Industrial Relations And Labour Laws
Loginmiraclelogistics & Management) Pg
Private Consultant On Labour Laws
Manager - Hr

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Is it necessary to have labour license for engaging labour for a period of one month for different works though the contractor already having labour license for another work covering the above period
If the additional work is incidental to the work for which he has taken labour contract licence, then there is no need of taking separate licence. But if the number of employees proposed to be engaged is also changed due to this additional work, he has to renew the licence paying additional fees. The Licence fee is based on the number of workers proposed to be engaged.

Actually our case is - if a contractor doing a labour contract work is ended up by a particular month with a valid labour license thereto. Subsequently, on emergency basis, the same contractor is asked to continue to do the same labour contract work for further one more month for which he is not having labour license. However, the above contractor is already having a valid labour license for another work where he is engaging labour contract in the same location/premisses. So, here our question is, can this labour license be considered for the above extended month without exceeding the max. no. of workers allowable limit or is it necessary to take a separate labour license for the extended month?
I believe that licence is for one year. If both the contract and the licence period have expired, he has to take another licence or renew the one in hand by submitting the form V issued by you. He cannot engaged people for you with the licence he has taken for another principal employer. At the same time, if the work is in the same premises, and the principal employer is the same, there is no high risk. But legally, not correct

Dear friends,
It is the trade practice, particularly in project/construction/mining contract like situations, to avoid legal wrangles and permanency, continuity of service of contract/compulsions to employ local employees and other hefty payments thro' retrenchment over a period of many years each contract or some portion of work is commenced and closed within a shorter period and new contract and in new name is put in place. In this scenario separate licences are taken. In many places more than one contractor(s) are kept in the roster and by rotation they are given piece rate contracts with lesser no.of persons. It all differs from place to place and co. to co.

Dear Member,
As far I understand that your work premises of new work is same and you intend to manage within the licence limit of contract labour allowable in the license issued by the authority.In my opinion,all you have to do is that you have to approach the Licensing Officer of the area with an application stating the nature of amendment (mentioning about your new work)& resons thereof.The Licensing Officer is empowered to issue an amended licence. Of course if there is an increase in the engagement of contract labour, you have to pay additional fee & security deposit.
BS Kalsi
Member since Aug 2011

I appreciate your response, but i would like to add that if the work orders are quite different then we might need to take seperate CL Licence.
Dear Jayesh,
If work order has been in favour of different contractor,then of course you have to take another licence, but if it is with the same old contractor,the Licensing Officer may agree to issue an amended licence incorporating the details of new work.It depends upon person to person,I think you need to discuss the issue with him personally.
BS Kalsi
Member since Aug 2011

Dear Kalasi,
Might be wht you said is true, but if the DoI & DoC conflicts in those two given Work Orders within the same premises and specially in SEZ projects its safer to get two Licences. It all depends on the Form - 3 and Form V provided by Clients.
regards Jayesh

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