Courtney Pocock
By Courtney Pocock

Verified review

India
India
Compare the Best Employer of Record (EOR) Services in India

Compare the Best Employer of Record (EOR) Services in India

Looking for an Employer of Record (EOR) that can help you to grow your company by tapping into the over 600 million workers in India, the world’s second most populous country? You’ve come to the right place.

Today, we’ll be skipping the formalities and assuming that you know what an EOR is and why you might want to work with one. Instead, we’ll dive straight into a comparison of some of the best EORs that service the country and share a few of our thoughts on which ones we think come out on top.

If you’re hiring across Asia or globally, our global Employer of Record comparison provides a wider benchmark.

If you’re looking for the right EOR in India, share your needs and we’ll match you with the best providers.

Why Trust Our Best India EOR Comparison

Why Trust Our Best India EOR Comparison

We are 100% independent. Employsome is not owned by or affiliated with any Employer of Record, PEO or payroll provider. No EOR can pay to rank higher. We highlight both strengths and weaknesses so companies can make a genuinely informed decision.

Data-driven EOR scoring. Every provider is evaluated using our Global EOR Score and a dedicated India On-the-Ground Score, assessing pricing transparency, contract terms, platform quality, service reliability, and real execution inside India.

Verified India EOR data. We independently validate each provider’s local India operations, including local entity setup (or in-country partners) and state-level labour law handling.

Built by people who ran EORs. Employsome was created by former EOR operators who have managed global payroll and large-scale hiring in highly regulated markets like India. We’ve seen where EORs perform well and where they break down. Our mission is to bring clarity and realism to an industry that often relies on marketing rather than facts.

In-Depth Review: Best 10 Employer of Record (EOR) Services in India (2026)

In-Depth Review: Best 10 Employer of Record (EOR) Services in India (2026)

1
Remote

Remote bills itself as “the HR and payroll engine for growing teams”, and its reputation is more as a self-service tool for hiring, managing and paying than as a full EOR. Despite that, it has a solid EOR offering and a transparent pricing model that allows you to pay as you go and for only the features you need. Their powerful software is simple and easy to use, and they promise to help companies to hire ten times faster and with a fraction of the paperwork. 

Global

$704

Ø Fee per Employee per Month, First Year

  • No deposit
  • No setup fee
Advantages:
  • Global country coverage
  • Enterprise-grade software
🌍 Global EOR Score
Very Good

✓ Global Coverage & Services (4.6/5): Strong global EOR coverage, mostly through Remote-owned legal entities. Wide range of add-on services offered beyond EOR such as global payroll services, contractor payments, equity add-ons, HRIS, benefits, U.S. PEO and more.

✓ Pricing & Transparency (4.1/5):  Fees are higher compared to other global EORs. Also, a “hidden” currency exchange fee of up to 8% applies. However, Remote does not apply an EOR security deposit. OK, overall.

✓ Payment & Contract Terms (4.6/5): No minimum contract commitment which allows for flexible EOR hiring. Further, payroll cut-off on the 11th of the month and payment terms of 10 days.

✓ Customer Experience & Support (4.8/5): Remote’s EOR solution is designed to be mostly self-service for customers hiring < 10 staff. No dedicated account manager is assigned and support is run through their offshore-team.

✓ Platform & Integrations (4.7/5): Remote’s platform is amongst the best of the industry with a large amount of features and integrations available. It’s suitable for enterprise customers.

4.6/5

🇮🇳 India EOR Score
Good

✓ Entity Ownership: Mix of owned entities and partners (verify India routing).

✓ Onboarding Speed: Typically 3–7 business days depending on documentation.

✓ On-Site HR Support: Local contacts available; escalation paths clear for enterprises.

✓ Visa & Work Permit Support: Work-permit guidance; sponsorship limited—verify locally.

✓ In-Country Compliance: Solid compliance processes for payroll, taxes, and statutory filings.

✓ Local Add-Ons: Benefits and payroll add-ons; limited local mobility services.

4.2/5

Pros
  • Transparent global pricing: Remote publicly displays EOR pricing for India and other markets, with flat monthly fees and no setup charges. This reduces the budgeting ambiguity typical of quote-only EORs and helps employers forecast total cost of employment upfront. However, check the hidden FX markup.

  • Owned entities in India: Remote owns entities in India.

  • Strong India compliance execution: Remote supports India-specific statutory obligations including EPF contributions, ESI (if applicable), Professional Tax across states, TDS payroll withholding, statutory bonus eligibility, and Shops & Establishments Act-aligned contracts. Their contract templates incorporate India’s mandated notice periods and earned-leave entitlements.

  • Mature platform automation: Remote offers automated payroll calculations, localized onboarding flows, leave tracking, time-off rules aligned with India entitlements, and automated recurring payment schedules. Their API and integrations allow HR and finance teams to centralize global operations, reducing manual admin.

  • Benefits catalogue extending in India: Employees hired via Remote in India can access supplemental insurance options, wellness benefits, and Remote’s global mental-health resources. While not as deep as India-only benefits brokers, it’s broader than many EOR competitors that offer minimal plans.

  • Good support and documentation: Remote provides structured India hiring guides, statutory explanations, and compliance documentation, which reduces learning curves for non-Indian employers hiring their first local staff.

Cons
  • Not an India-owned entity: Remote’s India operations involve a partner-based model; therefore employers do not get full direct-entity control. This may influence onboarding SLAs, contract customization flexibility, and response times for complex compliance queries.

  • Visa sponsorship limitations: Remote provides advisory support for Indian employment visas but does not sponsor work permits in India. This is problematic for companies hiring expatriates or inbound transfers because India requires registered employers to issue sponsorship letters.

  • Benefit plan depth limited: India corporate insurance plans vary widely by carrier, coverage tiers, and city. Remote’s India benefit selection is more limited in customization, especially compared to India-first HR companies or large EORs with broad insurer networks.

  • Onboarding timelines can stretch: Remote’s India onboarding varies from 3 to 10+ business days depending on state location, PAN/Aadhaar readiness, and whether employees require contract revisions. Custom compensation structures (HRA split, allowances, new tax regime vs. old) can extend processing time.

  • Higher FX markup vs. payroll-first providers: Remote’s FX conversion and billing rate can be higher than local India payroll processors or global payroll-first platforms. This raises total cost of employment for USD→INR flows, especially at scale.

  • Limited payroll customization flexibility: India payroll often requires employer-level customization (HRA percentages, special allowances, reimbursements, meal cards, LTA, bonus structuring). Remote offers standardized structures that may not support advanced optimization or company-specific CTC breakdowns.

Companies with tightly defined briefs that need specific services, such as payroll, and which don’t need an India-first company but are happy to work with more of a generalist with presences throughout the globe.

2
Multiplier

Multiplier’s goal is to change the way the world works by providing EOR services to companies in over 120 countries, paving the way towards what they hope will one day become a borderless world of work. They’re more mission-driven than most, having been established by three founders who had to leave their homelands in search of work. Now grown to over 500 employees, it’s a solid choice of EOR that offers a decent service but without the bells and whistles, allowing them to keep their prices affordable enough for the majority of the market.

Global

$405

Ø Fee per Employee per Month, First Year

🌍 Global EOR Score
Good

Global Coverage & Services (4.4/5): EOR services across 120+ countries, including contractor management, global payroll outsourcing, statutory compliance, benefits administration, and immigration support in selected jurisdictions.

Pricing & Transparency (4.0/5): Generally clear pricing and competitive for scaleups at $505 per EOR contractor, though FX markups apply (stated ~2%, reported higher in some cases) and country-level cost breakdowns are not always fully transparent upfront.

Payment & Contract Terms (4.0/5): No minimum contract commitment and flexible agreements. However, invoices are issued early and short payment windows (often ~7 days) can impact cash flow.

Customer Experience & Support (4.3/5): Improved support quality in recent years with a solid self-service knowledge base. Support experience and escalation handling can vary by region.

Platform & Integrations (4.5/5): Strong, modern platform with clean UX, efficient onboarding, and good multi-country reporting. Integration depth and automation are slightly behind top tech-first EORs.

4.2/5

🇮🇳 India EOR Score
Very Good

✓ Entity Ownership: Operates via local entity / trusted local partners (confirm by country).

✓ Onboarding Speed: 2–5 business days typical with complete docs.

✓ On-Site HR Support: Local HR & payroll specialists available for escalations.

✓ Visa & Work Permit Support: Work authorization guidance; sponsorship in limited cases (verify).

✓ In-Country Compliance: Good coverage for statutory filings (ESI/EPF/Professional Tax/GST payroll interaction).

✓ Local Add-Ons: Local benefits administration, payroll customizations, contractor to employee transitions.

4.4/5

Pros
  • Transparent pricing: Clear published rates and predictable invoicing.

  • Strong platform integrations: Readily integrates with HRIS and finance systems.

  • Local operational support: Dedicated country specialists for India.

Cons
  • Variable sponsorship capability: Visa sponsorship limited or partner-dependent.

  • Pricing for enterprise: Higher tiers for complex, enterprise use-cases.

  • Regional variance: SLAs and functionality sometimes differ by partner-country.

Multiplier is the ideal choice for people who want plenty of support as they navigate the complex world of EORs and Indian employment law. Their customer service is top notch, with them providing help around the clock and with dedicated managers for every client.

3
TopSource

TopSource Worldwide is a payroll-first global employment provider with deep operational roots in India and the UK. Unlike software-led EOR platforms, TopSource specializes in high-accuracy payroll execution, statutory compliance, and HR administration across India’s complex multi-state landscape. Its India delivery emphasizes locally run payroll, PF/ESI/TDS compliance, Professional Tax management, and hands-on HR support, making it particularly strong for companies that value precision, predictable operations, and regional expertise over automation-heavy workflows. TopSource is well-suited to businesses that are scaling small-to-mid sized India teams and require dependable statutory compliance rather than a full-stack HRIS platform.

Global

$753

Ø Fee per Employee per Month, First Year

🌍 Global EOR Score
Good

Global Coverage & Services (4.3/5): Service-led global EOR and payroll provider with 20+ years of experience and active coverage across ~50 countries, with strongest execution in India and the UK. Delivers full EOR scope including compliant contracts, payroll, statutory filings, onboarding, terminations, and ongoing HR administration. Also supports immigration and global mobility. Not a software-first EOR; service depth varies by country.

Pricing & Transparency (4.0/5): Pricing is clear once scoped, with typical EOR fees around €450–€600 per employee/month depending on country. Setup fees are defined and sometimes waived. No public pricing; quote-based model reduces upfront comparability but improves accuracy for complex or multi-country hires.

Payment & Contract Terms (4.3/5): Uses standard, locally compliant employment contracts. Clear invoicing once agreed. Payroll pre-funding and security deposits may apply in certain jurisdictions. Well suited for long-term and enterprise hiring, less flexible for short-term pilots.

Customer Experience & Support (4.5/5): High-touch, consultant-led support with direct access to HR, payroll, and compliance specialists. Strong for complex cases and international rollouts. No product-led 24/7 support; experience depends on assigned delivery team.

Platform & Integrations (3.6/5): Functional systems for payroll inputs, documentation, and reporting. Platform supports service delivery but is not automation-first and offers limited native integrations compared to SaaS-led EORs.

4.1/5

🇮🇳 India EOR Score
Good

✓ Entity Ownership: TopSource has its own entity in India which means they do not rely on a in-country partner.
✓ Onboarding Speed: Generally 3–5 business days with complete documentation; predictable timelines due to India-first payroll operations.
✓ On-Site HR Support: Strong, locally embedded HR and payroll teams in India providing hands-on support for employees and employers.
✗ Visa & Work Permit Support: Documentation and eligibility guidance available, but TopSource cannot directly sponsor India employment visas.
✓ In-Country Compliance: Excellent coverage of EPF, ESI, TDS, Professional Tax, statutory bonus, contract compliance, Shops & Establishments registration requirements, attendance rules, and state-specific wage orders.
✓ Local Add-Ons: Indian benefits management, payroll outsourcing, HR administration, time and attendance management, and custom CTC advisory.

4.2/5

Pros
  • Deep India payroll expertise: TopSource has one of the longest payroll histories in India among global EORs, providing extremely accurate PF, ESI, TDS, and Professional Tax processing across multiple states.

  • Human-led support model: India-based HR and payroll teams provide personalized support.

  • Reliable monthly payroll: Known for dependable cycle execution even during complex months (statutory changes, arrears, variable pay cycles, or multi-state payroll).

Cons
  • No India visa sponsorship: Only advisory support provided, which is insufficient for inbound foreign talent.

  • Not ideal for engineering-heavy teams: Lack of IT/device provisioning, own modern HRIS, identity management, and HRIS automation limits suitability for tech-heavy organizations.

  • Slower global expansion: Best for India + APAC hiring, not ideal for companies expanding rapidly across many markets.

TopSource is a great partner if you are expanding primarily in India or generally APAC. If you prefer service-led support over automation and self-service, they are a good fit.

There’s a big clue here in the name, because G-P has a presence pretty much all over the globe, allowing their clients to tap into a talent pool of employees across over 180 countries. They’re a great choice if India is just one of the many countries that you plan to hire in, but if it’s the only one you’re interested in then you may be better off with an Indian specialist.

Global

$940

Ø Fee per Employee per Month, First Year

Advantages:
  • White-glove services (with premium price-tag)
  • Enterprise-grade software
🌍 Global EOR Score
Average

Global Coverage & Services (4.5/5): EOR services across 125+ countries, covering compliant employment contracts, payroll processing, statutory filings, terminations, and benefits administration. Supports contractor management (USD 39/month per contractor), global payroll, immigration and visa services, insurance and pension support, background checks, equipment procurement, and equity & stock option administration.

✓ Pricing & Transparency (3.0/5): EOR pricing typically ranges around USD 940 per employee/month plus a one-time setup fee of USD 2,820. Security deposits of 1–2.5 months of total employment cost apply depending on credit checks. FX markup estimated at ~3%. Pricing is sales-led only, with no public or self-serve country-level cost breakdowns.

✓ Payment & Contract Terms (3.0/5): Enterprise-leaning contract structures, often requiring longer minimum commitments (up to 12 months). Invoices are issued around the 15th of the month with net-7 payment terms. Late payments incur 5% interest. Offboarding fees of USD 1,000 may apply. Contracts are standardized, compliance-driven, and relatively rigid.

Customer Experience & Support (4.5/5): Enterprise-grade, consultative support model with dedicated account managers, live chat (≈2-minute first response), phone support, onboarding and termination assistance, compliance alerts, and AI-supported guidance. Strong depth across HR, legal, and compliance topics.

Platform & Integrations (4.0/5): Stable enterprise platform covering payroll, employment documents, time-off, expenses, reporting, and compliance workflows. Includes G-P Assist AI. SOC 2 and ISO 27001 certified. Integrations available with major HRIS/HCM systems (Workday, SAP SuccessFactors, UKG, BambooHR, HiBob). Reliable, but less automation-heavy than newer tech-first platforms.

3.8/5

🇮🇳 India EOR Score
Good

✓ Entity Ownership: Uses its global EOR infrastructure; India delivered via G-P–controlled structure with vetted local partners (not a third-party PEO marketplace).

✓ Onboarding Speed: Typically 3–7 business days depending on PAN/Aadhaar readiness, contract customisation, and state-level requirements.

✓ On-Site HR Support: India-based HR and payroll specialists available through G-P’s regional service hubs.

✓ Visa & Work Permit Support: Provides mobility advisory and documentation guidance; India does not permit direct sponsorship by foreign-owned EORs, so sponsorship support is advisory only.

✓ In-Country Compliance: Strong execution across PF, ESI, Professional Tax, TDS payroll, Shops & Establishments compliance, and statutory bonus qualification.

✓ Local Add-Ons: Access to supplemental insurance, wellness benefits, learning tools, HR advisory, and payroll modelling for India-specific CTC structures.

4.4/5

Pros
  • Deep compliance maturity: G-P has one of the longest global operational track records (founded 2012) and strong frameworks for Indian statutory compliance including PF/ESI, Professional Tax, and TDS calculations.

  • Enterprise-grade support: Large India-aware HR, payroll, and legal teams reduce risk for complex scenarios (role changes, multi-state presence, CTC restructuring).

  • Consistent contract quality: Indian employment contracts follow strong compliance norms (notice periods, leave entitlements, statutory clauses), reducing downstream legal exposure.

  • Scales well for larger teams: Ideal for mid-market and enterprise companies needing predictable compliance across >10 hires in India or multi-country hiring.

  • Strong benefits offering: Access to supplemental health, life, and wellness plans that exceed what many partner-based mid-market EORs provide.

Cons
  • Premium cost structure: India EOR pricing is significantly higher than newer competitors like Multiplier or Skuad; FX and benefits markups can increase total cost of employment.

  • Limited transparency: Country-level pricing, FX spreads, and benefit markups are not published publicly and require 1:1 sales calls.

  • Not India-entity owned: India hiring uses a partner-driven legal structure, not a wholly owned local entity, which can restrict contract flexibility and SLA speed.

  • Slower agility: G-P’s processes are reliable but slower for rapid-growth companies needing quick contract iterations or urgent documentation changes.

  • Limited employer configuration: India’s CTC flexibility (HRA, LTA, allowances) is partly supported but less customizable than what India-first platforms offer.

G-P is a more traditional EOR provider that has great labour law experience but comes with a higher price point. We would recommend G-P to larger corporations who do not mind paying the extra dollar but value compliance and consultative support. They are exceptionally equipped to handle more sensitive or regulated functions for instance in the finance, healthcare, or IT space that require controlled documentation and stable compliance handling.

5
Playroll

Playroll is one of the more generic EORs, but in a good way. They let their work speak on their behalf, and instead of spending a ton of money on marketing and branding, they focus on just doing a good job. They might not necessarily be the best EOR specifically in India, but they do a good job of providing an international service for clients who are hiring across a number of different companies. 

Global

$499

Ø Fee per Employee per Month, First Year

  • No Setup Fee
🌍 Global EOR Score
Good

Global Coverage & Services (4.3/5): EOR coverage across approximately 60 countries, with strongest delivery in Europe, the UK, Canada, and selected APAC markets. Supports compliant employment contracts, payroll processing, statutory filings, terminations, and contractor hiring.

Pricing & Transparency (4.0/5): Public country-level pricing typically ranges from USD 265–499 per employee/month with no setup fees. Mandatory deposits, FX spreads of around 2.5%, and early termination fees apply and increase total employment cost.

Payment & Contract Terms (4.1/5): Playroll offers transparent EOR pricing and broad global coverage. However, short payment terms (net 7 days), a minimum contract commitment of six months, and additional fees (such as early termination and out-of-cycle payroll) may be restrictive. Contracts shorter than six months typically require paying the equivalent of three monthly EOR fees. Payroll cut-offs usually fall around the 10th of each month.

Customer Experience & Support (4.7/5): Service-led model with dedicated account managers, structured onboarding and offboarding support, and typical first-response times within 24 hours.

Platform & Integrations (4.4/5): Advanced platform with payroll automation, compliance workflows, cost calculators, misclassification assessment, and reporting dashboards. Native integrations are limited and there is no mobile app.

4.3/5

🇮🇳 India EOR Score
Good

Entity Ownership (3.0/5): Playroll does not operate through an owned Indian entity and delivers EOR services via a local partner. This limits direct control compared to owned-entity models.

Onboarding Speed (4.0/5): Typical onboarding completed within 3–7 business days, depending on documentation readiness.

On-Site HR Support (4.5/5): Strong local HR and payroll execution via partner model, with reliable handling of day-to-day employment matters.

Visa & Work Permit Support (3.5/5): Advisory-level support only; Playroll does not directly sponsor Indian work permits.

In-Country Compliance (4.5/5): Strong handling of PF, ESI, TDS, statutory bonuses, Shops & Establishments compliance, and locally compliant employment contracts.

Local Add-Ons (4.5/5): Payroll-only services, statutory benefits administration, and India-specific reporting available.

4.0/5

Pros
  • Competitive pricing: Playroll typically prices below enterprise EORs while offering clearer transparency than providers that hide FX or partner fees. Strong fit for early-stage or cost-conscious teams hiring in India.

  • Fast, predictable onboarding: India onboarding commonly completes in 2–5 days with clean documentation, faster than several partner-dominated EORs whose SLAs stretch past 7–10 days.

  • Solid India compliance handling: Playroll manages EPF, ESI, Professional Tax, TDS, leave entitlements, and Shops & Establishments compliance. Their India payroll cycles follow standard statutory timelines, reducing employer risk.

  • Good HR support experience: Indian employees receive localized onboarding guidance, payslips, leave tracking, and access to benefits modules. Employers benefit from India-aware HR specialists who understand CTC structuring and state-level rules.

Cons
  • No owned India entity: India employment is executed via a partner-based structure; this limits contract flexibility and SLA control compared with direct-entity providers (e.g., Deel, Multiplier).

  • Limited immigration capability: Playroll cannot sponsor India employment visas; guidance is advisory only, restricting inbound hiring of foreign workers.

  • Benefits catalog not deeply localized: India benefit plans are available but not as customizable or carrier-diverse as those from enterprise EORs or India-native HR providers.

  • Scaling complexity: While excellent for small-to-mid teams (1–25 India hires), Playroll may lack the depth required for large enterprise deployments needing advanced compliance modeling or multi-entity coordination.

Playroll is targeting quite cost-sensitive companies that need to onboard their talent fast. If you need a low-complexity solution that works but does not need any fancy integrations but rather local, hands-on support, Playroll can be great fit.

Skuad is a global EOR provider that was purchased by Payoneer (listed at NASDAQ). They serve EOR in all countries but are quite APAC focused. They have a modern platform and work mostly with local in-country partners. Skuad emphasizes fast onboardigs and reliable compliance and is especially targeting start-ups and smaller companies that want to enter Asia.

Global

Most Popular
$199

Ø Fee per Employee per Month, First Year

  • No deposit
  • No Setup Fee
🌍 Global EOR Score
Good

Global Coverage & Services (4.1/5): EOR coverage across ~85 countries, focused on compliant employment contracts, payroll processing, and statutory benefits. Strong cross-border payments infrastructure backed by Payoneer. Coverage breadth is solid, but service depth and add-ons vary by country.

Pricing & Transparency (4.4/5): Very competitive EOR pricing starting at USD 199 to USD 249/month per employee/month. Pricing is largely fixed and predictable, with no setup or offboarding fees. No hidden fees only additional cost is an FX markup at normal market level.

Payment & Contract Terms (4.0/5): Minimum contract commitment of 6–12 months with one-month termination notice. Straightforward contract structure with no hidden fees beyond FX. Less flexible than month-to-month EORs, but still reasonable for SMBs and scaleups.

Customer Experience & Support (4.0/5): Dedicated account management with reliable day-to-day support. Support is only available during weekdays via email, phone, or live chat. Typical onboarding timelines are around one week. Support is only available during weekdays via email, phone, or live chat. More complex cases may depend on local partner responsiveness, which can impact resolution speed.

Platform & Integrations (4.2/5): Clean, modern platform with efficient onboarding and payroll workflows. Strong usability for standard EOR needs, but limited advanced HRIS functionality, enterprise integrations, and complex automation compared to top-tier enterprise platforms.

4.1/5

🇮🇳 India EOR Score
Good

✗  Entity Ownership: India delivered via Skuad’s controlled infrastructure with vetted local partners rather than marketplace-style vendors.

✓ Onboarding Speed: Typically 1–5 business days with complete documentation; one of the faster onboarding cycles among partner-model EORs.

✓ On-Site HR Support: Local HR and payroll specialists provide India-focused support for statutory questions, CTC structuring, and labour-law alignment.

✓ Visa & Work Permit Support: Provides documentation and eligibility guidance but cannot sponsor India visas; inbound hiring requires pre-existing work authorization.

✓ In-Country Compliance: Handles EPF, ESI, TDS, Professional Tax, Shops & Establishments alignment, leave entitlements, and statutory bonus obligations.

✓ Local Add-Ons: Supplemental medical insurance, payroll customisations, contractor-to-employee transitions, and India-focused HR advisory.

4.1/5

Pros
  • Fast onboarding: Skuad’s India hiring flow often completes within 1–5 days, faster than many partner-based EORs where contracts and statutory checks can take over a week.

  • Reliable statutory compliance: Covers PF, ESI, TDS, Professional Tax, and statutory leave requirements with predictable monthly payroll cycles, lowering employer risk for India regulatory exposure.

  • Contractor conversion capability: Skuad supports transitioning long-term contractors in India into compliant full-time employment.

Cons
  • Partner-based India employment: India hiring is not via a Skuad-owned entity; contract flexibility and SLA speed are dependent on local partners.

  • Not ideal for enterprise-scale India operations: Companies needing advanced CTC structures, multi-entity coordination, or stringent SLAs may outgrow Skuad’s feature set.

  • Fewer benefits options: India benefits plans exist but offer limited customization compared with large EORs with deep carrier relationships.

Skuad is best for smaller companies that want to onboard 1-20 employees in India as fast as possible. If you want to not break a bank and pay low fees, Skuad is your provider. Skuad is for sure a high-touch support provider as they have less self-serving than some bigger providers. If you want to hire bigger teams, have more complex immigration cases, check out our other providers.

7
Rippling

Rippling is half workforce management platform, half employer of record. The good news is that they have a ton of integrations, with their platform integrating with over 500 applications, and they also have physical offices scattered throughout the globe, including in India. This allows them to provide a comprehensive service to companies from anywhere in the world, making them a solid choice for your Indian EOR.

Global

$645

Ø Fee per Employee per Month, First Year

Advantages:
  • Strong for U.S. based businesses
  • Enterprise-grade software
🌍 Global EOR Score
Good

Global Coverage & Services (4.0/5): Growing EOR coverage paired with a very broad service ecosystem spanning U.S. PEO, HRIS, global payroll, benefits (focus on the U.S.), and spend management. Strong variety in solutions, though depth and consistency still vary by country as global coverage continues to expand.

Pricing & Transparency (3.0/5): Modular pricing model offers flexibility, but EOR pricing lacks upfront clarity. Sales cycle was also very challenging to navigate through.

Payment & Contract Terms (4.0/5): Flexible, open-ended contracts without any minimum commitment.

Customer Experience & Support (4.0/5): Experienced local EOR advisors and user-friendly payroll cycles in supported regions. Again, support quality can vary by country and is more product-led than white-glove for more complex hiring cases.

Platform & Integrations (5.0/5): Together with Deel, best-in-class unified platform combining HR, IT, and finance with advanced automation and many integrations. Platform depth may exceed the needs of smaller or less complex teams and more tailored towards enterprises.

4.0/5

🇮🇳 India EOR Score
Good

✓ Entity Ownership: Rippling operates India EOR via its controlled entity network and vetted local partner infrastructure; not a marketplace model.

✓ Onboarding Speed: Typical onboarding is 3–7 business days depending on PAN/Aadhaar readiness, contract structure, and allowance configuration.

✓ On-Site HR Support: Access to regional HR and payroll specialists who handle India-specific compliance, escalations, and statutory interpretation.

✓ Visa & Work Permit Support: Provides guidance on India work authorization but does not directly sponsor visas; inbound employment requires employer-of-record limitations.

✓ In-Country Compliance: Supports PF, ESI, Professional Tax, TDS, India payroll cycles, statutory bonus, Shops & Establishments compliance, and statutory leave alignment.

✓ Local Add-Ons: India benefits, device management, IT provisioning, time tracking, and deep HRIS/IT integrations unique to Rippling’s stack.

4.1/5

Pros
  • Best-in-class automation: Rippling automates HR + payroll + IT provisioning in one system, enabling streamlined onboarding, role changes, and device issuance for India-based employees.

  • Unified HR + IT stack: Rippling uniquely controls identity, device management, app permissions, payroll, benefits, and HR workflows in a single platform, a major advantage for global engineering and IT-heavy teams hiring in India.

  • Reliable India statutory compliance: Rippling manages PF, ESI, Professional Tax, TDS, annual Form 16 cycles, and state compliance under Shops & Establishments. Their payroll templates follow India’s standard CTC breakdowns and support common allowances.

  • Owned global infrastructure footprint: While India is delivered through owned/partner routing, Rippling’s global entity expansion strategy offers better control than pure partner-based EORs.

  • Good benefits and perks: Provides supplemental Indian insurance options plus HRIS modules for leave, reimbursements, and attendance – useful for employers matching India local expectations.

  • Enterprise-ready capabilities: Implementation teams and structured processes make Rippling ideal for companies hiring 10+ employees across India.

Cons
  • Slower onboarding for some profiles: India onboarding may stretch beyond 7 days for employees without complete documentation or needing complex CTC configuration.

  • Limited customization of India CTC structures: While standard India CTC components are supported, Rippling is less flexible with employer-specific allowances, LTA, meal cards, or highly customized salary structures.

  • No direct visa sponsorship: Indian work permits cannot be issued through Rippling as the EOR; foreign workers must hold independent visa types.

  • Higher total cost of ownership: Costs rise when HR, IT, payroll, and device-management modules are bundled – more expensive than lightweight EORs like Skuad or Playroll.

  • Heavier implementation workload: Rippling’s unified platform requires configuration across HR + IT modules, which can feel complex for small teams that want a simple India-only EOR.

A lot of Rippling users start out with their self-service workforce management platform and then graduate to their full EOR services when they expand into new markets. It’s also ideal for those who are exploring their options due to unhappiness with their present provider.

8
Oyster HR

Oyster was launched in 2019 to make global employment easier for both employers and the workers that they hire. Despite the COVID-19 pandemic hitting them as they went into their second year, the company has gone from strength to strength, now serving over 60 countries and helping temporary workers to continue to grow professionally where other EORs tend to leave them to it.

Global

$635

Ø Fee per Employee per Month, First Year

Advantages:
  • Great product UI/UX
  • Owned entity infrastructure in most markets
🌍 Global EOR Score
Good

Global Coverage & Services (4.0/5): EOR services in 100+ countries covering employment contracts, payroll, statutory filings, expense reimbursements, and offboarding. Standardized, compliance-first delivery model.

Pricing & Transparency (4.0/5): Flat EOR pricing of USD 699 per employee/month. Pricing is public and predictable. FX markups are not disclosed and can be significant depending on currency.

Payment & Contract Terms (4.0/5): Invoices are net 7 days. A minimum one-month security deposit applies and may increase based on risk. Late payments accrue 1.5% daily interest.

Customer Experience & Support (4.5/5): Guided onboarding, strong compliance documentation, and structured support processes. Onboarding speed varies due to regulatory checks.

Platform & Integrations (4.3/5): Clean UI with core HRIS features (leave, expenses, invoicing, reporting). Fewer native integrations and automations than Deel or Remote.

4.2/5

🇮🇳 India EOR Score
Average

Entity Ownership (3.0/5): Partner-based delivery model rather than an Oyster-owned entity.

Onboarding Speed (4.0/5): Standard onboarding timelines dependent on PAN, Aadhaar, and partner coordination.

On-Site HR Support (4.0/5): Solid payroll and HR execution for standard employment scenarios.

Visa & Work Permit Support (3.5/5): Offers advisory support but cannot directly sponsor India work permits; inbound foreign hires must already hold the correct visa category.

In-Country Compliance (4.5/5): Manages EPF, ESI (if applicable), Professional Tax, TDS payroll withholding, statutory bonus evaluation, and Shops & Establishments-aligned contracts.

Local Add-Ons (4.0/5): Payroll-only services, statutory benefits administration, and India-specific reporting.

3.9/5

Pros
  • Transparent pricing: Oyster publishes flat-rate EOR pricing, reducing uncertainty around India hiring, FX markups, and add-on fees — helpful for early-stage teams entering India for the first time.

  • Strong statutory compliance management: Covers EPF, ESI, Professional Tax, and TDS rules across Indian states. Contracts include required clauses (notice periods, leave entitlements, standing orders equivalents), lowering compliance risk.

  • Employee-friendly experience: Digital onboarding, payslips, leave tools, and Oyster Academy support India employees well, especially remote engineers and analysts.

  • Good documentation: Oyster offers detailed India hiring guides explaining statutory rules, tax regimes, and benefits, which is useful for companies without Indian HR expertise.

Cons
  • Limited immigration ability: Oyster cannot sponsor India employment visas; guidance is advisory only. This restricts employers hiring expatriates relocating into India.

  • Payroll flexibility constraints: India CTC structures requiring precise customization (HRA %, LTA, special allowances, reimbursement frameworks) may be constrained by Oyster’s standardized payroll s

  • Onboarding SLA variability: Onboarding ranges widely (3–10+ days) depending on partner queue, employee documentation, and contract revisions.

  • Moderate benefits depth: India supplemental insurance options exist but offer fewer carriers and customization than India-first benefit brokers or enterprise EORs.

Any company that prides itself on the way it treats its employees and which wants its temporary workers to experience personal growth. It’s also a solid pick if you’re expecting to hire employees in bulk.

9
Safeguard Global

Safeguard Global has a reputation for being one of those rare companies that says that it lives by its values and which actually does. They’re unafraid to be disruptive, even if that means taking risks or losing market share, and they bring a little personality to an industry that sometimes risks feeling robotic. 

Global

$460

Ø Fee per Employee per Month, First Year

🌍 Global EOR Score
Good

Global Coverage & Services (4.4/5): Coverage across 100+ countries via partner entities. Supports full EOR scope: compliant employment contracts, payroll, statutory filings, terminations, and HR advisory. Proven experience with large, multi-country enterprise rollouts. Partner-led delivery means execution quality varies by country.

Pricing & Transparency (3.7/5): No public pricing. Fees provided after sales scoping. Pricing varies by country and partner. FX fees and local employer burden not always disclosed upfront, impacting cost predictability for procurement-led buyers.

Payment & Contract Terms (4.5/5): Jurisdiction-specific, enterprise-grade contract templates. Clearly defined payroll cut-offs and payment timelines. Payroll pre-funding required in some countries. Additional administrative steps apply in ICP-heavy jurisdictions.

Customer Experience & Support (4.2/5): Dedicated client success managers for enterprise accounts. Strong experience handling complex, multi-entity, and regulated environments. No unified 24/7 global support model; responsiveness depends on local partner execution.

Platform & Integrations (3.9/5): Provides payroll reporting, time tracking, and document management. Not a full HRIS and not automation-first. Limited integrations compared to SaaS-led EORs like Deel, Rippling, or Oyster.

4.1/5

🇮🇳 India EOR Score
Average

✗ Entity ownership: India employment delivered through a local partner network rather than a Safeguard-owned entity; confirm exact routing during diligence.

✓ Onboarding speed: Typical onboarding time is 3–10 business days depending on state regulations, partner workload, and payroll-cycle alignment.

✓ On-site HR support: Regional HR specialists available; India-specific escalations handled through Safeguard’s partner-led service model.

✓ Visa & work permit support: Provides mobility advisory (documentation, timelines) but cannot directly sponsor India work permits.

✓ In-country compliance: Manages EPF, ESI, TDS, Professional Tax, statutory bonus, Shops & Establishments obligations, and statutory employment contract templates.

✓ Local add-ons: Local benefits (health insurance), payroll-only services, mobility support, workforce analytics, and HR outsourcing options.

3.8/5

Pros
  • ✓ Deep experience in complex markets: Safeguard has decades of experience operating in emerging markets like India, handling challenging compliance areas such as multi-state Professional Tax, PF rules, statutory bonus applicability, and Shops & Establishments registrations when required by role.

  • Stable compliance execution: India payroll cycles, TDS filings, PF/ESI contributions, and statutory contract clauses are managed in a highly structured and audited service environment, reducing risk for compliance-heavy companies.

  • Flexible service portfolio: Beyond EOR, Safeguard can provide India payroll outsourcing, HR advisory, mobility guidance, and workforce analytics.

  • Strong enterprise support model: Their India delivery suits companies with multi-country teams, matrix reporting, and regulated environments (finance, consulting, enterprise IT) where documentation consistency is valued over speed.

Cons
  • Partner-first India delivery: Safeguard does not own its India employing entity, which means onboarding speed, contract flexibility, and employment nuance depend on partner processes rather than direct internal control.

  • Not optimized for fast-scaling startups: Safeguard’s processes and ticketing models are slower and more formal than automated EOR platforms; less suited to companies needing same-week hiring or iterative contract revisions.

  • Less modern platform experience: The interface is service-first rather than automation-first, lacking the deep integrations and workflow automation offered by Rippling, Remote, or Deel.

  • Immigration limitations: Safeguard cannot directly sponsor India work permits and provides advisory only, which restricts mobility for expats or internal transfers into India.

Anyone who identifies with their values of caring, accountability, integrity, disrupt and empower, passion and talent and fun. Also, anyone who’s willing to pay more to work with people that they like on a personal level.

BIPO is a global HR and Employer of Record (EOR) provider with a particularly strong operational footprint across Asia-Pacific, supported by its network of owned entities and regional service centers. Founded in Singapore, BIPO focuses on delivering end-to-end HR outsourcing, payroll, and compliance services for companies scaling across emerging and mature markets. Its platform combines multi-country payroll, workforce management, and employee self-service tools, while its EOR offering provides compliant hiring in 160+ countries through a mix of owned entities and vetted partners.

Global

$229

Ø fee per employee per month, first year

Advantages:
  • APAC Expert
🌍 Global EOR Score
Average

Global Coverage & Services (4.0/5): Broad EOR and payroll coverage across more than 100 countries with strongest execution in Asia-Pacific. Services are compliance-led and regionally delivered rather than software-first.

Pricing & Transparency (3.5/5): Quote-based pricing with generally stable long-term costs, though limited public pricing and add-ons often require contract confirmation.

Payment & Contract Terms (3.5/5): Standardized EOR contracts with clear compliance responsibilities. Flexibility and SLAs vary by country.

Customer Experience & Support (4.2/5): Strong regional payroll and HR expertise across APAC, with reliable but process-driven support.

Platform & Integrations (3.5/5): Functional HR and payroll platform covering core needs, with almost no automation and integrations compared to SaaS-first EORs.

3.8/5

🇮🇳 India EOR Score
Average

Entity Ownership (3.0/5): India operations are partner-based rather than via a BIPO-owned entity, which limits SLA control and contract flexibility.

Onboarding Speed (4.0/5): Typical onboarding takes 3–7 business days, depending on documentation readiness (PAN, Aadhaar) and partner processing timelines.

On-Site HR Support (4.0/5): Payroll and HR expertise available through BIPO’s APAC service network, with local execution handled by partners.

Visa & Work Permit Support (3.5/5): Advisory-level support only; BIPO does not directly sponsor Indian work permits.

In-Country Compliance (4.5/5): Strong handling of PF, ESI, TDS, Professional Tax, statutory bonuses, Shops & Establishments compliance, and locally compliant employment contracts.

Local Add-Ons (4.0/5): Supports India-specific statutory benefits (PF, ESI, Professional Tax), bonus and gratuity calculations, group health insurance, payroll-only services, Form 16 reporting, and HR outsourcing via partners. Limited premium benefits and equity tooling.

3.8/5

Pros
  • APAC regional strength: BIPO excels in Asia due to strong payroll infrastructure and deep knowledge of regional statutory rules, making it a reliable choice for companies scaling across India, Singapore, Indonesia, Vietnam, or China.

  • Stable payroll execution: BIPO has a strong reputation for accurate statutory payroll in India, managing EPF, ESI, TDS, and Professional Tax cycles with consistent month-end reliability.

  • Useful for HR outsourcing: BIPO provides HR admin, attendance management, leave workflows, and wider HRO services—helpful for companies needing more than just employment hosting.

Cons
  • No owned India entity: Partner-delivered India operations reduce agility, limit contract customization, and may slow escalations.

  • Not ideal for technical teams: Companies hiring large India engineering teams may prefer platforms with device management, app provisioning, or identity workflows (Rippling, Deel).

  • Immigration constraints: Advisory only — cannot sponsor employment visas, restricting inbound transfers or expatriate hires.

BIPO is an APAC-focused HR and payroll provider founded in Singapore, known for its strong regional presence across Asia and emphasis on service-led delivery. Its India EOR solution is delivered through local partner infrastructure with BIPO’s payroll engine and compliance teams coordinating statutory processes. BIPO is not a software-first global EOR like Rippling or Deel; instead, it is a payroll-driven service provider with regional HR outsourcing capabilities, making it especially suitable for companies prioritizing APAC coverage, local payroll accuracy, and cost efficiency over advanced automation or deep integrations.

How We Score & Rank Best India EOR Services

How We Score & Rank Best India EOR Services

Selecting the best India EOR requires more than comparing global platforms or basic monthly per-employee pricing. India’s employment framework is highly fragmented, state-driven, and operationally complex. That’s why our ranking combines global EOR quality with India-specific execution.

Our scoring model is built on two independent evaluations: the Global EOR Score and the India On-the-Ground EOR Score. Both scores are weighted to reflect what truly matters when hiring employees in India.

🌍 Global EOR Score

Overall provider performance across markets

This score reflects how strong an EOR provider is globally, independent of India. It evaluates overall provider quality across the areas that matter once you are actively using an EOR across one or more countries.

The Global EOR Score is based on the following five categories:

  • Global Coverage & Services. Breadth of country coverage, delivery model (owned legal entities vs. local partners), and availability of services such as global payroll, contractor management, immigration support, equipment provisioning, and other scale-enabling offerings.
  • Pricing & Transparency. Clarity of the full cost structure, including base EOR fees, FX mark-ups, security deposits, onboarding or offboarding fees, and add-ons.
  • Payment & Contract Terms. Minimum commitments, notice periods, payroll cut-offs, billing cycles, security deposits, and overall flexibility to amend or exit contracts.
  • Customer Experience & Support. Responsiveness, escalation handling, and consistency of service delivery across regions and time zones.
  • Platform & Integrations. Maturity of the EOR platform, including automated contract generation, employee and manager self-service, integrations, reporting, and workflow automation.

Each category is rated on a 1–5 scale, and the final Global EOR Score is calculated as the average of these five ratings.

🇮🇳 India EOR Score

On-the-ground performance in a specific country

This is the more important score when hiring in India. It measures how well an EOR actually executes employment locally under Indian labour and payroll law.

We evaluate six India-specific criteria:

  • Entity Ownership & Compliance. Does the EOR operate through its own Indian legal entity or does it rely on local third-party partners? We also assess whether the EOR is properly registered for statutory payroll, tax filings, and labour law compliance in India.
  • Onboarding Speed. We assess how quickly an EOR can onboard employees with compliant Indian employment agreements and complete mandatory registrations.
  • Local HR & Payroll Support. Does the EOR have India-based HR and payroll specialists who understand local labour laws, payroll filings, and employee relations, or is support handled offshore?
  • Visa & Work Permit Support. India has a structured but restrictive immigration framework. Though an uncommon use case for EOR, we assess whether the EOR can support Employment Visas compliance for non-Indian nationals, or whether services are limited to Indian citizens only.
  • Local Add-Ons. We review the EOR’s India-specific services, including gratuity administration, background checks, equipment provisioning, contractor-to-employee conversions, and local benefits support where applicable.

✔️ How The Final Rankings Work

Our India rankings build on our global EOR framework, with heavier weighting applied to local payroll and compliance. To account for both scores in a fair and practical way, our final Employsome best India EOR ranking uses a weighted model:

  • Global EOR Score: 40%
  • India On-the-Ground Score: 60%

This weighting ensures that:

  • EORs with strong global marketing and software but weak execution in India do not rank at the top
  • EORs with real Indian payroll, statutory compliance, and local HR expertise are properly recognised

Based on our strong industry experience, we believe this structure best reflects how companies should select the best Employer of Record in India. While global factors such as platform quality, pricing transparency, and international coverage matter, local execution in India is what drives employee satisfaction in the long run.

Legislation around Employer of Record in India

Legislation around Employer of Record in India

How the EOR Model Operates Under Indian Law

How the EOR Model Operates Under Indian Law

India does not have a specific legal licence or statutory framework that explicitly regulates “Employer of Record” services. Instead, EORs operate within India’s existing labour, tax, and corporate law structure.

In practice, most EOR providers in India operate through a consulting or services entity, not as a licensed employment or labour leasing agency. The EOR entity becomes the legal employer on paper, issues the employment contract, runs payroll, and remits statutory contributions, while the foreign client directs the employee’s day-to-day work.

This model is widely used in the Indian market and accepted in practice, particularly for professional, white-collar, and remote roles. However, it is important to understand that EORs in India are not typically registered as licensed manpower supply or staff leasing companies under the Contract Labour (Regulation and Abolition) Act.

Why Most EORs Avoid the Labour Leasing Model in India

Why Most EORs Avoid the Labour Leasing Model in India

Licensed labour supply in India is heavily regulated and designed primarily for blue-collar, on-site, and industrial staffing. Operating under that framework would impose significant restrictions, registration obligations, and compliance burdens that are not suitable for modern remote or professional employment models.

As a result, most EORs deliberately structure their India offering as a consulting-led employment model, where:

  • The EOR is the formal employer
  • The employee performs services for the foreign client
  • The relationship is framed as professional employment, not labour supply

This distinction is critical and is why most reputable EORs in India focus on remote work arrangements and avoid placing employees directly at a client’s physical premises in India.

Is Using an EOR in India Legal?

Is Using an EOR in India Legal?

Yes, when structured correctly.

Indian law does not prohibit the EOR model, but it is sensitive to arrangements that resemble labour leasing, employee secondment, or disguised outsourcing. Legal risk typically arises only when:

  • Employees work onsite at a client’s Indian office
  • The client exercises direct managerial control similar to an employer
  • The structure resembles manpower supply rather than employment

Well-structured EOR arrangements avoid these issues by keeping employment remote, ensuring the EOR retains formal employer responsibilities, and clearly documenting the commercial relationship.

Hiring Employees in India: What You Need to Know

Hiring Employees in India: What You Need to Know

Let’s take a moment or two to cover some of the final key things you need to know before you sign a service agreement with an India EOR.

Statutory Insurances & Suggested Benefits

Statutory Insurances & Suggested Benefits

When hiring employees in India through an EOR, all mandatory social security and insurance obligations are handled by the EOR via payroll.

Mandatory Social Security

Employees’ Provident Fund (EPF)

India’s mandatory retirement scheme.

  • Employer: 12% of basic salary
  • Employee: 12% of basic salary

Employees’ State Insurance (ESI) (income-dependent)

Applies to lower-income employees and provides healthcare and social security.

  • Employer: 3.25%
  • Employee: 0.75%

Professional Tax (state-level)

A small monthly payroll tax applicable in certain Indian states.

Mandatory Health Insurance

Since 2020, employers in India are required to provide health insurance for employees.

  • EORs must provide private group health insurance for employees not covered under ESI
  • This applies to both permanent and temporary employees

Health insurance is therefore not optional in most India EOR setups.

Common Employer-Provided Benefits

While not all benefits are mandatory, competitive India EOR setups usually include:

  • Group health insurance with sufficient coverage
  • Paid time off (typically 15–25 days annually)
  • Statutory gratuity (long-service benefit)
  • Optional allowances (internet, meal vouchers, wellness)

What a Competitive India Package Looks Like

Most international employers hiring in India via an EOR offer:

  • EPF (and ESI where applicable)
  • Mandatory private health insurance
  • 15–25 days paid leave
  • Gratuity compliance
  • Basic remote-work allowances

This aligns with market expectations for skilled professionals and keeps hiring competitive without unnecessary complexity.

Vacation Pay & Working Hours

Vacation Pay & Working Hours

Working Hours

In India, standard working hours are typically:

  • 8–9 hours per day
  • 48 hours per week (statutory maximum under most state laws)

Exact rules depend on the state-level Shops & Establishments Act, which governs working hours, rest days, and overtime eligibility. Most white-collar roles hired through an EOR follow a Monday–Friday schedule with fixed monthly salaries, where overtime is uncommon and typically built into compensation.

Paid Leave Entitlements

India does not have a single nationwide leave standard. Leave entitlements are governed by state law and company policy, but in practice EORs apply a standardized, compliant structure.

Typical minimums for EOR employees:

  • Earned / Privileged Leave: ~15 days per year
  • Sick + Casual Leave: ~12 days per year (combined)
  • Public Holidays: 8–12 days, depending on state and company policy

Unused earned leave may be carried forward or paid out, depending on applicable state rules and the EOR’s internal policy.

Market Practice (What Employees Expect)

While statutory minimums are modest, most international employers hiring skilled talent in India offer:

  • 20–25 days total paid leave
  • All national and regional public holidays

This aligns with expectations for tech, finance, and professional roles and helps attract and retain senior talent in a competitive market.

Employment Contracts

Employment Contracts

Employment contracts in India are governed by a mix of central labour laws and state-level Shops & Establishments Acts. There is no single mandatory contract template, but written agreements are standard market practice and essential when hiring through an EOR.

Contract Structure & Language

  • Contracts are typically written in English
  • They must clearly define role, salary structure (CTC), working hours, leave entitlements, notice periods, and termination terms
  • EORs use locally vetted templates aligned with state-specific requirements and Indian labour codes

Permanent vs. Fixed-Term Employment Contracts

Most EOR hires in India are permanent, full-time employees with monthly payroll. As such, employment agreements are open-ended.

Fixed-term contracts are permitted but must be structured carefully to avoid misclassification or statutory benefit gaps.

Probation Period

  • Not legally mandated, but widely used in practice
  • Common probation length: 2–6 months
  • During probation, notice periods are often shorter (e.g. 7–30 days), but must still be stated clearly in the contract

Notice Periods & Termination

India is known for longer notice periods, especially for white-collar roles:

  • Typical notice period: 30–90 days
  • Senior and technical roles often sit at the higher end
  • Payment in lieu of notice is common and should be explicitly addressed in the contract

Unlike many Western countries, termination without notice is rare unless for gross misconduct.

Key Compliance Point

Employment contracts must reflect:

  • The employee’s state of residence
  • Applicable leave entitlements
  • Statutory benefits (EPF, ESI if applicable)
  • Correct notice and termination rules

A strong EOR ensures contracts are state-compliant, consistently enforced, and legally defensible, this is one of the highest-risk areas for foreign employers hiring in India.

Taxation & Payroll in India

Taxation & Payroll in India

India’s payroll and taxation system is built around Tax Deducted at Source (TDS), meaning income tax is withheld by the employer and remitted monthly on behalf of the employee. When hiring through an EOR, the EOR becomes legally responsible for calculating, withholding, and paying all applicable taxes and statutory contributions.

Employee income tax in India is progressive and depends on the chosen tax regime (old vs. new). Payroll calculations must also account for India’s complex salary structure (CTC – Cost to Company), typically split into components such as basic pay, house rent allowance (HRA), and other allowances. These components directly affect tax treatment and take-home pay. Errors in salary structuring or tax withholding can lead to penalties and employee dissatisfaction.

In addition to income tax, payroll must include mandatory statutory contributions such as Employees’ Provident Fund (EPF), Employees’ State Insurance (ESI) (where applicable), and state-level Professional Tax. Payroll is typically processed on a monthly cycle, with strict filing and payment deadlines enforced by tax authorities.

A competent India EOR ensures accurate payroll calculations, compliant tax filings, and timely issuance of statutory documents such as Form 16. This removes significant administrative burden and compliance risk for foreign employers hiring in India.

💡 Employsome Tip: Negotiate CTC with the employee, not gross pay

In India, employment offers are usually negotiated as total CTC (Cost to Company) – not gross salary. Employees often structure their own salary mix (basic pay, allowances, tax regime) based on personal factors to optimize take-home pay, so flexibility at CTC level is expected.

FAQs About Employer of Record Services in India

FAQs About Employer of Record Services in India

Still have questions about EORs in India? We’ve got you covered. Here are some answers to a few of the questions that we hear the most often.

For hiring in more countries than just India (e.g. across APAC or globally), our global EOR comparison is the best place to compare providers.

The short answer to this is that yes, it can. However, it all comes down to the kind of work that’s being done, how much control the EOR has vs the client, and a number of other factors. The Indian government will generally pursue permanent establishment where it can because that means more taxation money, but EORs are pretty good at shielding their clients and understanding what steps they can take to avoid permanent establishment.

Under India’s Shops & Establishments Act and labor codes, the EOR is treated as the legal employer and is therefore responsible for payroll, social security, annual leave, and other key aspects of employment.

However, even when using an EOR, the client can still occasionally be the principal employer, generally if its employees are working on their physical premises.

The simple answer to this is that no, they can’t. Indian law requires the company that sponsors visas to be the worksite employer and not merely the employer of record, and so if you plan to sponsor visas for foreign workers then you may need to create a permanent establishment in the country. However, some EORs are able to get around this by finding foreign nationals who already have a valid work permit.

The exact consequences for failing to deposit these payments tends to vary, but you can expect one or more of the following:

  • Interest on late payments
  • Damages awarded on arrears
  • Criminal charges and prison time
  • Seizure of assets

Of course, EORs also face reputational damage and backlash from clients and workers if they fail to make these deposits, which means that it’s reasonably rare for them to do so. It’s just not worth the risk.

If you were hoping for a simple answer to this one, I’m afraid we’re going to have to disappoint you. Indian law is complex, and notice periods can differ greatly from one state to another.

There are different laws for different types of workers. White collar/office workers are governed by the Shops & Establishments Act, which varies from state to state. Blue collar workers/workmen are covered by the Industrial Disputes act and require a month’s notice or the equivalent wages, but only if they’ve been employed for a year or more. Managerial staff generally have their notice period outlined in their contract.

Throughout India, white collar workers generally require 30 days’ notice after three to six months of employment. It’s three months for Delhi, Maharashtra, West Bengal and Uttar Pradesh, while Karnataka, Tamil Nadu and Telangana require 30 days’ notice after six months.

As you can imagine, the complex nature of the huge country of India makes it difficult for EORs to manage compliance throughout the whole of the country. Most EORs tackle this challenge by approaching India as a conglomeration of a number of smaller regions, rather than one larger one. In that respect, it’s similar to how companies working in the United States often have to think both at the state level and at the overall country level.


Author photo

Written by

Courtney Pocock

Courtney Pocock is a Copywriter & EOR/PEO Researcher at Employsome with 15+ years of experience writing for the HR, corporate, and financial sectors. She has a strong interest in global business expansion and Employer of Record / PEO topics, focusing on news that matters to business owners and decision-makers. Courtney covers industry updates, regulatory changes, and practical guides to help leaders navigate international hiring with confidence.

Our content is created for informational purposes only and is not intended to provide any legal, tax, accounting, or financial advice. Please obtain separate advice from industry-specific professionals who may better understand your business’s needs. Read our Editorial Guidelines for further information on how our content is created.