India Employment Guide

India is in South Asia, bordering the Bay of Bengal (east), Arabian Sea (west), China, Nepal, Bhutan (north) and Pakistan (northwest). It has ~1.4 billion people (the world’s 2nd most populous); Hindi and English are official (plus local languages per state), with New Delhi as capital. Its economy grows fast, service-led (notably IT and finance), while agriculture and manufacturing matter. Labor laws (e.g., Industrial Disputes Act, Factories Act) protect wages, hours, leave and social security. Standard workweek: 48 hours (overtime needs extra pay/time off). Salaries are usually monthly (avg. ₹35,000 pre-tax). Laws cover paid leave, back flexible work and protect vulnerable workers, balancing interests for a sustainable labor market.

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Currency

Indian Rupee (INR, ₹)

Capital

New Delhi

Official language

Hindi and English

Salary Cycle

Monthly

Our Employment Guide in India

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Essential Components of Employment Contracts in India

When establishing formal employment relationships in India, contracts must be executed in English, though bilingual versions are acceptable. Written documentation signed by both parties is mandatory for legal compliance.

Comprehensive employment agreements should clearly specify these critical elements:

Full legal names of employer and employee
Designation and detailed job responsibilities
Leave entitlements and holiday policies
Employee obligations and conduct expectations
Termination conditions and notice periods

Understanding Probationary Periods

Indian labor legislation does not mandate probation periods, making them optional for employers. However, most organizations implement a standard 6-month probationary phase. Companies like SailGlobal often extend this period by an additional 3 months for comprehensive evaluation of employee performance and cultural fit.

Practical Implementation Considerations

Multinational corporations operating in India frequently customize probation terms based on role complexity. Senior positions might undergo longer assessment periods, while technical roles may require specific performance metrics. SailGlobal's approach includes regular probation reviews with documented feedback sessions.

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