Contract Labour Paid 26 Days Or ( 208 Hrs ) - CiteHR
Boss2966
Industrial Relations
Samvedan
Consultancy_hr & Ir
+3 Others

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Dear Seniors,
I have some queries
1. Whether paid holidays ( e.g. Diwali, Dassera, ) which are given to company employees are also applicable to contract labours ?
2. As per Factories Act we have to pay Overtime to them who are working beyond 9 hrs a day & above 48 hrs in a week. but my senior has informed me to pay over time to the labours who are working beyond 208 hrs in a month. This means if somebody will work on holiday & due to some reason he was absent for next day then he will be paid only normal wages for the holiday working & not Overtime. & if some body will work beyond daily working hours then the extra working hours shall be considered normal working hours for completing 26 working days. Whether there are any law under which we can pay like this to contract laburs?
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Hello,

Kindly see the inline responses!

Regards

samvedan

September 22, 2012

-----------------------------------------

Yes, the provisions regarding the OT will be applicable to the Contract Labour (for above reasons-they are covered in the definition of a "worker" under the act and for the purposes of the act. BUT, even if the OT is worked at your instance, you SHALL NOT make any direct payment to the contract labour. The contractor be asked to raise the bill for additional services and you shall pay the contractor who will then discharge OT obligations. Further, the normal rule and practice in industry, is pay for the first 48 hours at single rate and work thereafter only be compensated at the statutory rate for OT. This will answer your query in this regards. However I hope that you are aware that permitting work on OT without obtaining relaxation of working hours (from the concerned Factory Inspector) is a punishable offence under the Factories Act! (I know most employers KNOWINGLY or UNKNOWINGLY do not pay any attention to this provision and to that extent they shall remain vulnerable to "action" by the enforcement agency!

That's it!
to my working knowledge i can say that the paid holidays is not applicable for contract employees.
Dear Ssalape,

I have some replies for your queries

1. Whether paid holidays ( e.g. Diwali, Dassera, ) which are given to company employees are also applicable to contract labours ?

Yes..... All the employees are (Contract workers, Temporary Workers and Permanent Workers directly engaged by the organisation) eligible for Paid Holidays.

2. As per Factories Act we have to pay Overtime to them who are working beyond 9 hrs a day & above 48 hrs in a week. but my senior has informed me to pay over time to the labours who are working beyond 208 hrs in a month. This means if somebody will work on holiday & due to some reason he was absent for next day then he will be paid only normal wages for the holiday working & not Overtime. & if some body will work beyond daily working hours then the extra working hours shall be considered normal working hours for completing 26 working days. Whether there are any law under which we can pay like this to contract laburs?

As a matter of fact a worker must work for 48 hours in a week and maximum of 9 hours per day. But If the worker works more than 8 hours he must be paid with Double OT. The 9 hour is applicable if the worker becomes absent or taken leave on any one day of the week then his normal work will be 40 hours, to compensate the another 8 hours the Organisation will take the maximum 9 hours work in any day and another 5 hours will be paid single OT and left out OT is to be paid in Double the rate. If the individual is present on the previous working day then he can do the Overtime on Sundays and Holidays.

If your company is offering the C Off then the individual can be called on sundays and given normal attendance for 8 hours and more than 8 hours the OT must be paid.

You cannot calculate the total hours of work for the full month. But it must be calculated on day basis only. Sunday / Paid Holiday OT is separate and it cannot be deducted / adjusted on any other day working hours.

Hope your query is cleared. In case of any further query please do not hesitate to ask.
Dear,
1) Yes Paid holidays are applicable for all type of employees.
2) Regarding OT if working hours are more than OT you should give the OT as per the Statutory Rules, but u cant make adjustment of absenteeism with the OT according to rule, but u can make internal adjustment with this. But u cant club OT hours with absent days.
Thanks & Regards
Veerkumar Patil
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