⚖️ Statutory Compliance FrameworkPSARA Form-V LicensedEPF & ESIC CompliantISO 9001:2015

Statutory Compliance Framework | PSARA, Minimum Wages & Labour Law

ACS maintains verified statutory compliance across 13 Indian states — covering PSARA licensing, state-wise gazetted minimum wages, EPF/ESIC contributions, statutory bonus, gratuity, and contractual statutory indemnification under the Contract Labour (R&A) Act 1970 Section 21(4).

View State-wise Compliance Data Download Compliance Kit 📞 Compliance Helpdesk: +91 93399 88999

PSARA Licensed

WB, Delhi & Jharkhand — Direct

13 States Covered

Pan-India statutory deployment

100% PF/ESIC

Monthly ECR & Form 5 deposits

25+ Years Experience

Verified statutory compliance

Statutory Notice & Audit Disclaimer

Statutory wage benchmarks and gazette notifications displayed in this register are compiled from official State Labour Department notifications, the Office of Chief Labour Commissioner (Central), and Central Board of Trustees (EPFO). Figures serve as verified statutory baselines for institutional budgeting and tender formulation. ACS does not issue automated legally binding quotations. Final contractual pricing requires a mandatory joint site security survey, post risk classification, shift-level risk analysis, and a formal written quotation signed by an authorized ACS compliance officer with contractual statutory indemnification under Section 21(4) of the Contract Labour (R&A) Act 1970.

State-Wise Data — Updated 2026

PSARA Status & Minimum Wages by State

All wage figures are in Indian Rupees per day (₹/day) as per the latest state gazette notifications. Effective dates reflect the most recent revision notified by each state's Labour Commissioner.

PSARA Licensed — Direct license in state

PSARA Operational — Via PSARA-registered partners

Statutory Compliant — Full statutory compliance framework

State	PSARA Status	Unskilled (₹/day)	Semi-Skilled (₹/day)	Skilled (₹/day)	Effective Period & Gazette Ref	Key Statutory Acts	Labour Dept.
West Bengal Primary PSARA License State — ACS Head Office & Registered Entity	PSARA Licensed	₹462	₹498	₹537	1 Jan 2026 – 30 Jun 2026 Circular No. 12/Stat/2RW/29/16/LCS/JLC (Labour Commissionerate, Govt of WB)	PSARA 2005Contract Labour (R&A) Act 1970Minimum Wages Act 1948EPF & MP Act 1952ESI Act 1948	Labour Dept.
Delhi PSARA Licensed — NCR Operations Hub	PSARA Licensed	₹676	₹746	₹824	1 Oct 2025 – 31 Mar 2026 Order F.No.12(142)/02/MW/VII/Partfile/5826 (Office of Addl Labour Commissioner, NCT Delhi)	PSARA 2005Delhi Contract Labour RulesMinimum Wages Act 1948EPF & MP Act 1952	Labour Dept.
Jharkhand PSARA Licensed — Eastern Zone Operations	PSARA Licensed	₹395	₹435	₹478	1 Oct 2025 – 31 Mar 2026 Notification No. 2/MW-2071/2021-L&T-1845 (Department of Labour, Govt of Jharkhand)	PSARA 2005Contract Labour ActMinimum Wages Act 1948EPF & MP Act 1952	Labour Dept.
Bihar ACS operational via Bihar-registered partner entities with full statutory compliance	PSARA Operational	₹365	₹400	₹440	1 Oct 2025 – 31 Mar 2026 Gazette Notification No. 5/MW-403/2020-L&R-2305 (Labour Resources Dept, Bihar)	PSARA 2005Contract Labour ActMinimum Wages Act 1948	Labour Dept.
Odisha ACS operational via Odisha-compliant deployment framework	PSARA Operational	₹380	₹415	₹450	1 Oct 2025 – 31 Mar 2026 Notification No. 3450/LC (Labour Commissioner, Odisha, Bhubaneswar)	PSARA 2005Odisha Contract Labour RulesMinimum Wages Act 1948	Labour Dept.
Haryana State-compliant deployment with full PF/ESIC statutory coverage across NCR/Haryana	Statutory Compliant	₹435	₹480	₹528	1 Jul 2025 – 31 Dec 2025 Notification No. 11/12/2025-2Lab (Labour Department, Haryana)	PSARA 2005Contract Labour ActMinimum Wages Act 1948EPF & MP Act 1952	Labour Dept.
Uttar Pradesh State-compliant deployment with full PF/ESIC statutory coverage	Statutory Compliant	₹442	₹485	₹525	1 Oct 2025 – 31 Mar 2026 Notification No. 1205/36-2-2025-MW (Labour Section-2, Govt of Uttar Pradesh)	Contract Labour ActMinimum Wages Act 1948EPF & MP Act 1952	Labour Dept.
Maharashtra Deployment via Maharashtra-compliant statutory framework	Statutory Compliant	₹525	₹575	₹630	1 Jan 2026 – 30 Jun 2026 Circular No. MWA-2026/CR-14/Labour-7 (Industries, Energy & Labour Dept, Maharashtra)	PSARA 2005Contract Labour ActMinimum Wages Act 1948EPF & MP Act 1952	Labour Dept.
Karnataka Deployment via Karnataka-compliant statutory framework	Statutory Compliant	₹510	₹555	₹605	1 Apr 2025 – 31 Mar 2026 Gazette Notification No. KAE 28 LMW 2025 (Labour Department, Karnataka)	PSARA 2005Contract Labour ActMinimum Wages Act 1948	Labour Dept.
Tamil Nadu Deployment via Tamil Nadu statutory compliance framework	Statutory Compliant	₹468	₹512	₹562	1 Apr 2025 – 31 Mar 2026 G.O. (2D) No. 42 (Labour Welfare and Skill Development Dept, Tamil Nadu)	PSARA 2005Contract Labour ActMinimum Wages Act 1948	Labour Dept.
Gujarat Gujarat statutory deployment with full compliance	Statutory Compliant	₹418	₹458	₹500	1 Oct 2025 – 31 Mar 2026 Notification No. KHR/2025/112/L.B. (Labour and Employment Dept, Gujarat)	Contract Labour ActMinimum Wages Act 1948EPF & MP Act 1952	Labour Dept.
Rajasthan Rajasthan statutory deployment with full compliance	Statutory Compliant	₹385	₹420	₹460	1 Jan 2026 – 31 Dec 2026 Order F.8(5)Labour/MW/2025/Part/4320 (Labour Department, Rajasthan)	Contract Labour ActMinimum Wages Act 1948	Labour Dept.
Telangana Telangana statutory deployment with full compliance	Statutory Compliant	₹485	₹530	₹580	1 Oct 2025 – 31 Mar 2026 G.O.Ms.No. 18 (Labour Employment Training & Factories Dept, Telangana)	PSARA 2005Contract Labour ActMinimum Wages Act 1948	Labour Dept.

⚠️ Statutory Notice: Minimum wage figures and gazette circulars are sourced from respective State Labour Department notifications and CLC(C) orders. Rates are subject to semi-annual Variable Dearness Allowance (VDA) revisions (typically April 1 and October 1). Contractual deployment rates require joint site survey and customized shift risk classification. Contact ACS Compliance Desk for project-specific formal costing.

Transparent Statutory Costing

ACS 3-Tier Statutory Wage Formula

ACS computes all-inclusive manday rates using a non-negotiable statutory formula mandated by the Chief Labour Commissioner (Central) and respective State Labour Departments. Every component below is a legal obligation, not an optional add-on.

Unskilled

Basic security duty — unarmed guards, access control, perimeter watch

Semi-Skilled

Trained guards — supervisors, trained frisking, alarm response

Skilled

Armed guards, ex-servicemen, security supervisors, control room operators

Reviewed Statutory Calculation Model

Manday & Monthly Wage Breakdown — Per Guard

Audit Verified — No Double-Counting

Governing Billing Formula:Central Labour Standard

Total Monthly Billable Cost = Step B (Monthly Base) + Steps C..G (Statutory Contributions & Provisions) + Step H (Service Charge) + Step I (GST)

Step A: Daily Wage Input

Step B (Base)

Steps C..G (Statutory)

Step H (Service Fee)

Step I (GST 18%)

Audit Rule — Input Baseline vs. Billable Total: Step A (Gazetted Daily Minimum Wage) is an input benchmark used solely to derive Step B (Monthly Wage Base = A × 26). Step A is NOT an additive line item in the monthly billable total. Summing Step A and Step B double-counts wage components.

Inputs & Derived BaselineTier 1: Baseline Wage & Monthly Conversion

Delineates the statutory daily benchmark (input rate) from the derived monthly baseline. Step A is the input multiplier; Step B is the billable baseline foundation.

AInput Statutory Benchmark

Gazetted Daily Minimum Wage (Basic + VDA)

Input Benchmark (Non-Additive)Input Benchmark (× 26 Days)Act: Minimum Wages Act 1948

Daily statutory benchmark notified by the State Labour Department or Central Sphere for Unskilled, Semi-Skilled, or Skilled security personnel. This is an input rate used solely to calculate Step B (Step A × 26) and is NOT an additive line item in the monthly billable total.

📌 Tender Formula Note: Step A is an input rate used to calculate Step B (Monthly Base = A × 26). It is not added to monthly billing totals.

BDerived Billable Baseline

Monthly Wage Base (A × 26 Working Days)

Billable AddendStep A × 26 Working DaysAct: Minimum Wages Act 1948 & State Rules

Derived directly from Step A (Step A × 26 working days, accounting for 4 paid weekly rest days per 30-day month). Serves as the primary baseline for all subsequent statutory deductions and contributions.

📌 Baseline Foundation: Step B is derived from Step A and serves as the baseline for all statutory deductions and contributions (Steps C through G).

Mandatory Statutory LiabilitiesTier 2: Statutory Employer Contributions & Provisions

Mandatory employer contributions and accruals under Central Labour Acts (EPF, ESIC, Bonus, Gratuity, and PSARA Uniforms). Non-negotiable statutory liabilities with zero wage deductions permitted.

CMandatory Statutory Contribution

EPF Employer Contribution (13% on Basic up to ₹15,000 ceiling: 12% EPF + 0.5% EDLI + 0.5% Admin)

Billable Addend13.00% on Basic (≤ ₹15k ceiling)Act: EPF & MP Act 1952

Mandatory employer contribution comprising 12% EPF + 0.5% EDLI (Employees' Deposit Linked Insurance) + 0.5% EPFO Administrative Charges on basic wages up to the statutory ceiling of ₹15,000/month. Deposited monthly via EPFO Electronic Challan cum Return (ECR).

DMandatory Statutory Contribution

ESIC Employer Contribution (3.25% on gross wages up to ₹21,000 ceiling)

Billable Addend3.25% of Gross Wages (≤ ₹21k ceiling)Act: Employees' State Insurance Act 1948

Employer contribution of 3.25% of gross wages (employee contributes 0.75%) for all personnel earning up to ₹21,000/month. Provides full medical healthcare, sickness benefit, and disability cover via ESIC network hospitals.

EMandatory Statutory Provision

Statutory Bonus Provision (8.33% under Payment of Bonus Act 1965)

Billable Addend8.33% of Basic / FloorAct: Payment of Bonus Act 1965

Monthly statutory bonus provision of 8.33% of basic wages (or state statutory wage floor). Accrued monthly by ACS into an escrow provision and disbursed annually to guards prior to major festivals (e.g., Diwali / Durga Puja).

FMandatory Statutory Provision

Gratuity Provision (4.81% under Payment of Gratuity Act 1972)

Billable Addend4.81% (15 / 26 / 12) of BasicAct: Payment of Gratuity Act 1972

Monthly accrual provision computed as 15 days of wages for every completed year of service (15 ÷ 26 ÷ 12 = 4.81% of basic wages). Guarantees statutory terminal benefits under the Payment of Gratuity Act 1972 without default.

GMandatory Operational Provision

Uniform & Equipment Allowance (Annualized monthly)

Billable AddendAnnualized Monthly Kit ProvisionAct: PSARA Act 2005 & Model Rules

Annualized monthly cost covering 2 sets of seasonal uniforms, safety combat boots, photo ID card, lanyard, whistle, high-intensity LED torch, and reflective safety vest mandated under PSARA standards.

Operational Overhead & Indirect TaxTier 3: Commercial Overheads & Statutory Taxes

Legitimate contractor management overhead per GeM / Ministry of Finance standards, plus statutory Goods & Services Tax (100% ITC eligible for clients).

HCommercial Operational Overhead

Administrative Service Charge (5% - 10% operational overhead per GeM / Min of Finance guidelines)

Billable Addend5% – 10% on Manday SubtotalAct: GeM & Min of Finance Guidelines

Legitimate contractor management fee (5% to 10% of manpower subtotal Steps B through G) covering 24/7 central control room operations, field supervision visits, background verification, compliance auditing, and replacement relievers per GeM and Ministry of Finance procurement rules.

IStatutory Indirect Tax

GST @ 18% (SAC 998525, 100% eligible for Input Tax Credit)

Billable Addend18.00% on Billing SubtotalAct: Central Goods & Services Tax Act 2017

Goods and Services Tax levied @ 18% on total taxable services under SAC 998525 (Security & Investigation Services). 100% eligible for Input Tax Credit (ITC) by GST-registered client organisations.

Total Monthly Billable Cost Formula

Total Monthly Billable Cost = Step B (Monthly Base) + Steps C..G (Statutory Contributions & Provisions) + Step H (Service Charge) + Step I (GST). All line items are fully documented with ECR challans, TRRN receipts, and tax invoices.

Step B + Steps C..G + Step H + Step I

* Step A is the input multiplier (A × 26 = B), NOT an additive line item

Critical Advisory for Procurement Officers & Tender Evaluation Committees

1. Preventing Formula Double-Counting Defect

When evaluating vendor BOQs or tender rate sheets, verify that only the monthly derived wage (Step B = Step A × 26) is added to statutory contributions. Step A (Gazetted Daily Minimum Wage) is an input benchmark, not a billable addend. Bids that sum A + B double-count wages and must be corrected during technical/financial scrutiny.

2. Avoiding Vicarious Liability Under CLRA

Tenders omitting statutory line items for Bonus (8.33%), Gratuity (4.81%), EPF (13%), or Reliever provisions force contractors to deduct these amounts from guard salaries — constituting illegal wage theft under the Payment of Wages Act 1936 and exposing the principal employer to direct recovery orders under Section 21(4) of the Contract Labour (R&A) Act 1970.

Legal & Operational Risk Management

Why Statutory Compliance Matters

Non-compliance with labour laws is not just an agency risk — it directly exposes your organisation to legal liability, financial penalties, and reputational damage.

⚖️

Principal Employer Liability Under CLRA

Under the Contract Labour (Regulation & Abolition) Act 1970, if a contractor defaults on wages or statutory dues, the principal employer (your organisation) becomes legally liable to pay workers directly. Hiring a non-compliant agency exposes your company to court orders, labour commissioner notices, and reputational damage.

🛡️

PSARA Licensing Prevents Criminal Liability

Deploying security guards through an unlicensed agency is a non-bailable offense under PSARA 2005. Both the agency and the client organisation's responsible persons face prosecution. ACS's PSARA Form-V licenses eliminate this risk entirely across all deployment states.

💰

Statutory Wages Prevent Labour Unrest

Below-minimum wage contracts create chronic turnover, absenteeism, and organised labour agitation. ACS pays 100% of gazetted minimum wages, EPF, ESIC, and bonus — ensuring a stable, motivated workforce and zero labour disputes at your premises.

📋

CAG & Vigilance Audit Clean Chit

Government departments, listed companies, and PSUs face routine Comptroller & Auditor General (CAG) audits that scrutinise manpower contract compliance. ACS's complete documentation — ECR challans, ESIC receipts, wage registers, and PSARA certificates — ensures clean audit reports without findings or observations.

Key Statutory Acts ACS Complies With

✓ Private Security Agencies (Regulation) Act 2005 (PSARA)✓ Contract Labour (R&A) Act 1970✓ Minimum Wages Act 1948✓ EPF & Miscellaneous Provisions Act 1952✓ Employees' State Insurance Act 1948✓ Payment of Bonus Act 1965✓ Payment of Gratuity Act 1972✓ Payment of Wages Act 1936✓ Industrial Disputes Act 1947✓ Maternity Benefit Act 1961✓ Equal Remuneration Act 1976✓ Central Goods & Services Tax Act 2017

📦 ACS Compliance Kit

Download ACS Statutory Compliance Kit

Get our comprehensive Compliance Dossier — includes PSARA license copies, EPF/ESIC challans, CLRA certificates, ISO certificate, audited financials summary, and state-wise minimum wage reference charts. Ideal for procurement officers, HR departments, and CAG audit preparation.

✓PSARA Form-V License Copies (WB, Delhi, Jharkhand)
✓Monthly EPF ECR Challans & TRRN Receipts
✓ESIC Form 5 Payment Receipts
✓ISO 9001:2015 Certificate
✓State-wise Minimum Wage Reference Chart
✓CLRA Form V/VI & GSTIN Filing Summary

Request Compliance Kit Email Us Directly

12+

States Covered

25+

Years Compliant

100%

EPF/ESIC Paid

Litigation Record

Statutory Compliance Indemnification

The Monthly Compliance Pack: Contractual Indemnification & Vicarious Liability Protection

Under Section 7A of the EPF Act 1952 and Section 21(4) of the Contract Labour (R&A) Act 1970, Principal Employers face vicarious statutory liability if manpower contractors default. ACS provides formal contractual indemnification backed by an audited 4-part digital dossier delivered directly to your finance and audit teams by the 15th of every month.

EPF ECR & TRRN Receipt

Official Electronic Challan cum Return (ECR) downloaded from the EPFO unified portal, accompanied by the bank transaction receipt confirming 100% employer & employee deposits.

ESIC Contribution Proof

Verified ESIC monthly contribution statement confirming all deployed personnel maintain active health insurance and medical benefits with zero arrears.

GSTR-3B & Tax Clearances

Legitimate GST payment receipts and GSTR-3B filings ensuring your organization effortlessly claims 100% Input Tax Credit (ITC) with zero mismatch notices.

Bank Wage Slips (NEFT)

Schedule bank salary disbursement statements proving that 100% of deployed guard wages are credited directly into their bank accounts strictly by the 7th of the month.

Verify Your Current Vendor's Statutory Exposure

Calculate compliant billing using our live rate engine or schedule a confidential on-site audit.

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Compliance Questions Answered

Statutory Compliance FAQs

Common questions from HR managers, procurement officers, audit teams, and business owners about ACS's statutory compliance practices.

Is ACS PSARA licensed in all states it operates in?

ACS holds direct PSARA Form-V licenses in West Bengal (Head Office), Delhi (NCR Hub), and Jharkhand (Eastern Zone). In other states, ACS deploys through state-registered PSARA partner entities with full compliance oversight, ensuring every guard deployed is covered under the Private Security Agencies (Regulation) Act 2005.

How are minimum wages calculated for security guards?

Security guard wages follow a 3-tier classification per the Minimum Wages Act 1948: Unskilled (basic security duty), Semi-Skilled (supervisory/trained guards), and Skilled (armed guards/ex-servicemen). Each state's Labour Department issues gazette notifications with Basic + Variable Dearness Allowance (VDA). ACS ensures all guards receive the prevailing gazetted rate without deductions.

What is the all-inclusive monthly cost formula ACS uses?

ACS applies the reviewed statutory formula: Total Monthly Billable Cost = Step B (Monthly Wage Base = Gazetted Daily Minimum Wage Step A × 26 working days) + Steps C..G (Statutory Contributions & Provisions: EPF 13%, ESIC 3.25%, Bonus 8.33%, Gratuity 4.81%, Uniform Allowance) + Step H (Administrative Service Charge 5–10%) + Step I (GST @ 18%). Step A serves strictly as an input benchmark to derive Step B and is never double-counted into monthly totals, ensuring audit-compliant billing with zero wage theft.

What EPF and ESIC rates does ACS deduct/contribute?

Employee Provident Fund: Employer contributes 12% EPF + 0.5% EDLI + 0.5% Admin Charges = 13% total on basic wages, subject to the statutory EPF wage ceiling of ₹15,000/month under Paragraph 29 of the EPF Scheme 1952 (contributions on wages exceeding ₹15,000 are optional or by mutual agreement). Employee's statutory share is 12%. ESIC: Employer contributes 3.25% and Employee contributes 0.75% of gross wages, applicable strictly for employees earning gross wages up to the statutory ceiling of ₹21,000/month under Section 2(9) of the ESI Act 1948. Personnel earning above ₹21,000 are exempt from ESIC and are covered under Workmen's Compensation / GPA insurance. ACS deposits all statutory contributions monthly via the EPFO and ESIC unified portals.

Does ACS provide compliance documentation for client audits?

Yes. ACS maintains a complete Compliance Dossier including: PSARA Form-V License copy, monthly EPF ECR challans (TRRN receipts), ESIC Form 5 payment receipts, Contract Labour (R&A) Act Form V/VI, GSTIN filings (GSTR-1 & GSTR-3B), ISO 9001:2015 certificate, and Audited Balance Sheets with CA-UDIN certificates. These are provided to clients on request for internal audits, CAG audits, and principal employer statutory obligations.

How does ACS handle mid-year wage revisions by state governments?

ACS tracks all State Labour Department gazette notifications and CLC(C) semi-annual VDA orders (typically issued in April and October) through its statutory compliance desk. Whenever a state revises minimum wages, ACS implements the revised rate from the statutory gazette effective date. Client billing is updated alongside formal circular documentation, ensuring seamless compliance without operational disruption.

⚖️ Talk to Our Compliance Team

Get a Fully Compliant Security Quote

Our compliance team will prepare a transparent, state-specific statutory wage costing with full documentation — PSARA, EPF, ESIC, bonus, and gratuity all accounted for. No hidden charges. No statutory shortcuts.

Get a Compliant Quote Email: advancedcorporatesecurityj@gmail.com

Compliance Helpdesk: +91 93399 88999 / +91 79801 47044 / +91 94770 06681 | 1/2, Bhattacharjee Para Lane, Barrackpore, Kolkata, West Bengal — 700120