Step-by-Step Guide: Creating and Sending Job Offer Letters for Remote EOR Employees in India

When preparing a job offer letter for a work-from-home employee in India, you must ensure legal compliance, communicate clearly, and apply the EOR model effectively. This article is for the purpose of writing how to draft and send those job offer letters to those remote EOR employees of India.

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Table of Contents

• Job Offer Letters in India Under an Employer of Record (EOR)
• Job Offer Letter & Onboarding Flow for a Remote EOR Employee
• Offer Letter vs Employment Letter in India
• When must a job offer letter be given?
• What salary needs to be mentioned in an offer letter?
• Job Offer Letter Checklist for India
• FAQs

Job Offer Letters in India Under an Employer of Record (EOR)

A job offer letter is a formal agreement that outlines the terms of employment and helps settle disputes before they arise. In the case of an EOR in India, an employee can feel much better knowing that he begins the employment relationship.

A successful job offer letter should contain all crucial elements comprising job title, compensation packages, benefits offered, types of employment, work hours, and confidentiality agreements. It should also meet legal requirements regarding local laws in India such that an offer letter doesn’t work against labor legislation.

The EOR assumes all legal employer responsibility of the remote worker; these duties include handling the payroll, tax compliance, and the associated employment law responsibilities. Companies will thus be able to source Indian talent without needing a local presence.

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Job Offer Letter & Onboarding Flow for a Remote EOR Employee

Prior to drafting a job offer letter, understand how the Employer of Record in India works. The EOR will take care of all legal employment issues and you can focus on the work and performance of the employee.

1. Drafting the Job Offer Letter:

• Header Information: Your company name and address, date, and address the candidate by his or her name.
• Position Details: Write the job title, department, and manager's name.
• Compensation Package: Describe salary, frequency of pay (monthly/bi-weekly), bonus structure, and any equity offerings.
• Type of Employment: Specify if it is full-time, part-time, or contract work.
• Benefits and Perks: Describe health insurance, leave policies, and any other benefits or perks.
• Start Date: List proposed start date, contingencies such as background checks, etc.
• Acceptance Instructions: Clearly spell out acceptance instructions, signatures required and return deadlines.

2. Legal Compliance:

• Ensure strict compliance with Indian labor laws and regulations for remote workers.
• Consider tax implications and other legal requirements tied to remote employment.
• Seek local legal counsel to verify compliance and avoid risks.

2. Integration in onboarding processes

• Send offer letter & onboarding tasks – Include document collection, training schedule, and IT setup via an onboarding tool.
• Onboarding checklist – Prepare tasks after offer acceptance to ensure a smooth transition.
• Assign responsibilities – Clearly allocate tasks to HR, managers, and IT.
• Feedback loop – Collect feedback from new hires to improve the onboarding process.

Suggested Read: Remote Employees Onboarding Checklist with EOR in India

Offer Letter vs Employment Letter in India

Criteria	Offer Letter	Employment Letter
Definition	A formal document stating the terms of employment offered to a candidate.	A formal document confirming the terms of employment after acceptance of the offer.
Stage of Hiring	Issued before the candidate joins the company.	Issued after the candidate has accepted the offer and completed onboarding.
Content	Job title, salary, benefits, start date, and terms.	Job title, duties, terms of employment, and details about the employment relationship.
Purpose	To formally invite the candidate to accept the job.	To confirm the candidate’s employment officially.
Legal Standing	Generally, not a legally binding document.	Often considered a legally binding document outlining employment terms.
Acceptance Required	Requires acceptance from the candidate (often by signing).	No further acceptance required; it is a confirmation of the employment agreement.
Onboarding Information	Typically does not include detailed onboarding information.	May include details on job expectations, company policies, and reporting structure.
Duration	Usually includes a probation period.	May outline tenure or conditions for ongoing employment.

In the context of remote Employment Outsourcing hiring, understanding these distinctions is vital. The offer letter can help clarify the job offer made to potential employees across borders, ensuring compliance with local job market expectations. The employment letter solidifies the legal framework under which the employee will operate, particularly important in cross-border employment scenarios where local labor laws may differ.

When must a job offer letter be given?

Issue the offer letter immediately after the final interview once the candidate is selected. This demonstrates efficiency and respect for the candidate’s time. In the context of hiring in India, the offer should also clearly state the number of days the candidate has to accept it - typically between 3 to 7 days. Doing so ensures a faster hiring process and helps secure top talent before competitors do.

• Clear Communication – State all terms, conditions, and benefits clearly to avoid miscommunication.
• Professional Tone – Keep the tone professional and aligned with company culture.
• Contact Information – Provide a point of contact for candidate queries.
• Follow-Up – Follow up with a call or email after sharing the offer to reassure the candidate and support their decision-making.

What salary needs to be mentioned in an offer letter?

If someone is preparing to draft an offer letter in India, it is prudent to clearly mention the salary and corresponding compensation details. Proper salary calculation should be highlighted to ensure transparency and compliance. Here are a few guidelines:

• Clearly mention the salary and compensation details in the offer letter.
• Highlight the salary calculation process, including how gross and net pay are derived.
• Break down components such as basic pay, allowances, bonuses, and deductions (PF, tax, ESI).
• Ensure compliance with Indian labor laws regarding wages and benefits.
• Specify that payslips will be provided regularly for transparency and record-keeping.

If an employer follows these guidelines and best practices, they can effectively communicate a job offer and make for a good onboarding experience for new hires in India.

Suggested Read: Hire Remote Team in India: Step-by-Step Hiring Guide (2025)

Job Offer Letter Checklist for India

Writing an effective job offer letter is indispensable to any hiring firm and the applicant in India. It is not just that it establishes expectations but it also complies with Indian labor laws. Here's an exhaustive checklist of the absolute inclusions of a job offer letter:

Checklist Item	Details	Notes
Job Title	Clearly state the role offered.	Avoid ambiguity (e.g., “Software Developer”).
Date of Commencement	Mention the joining date.	Ensure alignment with schedules.
Remuneration	Salary breakdown: basic, allowances, bonuses.	Include currency, frequency, and compliance with PF/ESI.
Benefits	Health insurance, retirement plans, PTO, gratuity, provident fund.	Add perks like WFH or travel allowance.
Working Hours	Weekly hours and overtime rules.	Keep consistent with labor laws.
Type of Employment	Permanent, contract, or temporary.	Clearly define in agreement.
Probation Period	Duration and conditions.	Example: “3 months probation.”
Confidentiality & NDA	Protect sensitive data and IP.	Essential for data-heavy roles.
Termination Clause	Grounds and notice period.	Must comply with Indian labor laws.
Compliance	Adhere to Payment of Wages Act, Minimum Wages Act, Industrial Disputes Act, etc.	Include gratuity, PF, and state-specific laws.
Anti-Discrimination	Ensure fair employment practices.	Confirm inclusivity and equal opportunity.

Ensure that the payment is in accordance with the Payment of Wages Act, 1936, the Minimum Wages Act, 1948, the Industrial Disputes Act, 1947, and all other state-specific laws. Include mandatory details such as gratuity, provident fund contributions, and any other statutory benefits. Also be aware of anti-discrimination laws and fair employment practices.

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FAQs

Not to be considered as tax, legal, financial or HR advice. Regulations change over time so please consult a lawyer, accountant  or Labour Law  expert for specific guidance.