Dear all
Kindly let me know the procedures for deployment of labours on contract basis by the principal employer.

Hi

There are two categories:

1) Establishment, in which less than 20 contract workmen are employed
2) Establishment, in which more than 20 contract workmen are employed

If you engage less than 20 contract workmen, the employer need not obtain Registration Certificate (RC) as contemplated in the Contract Labour (Regulation & Abolition) Act.

If the employer engages more than 20 contract workmen, the Employer has to obtain the RC from the Appropriate Authority by submitting the relevant forms with details of contractors, the work in which they are going to be employed and the date of commencement of work etc.

If any of the contractor engages more than 20 employees, the concerned contractor has to obtain License from the Authority.

Though we can engage contract labour within the provisions of the Contract Labour (Regulation & Abolition) Act, if any of the contractor fails to meet the statutory obligations, the Principal Employer is liable for such deviations. Hence we must take utmost care in engaging contract employees.

If the establishment comes under Factories Act, The Factories Inspectorate is the Appropriate Authority and if it comes under Shops & Establishments Act, The Assistant Commissioner of Labour is the Appropriate Authority.

Please revert to me for any clarifications.

Thanks & Regards,
Poonam