{"id":137892,"date":"2026-04-07T13:44:07","date_gmt":"2026-04-07T13:44:07","guid":{"rendered":"https:\/\/my.legal500.com\/guides\/?post_type=comparative_guide&#038;p=137892"},"modified":"2026-04-07T13:44:07","modified_gmt":"2026-04-07T13:44:07","slug":"india-employment-and-labour-law","status":"publish","type":"comparative_guide","link":"https:\/\/my.legal500.com\/guides\/chapter\/india-employment-and-labour-law\/","title":{"rendered":"India: Employment and Labour Law"},"content":{"rendered":"","protected":false},"template":"","class_list":["post-137892","comparative_guide","type-comparative_guide","status-publish","hentry","guides-employment-and-labour-law","jurisdictions-india"],"acf":[],"appp":{"post_list":{"below_title":"<div class=\"guide-author-details\"><span class=\"guide-author\">Kochhar &amp; Co<\/span><span class=\"guide-author-logo\"><img src=\"https:\/\/my.legal500.com\/guides\/wp-content\/uploads\/sites\/1\/2026\/04\/Kochhar-Logo-ORGINAL-JPEG.jpg\"\/><\/span><\/div>"},"post_detail":{"above_title":"<div class=\"guide-author-details\"><span class=\"guide-author\">Kochhar &amp; Co<\/span><span class=\"guide-author-logo\"><img src=\"https:\/\/my.legal500.com\/guides\/wp-content\/uploads\/sites\/1\/2026\/04\/Kochhar-Logo-ORGINAL-JPEG.jpg\"\/><\/span><\/div>","below_title":"<span class=\"guide-intro\">This country specific Q&amp;A provides an overview of Employment and Labour Law laws and regulations applicable in India<\/span><div class=\"guide-content\"><div class=\"filter\">\r\n\r\n\t\t\t\t<input type=\"text\" placeholder=\"Search questions and answers...\" class=\"filter-container__search-field\">\r\n\t\t\t<\/div>\r\n\r\n\t\t\t\r\n\r\n\r\n\t\t\t<ol class=\"custom-counter\">\r\n\r\n\t\t\t\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Does an employer need a reason to lawfully terminate an employment relationship? If so, state what reasons are lawful in your jurisdiction?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>For employees who qualify as \u201cworkers\u201d, there are broadly two scenarios in which an employer can terminate an employment relationship. These are (a) termination for convenience (also called retrenchment). The reason for termination needs to be mentioned in writing. Reasons for retrenchment could include redundancy, inefficiency, ill health, closure of business, etc.\u00a0 \u00a0\u00a0\u00a0\u00a0(b) termination for misconduct.\u00a0 Misconduct would cover grounds such as theft, misappropriation, breach of contract, sexual harassment, etc. Some state statutes include a requirement that an employee be terminated only for reasonable cause.\u00a0 This would apply to employees who quality as workers and employees who do not qualify as workers.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What, if any, additional considerations apply if large numbers of dismissals (redundancies) are planned?  How many employees need to be affected for the additional considerations to apply?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>The requirements for retrenchment differ depending on the activity and the size of the establishment.\u00a0 However, from a purely legal standpoint there are no additional considerations that apply when a large number of dismissals are planned. The number of dismissals does not change the application of the law.\u00a0 However, from a practical standpoint, there are numerous other considerations relating to planning, government approvals, financial obligations, media management, etc.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What, if any, additional considerations apply if a worker\u2019s employment is terminated in the context of a business sale?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>There are no additional considerations that apply if a worker\u2019s employment is terminated in the context of a business sale.\u00a0 The obligations in relation to termination in the case of a business sale would be the same as termination for convenience.\u00a0 This assumes that the worker is not transferred to the new employer\/acquirer and is instead terminated.<\/p>\n<p>However, it is possible to transfer a worker to the new employer\/acquirer as part of a sale of an undertaking.\u00a0 There are broadly two conditions to be met for the transfer to be effective: (a) the worker must be offered terms and conditions of service that are no less favorable by the new employer; (b) there must be continuity of employment, that is, for the purpose of retrenchment or where the extent of tenure affects the benefits (for example gratuity), then the commencement of employment would be from the date of commencement of employment with the existing employer\/seller and not the commencement of employment with the new employer\/acquirer.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Do employees need to have a minimum period of service in order to benefit from termination rights?  If so, what is the length of the service requirement?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Yes, in the case of employees who qualify as \u201cworkers\u201d, they need to have served a minimum of 1 year (calculated as 240 days) in order to avail of their rights applicable to a retrenchment\/termination for convenience.\u00a0 Further, on cessation of employment, an employee is entitled to gratuity if the employee has served 5 years (calculated at 4 years 190 days or 4 years 240 days if the establishment operates for 5 days or 6 days in a week respectively) of continuous employment with the concerned employer.<\/p>\n<p>In the case of employees who do not qualify as workers, most of the state statutes have prescribed a minimum of 3-6 months of service for notice and reasonable cause requirements to apply.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What, if any, is the minimum notice period to terminate employment?  Are there any categories of employee who typically have a contractual notice entitlement in excess of the minimum period?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>In the case of an employee who qualifies as a worker, the minimum notice period is 3 months In the case of factories, plantations and mines with 300 or more workers and 1 month in the case of other establishments.\u00a0 For an employee who does not qualify as a worker, it would depend on the terms of the contract though this may be overridden by the minimum 1 month notice period prescribed in most state statutes if the notice under the contract is less than 1 month.<\/p>\n<p>While a 1 month notice period is quite common in most employment contracts, \u00a0it is also fairly common for contracts (especially with senior executives) to have a higher notice period of 2-3 months.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Is it possible to make a payment to a worker to end the employment relationship instead of giving notice?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Yes, it is possible to make a payment in lieu of notice.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Can an employer require a worker to be on garden leave, that is, continue to employ and pay a worker during their notice period but require them to stay at home and not participate in any work?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Yes.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Does an employer have to follow a prescribed procedure to achieve an effective termination of the employment relationship? If yes, describe the requirements of that procedure or procedures. Is an employee entitled to appeal against their termination?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Yes, in the case of a termination of a worker, the employer has to follow a prescribed procedure for both termination for convenience (retrenchment) and termination for cause (misconduct).\u00a0 In the case termination for convenience, the employer has to issue a formal notice to the worker or make a payment in lieu of notice, apart from severance payment.\u00a0 The payment in lieu of notice and severance amount has to be paid at the time of retrenchment (last working day).\u00a0\u00a0\u00a0 In the case of factories, plantations and mines with 300 or more workers, the employer has to obtain approval of the government prior to retrenchment. In the case of other establishments, the employer has to send notice of the details of such retrenchment to the labour authority.\u00a0 The timeframe varies from state to state and can be within 3-8 days post the issue of notice of retrenchment.<\/p>\n<p>Further, in the absence of an agreement to the contrary, the employer will be required to follow the \u201clast in first out\u201d rule for retrenching workers belonging to a particular category. The reason for any deviation from this rule should be recorded by the employer.<\/p>\n<p>In the case of termination for convenience of an employee who does not qualify as a worker, the termination would be effected as per the provisions of the contract.\u00a0 A written notice of termination would need to be provided.\u00a0 In the case of misconduct for both workers and non-workers, the rules of natural justice needs to be followed. This involves the following: (a) notice has to be issued to the employee describing the allegations against the employee; (b) an enquiry needs to be conducted by a neutral person (who should not be a person to whom the concerned employee was directly reporting);\u00a0 (c) there should be a hearing where the employee is entitled to present his version and defence; and (d) a speaking\/reasoned order of termination must be provided by the employer, based on the report of the enquiry officer.<\/p>\n<p>Both workers\u2019 and non-workers\u2019 monthly wages (or part thereof) must be paid within 2 working days of the last date of employment and gratuity has to be paid within 30 days of the last working date.<\/p>\n<p>The employer is not required to provide for an appeals process against decisions of the company based on the enquiry report unless the contract or standing orders provides otherwise.\u00a0 The employee can however approach the labour authorities to initiate conciliation proceedings or file a labour dispute before the labour courts\/tribunals or file a case in the civil court or under the applicable state statute depending on the remedies available to him\/her under applicable laws.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">If the employer does not follow any prescribed procedure as described in response to question 8, what are the consequences for the employer?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>The following could be the consequences in the case of workers: (a) if any payment was required to be made which was not made, the same will be required to be made along with interest; (b) the labour court may reinstate the employee with back wages.\u00a0 In the case of a non worker, in most states, the employee has to file a case before the civil court for damages.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">How, if at all, are collective agreements relevant to the termination of employment?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p class=\"Body1\">Collective agreements in India are typically wage settlement agreements. Terminations are carried out by following the due process laid down under law. However, in industries where workers are unionized, the employer may be required to negotiate with the union to amicably resolve any concerns relating to termination.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Does the employer have to obtain the permission of or inform a third party (e.g local labour authorities or court) before being able to validly terminate the employment relationship? If yes, what are the sanctions for breach of this requirement?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Where the employer is a factory, plantation or mine with 300 or more workers, the employer can terminate a worker for convenience\/retrenchment only after obtaining permission to do so from the labour authorities.\u00a0 In other situations, for a termination of a worker for convenience\/retrenchment, the employer is required to issue a notice to the labour authorities informing the authorities about the retrenchment. Any breach of these requirements may lead to reinstatement of the worker with back wages.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What protection from discrimination or harassment are workers entitled to in respect of the termination of employment?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>An employer is not permitted to terminate a female employee who is on maternity leave.\u00a0 A pregnant woman may be terminated by paying her the maternity benefit and medical bonus. Payment of maternity benefit and medical bonus may be withheld where dismissal is for gross misconduct such as theft, fraud, destruction of employer\u2019s property, commission of offenses involving moral turpitude, etc.<\/p>\n<p>Further, if an employee believes that he\/she has been subjected to discrimination and harassment leading to termination, the employee can contest the termination either by approaching the labour authorities for conciliation or filing a case before the labour court or civil court, as applicable, for unlawful termination.<\/p>\n<p>Persons with disabilities, transgenders, HIV infected persons and persons belonging to scheduled castes\/ schedule tribes are entitled to protection against discrimination and harassment under Indian law. An aggrieved employee may approach the labour authorities or competent court against any discrimination or harassment leading to termination. Further, laws relating to these protected categories prescribe penalties for violation by employers.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What are the possible consequences for the employer if a worker has suffered discrimination or harassment in the context of termination of employment?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>If the worker approaches the labour authorities for conciliation, the labour authorities will mediate the dispute between the worker and employer and try to resolve the dispute.\u00a0 If the dispute is not resolved, the labour authorities would refer the matter to the government which would refer it to the labour court\/tribunal for adjudication. In some states, the worker can also file directly before the labour court.\u00a0 The court may order reinstatement of service and payment of back wages as well as continuity of service.<\/p>\n<p>In the case of non workers, the employee would need to file a suit before the civil court or labour authorities under state statutes.\u00a0 In most cases, the remedy would be payment of damages.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are any categories of worker (for example, fixed-term workers or workers on family leave) entitled to specific protection, other than protection from discrimination or harassment, on the termination of employment?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p class=\"Body1\">An employer cannot terminate a female worker during maternity leave. Hpwever. the maternity benefits and medical bonus may be withheld where dismissal is for gross misconduct such as theft, fraud, destruction of employer\u2019s property, offenses involving moral turpitude, etc.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are workers who have made disclosures in the public interest (whistleblowers) entitled to any special protection from termination of employment?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>There are protections to whistleblowers prescribed under company law in relation to listed companies, companies that accept deposits from public, etc.\u00a0 The vigil mechanism should provide adequate safeguards against victimisation of persons who use such mechanism. Company law prescribes penalties for implementing an inadequate vigil mechanism. The remedies that can be applied by the court would be the same as in the case of unlawful termination or termination arising from discrimination and harassment.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">In the event of financial difficulties, can an employer lawfully terminate an employee\u2019s contract of employment and offer re-engagement on new less favourable terms?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Indian law does not specifically prohibit this.\u00a0 However, the employer would need to follow all procedures for termination including notice pay and severance.\u00a0 Indian case law is not well developed with regard to the legality of this approach.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What, if any, risks are associated with the use of artificial intelligence in an employer\u2019s recruitment or termination decisions? Have any court or tribunal claims been brought regarding an employer\u2019s use of AI or automated decision-making in the termination process?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Indian law does not deal with this issue at present.\u00a0 The only requirement is under India\u2019s new Digital Personal Data Protection Act (which will come into force only on May 13, 2027) that if personal data is processed in order to take a decision on that person the personal data must be complete, accurate and consistent.\u00a0 There is no right not to be subject to decision making without human intervention.<\/p>\n<p>Certain categories of employees (women, transgenders, HIV infected persons, persons with disabilities and persons belonging to scheduled castes\/tribes) are entitled to protection from discrimination generally and these protections would be triggered if the discrimination is built into the AI system.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What financial compensation is required under law or custom to terminate the employment relationship? How is such compensation calculated?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>In the case of termination for convenience\/retrenchment of an employee who qualifies as a \u201cworker\u201d, apart from notice period of 1\/3 months or payment in lieu thereof, the worker is entitled to compensation of 15 days wages for every year worked or part in excess of 6 months.\u00a0 The current law envisages the employer making a further payment of 15 days wages to the government which would then pay the same to the employee in order to avail of re-skilling opportunities.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Can an employer reach agreement with a worker on the termination of employment in which the employee validly waives his rights in return for a payment? If yes, in what form, should the agreement be documented?  Describe any limitations that apply, including in respect of non-disclosure or confidentiality clauses.<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>The key right of the employee in relation to termination is to receive the notice or payment thereof and the severance payment so the key rights are payments.\u00a0 These are statutory benefits and cannot be waived.<\/p>\n<p>It is common for employers to require employees to execute waiver letters\/agreements, whereby they waive\/give up all rights to make any kind of claims against the employer.\u00a0 Indian law is not well developed on the enforcement of these agreements. It is quite likely that if no additional compensation is paid to the employee, the agreements would not be enforceable.\u00a0 If additional compensation is paid and the same is considered to be a sufficient consideration for waiving certain rights, then it is possible that the waiver will be enforceable.\u00a0 However, these waivers would not apply to statutory benefits, which cannot be waived.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Is it possible to restrict a worker from working for competitors after the termination of employment? If yes, describe any relevant requirements or limitations.<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>No, Indian law does not permit non compete agreements in relation to employees post termination.\u00a0 Though untested, it is possible that if sufficient consideration (for example the monthly compensation for the relevant months of restriction) is paid to the employee, then the non compete agreement would be enforceable.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Is it possible to restrict a worker from soliciting customers or clients, or employees of the employer, after the termination of employment? If yes, describe any relevant requirements or limitations (including any payments that must be made to the worker for the restriction to be valid and enforceable).<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Indian law is not well developed on this issue.\u00a0 It is possible for an employer to obtain legal relief from a court if the employee violates a non solicitation agreement.\u00a0 However, the remedy is more likely to be damages or injunction for a reasonable period. Courts are unlikely to strike down actions (including hiring) already taken by the competitor employer.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Can an employer require a worker to keep information relating to the employer confidential after the termination of employment?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p class=\"Body1\">Yes.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are employers obliged to provide references to new employers if these are requested?  If so, what information must the reference include? What duties apply to employers giving references?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Indian law does not require employers to participate in employee reference checks.\u00a0 However, this is an increasingly common practice in India.\u00a0 Indian law does not also regulate what information must be provided or duties of employers giving references.\u00a0 Most employers take a consent from the concerned employee in order to conduct a background check on the employee.\u00a0 Once the DPPA comes into force, employers would need to obtain consent from employees since the background check is likely to involve disclosure of personal information.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What, in your opinion, are the most common difficulties faced by employers in your jurisdiction when terminating employment and how do you consider employers can mitigate these?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>In the case of factories, plantations and mines having more than 300 workers, approval is required from the government in order to terminate the worker.\u00a0 These approvals are rarely granted or the process has been extremely long drawn.\u00a0 Accordingly, it is quite difficult for these types of industries to terminate workers for convenience.\u00a0 Where the workers are part of a union, large scale terminations can also lead to labour unrest, strikes, etc.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are any legal changes planned that are likely to impact the way employers in your jurisdiction approach termination of employment? If so, please describe what impact you foresee from such changes and how employers can prepare for them?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>India\u2019s labour and employment laws were overhauled with the enactment and coming into force of 4 labour codes that replaced 29 federal labour laws.\u00a0 The new codes came into force on November 21, 2025.\u00a0 Rules to be issued under these codes are not yet in force. In addition, the reskilling funds have not been set up yet, whereby the employer pays a reskilling contribution to the government which pays it to the employee to avail of reskilling opportunities.\u00a0 The DPDPA is slated to come into force in May 2027. \u00a0Consent is the main ground for processing personal information but the law provides an exemption from obtaining consent and providing a privacy notice in case of certain employment grounds.\u00a0 Other provisions of the law are likely to apply to employers.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\r\n<div class=\"word-count-hidden\" style=\"display:none;\">Estimated word count: <span class=\"word-count\">3151<\/span><\/div>\r\n\r\n\t\t\t<\/ol>\r\n\r\n<script type=\"text\/javascript\" src=\"\/wp-content\/themes\/twentyseventeen\/src\/jquery\/components\/filter-guides.js\" async><\/script><\/div>"}},"_links":{"self":[{"href":"https:\/\/my.legal500.com\/guides\/wp-json\/wp\/v2\/comparative_guide\/137892","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/my.legal500.com\/guides\/wp-json\/wp\/v2\/comparative_guide"}],"about":[{"href":"https:\/\/my.legal500.com\/guides\/wp-json\/wp\/v2\/types\/comparative_guide"}],"wp:attachment":[{"href":"https:\/\/my.legal500.com\/guides\/wp-json\/wp\/v2\/media?parent=137892"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}