Employing young workers in India
Reviewed by Mellow Editorial Team, HR & payroll content team
Hiring a young worker in India is straightforward in most cases, but there are firm legal boundaries around age, working conditions and documentation that every employer must understand before making an offer.
The minimum age rules
Indian law draws a clear line at age 14. No child below 14 may be employed in any occupation. Between 14 and 18, a person is classified as an "adolescent" under the Child and Adolescent Labour (Prohibition and Regulation) Act, 1986. Adolescents can work in permitted occupations but are banned from hazardous processes and industries — the list is defined by central government and covers areas such as mining, chemical handling and construction-related activities.
For most office, retail or service roles, employing a worker between 16 and 18 is legally permissible, provided the work is non-hazardous and the hours are regulated. That said, many employers choose to hire only those who have completed schooling, which typically means 18 or older, simply to avoid the additional compliance layer.
Documentation and consent
Before onboarding anyone under 18, gather the following:
- Proof of age. A birth certificate, school leaving certificate, Aadhaar card or passport. This is non-negotiable — if a dispute arises, the employer bears the burden of showing due diligence.
- Parental or guardian consent. Though not always mandated in every state by a single statute, obtaining written consent from a parent or guardian is strongly advisable and expected by labour inspectors.
- Medical fitness certificate. Some state rules and certain industries require a certificate from a registered medical practitioner confirming the adolescent is fit for the type of work.
Keep copies on file. Labour inspections can happen without notice and incomplete records are treated as a compliance failure regardless of actual intent.
Working hours and conditions
The Factories Act and the Shops and Establishments Acts (which vary by state) set stricter limits for adolescent workers than for adults. Generally, adolescents may not work more than a prescribed number of hours per day, may not work during night shifts, and must receive rest intervals. The exact caps differ by state and sector, so check the applicable state Shops and Establishments Act if you are in a commercial establishment, or the Factories Act if you run a manufacturing unit.
India's four consolidated Labour Codes — which came into force in 2025 — retain protections for young workers and, in some areas, consolidate the earlier rules under cleaner language. The occupational safety provisions within the Occupational Safety, Health and Working Conditions Code are particularly relevant here.
Payroll and statutory contributions
Young workers are entitled to the same minimum wage as adult workers for the same category of work. There is no reduced minimum wage for age. If they earn above the applicable threshold, ESI contributions apply in the normal way. EPF contributions follow the standard structure: 12% from the employee's basic wages and 12% from the employer, with no age-based exemption for workers below 18.
For income tax, the new regime slabs apply in the same way as for any individual. A young worker earning below the threshold benefits from the section 87A rebate, and the 4% health and education cess applies on the tax amount. As the employer, you deduct TDS at source in the ordinary course, file Form 24Q quarterly and issue Form 16 at year end — the process does not change because the employee is young.
If you are running payroll across multiple states or employment types, how Mellow runs payroll across six countries on one platform is worth reading for context on managing that complexity.
Practical considerations
A few things worth thinking through before you hire:
Apprenticeships are a structured alternative. The Apprentices Act, 1961 provides a formal framework for engaging young people in training roles. Apprentices receive a stipend rather than a wage, and the compliance structure is different. For roles that involve genuine skill development, this route can be cleaner for both sides.
State rules vary more than people expect. The minimum age for certain roles, the specific list of hazardous processes, night-shift prohibitions and record-keeping requirements all have state-level variation. What applies in Maharashtra may differ from what applies in Tamil Nadu or Delhi. Before hiring an adolescent worker in a new state, check the local Shops and Establishments Act and any state-specific rules under the Labour Codes.
Termination rules apply equally. Young workers have the same protections against arbitrary termination as adult employees. If the engagement involves a fixed-term contract, document it properly from the start. Gratuity becomes payable after five years of continuous service, just as it does for any employee.
Take inspection risk seriously. Child and adolescent labour violations attract criminal penalties, not just fines. Employers who unknowingly hire underage workers by accepting forged documents have a partial defence only if they took genuine, documented steps to verify age at the time of hiring.
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