Payroll processing in Malad, Mumbai under the New Labour Codes 2025 requires full alignment with the four consolidated Codes on Wages, Social Security, Industrial Relations, and Occupational Safety, Health and Working Conditions, effective from November 21, 2025.
Kaizen Consultancy provides comprehensive payroll outsourcing in Mumbai, handling salary processing, statutory compliances like PF, ESIC, gratuity, bonus, and professional tax under the new unified framework.
Payroll processing in India is governed by various labour laws and regulations, including:
These laws mandate employers to comply with specific requirements, such as:
Laws | Description |
EPF Contributions | Employers and employees must contribute a certain percentage of the employee's basic wages and dearness allowance to the Employees' Provident Fund (EPF). |
ESIC Contributions | Employers and employees must contribute to the Employees' State Insurance Corporation (ESIC) fund, which provides medical and cash benefits to insured employees. |
Gratuity Payments | Employers must pay Gratuity to eligible employees upon retirement or termination of employment, based on their tenure and last drawn wages. |
Bonus Payments | Eligible employees must receive annual Bonus payments based on the organization's profits and the employee's wages |
Professional Tax (PT) | Employers are required to deduct and remit Professional Tax from the salaries of eligible employees, as per state-specific regulations. |
Mumbai, being the financial capital of India, has a significant number of organizations that must comply with various payroll-related laws and regulations. Failure to adhere to these laws can result in penalties, legal disputes, and reputational damage.
Payroll compliance now ensures all workers receive statutory minimum wages, formal appointment letters detailing wages and entitlements, and social security coverage, including gig and platform workers.
Employers must structure wages to meet floor wage standards, provide free annual health check-ups for workers over 40, and enable women to work night shifts with safety measures and equal pay.
Failure to comply risks higher penalties, with simplified single registration, licence and returns but stricter enforcement via inspector-cum-facilitators.
Statutory Returns, Forms and Compliance Calendar
Kaizen Consultancy Services manages electronic filings like monthly PF-ECR, ESIC returns, PT challans, and unified labour returns under single-return provisions of the Codes.
We track due dates for wages (timely by 7th where mandated), contributions, annual health check-up records, and grievance committee reports.
This ensures readiness for risk-based inspections focusing on wage registers, attendance, and social security proofs.
Payroll Audits and Labour Inspections
Regular audits by Kaizen identify gaps in wage structures, appointment letters, overtime at double rates, and leave payments under OSH Code limits (8-12 hours/day, 48/week).
We prepare documentation for inspections, reconciling data across Codes to avoid penalties for discrepancies in contributions or records.
Our expertise covers sector-specific needs like plantations, mines, IT/ITES, and exports with tailored compliance.
Payroll Element | Kaizen Service Coverage | New Labour Codes 2025 Alignment |
Wage Structuring | Basic, allowances, overtime, leave encashment | Floor/minimum wages, equal pay, exclusions capped for benefits calculation |
Monthly Processing | Gross/net pay, deductions, digital payslips | Timely payment mandates, appointment letter integration |
Social Security | PF/ESIC registration, contributions, returns | Expanded coverage (gig/FTE), one-year gratuity, health check-ups |
Separation Benefits | Gratuity, full-final, service verification | Unified rules, portable benefits via UAN |
Reporting & Audits | Registers, returns, inspection prep | Single filings, inspector-facilitator readiness |
Payroll compliance is crucial as it ensures adherence to labour laws and regulations, prevents legal disputes, and protects the rights and interests of employees.
Outsourcing payroll processing to a consultant like Kaizen Consultancy Services can save time and resources, ensure compliance, minimize errors, and provide access to expert guidance.
Common statutory returns and forms include EPF Monthly Returns, ESIC Contribution Returns, Gratuity and Bonus Calculation Statements, and Professional Tax Challans.
We conduct regular payroll audits to identify and rectify any discrepancies or non-compliances, ensuring accuracy and compliance.
Labour inspections are conducted by government authorities to ensure compliance with labour laws and regulations. Labour audits are comprehensive assessments of an organization’s compliance with labour laws and best practices.
Kaizen Consultancy Services assists in preparing for and responding to labour inspections, as well as conducting thorough labour audits to identify and address areas of non-compliance.
Engaging a Payroll Processing or Payroll Management consultant in Mumbai, like Kaizen Consultancy Services, can benefit your enterprise in the following ways:
At Kaizen Consultancy Services, we pride ourselves on being the leading payroll consultant in Mumbai, offering the following advantages:
At Kaizen Consultancy Services, we specialise in New Labour Codes 2025 compliance for Mumbai enterprises, from startups to MSMEs and multinationals. Our Payroll Processing in Malad Mumbai team offers expert guidance on women/youth provisions, fixed-term equality, and digital portability. Contact +91-977 31 50 167 for a free consultation to streamline your payroll under the New Labour Law Codes.