1) What is an Employer of Record (EOR) in India?

An EOR is a third-party entity that legally employs workers on your behalf in India, managing all payroll, tax, and statutory compliance, so you don't need your own Indian legal entity.

2) What is the cost of Employer of Record services in India?

EOR pricing typically ranges from 10%–20% of gross monthly salary, or a flat $200–$600 per employee per month, plus statutory contributions like PF, ESI, and Professional Tax.

3) How does EOR help companies hire remote employees in India?

The EOR acts as the legal employer while you direct the employee's day-to-day work.

4) What are the benefits of using an EOR for global hiring?

Faster market entry, lower upfront costs, reduced compliance risk, and the flexibility to scale without long-term structural commitments.

5) Is EOR cheaper than setting up a legal entity in India?

For teams under 15 employees, it can be cheaper. Entity setup alone can cost ₹15–30 lakhs in the first year, before a single person is hired.

6) What compliance responsibilities does an EOR handle in India?

TDS filings, PF and ESI contributions, Professional Tax, employment contracts, labor law compliance, payslip issuance, and full and final settlement for exiting employees.

ikf ikf, Author at Paysquare

The Role of EOR Services in Streamlining Remote Hiring in India

March 31, 2026 by ikf ikf

India produces over 5 million STEM graduates every year. The talent pool is deep, the expertise is real, and costs are competitive. It’s no wonder global companies want to hire here. But the problem is you can’t legally hire employees in India without a registered local entity. Building one takes three to six months, involves … Read more

DeliziaHR is designed with rich features and enhanced UI/UX experience for managing onboarding, payroll management, leave management, compliance management, and exit management. It is designed for businesses of all sizes and is scalable to meet any of the complex requirements of the HR Department.

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