Presently, I am working in a manufacturing unit as an Admin Manager in Hyderabad. The factory and office are situated on the same premises in Hyderabad.
The company produces tower parts and structures for various customers in India such as Aircel, Bharti Airtel, BSNL, Vodafone, Tata, Totalcom, etc., and also for major customers like GTL and NUTEK. In addition to the telecom line, the company also fabricates and produces transmission lines, supplying them to KPTCL, Siemens, ABB in India.
We supply fabricated tower parts to the locations required by our customers and erect them, which includes civil works. The company has appointed contractors and subcontractors for the fabrication of steel structures (tower parts) in our factory, and these contractors produce the materials under the supervision of our company's Production Manager and Quality Supervisors.
In this case, who is the principal employer? Who is the contractor? Who is the subcontractor? Are we the principal employer to our contractor? Should we register our organization as the principal employer? Should the contractor working under us be a direct contractor or subcontractor? Should Form V be given to the subcontractor as well?
What is the relationship between:
1. Our customers and us?
2. Us and our contractors?
Also, please clarify the following as per the Contract Labour Act and the Inter-State Migrant Workmen Act:
1. Who is the Registering Authority?
2. Who is the Licensing Authority?
In whose favor should the DD for the following be taken under both Acts?
1. Registration Fee
2. License Fee
3. Security Deposit
4. Duplicate copy of the Registration Certificate
In which bank should the DD be taken?
If the principal employer is in one place (say Chennai) and the contract work is in another place (say Bangalore), then where should the license be applied for (in Chennai or Bangalore)?
If the principal employer is in one place (say Chennai) and the contract work (constructing tower parts including civil work) is at various places in the same state (say Tamil Nadu), then:
1. Should the contractor apply for a license for each site?
2. Should they apply for those licenses in Chennai or in the respective places?
I have gone through both the CLRA Act and the ISMW Act and understood the forms, but I am not able to understand the above details.
-R. Srinivasan
From India, Hyderabad
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The company produces tower parts and structures for various customers in India such as Aircel, Bharti Airtel, BSNL, Vodafone, Tata, Totalcom, etc., and also for major customers like GTL and NUTEK. In addition to the telecom line, the company also fabricates and produces transmission lines, supplying them to KPTCL, Siemens, ABB in India.
We supply fabricated tower parts to the locations required by our customers and erect them, which includes civil works. The company has appointed contractors and subcontractors for the fabrication of steel structures (tower parts) in our factory, and these contractors produce the materials under the supervision of our company's Production Manager and Quality Supervisors.
In this case, who is the principal employer? Who is the contractor? Who is the subcontractor? Are we the principal employer to our contractor? Should we register our organization as the principal employer? Should the contractor working under us be a direct contractor or subcontractor? Should Form V be given to the subcontractor as well?
What is the relationship between:
1. Our customers and us?
2. Us and our contractors?
Also, please clarify the following as per the Contract Labour Act and the Inter-State Migrant Workmen Act:
1. Who is the Registering Authority?
2. Who is the Licensing Authority?
In whose favor should the DD for the following be taken under both Acts?
1. Registration Fee
2. License Fee
3. Security Deposit
4. Duplicate copy of the Registration Certificate
In which bank should the DD be taken?
If the principal employer is in one place (say Chennai) and the contract work is in another place (say Bangalore), then where should the license be applied for (in Chennai or Bangalore)?
If the principal employer is in one place (say Chennai) and the contract work (constructing tower parts including civil work) is at various places in the same state (say Tamil Nadu), then:
1. Should the contractor apply for a license for each site?
2. Should they apply for those licenses in Chennai or in the respective places?
I have gone through both the CLRA Act and the ISMW Act and understood the forms, but I am not able to understand the above details.
-R. Srinivasan
From India, Hyderabad
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Dear Srinivasan,
I am afraid the contractors and sub-contractors who are carrying out the fabrication of steel structures on the premises of your factory will also be considered as part of your factory. If this is the case, the applicability of the Contract Labour Act is debatable, and therefore, the other queries may be superfluous.
B. Saikumar
HR & Labour Law Advisor
Mumbai
From India, Mumbai
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57I am afraid the contractors and sub-contractors who are carrying out the fabrication of steel structures on the premises of your factory will also be considered as part of your factory. If this is the case, the applicability of the Contract Labour Act is debatable, and therefore, the other queries may be superfluous.
B. Saikumar
HR & Labour Law Advisor
Mumbai
From India, Mumbai
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Contract Labour Act.zip
SELF-CERTIFICAT E PROFORMA UNNDER CONTRACT LABOUR (R&A) ACT, 1970.doc