In part III of our series on key legal considerations for establishing global capability centres (“GCCs”) in India,[1] we discuss the various factors that need to be considered to engage workforce for the GCCs.Continue Reading Strategically building a workforce for Global Capability Centres (GCCs) in India
This post analyses the permissibility of and key legal considerations for share-based benefits/ incentives, like ESOPs, RSUs, SARs, etc., that foreign companies offer to the employees of their Indian group companies.Continue Reading Employee Share-based Incentives by foreign companies for employees of group companies in India: Should it be an ESOP, RSU, ESPS, SAR or Phantom Stock?
In part II of our series on establishing global capability centres (“GCCs”) in India,[1] we discuss the key issues that foreign companies face when strategising the structure and model for setting-up a GCC.Continue Reading Strategic structuring and modelling Global Capability Centres (GCCs) in India: How to set up
Global Capability Centres (“GCCs”) started as offshore global in-house centres (“GICs”) in the Indian banking industry to help cut costs and provide operational support to the service offerings of a foreign entity (“Foreign Entity”). India has gained credence as a favourable destination because of its skilled human resources (wide talent pool) and competent operational costs. As of FY 2022–23, India’s approximately 1,580 GCCs have 1.66 million employees,[1] and this number is rapidly increasing.Continue Reading Global Capability Centres (GCCs) take centre stage in fuelling global growth
The ‘Draft Policy for Pre-Legislative consultation and comprehensive review of existing Rules and Regulations’, released by the Ministry of Corporate Affairs (“MCA”), became effective from January 1, 2024 (“MCA-PLCP”). This move complements the increased focus on improving the ‘ease of doing business’ across regulators in India[1] and will also help address the inherent non-uniformity in the consultative mechanisms and processes employed by various MCA-formed/governed regulatory bodies. Continue Reading Institutionalising public consultations: A step towards building a stakeholder-friendly regulatory threshold
Pursuant to the issuance of the Companies (Prospectus and Allotment of Securities) Second Amendment Rules, 2023, with effect from September 30, 2024, both public and private limited companies are required to convert the existing shares and issue new shares exclusively in dematerialised form, bringing an end to physical share certificates. While this seems like a small change, this post seeks to trace the transformation of ‘dematerialisation’ from a progressive and secure option for security holders to a compliance requirement, signifying an increased and progressive threshold of regulation. The post also highlights the key challenges that companies and investors may face with this change.Continue Reading Enforcing progressive compliance: Push for digitalisation by dematerialising shares of all Companies
The Gujarat Public Universities Act, 2023 (“the Act”), came into effect on October 9, 2023[1], with the intent to unify the State legislation, governing 11 (eleven) public universities in Gujarat and any new public university that the Government of Gujarat (“GoG”) may constitute and notify (collectively, the “Universities”). The Act provides a common consolidated legislation for all Universities, aiming to provide better governance, improved academic standards, adequate representation through a democratic process, state of the art facilities and to transform, strengthen and regulate higher education in a more efficient manner.Continue Reading Gujarat Public Universities Act, 2023 – A step towards Unification?
Until very recently, the recommendations of proxy advisory firms did not impact companies much, as it did not have the power to influence or fail/ stop a resolution from being passed. However now, the recommendations of proxy advisory firms are becoming increasingly relevant given that many institutional investors are basing their positions while voting on resolutions on such advice. This is evidenced from the fact that a proxy advisory firms have recently managed to prevent a resolution for granting employee stock options to employees of a group entity of a very large Indian bank from being passed due to the absence of “any compelling reasons”.[1] In another interesting case, a proxy advisory firm came very close to preventing a resolution pertaining to an increase in the remuneration of a director from being passed on account of this increase being “skewed” and “guaranteed”.[2]Continue Reading Impact of Proxy Advisory Firms: Turning tides and failing resolutions
By Bishwajit Dubey, Surabhi Khattar & Ashutosh Singh
‘Product Liability’ has been defined for the first time under the Consumer Protection Act, 2019 (“2019 Act”). As per the 2019 Act, product liability means the responsibility of a product manufacturer or product seller, or product service provider, to compensate for any harm caused to a consumer by a defective product manufactured or sold or by deficiency in services in relation to the product.Continue Reading Our Top 10 Blogs of 2022
The journey to a new general data protection law in India is more than a decade long and has seen several milestones ranging from the reports of Committees headed by Justice A.P. Shah[1], Justice B.N. Srikrishna[2], and a Joint Parliamentary Committee (“JPC”) to draft legislation in 2018[3], 2019 (“PDP Bill”)[4] and 2021 (“DPB”)[5].
While the recent withdrawal of the PDP Bill[6] is seen as a sign of a long and twisted road ahead, regulators in sectors such as banking, financial services and insurance have not had the luxury of taking the scenic route.Continue Reading The RBI’s Digital Lending Recommendations: A Sign of the Road Ahead?