CONTRACT LABOUR

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CONTRACT LABOUR

Post by career on Thu Dec 04, 2008 1:35 am

CONTRACT LABOUR
(REGULATION & ABOLITION) ACT, 1970
OBJECT

• To regulate employment of contract labour
• To provide for its abolition in certain cases



CONTRACT LABOR
(REGULATION & ABOLITION) ACT, 1970
Applicability - Sec 1

• Every Establishment in which 20 or more workmen are employed or were employed on any day of the preceding 12 months as contract labour.
• To every contractor who employs or who employed on any day of the preceding 12 months 20 or more workmen.
• Does not apply to Establishments where work only of an intermittent or casual nature is performed.
• <120 days in preceding 12 months or if it is of a seasonal character I.e. <
60 days in a year.


CONTRACT LABOUR
(REGULATION & ABOLITION) ACT, 1970

Establishment
Means –
• Any office or department of the Government or a local authority; or
• Any place where any industry, trade, business, manufacture or occupation is carried on.

CONTRACT LABOR
(REGULATION & ABOLITION) ACT, 1970

Registration of Establishment - Sec 7

• Principal employer employing 20 or more workmen through the contractor.
• Rule 17 Form I
• Certificate of Registration in Form II
• Change in particulars of Regn to be notified within 15 days with reasons for change.
• Incomplete form – amendment to be carried within 15 days from receipt of intimation.


CONTRACT LABOUR
(REGULATION & ABOLITION) ACT, 1970

LICENSING OF CONTRACTORS
• No contractors to undertake or execute work through CL except under and in accordance with a license issued under the Act.
• Form IV – Rules 21 to 23
• Certificate from Principal employer-Form V
• Conditions – hours of work, wages and other essential amenities.


CONTRACT LABOR
(REGULATION & ABOLITION) ACT, 1970

Terms and conditions of license
• License shall be in Form VI
• Non transferable
• Contract labour should not exceed, on any day, maximum specified in the license.
• Wages, hours of work and other conditions of service.
• Notify any change in no. of workmen or conditions of service.

CONTRACT LABOUR
(REGULATION & ABOLITION) ACT, 1970

Terms and conditions of license

• Number of employees not to exceed maximum specified in the license.
• Wages and conditions of service as per Rule 25 IV and V.
• Room for use of children under six years where 20 or more women are ordinarily employed.
• Intimation in Form VI-A the date of commencement and completion of each contract within 7 days of commencement and completion.


CONTRACT LABOUR
(REGULATION & ABOLITION) ACT, 1970

Validity of license
• Every license shall remain in force up to 31st December of the year for which the license is granted or renewed.
• Application for renewal to be made in Form VII not less than 60 days before expiry.
• Deemed to have been renewed until the date when renewal is granted or refused.

CONTRACT LABOUR (REGULATION & ABOLITION)ACT, 1970

Liability of Principal Employer - Sec – 20
• If the contractor does not provide amenities under S 16 to 19 within the time prescribed such amenities shall be provided by the principal employer.
• Expenses incurred by principal employer in providing these amenities may be recovered from the contractor by deductions or as a debt payable.



CONTRACT LABOUR (REGULATION & ABOLITION) ACT, 1970

Liability of Principal Employer - Sec – 20
• Where the contractor fails to pay wages within the time prescribed or makes short payment, then the principal employer to pay wages in full or unpaid balance due.
• Principal employer can recover the amount from contractor by deductions or as a debt payable.

CONTRACT LABOR
(REGULATION & ABOLITION) ACT, 1970

Welfare and health measures
• S.16 r/w Rule 40
• Where 100 or more CL are employed.
• Work likely to continue for 6 months.
• Contractor shall provide canteen within 60 days.

CONTRACT LABOUR
(REGULATION & ABOLITION)ACT, 1970
Canteen
• Where PE has a canteen u/s 46 of Factories Act, arrangements made with
PE by the Contractor will be considered as due compliance.
• Where contractor fails to provide a canteen, the PE shall provide within 60 days of the expiry of the time provided to the contractor.

CONTRACT LABOUR
(REGULATION & ABOLITION) ACT, 1970
Rest Rooms S.17
• Rule 39
• Where CL is required to halt at night.
• Work to continue for 3 months or more
• Contractor to provide and maintain rest rooms within 30 days.
• As specified by Commissioner of Labour.
• Sufficiently lighted and ventilated and maintained in a clean and comfortable condition.


CONTRACT LABOR
(REGULATION & ABOLITION) ACT, 1970
Rest Rooms

• Where PE is required to provide rest rooms under the Factories Act any arrangements made by Contractor with PE for use of rest rooms by CL
will be due compliance.
• If Contractor fails, the PE to provide such amenity within 30 days of the expiry of the period laid down in the Rule.



CONTRACT LABOUR
(REGULATION & ABOLITION) ACT, 1970

Latrines and Urinals

• Contractor shall provide –
• In every establishment coming within the scope of the Act
• 1 latrine for every 20 persons upto the first 100 and 1 for every 30 thereafter.
• Partitioned to secure privacy.
• Proper identification – Men – Women


CONTRACT LABOUR
(REGULATION & ABOLITION)ACT, 1970

Latrines and Urinals
• 1 urinal for male workers upto 50
• 1 urinal for female workers upto 50
• Adequately lighted and maintained in good sanitary condition at all times.
• Comply with requirements of public health authorities.

CONTRACT LABOUR
(REGULATION & ABOLITION)ACT, 1970
Latrines and Urinals
• Where PE under Factories Act has provided latrines n urinals arrangements by contractor with PE for use of the same by his workmen shall due compliance.
• If the contractor fails to provide within 60 days, the PE to comply within
30 days of the expiry of 60 days given to contractor.

CONTRACT LABOR
(REGULATION & ABOLITION)ACT, 1970
Washing Facilities

• S. 18 r/w Rule 42
• Contractor to provide –
• Adequate and suitable facilities for washing
• Adequate number of buckets and tumblers or mugs and water supply @ 20 litres a day for each workman employed.
• Within 30 days – on failure by PE within 60 days from the expiry of 30 days.
CONTRACT LABOUR
(REGULATION & ABOLITION)ACT, 1970
First Aid Facilities
• S. 19 r/w Rule 44
• Not less than 1 box for every 150-contract labour or part thereof.
• Different provisions for contents for establishments employing <50 and >
50.
• Nothing except the prescribed contents shall be kept in the First Aid Box.

CONTRACT LABOUR
(REGULATION & ABOLITION) ACT, 1970

First Aid Facilities
• Box to be kept in charge of a responsible person.
• Who shall be readily available during working hours.
• Where the No of CL is 150 or more the person in charge shall be a trained
person in First Aid treatment.

CONTRACT LABOUR
(REGULATION & ABOLITION) ACT, 1970
Wages S.21 Rule 45-54 Ch VI
• Rules 45 to 51will not apply where Payment of Wages or Minimum Wages
Act applies.
• Contractor to fix wage period.
• Not to exceed one month.
• To be paid within 3 days from the end of the wage period where wage period is 1 week or a fortnight.
• In other cases before 7th or 10th day depending on No of workers (1000).

CONTRACT LABOUR
(REGULATION & ABOLITION) ACT, 1970
Wages
• In case of termination earned wages to be paid before the expiry of the day
succeeding the one on which employment is terminated.
• Payment of wages to be made on a working day, at the work site and
during working hrs
• Where work is completed before the wage period, payment to be made
within 48 hours of last working day.
CONTRACT LABOUR
(REGULATION & ABOLITION) ACT, 1970

Wages
• To be paid directly to worker or to other person authorised by him in this
behalf.
• Wages to be paid in coin or currency or both.
• To be paid without any deductions except those permissible under the
Payment of Wages Act.

 Notice showing wage period, place and time of disbursement shall be displayed at the place of work and copy to be sent to PE under acknowledgement.

--------------------------------------------------------------------------------------------
CONTRACT LABOR
(REGULATION & ABOLITION) ACT, 1970
Wages
• Duty of contractor to disburse wages in the presence of the authorised
representative of Principal Employer.
• PE to nominate a rep to be present at the time of disbursement of wages by
contractor.
• Rep shall certify the amounts pd as wages.
CONTRACT LABOUR
(REGULATION & ABOLITION)ACT, 1970
Wages
• Rep shall affix his initials against each entry and record a certificate……
• “Certified that the amount shown in column No ___has been paid to the
workman concerned in my presence”.
• Entries denoting time, place and payments made shall be made in the
register simultaneously as the payments are made.

CONTRACT LABOUR
(REGULATION & ABOLITION) ACT, 1970

Registers, Records and Notices
• Following registers under PW Act or MW Act shall be deemed to
maintained under the CL Act under Rule 59(1):

 Muster Roll, Wage Register, Register of deductions, Register of
overtime, Register of fines, Register of Advances.
------------------------------------------------------------------------------------------
CONTRACT LABOUR
(REGULATION & ABOLITION) ACT, 1970

Registers, Records and Notices
• Where 59(1) does not apply –
• Contractor to maintain –
• Muster Roll-cum-Wage Register under Rule 27(1) of MW Rules.
• Attendance card-cum-Wage slip under Rule 27(2) of MW Rules.
• Signature or thumb impression of every worker on the wage register be obtained and entries to be authenticated by the contractor.




CONTRACT LABOUR
(REGULATION & ABOLITION)ACT, 1970
Registers…..Rule 61
• All Registers and Records shall be kept at an office or the nearest convenient bldg within the precincts of the work place or at a place within a radius of 3 kms.
• Maintained legibly in English, Hindi or Marathi.
• To be preserved in original for a period of 3 calendar years from the date of last entry.
• To be produced on demand before Inspector or other authority.

CONTRACT LABOUR
(REGULATION & ABOLITION)ACT, 1970
Notices Rule 62
• Notices showing the wages, hours of work, wage periods, dates of payment, names and addresses of inspectors having jurisdiction, the PE or the Contractor shall display date of payment of unpaid wages in English, Hindi or Marathi in conspicuous places at the Est and the worksite as the case may be.

CONTRACT LABOUR
(REGULATION & ABOLITION)ACT, 1970
Registers - Rule 55
• Register in form VIII by Principal Employer.
• Employment card in form X

CONTRACT LABOUR
(REGULATION & ABOLITION)ACT, 1970
Returns Rule 63
• Form XXI by Principal employer by 15th Feb.


CONTRACT LABOR
(REGULATION & ABOLITION)ACT, 1970
Abstract

• Every Contractor shall display an Abstract of the Act and the Commissioner of Labour may approve Rules in English, in Hindi or in Marathi in such Form as.


CONTRACT LABOR
(REGULATION & ABOLITION) ACT, 1970

Prohibition of Employment of Contract Labour - Sec – 10

• By Appropriate Government through notification.


CONTRACT LABOUR
(REGULATION & ABOLITION) ACT, 1970
Criteria for abolition

• By Appropriate Government through notification.


CONTRACT LABOUR
( REGULATION & ABOLITION)ACT, 1970
Consequences on abolition

• Contractor gets eliminated and so does the contract.
• Contract Labour does not automatically become direct employees of Principal Employer.
• Contract Labour gets preference for employment with Principal Employer subject to their meeting the employment requirements.
• The displaced Contract Labour can still raise an I.d claiming that contract was sham and they were always the direct employees of the Principal Employer.
• Contract Labour cannot be employed in such processes thereafter.

career

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