LatestCorporate Compliance 14 November 2026
Foreign Employers in India Face New Gratuity and Labour Rules
Foreign companies hiring staff in India must now follow updated statutory requirements, including revised gratuity eligibility for fixed‑term workers after one year, tighter overtime and leave regulations, and compliance with PF, ESI, Labour Codes and TDS obligations. Failure to adapt can trigger penalties.
Foreign businesses operating in India must adapt to the latest statutory changes. The Gratuity rule now applies to fixed‑term employees after just one year of service, and overtime, leave and working hour regulations have been tightened. Compliance with Provident Fund (PF), Employees State Insurance (ESI), Labour Codes and Tax Deducted at Source (TDS) is now mandatory.
- Gratuity eligibility: fixed‑term staff qualify after 12 months.
- Overtime: stricter caps and approval processes.
- Leave & working hours: revised limits under new Labour Codes.
- PF, ESI, TDS: updated filing and contribution requirements.
For full details, see the original article.
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