Interns and contract workers are everywhere today—from startups and IT firms to law offices and banks.
But when it comes to job security, paid leave, maternity benefits, or workplace safety, many are left wondering: Do we have any legal rights at all? The short answer is yes—but it depends on how you’re hired, where you’re working, and under which law your role falls.
In India, labour laws have traditionally focused on permanent employees. However, various legal provisions now extend certain benefits and protections to non-permanent workers, including interns, apprentices, consultants, gig workers, and contractual employees.
That said, the rights you can claim largely depend on whether you’re considered a “workman” or an “employee” under the specific statute in question.
Interns in India are usually hired either formally (under a letter or internship agreement) or informally (via email or verbal discussions). Unfortunately, most Indian labour laws—including the Industrial Disputes Act or the Factories Act—do not explicitly define interns.
If your internship is unpaid and structured purely for educational exposure, you may not be entitled to benefits like PF, gratuity, or maternity leave.
However, if you’re performing tasks similar to regular employees, working fixed hours, and under supervision, you may be able to claim basic rights under broader interpretations of employment.
Contract workers are usually hired through third-party agencies or for specific projects. They are covered under the Contract Labour (Regulation and Abolition) Act, 1970, which mandates that employers ensure welfare measures like canteen access, first-aid, restrooms, and in some cases, wage parity with permanent staff doing similar work.
The principal employer (i.e., the company where the contract worker is deployed) is ultimately responsible for ensuring these conditions are met.
| Worker Type | Common Legal Coverage |
|---|---|
| Paid intern (structured role) | May qualify for minimum wage and harassment protection |
| Unpaid intern (learning only) | Not entitled to statutory benefits |
| Contract employee | Covered under Contract Labour Act and ESI/PF if applicable |
| Consultant/freelancer | Usually not covered under labour laws unless deemed employee-like |
| Legal Benefit | Interns | Contract Workers |
|---|---|---|
| Minimum Wages | Only if considered a “worker” | Yes, if not managerial/supervisory |
| PF and ESI | Not usually | Yes, if earning under ₹15,000/month |
| Maternity Leave | Rare, unless working full-time | Yes, if employed continuously and covered by Maternity Benefit Act |
| Protection from harassment | Yes under POSH Act | Yes under POSH Act |
| Gratuity | No | Yes, if employed for 5+ years |
If you’ve ever been confused about how basic protections like PF apply to you, read our guide on How to Check If Your Employer Is Legally Deducting PF.
And in case you’re worried about being fired without reason, check this blog on Can You Be Fired Without Notice? Know Your Employee Rights to understand what the law says.
The law is evolving, and courts are increasingly willing to look at the nature of the work, not just the title.
So, if you’re working 9-to-5, doing core tasks, and reporting to company staff—then you’re likely entitled to more than just a “thank you” at the end of your internship or contract.
While the legal landscape is still catching up, courts and labour authorities are increasingly recognising the realities of modern work. In many cases, what matters more than your job title is what you’re actually doing.
If you’re expected to follow office rules, work fixed hours, perform tasks under supervision, and contribute like any other employee, you might be legally protected—even without a permanent letter.
For contract workers, the Contract Labour (Regulation and Abolition) Act, 1970 mandates welfare facilities and safe working conditions. If your agency fails to pay wages or provide basic facilities, the principal employer (i.e., the company where you work) can be held responsible.
If you’re earning less than ₹21,000 per month, you may also be entitled to health benefits under the Employees’ State Insurance Act and retirement contributions under the Employees’ Provident Funds and Miscellaneous Provisions Act, 1952.
For interns, things are trickier. If you’re a student on a short academic internship, you’re often excluded from labour protections. But if you’re a paid intern who works regular hours, contributes to the company’s output, and has a supervisor—labour courts may view you as an employee in disguise.
There’s no uniform rule, but in disputes over harassment or unpaid stipends, interns have approached legal forums successfully.
If you’re ever denied your dues or treated unfairly, you can file a complaint with the Labour Commissioner or approach the district POSH committee for harassment-related matters. A well-written complaint and proof of your role—like emails, ID cards, or assignment records—can be crucial.
If you’re leaving a contract job and unsure about your dues or notice obligations, read our detailed guide on How to Resign Legally – Notice Period, Clearance, and Final Pay.
FAQs
1. Are interns entitled to a salary by law?
No, but if they work like employees, they may be entitled to stipends or minimum wage.
2. Can a contract worker get PF and ESI?
Yes, if their salary is within the applicable limits and the company meets the employee threshold.
3. Can interns file sexual harassment complaints?
Yes. The POSH Act, 2013 covers interns and trainees.
4. Is maternity leave available to contract workers?
Yes, under the Maternity Benefit Act, if they meet eligibility criteria (80+ days of work).
5. What can I do if my agency doesn’t pay my salary?
You can complain to the Labour Department or hold the principal employer accountable under the Contract Labour Act.
