Labor laws in India provide minimum guarantees and benefits to all employees, which foreign companies are unable to contract out of. The rules relate to hours of work, payment of wages, leave, holidays, terms of service, pension provisions and dismissals.
Foreign companies should pay particular attention to the Industrial Disputes Act of 1947, the Shops and Establishments Act, and the Employees Provident Fund Act of 1972.
This article provides more information on the relative costs of labor in India compared to other countries, including income in US dollars, and hours worked. The data is also broken down into labor types, from unskilled labor to management.
For more information about labor costs and labor laws in India, please contact Dezan Shira & Associates' management consultants in India .
