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Applicability of payment of gratuity act to contract laborI have the following views on the payment of gratuity act 1972. a whether gratuity act is applicable to contract labour b whether it is applicable to fixed tenure contractual appointments in my view a plain reading of the act shows that in both above cases it is not applicable.this is because contract labour is not in the employment of the contractor.they are only contract labour as defined under the contract labour act which gives them special status under the contract labour act and hence are eligible only for the benefits specified under the contract labour act which are pf & orkmen s compensation only.they are not eligible for gratuityor bonus. as regards tenure contractual appointments they are also not eligible for gratuity for the reason that the events on the occurrence of which gratuity is payable under the act are 1.resignation 2retirement 3death 4superannuation 5termination now expiry of tenure of employment is not a defined occurence for payment of gratuity and therefore it would not be payable. any views on the above interpretations ?? any case law to support or reject these ?? hari Advantages and dis-advantages of appointment of contract labourDear all what are the advantages and disadvantages of appointment of contract labour? also whether we can appoint the contract labour on machinery. whether there are any exceptions to sec. 10 of contract labour act. what are the compliances if we want the absorption of contract labour as a regular employee. what we should have to give a contract labour after absorption excepting bonus gratuity and leaves. regards saquib:unsure: Gratuity for contract employeeHi all i would like to get one clarification from you whether the contract labour is eligible for gratuity after completion of 5 years of service in case eligible and if the sub contractor not paying the gratuity to the contract employee will the principle employer can be held responsible your views pls regards r sudahkar Contract labourDear seniors four questions: 1. what are the jobs that can be entrusted to contract labour in the manufacturing industr?. 2. is it mandatory for a company to have a 'contract labour agency' to employ such labour? 3. is there a laid down percentage of contract labour that can be employed in a company? 4.in absence of a contract labour agency can a company hire contract labour? thank you atul joshi