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Why Global IT, Auto, and Engineering Companies Choose Pune

Pune’s appeal stems from a rare combination of industry depth and talent supply. Key reasons global companies prioritise Pune for India operations include:

IT and software industry

Hinjewadi IT Park, Magarpatta City, and Kharadi host offices of Infosys, Wipro, Cognizant, IBM, and hundreds of product companies

Automotive manufacturing

Chakan and Talegaon corridors host Volkswagen, Mercedes-Benz, Bajaj Auto, Tata Motors, and major Tier-1 suppliers

Engineering talent

COEP, Pune University, and dozens of private engineering colleges produce over 40,000 engineers annually

Lower cost vs. Mumbai

Office rentals and talent costs are 20 to 30% below comparable Mumbai roles

Quality of life

Preferred destination for professionals, resulting in lower attrition than other major metros

Incorporating an Indian entity takes three to six months and ?15 to 25 lakh in costs. An EOR in India gets you operational in seven to ten business days.

TMS EOR Services for Pune-Based Employees

TMS takes on the full legal employer role in Pune, covering all employment obligations under Maharashtra law and applicable central acts. Our employer of record service includes:

Maharashtra-compliant employment contracts

Drafted under the Maharashtra Shops and Establishments Act, covering probation, notice period, and IP assignment clauses

Monthly payroll

Salary processing, TDS computation and deposit, and net pay disbursement in INR

EPF management

Employer (12%) and employee (12%) PF contributions, ECR filing, and UAN lifecycle management

ESIC registration and returns

Applicable for employees below the ESIC wage threshold

Professional Tax: Maharashtra

Slab-based PT deductions and remittance to Maharashtra government

Maharashtra Labour Welfare Fund

Correct contribution and return filing

Gratuity and bonus provisioning

Accurate accrual and disbursement under the relevant statutes

HR administration

Joining kits, leave management, increment letters, full-and-final settlement

See our complete compliance scope at Statutory Compliance Services.

Industries We Serve Through Pune EOR

TMS has built deep experience across Pune’s core sectors:

Software Product and IT Services

Hinjewadi and Kharadi-based teams for global software companies, SaaS startups, and IT service providers

Automotive OEMs and Tier-1 Suppliers

Quality engineers, manufacturing engineers, and product development professionals at Chakan and Talegaon plants

Engineering Services Outsourcing (ESO)

CAD design, simulation, embedded systems, and R&D teams for European and Japanese engineering firms

Global Capability Centers (GCCs)

Finance, analytics, and operations teams for multinationals setting up India captive centers in Pune

Defence and Aerospace

Pune’s proximity to DRDO and HAL facilities attracts defence contractors needing local engineering staff

Education and EdTech

Pune’s university-dense environment supports international education companies and EdTech startups

Maharashtra-Specific Compliance for Pune Employees

Hiring in Pune means full Maharashtra statutory compliance. TMS covers every requirement:

  • Maharashtra Shops and Establishments Act, registration, annual renewal, working hours compliance
  • Professional Tax, slab deductions, employer PT registration, monthly remittance
  • Maharashtra Labour Welfare Fund, semi-annual contributions for eligible employees
  • Minimum Wages, Maharashtra scheduled rates for different employment categories
  • Maternity Benefit Act and POSH Act compliance support
  • Contract Labour (Regulation and Abolition) Act if applicable to specific engagement types

5-Step EOR Process for Pune Hiring

1

Submit requirement

Share role, CTC, work location (Hinjewadi, Kharadi, Magarpatta, etc.), and target joining date

2

Contract drafting

TMS prepares offer letter and employment contract under Maharashtra law within 24 to 48 hours

3

Employee onboarding

Documents collected, PF/ESIC registrations completed, UAN activated, in 2 to 3 working days

4

Payroll setup

Payroll structure finalised, TDS computed, first salary processed on schedule

5

Ongoing HR management

Monthly payroll runs, returns filing, leave and expense management by dedicated TMS HR pod

TMS vs. Global EOR Platforms in Pune

For Pune-based hiring, TMS delivers advantages that global platforms cannot replicate:

India-only focus

Unlike global platforms managing 100+ countries, TMS focuses exclusively on India compliance

20+ years of Maharashtra compliance experience

We have managed every amendment to the Maharashtra Shops Act, PT rules, and MLWF regulations

Automotive sector knowledge

We understand the specific employment structures used in Pune’s auto industry, including plant-based and project-based roles

Scalable from 1 to 500+ employees

Whether you need one senior hire or a full GCC team, TMS scales without process gaps

No hidden fees

Transparent per-employee monthly pricing, no platform markups

Foreign investment guidelines are available at DPIIT. Labour law reference at Ministry of Labour and Employment.

Frequently Asked Questions: EOR in Pune

Can a German automotive company hire engineers in Pune through TMS EOR without setting up a liaison office?

Yes. A foreign company does not need any Indian presence, not even a liaison office, to engage TMS as EOR. Your Pune engineers are employed by TMS and work under your technical direction. This is the most common structure used by European automotive OEM suppliers entering the Indian market.

How are automobile industry shift allowances and production bonuses handled in payroll?

TMS handles variable pay components including shift allowances, performance bonuses, and production incentives within the monthly payroll structure. These are reflected in TDS calculations and payslips. We work with your HR team to set up the correct payroll structure from day one.

What is the minimum salary for ESIC exemption in Maharashtra?

Employees earning above ₹21,000 per month are exempt from ESIC. For employees below this threshold, TMS registers them under ESIC and manages contributions (employer 3.25%, employee 0.75%) and monthly returns.

Can TMS support a GCC setup in Pune where we eventually want to transition to our own entity?

Absolutely. Many TMS clients use EOR as a bridge while establishing their own Indian subsidiary. We support a clean transition, providing complete payroll records, compliance documentation, and PF transfer assistance when you are ready to absorb employees under your own entity. See our India company registration guidance as well.

Does TMS cover employees based in Pimpri-Chinchwad (PCMC) the same as Pune city?

Yes. The Pimpri-Chinchwad Municipal Corporation area is covered under Maharashtra law and TMS handles PCMC-area employees seamlessly. The same Maharashtra Shops Act, PT, and MLWF rules apply, and TMS manages all registrations and filings for PCMC-based employees.

Hire in Pune: Fast, Compliant, No Entity Required

Whether you are hiring one IT professional in Hinjewadi or building an engineering team in Chakan, TMS EOR gives you a proven, compliant path to hiring in Pune.

Contact TMS for a Pune EOR proposal within 24 hours. Explore our Pune HR services page and the India EOR overview for more detail.

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