A firm understanding of India’s laws and regulations related to human resources (HR) and payroll management is essential for foreign investors who want to establish or are already running foreign-invested entities in India, as well as for local managers and HR professionals who may need to explain complex points of India’s labor policies. In India, there is an extensive regulatory framework involved in mediating and managing HR processes. Businesses should pay attention to the existence of multiple federal labor laws as well as federally and locally enacted laws that are specific to the state and industry, location, size, and business activity of the firm, and skills levels of the workforce. Four new labor codes that streamline regulatory governance of labor issues have been passed by parliament, but their implementing rules and regulations are yet to be finalized. In addition to these, the ongoing pandemic has thrust a new dimension to HR management in India. COVID-19 vaccine mandates to secure the safety and health of the office environment and the role played by technology in facilitating hybrid work strategies and improving the functionality of HR back-office operations are new areas of concern for managers and investors alike. |