India Simplifies Employment Compliance

India has moved to make employment compliance significantly easier by reducing the number of registers that employers are required to maintain.

Under the new ‘Ease of Compliance to Maintain Registers under Various Labour Laws Rules’,  56 registers required under 9 separate national labour laws have been merged into 5 combined registers.

The 9 affected national laws cover:

  • Construction
  • Contract labour
  • Equal remuneration
  • Intra state migrant workers
  • Mines
  • Minimum wage
  • Payment of wages
  • Sales promotion employees
  • Newspaper employees

The consolidated registers that employers must now maintain are:

  • Employee register
  • Wage register
  • Register of Loans and Recoveries
  • Attendance register
  • Register of rest/leave/leave wages

In addition:

  • The registers can now be maintained electronically or in hard copy,  provided the electronic form is secure.
  • The required data fields for the new registers have reduced from 933 to 144.

This is a significant step to reduce the burden of employing staff in India.   It’s aim is to increase India’s competitiveness as a place to do business.

International companies employing in India should become familiar with the new rules and take advantage of them to simplify their compliance and administrative processes.