Chartered Accountant · ICAI M.No. 153926 · FRN 136869W
The registrations by trigger
Labour registrations switch on as you grow: PF at 20 employees, ESI at 10 (in covered areas), Shops & Establishment from the start in most states, Professional Tax where the state levies it, and POSH at 10 employees. Thresholds vary by state — confirm yours.
The startup self-certification benefit
A DPIIT-recognised startup can self-certify compliance under several labour and environment laws for an initial period (commonly the first few years), with no inspections in the normal course — a genuine easing of the early compliance burden, though the underlying obligations (like PF/ESI deposits) still apply.
A worked example
Example: a 12-person startup needs Shops & Establishment, ESI, POSH and (state-dependent) Professional Tax now, and PF once it hits 20 — while using its DPIIT status to self-certify and avoid routine inspections. Mapping these to headcount as you hire avoids missing a trigger. This sits alongside the corporate compliances. Our team can set up your labour registrations.