Contract Labor Act - Basics

Key Definitions

nContract Labour - A workman hired in or in connection with work of an estt., by or thro’ a contractor, with or without knowledge of principal employer.(Sec.2b)

nContractor - A person who undertakes to produce a given result for the estt., other than mere supply of goods or articles of manufacture to such estt., thro’ contract labour, or who merely supplies contract labour for any work of the estt., & includes a sub-contractor.(Sec.2c)  

nPrincipal Employer - 

á  In relation to any Govt. Office or Dept. or a

     Local Authority, head of that Office/Dept. or

     such other Officer as the Govt. or the Local Authority may specify in this behalf.

á  In case of factory, the owner or occupier of   the factory, & manager of the factory, if any

     so named under the Factories Act, 1948.

á  In case of mine, owner or agent of mine & the manager of the mine, if any so named.

á  In any other estt., any person responsible for  the supervision & control of the estt.

                                                        

                                                                                                (Sec.2g)

 GUIDELINES

v Principal Employer of an estt. to make an  application within stipulated time frame,

    to the Registering Officer (Asst. Comm. of Labour)

v Revocation of RC in certain cases -

vMisrepresentation or suppression of any  material fact  

vIf the RC becomes useless or ineffective & therefore, requires to be revoked 

 

v Effect of Non-Registration -

If -  the estt. has not been registered under the Act within the stipulated time ; or

vthe RC has been revoked,   the principal employer of the estt. to which this Act applies, shall not employ contract labour after expiry of period or after the revocation of RC.

PROHIBITION OF EMPLOYMENT OF CONTRACT LABOUR

vAppropriate Govt. may, after consultation with the Central or State Advisory Board, prohibit by notification, employment of contract labour in any process, operation or other work in any estt.

vBefore issuing any notification as aforesaid, the appropriate Govt. shall have regard to the conditions of work and other benefits provided for the contract labour in that estt. and other relevant factors, such as -   

vWhether the process, operation or other work is incidental to or necessary for the industry, trade, business, manufact-ure or occupation carried on that estt.;

vWhether it is of perennial nature i.e. of sufficient duration ;

vWhether it is done ordinarily thro’ regular workmen in that estt. or estt. similar thereto ;

vWhether it is sufficient to employ considerable number of whole-time workmen.

vNo Contractor shall undertake or execute any work through contract labour except under and in accordance with a licence issued by the Licensing Officer.

  

   Contractor to make an application within stipulated time frame,to the Licensing Officer.

vA Licence shall contain -

*Such conditions including, in particular, hours of work, fixation of wages and other essential amenities in respect of contract labour.