HR policies every Indian company needs: the 14-policy list

By Team ZekoHR · · 5 min read

Colleagues taking notes around a wooden meeting table

Search for "HR policies list" and you will find pages with forty entries, most of them copied from a large company's intranet. A 50-person company does not need a sabbatical policy or a global mobility policy. It needs about fourteen, five of which are required or near-required by law. Here is the list, what each must contain, and the order to write them in.

Required or near-required by law

PolicyWhy it is requiredMust contain
Prevention of sexual harassment (PoSH)PoSH Act 2013 for any workplace with 10 or more employeesDefinition of harassment, Internal Committee members with the external member, complaint process and timelines, confidentiality, protection from retaliation, annual report duty
Leave and holidaysState Shops and Establishments Acts set minimum leave; the Code on Social Security carries maternity benefitEach leave type, entitlement, accrual, carry forward, encashment, application and approval, the year's holiday list and restricted holidays
Working hours and attendanceState S&E Acts and the OSH Code set hours, weekly off and overtimeHours, core hours for hybrid teams, weekly off, overtime and comp-off rules, how attendance is recorded, regularisation, late-coming consequences
Code of conduct and disciplinary procedureNot mandated for most small establishments, but a termination for misconduct without a written procedure rarely survives a challengeExpected conduct, conflicts of interest, confidentiality, the warning sequence, show-cause and inquiry, who decides
Employee data and privacy noticeDigital Personal Data Protection Act obligations for employee personal dataWhat is collected, why, who sees it, retention, how to raise a request, security basics

If you have only these five written down, you have covered most of what a labour inspector, a court or an auditor will ask for first.

Strongly recommended

PolicyWhyMust contain
Probation and confirmationRemoves the ambiguity that produces disputes at month sixDuration, extension rules, review timing, what confirmation changes
Expenses and travelFights over reimbursements are the commonest HR frictionCategories, limits, receipts, approval chain, deadlines, what is never reimbursed
Hybrid and remote workThe unwritten version always breaks on the first fairness complaintModel, eligibility, core hours, equipment, security, working from another city
Grievance and whistleblowerGives people a route other than resignation or a public postWho receives complaints, timelines, confidentiality, anti-retaliation, anonymous route
Performance and incrementsExplains how ratings and money are decidedCycle dates, rating scale, calibration, link to pay bands
Exit and full and final settlementMakes the last month predictable for both sidesNotice period by level, buyout, clearance, settlement timeline, what letters are issued
IT and acceptable useProtects company data and the employeeDevices, passwords, personal use, monitoring disclosure, what happens on exit
Employee referralCheap hiring channel that needs clear rulesEligibility, bonus amount and timing, who cannot refer whom
Assets and equipmentLaptops disappear without itIssue and return, damage, loss, deductions

What each policy page should look like

A policy is not a legal document in a drawer. It is one to three pages in plain language that an employee can read in five minutes. Each should have:

  1. A one-paragraph purpose.
  2. Who it applies to.
  3. The rules, as short numbered points.
  4. The process: how to apply, who approves, within how long.
  5. Who owns the policy and the date it was last reviewed.
  6. Where to ask questions.

Keep figures that change every year, such as the holiday list, expense limits and insurance details, in annexures, so the policy itself stays stable. Collect an acknowledgement when a policy is published or materially changed; an employee portal can hold the policy and record who has read it, which is considerably more reliable than an email.

The order to write them in

For a company that has none of this written down, the sequence that pays off fastest:

  1. Leave and holidays, because it is the policy people consult most and the one that affects payroll every month.
  2. PoSH, because it is required and because constituting the Internal Committee takes time.
  3. Working hours and attendance, since it feeds payroll and is the source of most manager disputes.
  4. Code of conduct and discipline, before the first difficult termination, not after.
  5. Expenses, because the fights are already happening.
  6. Probation, exit, hybrid work, data privacy, in whichever order the next incident demands.
  7. The rest over the following year.

Writing the first five takes a focused week. Our guides to each cover the content: leave policy, PoSH basics, attendance policy, expense policy, hybrid work, whistleblower policy and probation and confirmation. Once they exist, gather them into an employee handbook with a version date.

Policies you can skip for now

Sabbatical, relocation, global mobility, car lease, education assistance, dress code beyond a sentence in the code of conduct, social media beyond a paragraph in IT use, and anything that exists only because a larger company has it. A policy you will not enforce is worse than no policy, because it proves you knew the rule and ignored it. Add a policy when a real situation shows you need one, write it the week it comes up, and date it.

This article describes general legal provisions and common practice, not legal advice. Which policies are mandatory depends on your state, establishment type and headcount; confirm with a professional.

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