Offrd Helps Indian SMEs Meet New 50 Percent Basic Pay Rule and 2 Day Settlement Window Under 2025 Labour Codes

Payslip generator, offer letter generator, and full and final settlement workflow now produce documents structured around the new wage code

CHENNAI, INDIA, April 21, 2026 /EINPresswire.com/ -- Offrd, the HR and payroll platform with over 4,000 small and mid sized businesses in India, today announced a set of platform updates that bring its document generation tools and core HR workflows in line with India's new Labour Codes, which took effect on 1 April 2026.

The offer letter generator on offrd.co now structures CTC so that basic pay, dearness allowance, and any retaining allowance add up to at least 50 percent of total remuneration, the threshold mandated by the Code on Wages. SME owners issuing offers through the tool no longer need to back calculate the wage split themselves, and offers issued today will not need to be reissued for compliance later.

The payslip generator and salary slip maker apply the same wage split to monthly payslips, including auto adjustment when allowance components push past the 50 percent line. The experience letter generator have been updated to reference the new wage definitions where applicable.
Inside the Offrd platform, the full and final settlement workflow has been restructured around the new two working day settlement window. Gratuity, leave encashment, notice pay, recoveries, and clearance documentation are arranged so that an SME HR manager can close out an exit inside 48 hours from the last working day. Deadline alerts surface as the window approaches, so the date does not slip past in the wider exit paperwork.

The payroll engine now runs a wage compliance check on every salary structure in the system, flagging any employee whose existing structure falls below the 50 percent basic threshold, with one click restructuring suggestions that preserve total CTC.

"Most SMEs we work with had salary structures they inherited from a CA five or six years ago, with basic pay sitting at 30 to 35 percent of CTC. Those structures are non compliant from 1 April. We did not want to ship a separate compliance module that owners had to learn," said Ravi Balan, Chief Product officer of Offrd. "The tools just had to start producing the right output by default. If an owner generates a payslip or an offer letter on Offrd, it should already match the code. If they run an exit, the Full & Final should already be structured for the two day window. That is what we shipped."

The updates are available immediately. The platform updates, including the wage compliance check on payroll and the restructured F&F workflow, are live for all existing Offrd customers at no additional cost.

Rahul Kumar
Offrd
+91 82815 67569
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