- Confirm the exact Indian entity employing you, and that it is an employment contract, not a contractor agreement.
- Get your full salary structure, net in hand, pay currency, and how tax (TDS and Form 16) is handled.
- Check the statutory benefits are real: Provident Fund with a UAN, ESI if eligible, gratuity, leave, maternity, POSH, and health cover.
- Clarify who manages you versus who employs you, who owns your work, and what happens if the foreign company exits.
- Pin down probation, notice on both sides, final settlement, and any equity terms.
An EOR employment contract is a real Indian employment contract. It decides your pay, your benefits, and your legal protection, so reading it closely before you sign saves you from surprises months later.
Here are the questions to ask, grouped so you can run through them in one sitting. If you are not sure who your employer even is, start with our guide to who your legal employer is under an EOR.
Who is actually employing you?
Start with the identity of your employer, because everything else follows from it.
- Which Indian legal entity is named on the contract, and is it the EOR itself? That entity is your legal employer.
- Is this an employment contract or an independent-contractor agreement? Only employment gives you statutory benefits, a distinction our AOR vs EOR guide explains.
- Is the contract governed by Indian law, and is it permanent or fixed-term?
Your pay and how you are taxed
Get the full money picture in writing, not just the headline number.
- What is my gross salary, the full structure of basic plus allowances, and my expected net in hand?
- In what currency am I paid, and who bears any exchange-rate cost?
- Is tax deducted at source each month, and will I receive a Form 16?
- What is the pay date, and is there any variable, bonus, or reimbursement component?
Your statutory benefits and insurance
This is where a genuine EOR job proves itself. Confirm each item is actually in place.
- Am I enrolled in Provident Fund with a Universal Account Number (UAN) in my name, and in ESI if my wages qualify? Our EPF explainer shows what to expect.
- Do I accrue gratuity, and what is my leave entitlement, including public holidays?
- Is there maternity benefit, and am I covered under the POSH law?
- Is health insurance provided, and what is the sum insured and family coverage?
The three-way relationship
An EOR setup has you, the EOR, and the foreign company you work for. Clarify how that split affects you.
- Who manages my daily work, and who is my legal employer for pay and any dispute?
- Who owns the intellectual property I create, and is there a clear assignment clause?
- What confidentiality, non-compete, or non-solicitation terms apply, and for how long?
- What happens to my job if the foreign company ends its contract with the EOR? Ask whether you would be redeployed, or given notice and settlement.
Exit, notice, and equity
Read the ending before you sign the beginning.
- Is there a probation period, and what are its terms?
- What is the notice period on each side, and does pay in lieu of notice apply? Our guide to notice periods for EOR employees covers this in full.
- What does my full and final settlement include?
- Am I offered equity or stock options, and if so, who grants them and how are they taxed?
Conclusion
An EOR contract is a strong, protected way to work for a company abroad, as long as you sign it with your eyes open. Ask these questions, get the answers in writing, and you will know exactly what you are agreeing to. When an offer is senior, equity-heavy, or unusual, a short review by a lawyer is money well spent.
Frequently asked questions
Is an EOR contract a real employment contract?
Yes. A legitimate EOR employs you under a proper Indian employment contract with full statutory benefits, not as a contractor. That is the entire point of the model.
Can I negotiate an EOR employment contract?
Yes. Salary, notice period, leave, and benefits are all negotiable, usually with the foreign company deciding and the EOR putting it into the contract. Statutory items like Provident Fund are fixed by law.
What happens if the foreign company stops working with the EOR?
Your employment is with the EOR, so ask upfront what follows: redeployment to another client, or notice and a final settlement under your contract and Indian law.
Should a lawyer review my EOR contract?
For a standard offer, the checklist above is usually enough. For senior roles, complex clauses, or significant equity, a brief legal review is worth the cost.
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