Indian company hiring in Australia

On this page (7 sections)

Overview
India and Australia at a glance
The differences that matter most
Common compliance traps
How an EOR works for Indian companies in Australia
FAQs
Sources

INRLocal currency

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IST (UTC+5:30), 4.5 to 5.5 hours behind SydneyTime difference

Overview and why companies expand from India to Australia

Australia is a priority market for Indian technology and business services firms, with many enterprise and government clients.
The Australia-India Economic Cooperation and Trade Agreement has strengthened trade and investment links.
Local staff in Australia help Indian companies build client relationships and meet onshore delivery requirements.
Australia has a large Indian diaspora and strong education links, which supports hiring.

Indian employers expanding to Australia often find the Australian system both simpler and stricter. Simpler, because one national Fair Work system covers most employers. Stricter, because minimum pay is set by awards for most roles, leave entitlements are generous and dismissal requires a valid reason and fair process.

India and Australia at a glance

Summary only. Figures were checked against the official sources listed below on 2026-10-08. Many rules depend on the employee's award, contract, state or province.
Topic	India	Australia
Employment contracts	The four labour codes came into force on 21 November 2025, replacing 29 central laws, with state rules still being finalised. Employers must issue appointment letters. State Shops and Establishments Acts add local rules.	A written contract is not legally required but is standard practice. Employers must give every new employee the Fair Work Information Statement, plus the Casual or Fixed Term Contract Information Statement where relevant. A modern award or enterprise agreement usually sets minimum terms. Fixed-term contracts are generally limited to 2 years or 2 consecutive contracts.
Probation	Not regulated nationally. Probation of 3 to 6 months is common and is set by contract or standing orders.	No statutory probation. In practice the unfair dismissal "minimum employment period" works as one: 6 months, or 12 months for small businesses with fewer than 15 employees.
Working hours	Generally up to 8 hours a day and 48 hours a week, with overtime at twice the ordinary rate. State Shops and Establishments Acts set detailed limits.	Maximum 38 ordinary hours a week plus reasonable additional hours under the National Employment Standards. Awards set overtime rates. Employees have a right to disconnect outside working hours unless refusing is unreasonable.
Minimum wage	The central government sets a national floor wage and states set minimum wages by region, industry and skill level, so rates vary widely.	National Minimum Wage of $26.44 an hour ($1,004.90 a week) from 1 July 2026. Most employees are covered by a modern award with higher minimum rates for their classification.
Annual leave	Earned leave depends on the applicable law, commonly 1 day for every 20 days worked once an employee has worked 180 days in a year.	4 weeks paid annual leave a year for full-time employees (5 weeks for some shift workers), accruing progressively. Untaken leave is paid out on termination. Many awards add a 17.5% leave loading.
Sick leave	Set by state Shops and Establishments Acts, so entitlements vary by state.	10 days paid personal/carer's leave a year for full-time employees, plus 2 days unpaid carer's leave and 2 days paid compassionate leave per occasion. All employees can also take 10 days paid family and domestic violence leave a year.
Parental leave	26 weeks paid maternity leave for the first two children, paid by the employer or through ESI for covered employees. No statutory paternity leave for most private sector employees.	Up to 12 months unpaid parental leave after 12 months of service, with the right to request 12 more. The government funds up to 26 weeks of Parental Leave Pay at the national minimum wage from 1 July 2026, paid through Services Australia rather than the employer.
Public holidays	3 national holidays (Republic Day, Independence Day and Gandhi Jayanti) plus state and festival holidays, which vary by state.	National public holidays such as New Year's Day, Australia Day, Good Friday, Easter Monday, Anzac Day, Christmas Day and Boxing Day, plus state and territory holidays. Employees who work on a public holiday are usually paid penalty rates under their award.
Retirement and social security	Employees' Provident Fund contributions of 12% by the employer and 12% by the employee on basic wages, with part of the employer share going to the pension scheme. ESI applies to lower earners.	Superannuation Guarantee of 12% of qualifying earnings, paid by the employer on top of wages. Since 1 July 2026 super must be paid each payday and reach the fund within 7 business days (Payday Super). There is no separate employer social security levy.
Payroll taxes	Employers deduct income tax at source (TDS) from salaries. Some states levy professional tax and labour welfare fund contributions.	Employers withhold PAYG income tax from wages. Each state and territory charges payroll tax once total Australian wages pass a threshold, for example 5.45% above $1.2 million in NSW and 4.85% above $1 million in Victoria. Workers' compensation premiums are also payable.
Notice periods	Set by contract, commonly 1 to 3 months. Retrenching a worker with at least 1 year of service needs 1 month's notice or pay in lieu.	Employer notice under the National Employment Standards: 1 week (up to 1 year of service) rising to 4 weeks (over 5 years), plus 1 week if the employee is over 45 with at least 2 years of service. Pay in lieu is allowed. Awards set employee notice.
Dismissal protection	Non-managerial "workers" have strong protection under the Industrial Relations Code. Larger establishments need government permission for retrenchments and closures.	Unfair dismissal protection applies after the minimum employment period to employees covered by an award or agreement, or earning under the high income threshold of $190,100 (from 1 July 2026). General protections against adverse action apply from day one. Small businesses can follow the Small Business Fair Dismissal Code.
Severance	Retrenchment compensation of 15 days' average pay per completed year of service for workers. Gratuity of 15 days' wages per year of service is payable after 5 years, or after 1 year for fixed-term employees.	Statutory redundancy pay of 4 weeks (1 to 2 years of service) rising to 16 weeks (9 to 10 years), then 12 weeks at 10 years or more, when long service leave usually takes over. Small businesses with fewer than 15 employees are generally exempt.
Mandatory benefits	Provident fund, ESI where applicable, gratuity and statutory bonus for eligible employees.	Superannuation, workers' compensation insurance (state-based and compulsory), paid leave under the National Employment Standards and long service leave under state and territory laws, usually after 7 to 10 years of service.
IP and restraint clauses	Post-employment non-competes are generally void under section 27 of the Indian Contract Act. Confidentiality and non-solicitation clauses are more likely to be upheld. IP assignments must be in writing.	Post-employment restraints are only enforceable if reasonable to protect a legitimate business interest. Employers generally own IP that employees create in the course of employment. The federal government has proposed banning non-compete clauses for employees under the high income threshold from 2027; this was not law at the last review.
Visas and right to work	Foreign nationals working in India need an Employment Visa, which generally has a minimum salary requirement. The sponsoring entity must be registered in India.	Every worker needs Australian work rights, which employers can check through VEVO. Sponsored skilled hires generally use the Skills in Demand (subclass 482) visa, which needs an approved sponsor. Some EORs can sponsor, many cannot.

The differences that matter most

Awards set minimum pay

India's minimum wages vary by state, industry and skill. Australia has a National Minimum Wage of $26.44 an hour from 1 July 2026, and modern awards set higher minimum rates for most roles. Salaries for IT and consulting staff are usually well above the award, but you still need to check coverage and overtime rules.

Super instead of EPF and gratuity

Australian employers pay 12% super on qualifying earnings, each payday. There is no employee contribution requirement, no gratuity and no statutory bonus. Long service leave and redundancy pay play a similar role to gratuity for long-serving employees.

Leave and holidays

Australian annual leave of 4 weeks accrues from day one and is paid out when employment ends. Personal/carer's leave is 10 days a year. Public holidays differ by state.

Dismissal

In India, managerial staff are mainly governed by contract. In Australia, almost all employees below the high income threshold of $190,100 (and all award-covered employees) can claim unfair dismissal after the minimum employment period, regardless of seniority.

Visas and onshore delivery

Indian companies often move staff between countries. In Australia, every worker needs work rights and employers must pay sponsored workers at least the market rate and the relevant income threshold. Plan visa timelines early.

Common compliance traps

Paying Indian-style salary structures with large allowances; Australian pay must meet award base rates, and super is calculated on qualifying earnings.
Missing super for staff on secondment who become Australian employees.
Using bond or training-cost recovery clauses, which are often unenforceable or unlawful deductions in Australia.
Long notice periods that are only binding on the employee; Australian notice must be reasonable and lawful both ways.
Ignoring the right to disconnect when teams work across Indian and Australian time zones.

How an EOR works for Indian companies in Australia

An Australian EOR employs your hire under an Australian contract, sets the award classification, runs payroll with PAYG withholding, pays super each payday and holds workers' compensation insurance. You manage the work and pay one invoice. If you need to sponsor visas or build a large team, an Australian subsidiary may be the better long-term option. See EOR vs setting up an Australian entity.

Frequently asked questions

Can I send Indian employees to work in Australia?

They need an Australian visa with work rights. For skilled roles this is often the Skills in Demand visa (subclass 482), which requires an approved sponsor. Short business visits have their own visa options but don't allow ordinary work for an Australian client.

Is superannuation similar to provident fund?

Both are retirement savings schemes, but Australian super is funded by a 12% employer contribution only, with no compulsory employee contribution. EPF in India is funded by both employer and employee at 12% each.

Is there gratuity in Australia?

No. Australia has no gratuity. Instead, long-serving employees accrue long service leave under state and territory laws, and employers with 15 or more employees pay redundancy pay if a role is no longer needed.

What leave do Australian employees get?

Full-time employees get 4 weeks of paid annual leave, 10 days of paid personal/carer's leave and 10 days of paid family and domestic violence leave a year, plus public holidays.

Does an EOR help with visas?

Some EORs can act as a visa sponsor, many can't. If you need to bring someone from India, confirm sponsorship before choosing an EOR. Otherwise you may need your own Australian entity to sponsor.

Sources

Last reviewed: 2026-10-08

Figures on this page were checked against these official sources on 8 October 2026. Rates and thresholds change, often on 1 January, 1 April or 1 July, so confirm current figures before relying on them.

New to the model? Start with what an Employer of Record is, then compareEOR costs and pricing models.

Hiring in Australia as an Indian company