India has the second largest labour force in the world with just under 500 million people. It is projected to become the world’s largest labour force by 2050. It also has one of the world’s youngest labour forces with an average age of 28 (compared to 37.6 in China).
From a labour law perspective, India is one of the most regulated environments outside of Europe. The global business will need to understand the complexities of managing labour relations in India which can be an intricate combination of legal requirements and what is normal from a cultural and local custom perspective. There is also a strong emphasis on loyalty and the way an employer treats its employees, as well as careful scrutiny and comparison of basic terms and conditions within the labour market.