{"id":55507,"date":"2023-01-18T13:16:05","date_gmt":"2023-01-18T05:16:05","guid":{"rendered":"https:\/\/news.outsourceaccelerator.com\/?p=55507"},"modified":"2023-01-18T13:16:05","modified_gmt":"2023-01-18T05:16:05","slug":"india-hikes-outsourcing-service-charge-to-7","status":"publish","type":"post","link":"https:\/\/news.outsourceaccelerator.com\/india-hikes-outsourcing-service-charge-to-7\/","title":{"rendered":"India hikes outsourcing service charge to 7%"},"content":{"rendered":"
NEW DELHI, INDIA <\/span>\u2014<\/span> The Ministry of Finance is mandating a fixed minimum service charge of 7 per cent for outsourced manpower procurement to address exploitation in the industry.\u00a0<\/span><\/p>\n Under the government\u2019s policy, the new minimum service charges for the procurement of manpower outsourcing service at 3.85% (3% profit plus transaction charges, which are 0.85% at present), as proposed by Government eMarketplace (GeM) <\/span>\u2014 <\/span>an online platform for public procurement in India.<\/span><\/p>\n \u201cThe procuring entities can also fix the service charge above 3.85% with proper justification on file, wherever required. However, such charges should not exceed 7% (including transaction charges) in any case. Least cost system (LCS) may be considered for procurement, wherever appropriate, especially in high value cases,\u201d read the order.<\/span><\/p>\n