The Essential Employment Policies
Every HR Department in India Needs to Know

Implement mandatory employment policies with confidence. Offrd.co is creating a policy generator module to help small businesses draft these policies easily and accurately.

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Prevention of Sexual Harassment (PoSH) Policy

The Sexual Harassment of Women at Workplace (Prevention, Prohibition, and Redressal) Act, 2013 requires companies with 10+ employees to adopt an anti-harassment policy and form an Internal Complaints Committee (ICC). Smaller teams should adopt a zero-tolerance stance and leverage the Local Complaints Committee (LCC).

What HR Needs to Do

Official Source: Ministry of Women & Child Development

Maternity Benefits

The Maternity Benefit Act, 1961 grants female staff up to 26 weeks of paid leave for the first two children and 12 weeks for subsequent children in establishments with 10+ employees.

What HR Needs to Do

Official Source: Ministry of Labour & Employment

Leave & Working Hours Policy

Under the Shops & Establishments Act and the Factories Act, 1948, staff receive minimum sick, casual, and earned leave—typically 12 days each for sick and casual leave, and 15 days of earned leave per year. Working hours are capped at 8–9 hours daily and 48 hours weekly.

What HR Needs to Do

Official Source: Ministry of Labour & Employment

Wages & Payment Policy

The Minimum Wages Act, 1948 and the Payment of Wages Act, 1936 ensure staff receive at least the prescribed rates on time—usually by the 7th or 10th day of the next month depending on establishment size.

What HR Needs to Do

Official Source: Ministry of Labour & Employment

Provident Fund & ESI

The EPF Act, 1952 and the ESI Act, 1948 require firms with 20+ employees to enroll in PF and those with 10+ employees to enroll in ESI for staff earning under ₹21,000 per month.

What HR Needs to Do

Official Source: EPFO | ESIC

Gratuity Policy

The Payment of Gratuity Act, 1972 requires employers with 10+ staff to pay gratuity to those with 5+ years of service at 15 days’ wages per year.

What HR Needs to Do

Official Source: Ministry of Labour & Employment

Equal Opportunity for Persons with Disabilities

The Rights of Persons with Disabilities Act, 2016 mandates an equal opportunity policy for workplaces with 20+ staff, including accessibility accommodations.

What HR Needs to Do

Official Source: Department of Empowerment of Persons with Disabilities

Appointment Letters & Contracts

Every new hire should receive a written appointment letter outlining role, compensation, hours, leave, and other terms in line with state laws.

What HR Needs to Do

Official Source: Ministry of Labour & Employment