IN

India: Payroll & Employment Facts

Maintained byWhichapp Research
Last verified2026-06-06
Dataset2026 statutory
Source-verified — every figure links to its official source Currency · INR How we verify ↗

Verified statutory employment facts for India, each with its official source and the date it applies from. This is our reference record. For provider choice and hiring advice, see the India employer-of-record guide and the India country hub.

What is the minimum wage in India?

National minimum wage
Not available
Next review date
2030-07-01
Checked 2026-06-06 labour.gov.in High

What employer social contributions apply in India?

Rates are a percentage of gross wage, applied up to the annual contribution ceiling.

Employer social security rate
12.00%
Effective 1997-09-22 taxsummaries.pwc.com High
Pension
8.33%
Effective 1997-09-22 epfindia.gov.in High
Healthcare
3.25%
Effective 2019-07-01 esic.gov.in High
Employees' Deposit Linked Insurance (EDLI) Scheme
0.50%
Effective 2018-02-21 epfindia.gov.in High
EPF Administrative Charges
0.50%
Effective 2018-06-01 epfindia.gov.in High
Annual contribution ceiling
180,000 INR
Effective 2014-09-01 epfindia.gov.in High
Total employer burden
13.00%
Effective 2019-07-01 taxsummaries.pwc.com High

What notice and leave rules apply in India?

Statutory minimum notice the employer must give, by completed length of service.

Length of serviceEmployer notice
0 to 11 months2 weeks
12+ months4 weeks
Checked 2026-06-06
Payment in lieu of notice (PILON)
Permitted
Checked 2026-06-06
Minimum annual leave
12 days
Checked 2026-06-06
Annual leave includes public holidays
No
Checked 2026-06-06
Public holidays per year
14 days
Checked 2026-06-06

Is 13th-month pay required in India?

None of the following are mandated by statute; they may still arise from a contract or collective agreement.

Thirteenth-month pay required
No
Effective 2026-01-01 indiacode.nic.in Medium
Profit sharing required
Yes
Effective 2026-01-01 indiacode.nic.in Medium
Holiday bonus required
No
Effective 2026-01-01 indiacode.nic.in Medium

How is severance calculated in India?

Formula
15 days' average pay for every completed year of continuous service or any part thereof in excess of six months.
Effective 1953-10-24 indiacode.nic.in High
Per-year multiplier
2.14 weeks of pay per year of service
Effective 1953-10-24 indiacode.nic.in High
Minimum qualifying tenure
12 months
Effective 1953-10-24 indiacode.nic.in High
Calculation base
Average_pay
Effective 1953-10-24 indiacode.nic.in High

This is a reference record of statutory minimums, not legal advice. Figures can be exceeded by contract, works-council, or collective-bargaining agreements, and accident-insurance and care rates vary by case. Confirm against the linked official source before acting.

Maintained by Whichapp · How we verify our data · India country hub