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HR Records Retention in India: How Long to Keep Employee Data Under DPDP

ConsentifyAI Team3 min read

TL;DR

The DPDP Act requires personal data to be erased once its purpose ends, unless a law requires it to be kept (Section 8(7)). For HR, many records are covered by such laws: wage and attendance registers under the Labour Codes (five years under the central rules), tax, provident fund and insurance records. Everything else, from unsuccessful candidates' CVs to old monitoring data, needs its own limit. A record-by-record schedule with automated deletion is the answer.

Who this is for: HR operations, payroll, compliance and legal teams responsible for employee records.

HR departments rarely delete anything. Files from employees who left ten years ago, CVs from every recruitment campaign, old attendance exports and scanned documents accumulate in HRMS platforms, shared drives and email. Under the DPDP Act, that habit becomes a liability: data kept beyond its purpose is data you are no longer allowed to have, and every extra record is extra breach exposure.

The rule: erase when the purpose ends, unless a law says keep

Section 8(7) requires a Data Fiduciary to erase personal data when consent is withdrawn or it is reasonable to assume the purpose is no longer being served, unless retention is necessary for compliance with any law. Section 12(3) applies the same exception to erasure requests. Rule 6 separately requires security logs to be kept for at least one year.

For HR, that means two categories:

  1. Records a law requires you to keep — keep them for the required period, then delete.
  2. Everything else — delete when the purpose ends.

Records the law requires

The four Labour Codes came into force on 21 November 2025, replacing 29 central labour laws and consolidating registers. Under the central rules, wage, attendance, overtime and deduction records are kept for five years, and may be kept electronically. States have their own rules for establishments in their jurisdiction, so confirm the position for each state where you employ people.

Other laws set their own requirements for payroll tax, provident fund, employee state insurance, gratuity, bonus, and statutory registers. A sample schedule might look like this, with the periods confirmed by your legal and payroll teams:

RecordGoverning requirementRetention approach
Wage, attendance, overtime, deduction registersLabour Codes and rulesFive years under central rules; check state rules
Payroll tax recordsIncome tax lawPer tax law requirements
PF and ESI recordsCode on Social Security and schemesPer scheme requirements
Employment contracts and key HR decisionsLimitation periods for claimsDefined period after exit, set with legal
Internal Committee (POSH) recordsSexual harassment law; confidentialityRestricted access; defined period set with legal
Accident and safety recordsOSH CodePer OSH rules

Records no law requires

RecordSuggested approach
Unsuccessful candidates' CVs and interview notesShort fixed period after the recruitment closes; talent pool only with consent
Background verification supporting documentsDelete once verification is complete; keep the outcome as needed
Biometric templatesDelete promptly on exit
Monitoring data (screenshots, DLP alerts)Short period unless part of an investigation
CCTV footageShort rolling period unless needed for an incident
Exit interview responsesAggregate, then delete individual responses
Optional programme data (wellness, surveys)End of the programme or when consent is withdrawn

Building the schedule

  1. List every HR record type from your ROPA, including systems, drives and vendor platforms.
  2. Assign the governing law, or "none", to each one.
  3. Set the trigger and period: for example, "five years after the end of the wage period" or "six months after recruitment closes".
  4. Define the deletion method for each system, including vendors and backups.
  5. Allow legal holds for disputes, with documented start and end.
  6. Automate deletion where possible, and audit it at least annually.

Common mistakes

  • One blanket period for every HR record. Different records have different legal requirements.
  • Keeping the whole personnel file because one document must be kept. Keep the required record, not everything around it.
  • Forgetting vendors and shared drives. HRMS, payroll and recruitment vendors hold copies too.
  • Legal holds that never end. Every hold needs an owner and an end date.

How ConsentifyAI helps

ConsentifyAI records the retention period, trigger and governing law for every HR processing activity in your ROPA, applies legal holds, and generates deletion tasks across internal systems and vendors when records reach the end of their life, with evidence of each deletion.

Sources & references

  • DPDP Act, 2023 — Section 8(7), 12(3)
  • DPDP Rules, 2025 — Rule 6, Rule 8
  • Other — Code on Wages, 2019; Code on Social Security, 2020; Industrial Relations Code, 2020; OSH Code, 2020 (in force 21 November 2025)

Frequently asked questions

How long must employers keep wage and attendance records?

Under the Labour Codes in force since 21 November 2025, the central rules set five years for wage, attendance, overtime and deduction records. State rules may add requirements, so confirm the rules for each state.

Can employees ask us to delete their HR records?

Erasure gives way to retention required by law (Sections 8(7) and 12(3)). Records a law requires must be kept for that period; everything else should be erased when no longer needed.

How long should we keep unsuccessful candidates' data?

Only as long as needed for that recruitment and any likely dispute, unless the candidate consented to a talent pool.

Do we have to delete data from backups?

Backups should follow the retention schedule through defined backup rotation, so deleted data expires from backups within a known period.

What about records needed for litigation?

Data relevant to an actual or reasonably expected dispute can be preserved under a documented legal hold, then deleted when the hold ends.

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