eight weeks before the expected due date. If the employee already has two or more biological children, she receives 12 weeks of paid maternity leave. Employers with 10 employees or more are required to pay employees on maternity leave.

India has thousands of minimum wages that vary by region, industry, job and seniority. Employers with at least 20 employees must pay a 13th month salary.

Employees receive one day of paid vacation leave in India for every month of service. Up to 30 days of accrued but unused leave can be carried over.

In India, the public holidays are:

• Republic Day

• Labor Day

• Independence Day

• Gandhi Jayanti

• Christmas Day

India has universal healthcare for its citizens. Employers do not have to offer private health insurance although some employers do offer this benefit.

Employees who have worked for at least one year must be given written notice to terminate their contracts. The duration of notice period depends on the number of employees in the establishment and reason for termination:

• Establishments with at least 50 employees - 1 month

• Closure of establishment with at least 50 employees - 60 days

• Establishments with at least 300 employees - 3 months