Every employer in India now needs a clear plan for the annual health check-up above 40 requirement. It comes from the Occupational Safety, Health and Working Conditions Code, 2020 (OSH Code), which took effect with India’s four Labour Codes in November 2025. Whether you run a factory in Jaipur, an IT office in Bengaluru, or an Indian subsidiary of a foreign group, this duty now sits on your compliance calendar. This guide explains what the law requires, where employers go wrong, and how to document compliance. For official updates, see the Ministry of Labour & Employment.
What Is the Annual Health Check-up Requirement? – Complete Definition & Overview
Under the OSH Code, an employer must arrange a yearly medical examination for every employee above a specified age, at no cost to the employee. Draft central rules fix that age at 40. The purpose is early detection of lifestyle and occupational illness, such as hypertension, diabetes, hearing loss and respiratory problems, before they become disabling.
The duty is part of a wider shift in India’s workplace regulation, which now treats employee health as a measurable compliance item. For multinational teams, it is similar to occupational health surveillance in many other countries. Our corporate compliance team helps foreign companies map this duty to their Indian entity.
What Is It? A Simple Global Explanation
Think of it as a yearly medical audit of your people. If you employ someone aged 40 or older in India, you must:
- Arrange a health examination once every year.
- Pay the full cost yourself.
- Keep the records safe and available for inspection.
- Act on the findings where the work environment is a risk factor.
Indian readers should note that this applies to employees across establishments covered by the Code. Foreign readers should treat it as a statutory duty, not a voluntary wellness benefit. Planning it as a benefit alone is the most common starting error.
Legal Framework & Regulations in India
The main source is the OSH Code, 2020, read with the central and state rules framed under it. The Labour Codes consolidated 29 older laws, including the Factories Act, 1948, and the Contract Labour Act, 1970. Enforcement sits with Inspector-cum-Facilitators, and state governments notify their own rules, so requirements can differ from state to state.
Several practice areas intersect with this duty. Employers in regulated sectors should review labour and service law obligations alongside manufacturing legal services and healthcare and medical compliance. Contract structures, vendor terms and group-level policies should be aligned through corporate and commercial advice, and business lawyers can build the policy framework. Disputes may reach the Labour Court, the Rajasthan High Court or other forums through dispute resolution. New entrants can start with setting up business in India, and growing companies can review startup and venture capital readiness.
Key Legal Insights, Compliance Rules & Benefits
What to track
- Eligibility: all employees at or above the notified age, including those on contract through a principal employer arrangement.
- Timeline: examination at least once in every 12 months.
- Records: maintain health records and prescribed registers, and keep them inspection-ready.
- Forms and filings: use the formats prescribed in your state’s rules, and confirm the final notified version before you finalise internal templates.
- Cost: borne by the employer.
Example: A Jaipur textile unit with 220 workers finds 38 employees above 40. It tie-ups with an empanelled diagnostic lab, schedules examinations in staggered batches, and stores reports under restricted access. Result: no production loss, a clean inspection file, and early detection of hearing issues on the stitching floor.
Cross-border use case: A US parent with an Indian subsidiary must apply the Indian duty even if its global policy is more relaxed. The Indian entity carries the legal liability.
Benefits: fewer absences, lower insurance claims, stronger retention, and a defensible compliance record. Companies exploring mergers and acquisitions also find that clean labour compliance speeds up due diligence.
Common Mistakes & Legal Challenges (Indian + Foreign Clients)
- Treating it as optional: Some employers assume group insurance wellness camps are enough. They are not, unless they meet the statutory content and frequency.
- Missing contract workers: Principal employers overlook workers engaged through contractors.
- Weak documentation: No consent form, no report register, no proof of payment.
- Privacy errors: Sharing individual medical results with managers can create liability under data protection rules.
- Cross-border delays: Foreign HR teams wait for global approval while the Indian deadline passes.
- Tax confusion: Employers are unsure how to treat the expense. A tax adviser should confirm the position for your entity.
How Khanna & Associates helps: We audit your workforce data, draft compliant policies and consent formats, review contractor agreements, and represent you if an inspection or dispute arises. As a law firm in Jaipur with national reach, we adapt each plan to the state rules that apply to you.
Expert Tips from Leading Legal Advisors
- Run a census first. List every employee above 40, including contract staff, before choosing a vendor.
- Separate medical data from HR data. Restrict access and document who can view reports.
- Standardise globally, localise legally. Keep one global wellness policy and add an India annex for statutory duties.
- Rewrite contractor agreements. Allocate responsibility and audit rights clearly.
- Plan for state variation. Rules differ across states, so a multi-state employer needs a state-wise compliance matrix.
- Review annually. Rules and thresholds can change, so schedule a yearly legal review.
Clients searching for the best law firm in Jaipur, a law firm in Dehradun, or a top law firm in India for labour compliance value this kind of preventive, documented approach.
Conclusion + CTA
The annual health check-up above 40 is now a core employer obligation, not a courtesy. Identify eligible employees, pay for the examination, protect the records, and align contractors and state rules. Employers who act early avoid penalties and build healthier, more loyal teams.
Speak to Khanna & Associates today. Visit khannaandassociates.com for a compliance review tailored to your business.
Khanna & Associates
47 SMS Colony, Shipra Path, Mansarovar 302020
Jaipur, Rajasthan, India
📞 +91-9461620007
📧 info@khannaandassociates.com
Note: This article is for general information and is not legal advice. Check the final notified rules for your state before acting.
FAQ SECTION
1. Is an annual health check-up mandatory for employees above 40 in India?
Yes. The OSH Code requires employers to arrange a yearly health examination for employees above the notified age, which the draft rules fix at 40. The employer bears the cost. Confirm the final rules in your state.
2. Who pays for the annual health check-up under the new labour codes?
The employer pays the full cost. Employees should not be asked to contribute or claim reimbursement. Keep invoices and lab reports in your compliance file for inspection.
3. Does the annual health check-up above 40 apply to contract workers?
Generally yes, where the workers fall within the establishment’s coverage. Responsibility between the principal employer and contractor should be defined clearly in the contract, and our lawyers can draft that allocation.
4. What is the penalty for not conducting employee health check-ups?
The OSH Code provides penalties for non-compliance, which can include fines and further liability if non-compliance continues. Exact amounts depend on the provision and the notified rules, so get a legal review.
5. How should employers store employee health check-up records?
Store them in a restricted-access register, separate from general HR files. Share only what the law requires, and apply data protection safeguards. Retain records for the prescribed period and keep them inspection-ready.