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Staffing Service Agreement for India

Staffing Service Agreement Template for India

A comprehensive legal agreement governed by Indian law that establishes the terms and conditions between a staffing agency and a client company for the provision of temporary or contract workforce services. The agreement ensures compliance with Indian labor laws including the Contract Labour (Regulation and Abolition) Act, 1970, and covers essential aspects such as scope of services, payment terms, statutory compliance requirements, worker benefits, and liability provisions. It includes specific provisions for worker management, performance monitoring, and dispute resolution while adhering to local regulatory requirements.

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Staffing Service Agreement

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What is a Staffing Service Agreement?

The Staffing Service Agreement is a critical document used in India when a company needs to engage contract workers through a professional staffing agency. This arrangement has become increasingly common across various industries as businesses seek workforce flexibility and specialized expertise. The agreement, governed by Indian labor laws and regulations, establishes the framework for engaging contract workers while ensuring compliance with statutory requirements such as the Contract Labour Act, Employees' Provident Fund Act, and other relevant legislation. It outlines the responsibilities of both the staffing agency and the client company, including worker welfare, statutory benefits, performance management, and payment terms. This document is particularly important given India's complex labor law landscape and the need to clearly delineate obligations between parties.

What sections should be included in a Staffing Service Agreement?

1. Parties: Identification of the staffing agency and the client company with their complete legal details

2. Background: Context of the agreement and brief description of the parties' business relationship

3. Definitions: Definitions of key terms used throughout the agreement

4. Scope of Services: Detailed description of staffing services to be provided, including recruitment, deployment, and management of personnel

5. Term and Termination: Duration of the agreement and conditions for termination

6. Payment Terms: Service fees, payment schedule, invoicing process, and related financial terms

7. Obligations of Staffing Agency: Responsibilities including compliance with labor laws, background verification, and personnel management

8. Obligations of Client: Client's responsibilities regarding deployed personnel, workplace safety, and coordination

9. Compliance with Laws: Commitment to comply with relevant labor laws, social security regulations, and other applicable legislation

10. Confidentiality: Protection of confidential information exchanged during the service relationship

11. Indemnification: Mutual indemnification provisions for various risks and liabilities

12. Insurance: Required insurance coverage for both parties

13. Dispute Resolution: Process for resolving disputes, including jurisdiction and governing law

14. General Provisions: Standard clauses including notices, amendment process, and severability

What sections are optional to include in a Staffing Service Agreement?

1. Non-Solicitation: Prevents parties from directly hiring each other's employees, used when there's risk of talent poaching

2. Intellectual Property Rights: Addresses IP ownership and rights, needed when deployed personnel may create IP

3. Performance Metrics: Defines KPIs and service levels, used for complex or large-scale staffing arrangements

4. Transition Services: Procedures for handover at contract end, important for long-term or critical staffing arrangements

5. Force Majeure: Provisions for unforeseen circumstances, particularly relevant post-COVID

6. Data Protection: Specific provisions for handling personal data, required if dealing with sensitive information

7. International Compliance: Additional compliance requirements for international clients or cross-border services

What schedules should be included in a Staffing Service Agreement?

1. Schedule A - Service Charges: Detailed breakdown of service charges, markups, and payment calculations

2. Schedule B - Scope of Work: Detailed description of services, roles, and responsibilities

3. Schedule C - Compliance Checklist: List of statutory compliances and required documentation

4. Schedule D - Personnel Categories: Categories of staff to be provided with qualification requirements

5. Schedule E - Service Level Agreement: Detailed performance metrics and service standards

6. Appendix 1 - Standard Operating Procedures: Day-to-day operational procedures and protocols

7. Appendix 2 - Required Documentation: List of mandatory documents for personnel deployment

8. Appendix 3 - Rate Card: Detailed pricing for different categories of personnel and services

Authors

Alex Denne

Head of Growth (Open Source Law) @ Ƶ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

India

Publisher

Ƶ

Document Type

Service Agreement

Cost

Free to use
Relevant legal definitions


















































Clauses














































Relevant Industries

Information Technology

Manufacturing

Healthcare

Banking and Financial Services

Retail

Telecommunications

Construction

Hospitality

E-commerce

Business Process Outsourcing

Logistics and Supply Chain

Pharmaceutical

Relevant Teams

Human Resources

Legal

Procurement

Operations

Finance

Compliance

Talent Acquisition

Contract Administration

Project Management

Risk Management

Relevant Roles

Human Resources Director

Legal Counsel

Procurement Manager

Operations Manager

Hiring Manager

Compliance Officer

HR Business Partner

Contract Administrator

Talent Acquisition Manager

Finance Manager

Project Manager

General Counsel

Chief Human Resources Officer

Chief Financial Officer

Chief Operating Officer

Industries












Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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