PEO services in India

The distinction between the two models is a single question: whose name is on the employment contract.

Under an Employer of Record arrangement, we are the legal employer. Your team is employed by Aether Blue Associates, and you need no Indian entity at all. Under a PEO arrangement, your Indian entity remains the legal employer. Your people are your employees, on your contracts, on your payroll — and we administer that payroll and the statutory compliance underneath it.

So the PEO model is the right one when you already have the entity and do not want to build an HR and compliance function inside it. The EOR model is the right one when you do not have an entity and would rather not create one yet.

The employee lifecycle in India generates documentation at every stage, and most of it has a statutory deadline attached. Onboarding requires an appointment letter and enrollment in Provident Fund and ESI. Every month brings payroll, deductions, deposits and returns. Leave has to be recorded in registers, not spreadsheets. Exit requires a final settlement, gratuity where it is due, leave encashment and statutory exit filings.

We handle that end to end under your entity's banner. Your employees see your company; the administration behind it is ours.

Every obligation your entity carries sits on a live compliance calendar with its statutory due date — TDS deposits, the EPF ECR, ESI contributions, Professional Tax by state, and the periodic returns that follow them. Filings are made on time and the proof is shared with you monthly.

Underneath the calendar sit the registers: leave, attendance, wages and the labour-law registers your state requires. These are the documents that matter in an inspection or an audit, and they are the ones informal arrangements are missing when it counts.

On top of it sits reporting. Your finance team receives monthly MIS and payroll registers they can reconcile — itemized, auditable on any day you choose to look, not summarized after the fact.

India's four Labour Codes came into force on 21 November 2025, replacing 29 earlier laws. If your Indian entity's salary structures predate them, they were almost certainly built on a narrower wage definition than the one now in force.

We rebuild them on the current basis: Basic + DA at 50% or more of total pay, with statutory contributions computed on that wage base, and fixed-term gratuity eligibility provisioned from year one. Central and state rules are still being notified, and we track those notifications as they are issued so your employment terms never fall behind the law.