Contractor Registration and Legal Compliance Questions
The employer is having a Registration Certificate (RC) with its existing contractors with proper registration, but the employer has started new construction work where he appointed a new construction contractor. So, my questions are:
• Should the employer have to register his name in his RC?
• Is a contract labor license required for a new construction contractor?
• If the work is for a minimum period, let's say for one to six months, does the employer still have to carry out all legal procedures?
• Does the construction contractor have to maintain all legal registers?
Please advise.
Regards.
From India, Pune
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3The employer is having a Registration Certificate (RC) with its existing contractors with proper registration, but the employer has started new construction work where he appointed a new construction contractor. So, my questions are:
• Should the employer have to register his name in his RC?
• Is a contract labor license required for a new construction contractor?
• If the work is for a minimum period, let's say for one to six months, does the employer still have to carry out all legal procedures?
• Does the construction contractor have to maintain all legal registers?
Please advise.
Regards.
From India, Pune
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The answers to your questions are as follows:
1. Yes.
2. If the contractor is engaging 20 or more workers (some states have a threshold of 10 or more), please check the coverage aspect for your respective state.
3. Irrespective of the period of work, all statutory compliances need to be met.
4. Yes.
Regards,
Preetam Deshpande
From India, Mumbai
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1. Yes.
2. If the contractor is engaging 20 or more workers (some states have a threshold of 10 or more), please check the coverage aspect for your respective state.
3. Irrespective of the period of work, all statutory compliances need to be met.
4. Yes.
Regards,
Preetam Deshpande
From India, Mumbai
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Dear Rahul ji, Shri. Preetam Deshpande is absolutely correct. I wish to add three things further for your information and knowledge.
Firstly, if the new construction work is in the same premises, there will be an amendment to the current RC with the enrollment of a new contractor. However, if the new construction work is in different premises, then you have to apply for a fresh RC.
Secondly, the BOCW Act is also applicable to the construction work, under which each establishment is required to obtain an RC, and each construction worker engaged for more than 90 days is required to register as a beneficiary.
Thirdly, the Cess under the BOCW Act is payable at 1% of the project cost.
Thanks and regards,
Keshav Korgaonkar
Shantadurgaent.com, Insurance Advisors, Corporate Advisors, Legal Advice, Wage and salary, Shantadurgaent.com, Labour Compliance Audit, SSI registration, NOC from
From India, Mumbai
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Firstly, if the new construction work is in the same premises, there will be an amendment to the current RC with the enrollment of a new contractor. However, if the new construction work is in different premises, then you have to apply for a fresh RC.
Secondly, the BOCW Act is also applicable to the construction work, under which each establishment is required to obtain an RC, and each construction worker engaged for more than 90 days is required to register as a beneficiary.
Thirdly, the Cess under the BOCW Act is payable at 1% of the project cost.
Thanks and regards,
Keshav Korgaonkar
Shantadurgaent.com, Insurance Advisors, Corporate Advisors, Legal Advice, Wage and salary, Shantadurgaent.com, Labour Compliance Audit, SSI registration, NOC from
From India, Mumbai
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Building-and-ot her-constructio n-workers-act-1 996.pdf
4.THE BUILDING AND OTHER CONSTRUCTION WORKERS' WELFARE CESS ACT, 1996.doc