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HR Laws in India


HR Laws in India

HR laws or human resources law in India are synonymous with the labour laws and industrial laws in India. Labour laws in India govern the relationship between employer, employee and the Government and ensure that the rights and obligations of all parties are satisfied. It is important for all HR personnel to know the laws of HR practices in India and ensure there is no violation. In this article, we look at some of the main HR Laws in India that must be abided by all organizations in India. In this article, we look at the important HR Laws in India.

Indian employment laws do not provide any rules or procedures while recruiting a person. Hence, it is mostly up to the organization to determine a procedure for recruiting, interviewing, screening and hiring. However, it is important to note that during the recruitment, interviewing or hiring process should maintain the fundamental rights given to a person like avoiding discrimination or maintaining the confidentiality of private information of the applicant.

RecruitingNo major rules or procedures. However, the organization must notify the vacancies to the local employment exchange, though there is no requirement to appoint any person forwarded by the employment exchange.

Interviewing: There are no regulations against an employer asking for information about the candidate, including personal questions relating to health, race, religion, case, et.c, However, asking such questions are unethical and could lead to discrimination, which is an offence.

Pre-employment Enquiry: There are no regulations or requirement to conduct the pre-employment enquiry. However, it is a common practice for employers to conduct such an enquiry. Employers are required to obtain the consent of the employee by fax/email/letter for carrying out a pre-employment enquiry or background check.

HR Laws of employment offer letters

Indian employment and labour laws do not mandatorily require an employer to issue an offer letter, except in certain states and certain establishments. However, it is an accepted practice in India amongst medium and large businesses to provide an offer letter. In case of providing an offer letter, it is not binding on either party until it is construed as an employment contract and there is a valid offer by one party and an acceptance by another party. Click here for offer letter format suitable for Indian businesses.

HR Laws of employment appointment letters

Indian laws have no prescribed standards for providing employment appointment letters. However, it is a good practice to have an employment appointment letter with all employees. Employment appointment letters in India usually include the following:

  • Name and Address of the Employee
  • Title of Job
  • Job Description
  • Place of Work
  • Date of Commencement of Employment
  • Wage/Salary Details
  • Benefits, if applicable
  • Length of employment contract: fixed or indefinite
  • Leave entitlement
  • Conditions for termination
  • Non-compete
  • Confidentiality
  • Non-solicitation and other restrictive covenants.

Click here for appointment letter format suitable for Indian businesses.

HR Laws pertaining to termination of employment

Termination of employment could be due to voluntary reason or involuntary reason. If an employee terminates employment based on his/her free will, then it is termed as the voluntary reason. If the employer terminates the employee, then it is an involuntary termination. Termination of employment must be as per any prior employment contract entered into by the employee with the business. Also, termination of employment must follow other laws and regulations, which ensure that employees are not unduly harassed.

HR Laws pertaining to workplace health and safety

Central and State Governments place certain duties and obligations on the employer to ensure the wellbeing, health and safety of its employees. The duties of the employers are mandated by various regulations. Hence, all organizations need to maintain a safe and hazard-free work environment.

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