Going for global growth? Here’s what you need to know about payroll if your business is expanding into India. Payroll regulations are complex and constantly evolving in India, particularly through the national e-governance strategy. The challenge is to ensure your payroll is compliant with them. Getting your payroll compliance right can help you recruit and retain the right talent. Getting it wrong can result in financial penalties, investigation by local authorities and reputational damage.
However, while the payroll and HR regulations in most developed nations are similar, the ‘exceptions’ in each country can be difficult to manage. In India, the world’s fourth largest economy, these differences range from a young, digital-savvy workforce seeking a ‘bouquet’ of employment benefits, to Aadhaar, a digital identification system that links an individual’s unique ID number to a host of key services and financial institutions.
Disclaimer: This content is based on generally accepted HR practices, is advisory in nature, and does not constitute legal advice or other professional services. ADP does not warrant or guarantee the accuracy, reliability, and completeness of the content. Employers are encouraged to consult with legal counsel for advice regarding their organization's compliance with applicable laws. This content is current as of the published date.
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