HRMS Payroll Software Chennai — Tamil Nadu Labour Compliance 2026

HRMS Payroll Software Chennai — Tamil Nadu Labour Compliance 2026

Chennai's diverse workforce — from OMR Road software engineers earning Rs. 15-35 lakh to Sriperumbudur automotive assembly workers earning minimum wages — demands HRMS software that handles both extremes. Tamil Nadu's labour laws are specific: the Tamil Nadu Shops and Establishments Act, Tamil Nadu Professional Tax (revised semi-annually), and EPFO Chennai Regional Office compliance. MICS delivers HRMS calibrated for Tamil Nadu's regulatory environment.

#

Tamil Nadu Labour Compliance

Tamil Nadu Shops and Establishments Act
All commercial establishments in Chennai (GCC Chennai area) must register. The Act governs working hours — 9 hours/day, 48 hours/week — with overtime at double rate. Weekly off is mandatory. Annual leave entitlement: 1 day per 20 days worked. MICS HRMS tracks all these parameters and generates the establishment register required under the Act.

Tamil Nadu Professional Tax
Tamil Nadu Professional Tax is levied on employees:
- Monthly salary Rs. 3,500-5,000: Rs. 22.50/month
- Rs. 5,001-7,500: Rs. 52.50/month
- Rs. 7,501-10,000: Rs. 115/month
- Rs. 10,001-12,500: Rs. 171.50/month
- Above Rs. 12,500: Rs. 208/month (Rs. 2,500/year)

PT must be deducted monthly and deposited with Tamil Nadu government. MICS HRMS calculates PT slab for each employee and generates the PT challan automatically.

Tamil Nadu Minimum Wages
Tamil Nadu government revises minimum wages semi-annually — every April and October. Wages differ by industry and skill category (unskilled, semi-skilled, skilled, highly skilled). MICS maintains the current Tamil Nadu minimum wage schedule and alerts for below-minimum salary configurations.

Tamil Nadu Labour Welfare Fund
Employers must deduct Rs. 20/year from employees and contribute Rs. 40/year employer share, deposited bi-annually to the Tamil Nadu Labour Welfare Board. MICS HRMS automates LWF deduction, contribution calculation, and deposit tracking.

EPFO Chennai Regional Office
PF contributions are processed through EPFO Chennai. ECR upload, UAN management, and PF transfer for joining/leaving employees are handled by MICS HRMS.

ESI Anna Nagar (ESIC Chennai)
ESI is applicable for employees earning below Rs. 21,000/month. ESIC Chennai processes claims from Chennai's large manufacturing and services workforce. MICS HRMS generates ESI challans and maintains ESI registers.

#

MICS HRMS for Chennai Industries

IT and Software Companies (OMR)
- CTC structure: basic, HRA, transport allowance, LTA, special allowance
- Variable pay: annual performance bonus
- Work from home: hybrid attendance tracking
- Flexible Benefit Plans (FBP): employee-chosen component allocation

Automotive Tier-1 (Sriperumbudur)
- Shift management: rotating shifts for assembly line workers
- Overtime calculation: Tamil Nadu Factories Act overtime rate
- Canteen deduction: company-run canteen — taxability treatment
- NAPS (National Apprenticeship Promotion Scheme): apprentice tracking

Full and Final Settlement
Gratuity (15 days salary per year of service, capped at Rs. 20 lakh), leave encashment, notice pay recovery — calculated and processed accurately on employee exit.

#

Pricing

- HRMS (up to 50 employees): Rs. 12,000/month
- HRMS (50-200 employees): Rs. 22,000/month
- HRMS (above 200 employees): Rs. 35,000+/month

Free demo for Chennai businesses: +91 9355273535 | admin@mics.asia