Step-by-Step HR Documentation Process in India
Step 1: Register Business under Labour Laws
- Shops & Establishment Act
- PF & ESIC registration (if applicable)
- Professional Tax registration
Step 2: Create Standard HR Templates
Draft standardized templates for:
- Offer & appointment letters
- Employment contracts
- HR policies
- Employee handbook
Step 3: Collect Employee KYC & Joining Documents
- Verify PAN, Aadhaar & bank details
- Maintain digital and physical records
Step 4: Set Up Payroll & Statutory Compliance
- Configure salary structure
- Deduct PF, ESIC, TDS, PT
- Maintain statutory registers
Step 5: Implement HR Policies & Training
- Share HR policies with employees
- Conduct POSH awareness sessions
- Obtain employee acknowledgments
Step 6: Maintain Ongoing HR Records
- Attendance & leave records
- Performance reviews
- Disciplinary actions
Step 7: Manage Employee Exit & Compliance
- Process resignations
- Conduct full & final settlement
- Issue exit documents
Benefits of Proper HR Documentation
- Legal compliance with labour laws
- Protection during disputes & audits
- Improved employee trust & transparency
- Streamlined payroll & HR operations
- Better workplace governance
Common HR Documentation Mistakes to Avoid
- Missing appointment letters
- Non-compliance with PF & ESIC
- Outdated HR policies
- Improper record maintenance
- Ignoring POSH compliance
How Saving Mantra Helps
Saving Mantra provides end-to-end HR documentation and compliance solutions, including:
- HR policy drafting & SOP creation
- Labour law registrations
- Payroll & statutory compliance
- POSH compliance support
- HR audits & advisory
Frequently Asked Questions (FAQs)
Q1. Are HR documents mandatory for small businesses?
Yes, even startups and SMEs must maintain basic HR and compliance documents.
Q2. How long should HR records be maintained?
Typically 3 to 10 years, depending on the document type and applicable law.
Q3. Is POSH policy mandatory?
Yes, for all organizations with 10 or more employees.
Q4. Can HR documents be maintained digitally?
Yes, digital HR records are legally acceptable if properly maintained.
Disclaimer
This article is for informational purposes only and does not constitute legal, HR, or professional advice. Labour laws and compliance requirements may change based on central or state regulations. For accurate and updated HR compliance support, consult Saving Mantra professionals.