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A group of employees was employed by a manpower outsource company as contractors while an overseas-owned company was setting itself up in India. Now that the company is set up, it will convert them to permanent employees of the new entity. Is it necessary to recognize the period of employment as a contractor for purposes such as Gratuity? I can imagine some liability here if the same company converts, but since they were employed by a 3rd party, is there any liability on the new company?
From United Arab Emirates, Dubai
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Their employment with your company will commence only from the date of letter of appointment issued & prior to that can’t be considered of employment with you
From India, Bangalore
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