New Labour Codes · Effective 21 Nov 2025

Payroll that's already compliant with India's new labour codes

MAVRO Payroll handles the 50% wage rule, 48-hour full & final settlement, unified PF and gratuity computation, and multi-state notifications — automatically. No spreadsheet workarounds. No compliance debt.

4/4codes automated
48hF&F settlement
36states & UTs tracked
F&F in 48hexit → payout · timestamped
MAVRO Payroll LIVE SYNC
Salary Structure F&F Settlement Registers Notices
AK
Grade M3 · CTC Structure
ENTITY: STPL-DEL · STATE: UP
Compliant
Wage base · Code on Wages §2(y) Basic 50% auto-locked
Basic + DA — 50%
Allowances — 50%
PF baseUnified
Gratuity baseUnified
Bonus baseUnified
Excess add-backAuto
Code on Wages2019 · WAGE DEF ENFORCED
Social Security Code2020 · PF / GRATUITY / GIG
Industrial Relations2020 · F&F / RE-SKILLING
OSH Code2020 · LETTERS / REGISTERS
36 / 36state rules tracked live

Trusted by finance & HR teams

Labour Code Compliance

India's new labour codes rewrote payroll. MAVRO rewrote itself first.

Four labour codes replaced 29 legacy laws — changing how wages are calculated, exits are settled, and contributions are filed. MAVRO Payroll is engineered around the new codes, not retrofitted to them.

29legacy laws · repealed
4labour codes · in force
21 NOV 2025All four codes in force nationwide
08 MAY 2026Central Rules finalised — state rules notifying in waves
TODAYEvery payroll in India must comply — or carry the risk
Book a 30-minute compliance audit

We map your organisation's CTC structures against the new wage definition — grade by grade.

The headline rule

The 50% wage rule — enforced at structure level

50% statutory floor
Basic + DA — 50%
Allowances — 50%

Basic pay, DA and retaining allowance are locked at a minimum of 50% of total remuneration. If allowances breach the ceiling, MAVRO adds the excess back to the wage base automatically — for PF, gratuity, bonus and leave encashment. No manual recomputation. No under-contribution risk.

What MAVRO automates02–09
02

48-hour full & final settlement

On any exit — resignation, retrenchment, retirement or dismissal — MAVRO computes salary, notice pay, leave encashment and statutory dues, and clears the payout within two working days. Every step timestamped for audit.

Code on Wages
03

Unified wage definition

One wage base, one calculation engine across PF, ESI, gratuity and bonus. The definitional confusion between the old EPF Act, Gratuity Act and Bonus Act is gone in the codes — and gone in MAVRO.

Social Security
04

Fixed-term gratuity — from day one

Fixed-term staff earn gratuity without the 5-year rule. MAVRO tracks their tenure separately and computes pro-rata payouts automatically at exit.

Social Security
05

7th-of-the-month wage payment

Payroll cycles are pre-configured to close and disburse by the statutory deadline, with alerts the moment any approval is stuck.

Code on Wages
06

Gig & platform worker contributions

For aggregator businesses, MAVRO computes the 1–2% turnover contribution to the Social Security Fund and stays updated as the Ministry notifies specific rates.

Social Security
07

Retrenchment re-skilling fund

15 days of last-drawn wages routed to the Worker Re-skilling Fund within the 10-day window — computed and disbursed inside the workflow, not on a side spreadsheet.

Industrial Relations
08

Mandatory appointment letters

Every hire gets a compliant appointment letter, templated per state, generated at onboarding — now required across every sector.

OSH Code
09

Multi-state rule tracking

Each state notifies its own operational rules. MAVRO updates forms, thresholds and inspection formats for every state your workforce sits in — without you filing a ticket.

36 / 36 states
Core platform

Everything else a modern payroll should do — done right

Labour code compliance is the headline. Underneath it sits the complete gross-to-net engine your teams run every month — shown here as it actually looks in MAVRO.

Salary structure builder

Design and clone CTC structures per grade, location and entity — auto-validated against the 50% wage rule and minimum wage floors as you build.

STRUCTURE VALIDATOR · GRADE M3 LIVE CHECK
Basic + DA · 50% HRA · 22% Special · 28%
ENTITY STPL-DEL · 12 GRADES CLONED ✓ 50% floor compliant
Grades12
Min-wage checkPASS
PF delta₹0

Statutory computation engine

PF, ESI, PT, LWF, TDS, gratuity and bonus — one unified wage base, state-wise variations automatic.

STATUTORY RUN · MAR COMPUTED
₹90.5L/ month
PF + Pension42% TDS24% ESI · PT · LWF18% Gratuity · Bonus16%

Attendance & leave integration

Biometric, GPS and mobile check-ins flow straight into the pay run and F&F — no re-entry.

ATTENDANCE SYNC · MARCH 312 SYNCED
BIOMETRIC + GPS + MOBILE ✓ Into payroll

Income tax & Form 16

Old vs new regime compared per employee, real-time projections, quarterly TDS returns, one-click Form 16.

TAX PLANNER · FY 26-27 PER EMPLOYEE
Old regime₹52,400 / mo
New regime₹48,150 / mo
FORM 16 · ONE CLICK New saves ₹4,250

Loans, advances & reimbursements

Employee-initiated requests, approval workflows, EMI schedules — cleanly folded into monthly gross-to-net.

LOAN LEDGER · ACTIVE AUTO-DEDUCT
Festival advance4 / 6 EMIs
Laptop loan9 / 12 EMIs

Bank file & payment automation

Disbursement files for every major Indian bank, API payouts, and one-screen reconciliation against the register.

DISBURSEMENT · MAR RECONCILED
TXTHDFC_SAL_MAR26.txt✓ DONE
TXTICICI_SAL_MAR26.txt✓ DONE
APIInstant payouts — 14 exits✓ PAID

Employee self-service

Payslips, tax declarations, IT proofs, loans and exit dues — self-serve on web and mobile. Cuts HR tickets by 60–70%.

ESS · MOBILE APP SELF-SERVE
Payslip · MarchPDF ↓
Tax proofs✓ VERIFIED
Leave balance11 DAYS
Declare investments

Multi-entity, multi-state, multi-currency

Run one company or forty. Consolidate at group level. Indian and GCC payroll from the same platform.

GROUP CONSOLIDATION 3 ENTITIES
STPL DelhiUP · 214INR
STPL BengaluruKA · 86INR
STPL Gulf FZ-LLCDXB · 12AED
GROUP ROLLUP ✓ Consolidated

Analytics & audit trail

CFO-ready dashboards on payroll cost, headcount trends, statutory outflow and compliance status — and every field change logged.

PAYROLL ANALYTICS · OCT–MAR CFO VIEW
PAYROLL COST₹4.62 CR
Headcount trend312 ▲ 4.2%
Statutory outflow₹90.5 L / mo
Compliance statusAll filings on time
BASIC PAY EDITED · GRADE M3 · R. SHARMA · 14:02 IST · APPROVED BY CFO PF ECR FILED · MAR CYCLE · ACK 88214 F&F CLEARED · 46 HRS · EMP-2201 STATE PACK UPDATED · KARNATAKA · AUTO BASIC PAY EDITED · GRADE M3 · R. SHARMA · 14:02 IST · APPROVED BY CFO PF ECR FILED · MAR CYCLE · ACK 88214 F&F CLEARED · 46 HRS · EMP-2201 STATE PACK UPDATED · KARNATAKA · AUTO
Swipe to explore all 9
How it works

From legacy payroll to labour code compliant — in under 30 days

This is the implementation console your team works from. Click through the five steps — each one is a real phase, with real sign-offs.

app.mavro.io/implementation
Illustrative preview

Implementation plan

DAY 30 · GO-LIVE We stay embedded for the first two months of hyper-care.

Structure Audit — CTC vs New Wage Definition

In progress · Day 3 of 5
Employees scanned312 / 312100% coverage
Grades mapped12All entities
Below 50% floor47Flagged for restructure

Flagged grades — basic below 50%

GradeBasic todayPF delta / monthAction
Grade M2 — Managers42%+ ₹1,860Restructure
Grade S1 — Sales46%+ ₹1,120Restructure
Grade E4 — Engineers44%+ ₹1,540Restructure
Grade A1 — Admin51%Compliant

Audit checklist

  • Existing CTC structures mapped, grade by grade
  • New wage definition applied to every employee
  • PF and gratuity liability delta computed
  • Written gap report shared with CFO & CHRO

Migration — History, Registers, Master Data

Reconciliation ready
Records migrated48,760Zero rejected
Payroll history36 monthsFull statutory trail
Variance found0Clean reconciliation

Migration progress

Employee master — 312 records100%
Payroll history — 36 months100%
Statutory registers — PF · ESI · PT · LWF100%
Loans & advances — open balances92%

Sign-off gate

  • Reconciliation report generated — line-by-line match against your current system
  • Statutory registers verified against filed returns
  • You sign off before anything goes further — nothing moves without it

Configuration — States, Entities, Integrations

4 states · 3 entities
State rule packs4 appliedUP · MH · KA · HR
Approval flows6 liveMaker–checker enabled
ERP integrationConnectedGL posting mapped

Configuration checklist

  • State rules applied for every state your workforce sits in
  • Entity settings — PAN, PF codes, ESI subcodes per unit
  • Approval workflows mirrored from your current sign-off chain
  • Salary journals and cost-centre allocation mapped to your ERP

Accounting connectors

SAP S/4HANA SAP Business One Tally Prime Zoho Books Oracle Fusion Dynamics 365 BC

Parallel Run — MAVRO vs Your Current System

312 / 312 payslips matched
Cycles compared1 full monthSide by side
Net pay variance0.00%To the rupee
Cutover approvedYesSigned by finance

Reconciliation — March cycle

ComponentLegacy systemMAVROMatch
Gross payroll₹4,62,18,340₹4,62,18,340
PF contribution₹38,42,110₹38,42,110
TDS deducted₹52,08,675₹52,08,675
Net disbursed₹3,48,71,220₹3,48,71,220

Why this step matters

  • One full month runs on both systems in parallel
  • Every payslip compared before anyone switches
  • Cutover happens only after the numbers prove themselves

Go Live — First Labour-Code-Compliant Cycle

Day 30
LIVE — payroll running on MAVRO First cycle closed, disbursed and filed under the new labour codes
Disbursed by1st of monthAhead of the 7th deadline
Manual entries0Fully automated
Hyper-care60 daysTeam embedded with yours

What stays with you after go-live

  • Our implementation team stays embedded for the first two months — not a ticket queue
  • Every statutory filing of the first cycles reviewed together with your team
  • State rule updates continue automatically — no re-implementation, ever

The comparison

Old payroll vs. MAVRO Payroll under India's new labour codes

Most legacy Indian payroll systems handle the new codes through manual configuration and patches. MAVRO is built around them at the data-model level — compliance is the default, not an add-on.

Requirementunder the four labour codes Legacy payrollpatched & manual MAVRO Payrollcompliant by design
50% basic wage rule !Manual restructuring Auto-enforcedLocked at structure level, excess added back to the wage base
Full & final settlement 30–45 days Within 48 hoursComputed and cleared inside the exit workflow, timestamped
Unified wage definition Separate for PF, ESI, gratuity Single computation engineOne wage base across every statutory calculation
Fixed-term gratuity Not tracked Pro-rata from day oneNo 5-year rule for fixed-term employees
Gig worker contributions Not supported Auto-computed1–2% turnover contribution to the Social Security Fund
Multi-state rule updates !Manual patches Live compliance layerAll 36 states & UTs tracked as rules are notified
Appointment letters HR template file Auto-generated at onboardingTemplated per state, compliant across every sector
7 / 7 requirements automatic in MAVRO — manual or missing in legacy payroll

Based on the Code on Wages 2019, Code on Social Security 2020, Industrial Relations Code 2020 and OSH & Working Conditions Code 2020, in force since 21 November 2025 with Central Rules notified on 8 May 2026.

Security & integrations

Enterprise-grade security. Every integration your finance stack needs.

Payroll is the most sensitive data your organisation holds — and the most connected. MAVRO treats both facts as first-class engineering problems.

The vault

How your payroll data is protected
  • ISO 27001 controlsInformation security managed under a certified control framework.
  • Role-based accessField-level permissions — admins, approvers and viewers see only what their role allows.
  • Encrypted at rest and in transitSalary, PAN and bank data encrypted end to end.
  • Full audit trailEvery field change logged — who, when, from where. Nothing edits silently.
  • DPDP Act alignedData handling for Indian residents aligned with the Digital Personal Data Protection Act.
ISO 27001 DPDP ACT AES ENCRYPTION AUDIT LOG

Native connectors

Salary journals, cost centres & GL posting — automated
MAVROPAYROLL
SAP S/4HANA · Business One
ORACLE Fusion Cloud ERP
TallyPrime Journals · vouchers
ZOHOBooks Accounting sync
Dynamics 365 Business Central
REST Custom ERPs · BI · DWH

Every connector posts salary journals, cost-centre allocations and GL entries automatically — your finance team never re-keys payroll into the ERP.

What teams say

The month-end that finally runs itself

From the people who feel payroll the most. The CFOs who sign it, the HR heads who own it, and the payroll teams who run it.

★★★★★ F&F in 30 to 45 days48 HOURS

Full and final settlements used to take us over a month, and every delayed exit was a legal exposure under the new codes. With MAVRO, F&F closes in two days, computed and timestamped. My audit committee stopped asking about it.

Chief Financial OfficerMid-size manufacturing group · Delhi NCR
48hfull & final settlement, timestamped
★★★★★ 47 grades non-compliantDONE BEFORE DEADLINE

The 50% wage restructuring looked like a six-month project when the codes landed. MAVRO's structure audit flagged every affected grade in week one, and the restructuring was signed off before the 21 November deadline, with the PF impact modelled for the board in advance.

Head of Human ResourcesIT services company · Bengaluru
100%grades compliant before the deadline
★★★★★ Manual state patches0 TICKETS FILED

We run payroll across four states, and every state keeps notifying its own rules. Earlier that meant tracking circulars myself and raising tickets with the vendor. Now the state notifications update themselves. Forms, thresholds, registers. I found out UP's rules changed from MAVRO, not from a consultant.

Payroll ManagerRetail chain · 4 states, 1,100+ employees
0vendor tickets for state rule updates
★★★★★ 4-day GL close4 HOURS

Payroll used to hit our books as one opaque journal entry. Now every cost centre posts automatically into SAP, reconciled line by line. Month-end close on the payroll side went from four days to four hours.

Financial ControllerPharma group · Hyderabad
4hpayroll GL close, down from 4 days
★★★★★ No gig worker supportAUTO-COMPUTED

Nobody in the market could tell us how to handle gig worker contributions under the Social Security Code. MAVRO computed the aggregator contribution correctly in our first month and keeps the rates current as notifications land.

Chief Operating OfficerLogistics platform · Mumbai
Day 1gig contributions computed correctly
★★★★★ Week one lost to queries68% FEWER TICKETS

My team used to spend the first week of every month answering payslip and tax questions. With the self-service app, employees pull their own payslips, proofs and balances. Helpdesk tickets dropped by two thirds.

HR Operations LeadHealthcare network · Chennai
68%fewer payroll helpdesk tickets
010203040506 / 06

Results from MAVRO Payroll implementations by SaiSatwik Technologies · client names shared on request during your demo

FAQ

Payroll that is New Labour Law Compliant

The new labour codes, implementation, integrations. Answered straight.

Still have a question about the new codes? Bring it to the compliance audit. 30 minutes with an implementation specialist. Book the audit

Under the Code on Wages, basic pay, dearness allowance and retaining allowance must together be at least 50% of an employee's total remuneration. If allowances exceed 50% of CTC, the excess is added back to the wage base, which raises PF, gratuity, bonus and leave encashment calculations. MAVRO enforces this at the salary-structure level automatically.

All four labour codes, the Code on Wages 2019, Code on Social Security 2020, Industrial Relations Code 2020 and OSH & Working Conditions Code 2020, came into force on 21 November 2025. The Central Rules were finalised on 8 May 2026, and individual states are now notifying their own operational rules in waves.

Yes. The moment an exit is triggered, whether resignation, retrenchment, retirement or dismissal, MAVRO computes salary, notice pay, leave encashment and statutory dues in one workflow and clears the payout within two working days, as the Code on Wages requires. Every step is timestamped for audit.

Yes. For aggregator and platform businesses, MAVRO computes the 1–2% of turnover contribution to the Social Security Fund introduced by the Code on Social Security, and updates automatically as the Ministry notifies specific rates and rules for gig and platform workers.

MAVRO has native connectors for SAP S/4HANA, SAP Business One, Oracle Fusion, Tally Prime, Zoho Books and Microsoft Dynamics 365 Business Central, posting salary journals, cost-centre allocations and GL entries automatically. For anything else, documented REST APIs cover every payroll object.

Under 30 days for most organisations: structure audit (days 1–5), data migration (6–12), configuration (13–18), a full parallel run against your current system (19–26), and go-live (27–30). A parallel month proves the numbers match to the rupee before anyone switches.

Yes. Labour is a concurrent subject, so each state notifies its own rules under the codes. MAVRO's compliance layer tracks notifications across all 36 states and union territories and updates forms, thresholds, registers and inspection formats for every state your workforce sits in, without support tickets.

That's exactly who it's built for. MAVRO's sweet spot is organisations of 100 to 5,000 employees: large enough that spreadsheet payroll is a risk, structured enough to need multi-entity, multi-state handling, without the cost and timeline of a global enterprise suite.

During the structure audit, MAVRO models the PF and gratuity liability delta for every grade before you commit to a restructure, so finance sees the monthly cost impact in advance. After go-live, the excess add-back is computed automatically each cycle, so contributions are always on the correct wage base.

Yes, through employee self-service on web and mobile. Employees download payslips and Form 16, submit tax declarations and investment proofs, apply for loans and leave, and track exit dues themselves. Most rollouts see HR ticket volume drop by 60–70%.