Working For Company 'A' While Being On Company 'B' Payroll

Dear All,
A friend of mine has been offered a job in India from a company “A” abroad. This company does not have any office in India but its sister concern “B” does. He has been instructed by “A” that he will operate from “B”’s office in India and also that his salary would come from B but he ill continue to remain on B’s rolls.
Can this be possible because I feel that if B is processing the salary then the employee will have to be necessarily on B’s rolls. Please help

It may happen that “B” is Staffing Company which is introducing by “A” only. What is the Job Location and is “B” has office at that place??


Regards,
Mrugesh:idea:
09898593960

Hello Mr. Joshi,
Thanks for your reply, both the companies are engineering firms and B s located in India as well as abroad and A is located abroad only

HI,
If he is on B`s roll. Then he is infact an employee of B. You need to check the terms and condition with both B and A. Then have a detailed discussion with both the HR`s.I would advice to probe into this more
before deciding anything.
Rgs,
S.Aravind.

If it is known to publically that both the companies are sister concerns then i think there is no need of much clarification. One is acting as a staffing company and for the other one it is out sourcing of work.
Like wise Reliance is doing.
regards,

This cud be the start up operation for India office ..hence the inital few appointment letters are on the corporate office(overseas) letter heads ,also has the India HR office operation set up...if yes then they will start paying from india office..not to worry...be cautious.
Malvina Asok

hi,
I think that it might be a company working on behail of the parent copany for some projets and as soon as the project gets over he may be asked to quit the company... so check the fundamentals of the company before taking up a decision
Regards
Tarun:icon1:

Hi Prachi,
In the event of you being located at B Company's office in India, Company A can request Company B to take on the rolls of the Company under the circumstances mentioned on a secondment.
This means that you would receive you letter of appointment from Company A in the first place, then you receive a secondment letter from A to B with the terms and conditions. B then issues a letter of appointment to you mentioning the period of secondment, which is renewalble periodically. Your salary will be paid by B till such time that A does not have a legal entity in India.
Alternatively, A can remit your salary from overseas into your account here as a na employee.
Nihal

Which company is responsible for deducting PF & complying with other legal formalities in case of secondment? Is it the responsibility of company to which employees have been seconded or the parent company can continue to deduct & pay PF while the salary is paid by the seconded company?