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We have Computer Software & Hardware Trade Licence. We are a partnership firm. We are executing data entry job on annual rate contract basis. We have 20 data entry operator are engaging in our different establishment. We are working in a CPUC where only 12 data entry operator is engaged.
Now the question is that the PSU wants us to get labour licence. Is it mandatory to take labour licence for this sort of job as per Contract Labour Act?
Please give proper guidance.
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1.Principle employer has to get register your establishment under CLRA Act
2.You need to apply contract labour licence Once a principle employer obtained contract registration certificate on your firm,
In your case only 11 data entry operators are working in PSU. if principle employer register your establishment under CLRA Act , you need not apply labour licence. because you have engaged/supplied only 11 data entry operators.(Less than 20 workmen- Condition one will apply)
Condition 1). CLRA act applies only to every contractor who employs or who employed on any dayof the preceding 12 months 20 or more workman.
Condition 2). If any notification in the official gazette apply provisions of CLRA act to any establishment or contractor employing such number of workmen less than 20 as may be specified in the notification.
Regards
D Pannerselvam
09842219133
Dear Indrajeet,
Your Question is little bit confused. When your client is asked for labour license, why are you asking for Contract Labour License. You need to get labour license under the Shop & Establishment Act. That is enough for your need.
Regards
Praveen
Dear sir / madam
Kindly clarify the following:-
We have Computer Software & Hardware Trade Licence. We have a partnership firm & executing data entry job on annual rate contract basis. We have total 20 employees engaging in our different establishment. Out of 20 employees 12 employees engaged in a PSU.
Now the question is that the PSU wants us to get labour licence. Is it mandatory to take Contract labour Licence as per Contract Labour Act?
Please give us proper guide line.
Indrajit Sharma
Dear Indrajit,
follow Mr.pannerselvam d instruction without any confusion. Because Shop & Establishment Act and contract labour act are different. Regarding your question u have to required labour license.
As per contract labour act, if you engaged more than 20 employees then only you can appply for the Labour Licence, as per the CLR act no need to make labour license. Manjunatha E HR Generalist
Since you have more than 20 employees, you need to take contract labour license. It’s better you comply.
Dear Indrajit,

It is not clear from your query in which State you have these 12 employees. Please note that in some States, labour license is required even if the number of employees are less than 20. I can give you examples of atleast two such states, West Bengal and Andhra Pradesh.

Also note that labour license is to be taken location-wise. For e.g. if you operate in Mumbai at 7 different locations, and if in all these locations labour license is applicable, then you have to take separate labour license for each of these 7 locations within Mumbai. From your query, it is not clear whether these 12 employees are working in the same location of the PSU, or are they scattered. If they are scattered (not sitting in the same location), then further, you need to check if taking license is applicable to you or note.

So, please check two things:

1. What is the minimum number of employees required in your State for the applicability of the act.

2. Whether, employees are working in the same location, or are they scattered. If they are scattered, then whether CLRA is applicable considering point no.1 above.

Regards,

Kuldeep Singh
Labour License under contract labour Act is required for a contractor only if he has employed 20 0r more employees in any establishment against a particular work order. For obtaining labour license the requirements are 1) The Principal employer must have got regitration with the Licensing auth. under CLR&A ACT, 2) A copy of work order 3) Form V issuedby principle employer and DD towards security and License fee.
Dear Indrajit,
Labour License under contract labour Act is required for a contractor only if he has employed 20 0r more employees in any establishment against a particular work order. For obtaining labour license required.
But more one thing in west bengal (Labour dept) issued one internal notification.
clearly notification said if he has employed 10 or more then 10 employees engaged any establishment, then they have to take contact labour licence from the authority.
Thanks & Regards
Abhijit Barua
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