Kayrilo · Field GuideThe Industry Series
A playbook for

Cold
storage
Payroll.

This field guide is for HR heads, warehouse managers and compliance officers at cold storages, food parks and reefer fleets. It shows how to bring mixed workforces—warehouse hands, technicians and drivers—onto one compliant wage cycle without breaking the cold chain.

Subject
Cold Storage · India
Revision
May 2026 · v1.0
Authors
Kayrilo Field Team
Status
Drafting
Chapter 01The lay of the land

India's cold chain grew
faster than its payroll systems.

Cold storages now span horticulture, dairy, meat and pharma—from Azadpur to Bhiwandi—but many still run wages from manual ledgers at the gate.
8,760
Cold stores across India · Jan 2025
FRUITS & VEGETABLES FOCUS
39.7 million MT
Installed cold storage capacity
HORTICULTURE & F&V · 2025
16.6 msf
Warehousing absorption in H1 2024
INDUSTRIAL & LOGISTICS DEMAND
13 CLUSTERS
High-activity warehousing hubs
MUMBAI, PUNE, CHENNAI, NCR & OTHERS

Where cold storage capacity sits

Capacity (million MT) · Jan 2025
Uttar Pradesh
15.10 MT
West Bengal
5.95 MT
Gujarat
4.04 MT
Punjab
2.60 MT
Maharashtra
1.22 MT
Andhra Pradesh & Telangana
2.00 MT
Karnataka
0.91 MT
Tamil Nadu
0.40 MT

Cold chain workforce mix

% of headcount · FY 2025–26
45%
30%
15%
10%
Warehouse & handling crews
Reefer drivers & helpers
Technicians & supervisors
Admin, sales & back office
Chapter 02Why it breaks

Freezer shifts, reefer miles
and contract hands on one ledger.

Cold chain payroll goes wrong when warehouses, fleets and job-work all run on different calendars.
Featured problem

One cold store, three payroll universes.

At a multi-chamber cold store outside Lucknow, warehouse hands are paid on daily-rated shifts plus freezer allowance, drivers get trip-wise incentives across states, and graders are on contractor rolls. Month-end means stitching three separate ledgers and WhatsApp rosters into one wage file—usually at 2 a.m., two days after PF/ESI deadlines.

3 calendars
Warehouse, fleet and contractor cycles HR must reconcile every month
ProblemSHIFT PAY

Night and freezer allowance in the dark

Cold rooms often run at −18°C through the night with crews working rotating shifts. Allowances for night work and freezer exposure are negotiated informally, not parameterised in payroll, so ESIC and PF bases become guesswork when inspectors ask how 'wages' were calculated.

ProblemREEFER CREWS

Drivers treated as external even when they aren't

Reefer fleets attached to a cold store may be registered under the same company, but their drivers and helpers are paid on trip slips through petty cash. ESIC treats road motor transport and warehousing as covered establishments above thresholds; inspectors look for IP numbers, not diesel chits.

ProblemESI GAP

ESIC coverage missed for warehouse hubs

ESIC now explicitly covers warehousing establishments with 20+ employees under the Central notification, yet many cold stores assume they fall only under agriculture or logistics exemptions. The result: uncovered illness and accident cases for some of the most physically demanding jobs in the supply chain.

ProblemCLRA RISK

Contract graders, permanent liability

Grading, packing and loading are often contracted out to local labour suppliers in APMC yards and food parks. Under CLRA and social security laws, the principal employer still carries responsibility once headcounts and wage thresholds are crossed, but payroll often treats them as 'per-piece expenses' off the books.

ProblemGROUP MIX

Multi-chamber chaos, one PF code

A group with cold stores in Kanpur, Kolkata and Hyderabad typically runs one PF code and multiple attendance systems. Without site-wise mapping of UANs, shifts and wages, small errors—duplicate members, wrong wage months, missing exits—become recurring arrears and damages notices.

ProblemPEAK LOAD

Audit season vs harvest season

Peak harvest for potatoes, apples or grapes is exactly when inspections and buyer audits spike. HR teams are pulled into daily billing and truck planning, so registers and challans get updated last, not first, raising the chance of missed filings in the busiest quarter.

Chapter 03The rollout

From dock book and trip chits
to a stitched cold chain wage file.

We follow a 220-worker cold chain operator with two sites and 40 reefers as it moves to a single, disciplined payroll rhythm.

12-day implementation plan

Day 0 → Day 12
Phase
D0
D1
D2
D3
D4
D5
D6
D7
D8
D9
D10
D11
D12
01Pre-mortem
02Map floors, fleets, contractors
03Digitise shifts and trips
04Wire PF/ESI and allowances
05Dry run with last wage cycle
06First live cold chain cycle
Step 01Day 0

Stand in the dock, not just the office.

Kayrilo's team starts on the loading dock at 5 a.m., watching how night and morning shifts overlap, how freezer doors actually open, and how drivers pick up trip sheets. We sit with operations, HR and fleet to sketch the real workforce graph: warehouse crews by chamber and shift, reefer drivers and helpers by route, and contractor crews by activity.

Step 02Day 1–3

Turn chambers and routes into masters.

We list every cold room, ripening chamber and staging area, mapping which workers can be deployed where and when. Reefer vehicles get their own master with driver/helper links. Contractors share deployment lists so that every worker, from forklift operator to loader, appears once with a unique ID, UAN/IP number where applicable, and home site mapped.

Step 03Day 4–6

Digitise shifts, freezer time and trips.

Existing attendance devices, gate registers and trip chits are brought into one system. Each shift is tagged with night or day, each cold-room assignment with freezer exposure, and each trip with origin, destination and distance. For the first time, freezer allowance and trip incentive are computed from data, not memories.

Step 04Day 7–9

Wire PF, ESIC and minimum wages into the mix.

With time and deployment clean, we apply state-wise minimum wages for warehousing and transport categories, ESIC applicability for factories and warehousing establishments, and PF rules for eligible workers. Night and freezer allowances are classified properly so the right components feed PF/ESI, and challan values can be explained line-by-line if questioned.

Step 05Day 10–11

Re-run last month, across sites.

We take the previous wage cycle and run it through Kayrilo as a dry simulation, comparing each worker's actual take-home to what the system would have produced. HR and finance see exactly where overtime, allowances or contributions were miscalculated, and where contractors' invoices diverged from actual deployment.

Step 06Day 12

Close the first unified cold chain payroll.

The current month closes with warehouse, fleet and contractor workers all flowing into a single wage file. Pay slips show night/freezer allowances and trip incentives clearly, PF/ESI challans are generated from the same ledger, and each site can export inspector-ready registers with one click.

Chapter 04Compliance map

One operator, parallel
obligations across sites, fleets and yards.

Cold storage operators sit at the junction of factories, warehousing, transport and agriculture—each bringing its own forms and inspectors.
7
core labour and social security statutes touched monthly
12–15
registers, challans and outputs that depend on payroll data
0
room for missed ESIC coverage in a 24×7 freezer
Statute
Who it applies to
Form & cadence
Factories Act, 1948 / State Factories Rules
Applies where cold storage or food processing units are registered as factories—with power, machinery and defined manufacturing/processing operations—governing working hours, safety and welfare.
Adult worker registers, muster rolls, overtime and accident registers · continuous
Employees' State Insurance Act, 1948
Covers non-seasonal factories and notified warehousing establishments employing 10 or more persons (20+ in some cases) with wages up to ₹21,000 per month, including warehouse, maintenance and eligible fleet staff.
Online ESIC contribution returns and IP-wise wage records · monthly
Employees' Provident Funds and Miscellaneous Provisions Act, 1952
Applies to cold stores and logistics firms with 20 or more employees, including contract labour deployed regularly at sites and in fleets.
EPFO ECR (Electronic Challan-cum-Return) with UAN-wise wages and contributions · monthly
Contract Labour (Regulation and Abolition) Act, 1970
Covers principal employers engaging 20 or more contract workers for loading, unloading, grading, packing and housekeeping in cold stores and yards.
Registers of contractors, contract workers, wage and attendance records aligning with principal muster · monthly
Payment of Wages Act, 1936 / Code on Wages, 2019
Ensures timely payment and controls deductions for all eligible warehouse and transport workers, including daily-rated and trip-rated staff.
Wage registers, pay slips and bank/UPI transfer proofs · per wage period
Motor Transport Workers-related provisions / Shops and Establishments laws
State-specific laws for transport undertakings and commercial establishments, relevant where reefer fleets are registered as separate units.
Duty rosters, log books and wage records for drivers and helpers · continuous
Maternity Benefit Act, 1961 / Code on Social Security
Covers women in cold storage offices, quality labs and packing lines not under ESIC, guaranteeing maternity and related benefits.
Maternity registers, leave and benefit records · event-based
Chapter 05A day in May

One cold store. Six hours.
Twelve workers paid.

The same six-hour window that once meant arguing over trip sheets can become a predictable wage ritual across dock and fleet.
05:00Six-hour wage cycle · 31 May 202611:00
05:08
06:22
07:45
08:30
09:26
10:57
05:08 IST
Night shift hands over the dock.
At a potato and frozen-pea cold store near Agra, the night crew finishes last dispatch to a Delhi wholesaler. Gate and chamber devices sync attendance, tagging who worked in each cold room and staging area, and how many hours counted as freezer duty versus ambient work.
06:22 IST
Freezer and night allowances settle into place.
In the control room, the warehouse supervisor and HR lead review a dashboard that already computes freezer and night differentials from shift and chamber logs. Exceptions—missing PPE training, unusual overtime, or workers nearing ESIC wage limits—are flagged for action before wages are frozen.
07:45 IST
Reefer trips reconcile with payroll, not just diesel.
Fleet in-charge uploads the month's trip data: lanes from Agra to Delhi, Lucknow and Jaipur, waiting times at markets, and returns. Each driver and helper's trip incentives auto-calculate, and the system compares planned trips to actual GPS/trip-sheet logs so under-reported work hours cannot hide in cash payments.
08:30 IST
PF and ESIC challans come from one file.
Finance opens a single wage file covering warehouse, drivers, helpers and regular contract hands. PF on eligible wages and ESIC contributions for all covered staff are computed in one pass, generating challans that match exactly with individual pay slips and site rosters.
09:26 IST
Bank uploads before market opens.
Before APMC gates get busy, the company uploads the bank payout file and initiates UPI payouts for smaller amounts. Workers from nearby villages receive SMS alerts during tea break, and can see freezer allowance, trip incentive and statutory deductions clearly itemised.
10:57 IST
Registers ready if the inspector drives in.
By late morning, the operator can export adult worker registers, wage sheets and ESIC/IP summaries per site. If a labour inspector or buyer walks in from Lucknow or Delhi, the same data that sent wages to the bank is waiting on-screen and on paper.
Chapter 06What changes at scale

From a single F&V store
to a cold chain spanning five states.

Once payroll discipline is standard, adding chambers or lanes is a capacity decision—not a compliance gamble—in clusters from Bhiwandi to Sriperumbudur.

Delay between wage period close and payday

−71%
Before7 days
After Kayrilo2 days

Workers without ESIC coverage in eligible units

−86%
Before35% of headcount
After Kayrilo5% of headcount

Disputed trip and overtime claims per month

−75%
Before40 claims
After Kayrilo10 claims

Payroll FTE effort per 200 workers across sites

−60%
Before2 FTE
After Kayrilo0.8 FTE

Penalties and interest from delayed PF/ESI

−80%
BeforeIndexed at 100
After Kayrilo20 on same scale

Cash-only wage share

−64%
Before70% of payouts
After Kayrilo25% of payouts
Chapter 07The economics

When a tighter cold chain
starts with a cleaner payroll.

Cold chain CFOs care about shrinkage, diesel and downtime; payroll is where most of those risks first show up in numbers.
₹36per worker / month
Kayrilo subscription
pricing for 150–800-worker cold chain operators
₹0setup
Onboarding included
bundled into a 12-day multi-site rollout
4.2 mo
Average payback period
driven by fewer disputes, lower penalties and reduced manual effort
1.5%of wage bill
Total operating cost
including subscription and basic devices

Payback timeline

Month 1 → 12
Payback · M 4.2
Month 1
Month 4
Month 8
Month 12
Investment phase
Cumulative net savings
End of playbook

Bring it to your
cold chain.

If your freezer crew, grading line and reefer drivers all sit on different spreadsheets, payroll will always lag the dispatch plan. Walk us through one wage cycle and we will map a 12-day rollout that respects night shifts, freezer allowances and multi-state PF/ESI.