Please give your knowledge on what action to be taken legallyl as a HR professional when a contractor refuses or does not comply with the labour rules.
From France, Cergy
Dear Anonymous,
You being a HR professional fail to perform your duties up to the expectation of your superior, what your superior is expected to do? The same thing you are suppose to do here.
The contractor should be heard first and given an opportunity to improve himself. You have a right then to terminate his contract. Now please do not ask for draft termination letter.

From India, Mumbai
First You advise him to fullfill all statutory obligations failing which, don't settle his bill unless he is getting ESI CODE/EPF CODE.
This is the simplest solution.Why you are taking legal action time is waste
Note: If any one approaches your employer for contractorship,you demand to get ESI8/EPF /LABOUR LICENCE.
Otherwise,don't consider

From India, Madras
Dear Anonymous,
Please talk to the contractor as to why he is not willing to comply with labour rules. Is there any difficulty he is facing from principal employer's side or sheer negligence and evasive tactic? Explain him the consequences of not complying with labour rules and extend all possible help to resolve the issue. Also, if you have engaged more than one contractor, intimate all of them to strictly comply with labour rules and let the non-compliance of labour rules by contractors does not implicate you.
With regards,

From India, Vijayawada
Introspect - are you paying him too less? In your pursuit of getting the best rates, you may have hired a contractor who will compromise on ethics and mandatories. Did you make your demands for statutory obligations clear before the project was awarded? Decent contractors, if told beforehand of their obligations, will build that into costs. However, if your decision was made solely on "rates" - you may have pushed your contractor into a corner.
If you have done everything right - just issues a show cause letter, demand an audit (if your contract allows it) and if found guilty - stop paying him pending course correction window. If he continues to violate contract; terminate the contract and move on.
If the fault is in your system; issues revised requirements, make it time bound, renegotiate, include audit clauses - and proceed as above.

From India, Mumbai
Pls verify the agreement you made with the contractor, if not issue the waring letter , with some days grace period for corrective action plan...after the period still he is not follow the rules , better you close the contract and avoid the legal activities turn against you....

From India, Madras
Labour rules are statutory. Contract and Contractors are guided by Contract Labour Regulation and Abolishion Act 1970. No agreement is above labour laws. Any failure in adhering, contractor in the first instance and principal employer are wholly and finally responsible. You are playing main role, Hence, where is the question of contractor not complying with rules and regulations. All your actions are as per CLRA. If Principal Employer and Contractor work hand in glove, Labour Authorities step in to check the violations for correction and punishment.
From India, Nellore
Dear anonymous friend,
I think that though you are a HR Manager charged with the basic responsibility of ensuring adherence of statutory rules and regulations relating to the labour working in your industry and being aware of the fact that the particular contractor lacks legal compliance in this regard in which case you have vicarious liability as the principal employer, you are still hazy in course-correction means some thing else is there.May be that particular contractor wielding high influence over the top-brass of the company and what else could be there for your hesitation? Anyway, since it is your duty to ensure legal compliance, ultimately you will be held responsible when some legal action is launched by the State Enforcement Authority and therefore my suggestion is that there should be no laxity on your part. Bring the fact to the notice of the chief.

From India, Salem
Dear Anonymous,
First of all please come with your proper identity to an intellectual forum like CITE. However, to look to your problem, please understand that the non compliance of contractor to Labour law legislations like Minimum wages, PF & ESI, not only his responsibility but also of the mater. May the rates you are providing is too less for him to maintain the workforce. Discuss it out immediately orelse please terminate and blacklist him. As once he is caught by labour officials while doing this, you will also have a liability. Act fast on the same and come to a resolution.

From India, Delhi
Well, it’s so simple. Initially, you can warn him and give some to improve and then if you do not find any improvement in their work then simply you can end the contract or terminate them.
From India, Lucknow

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