What are the Statutory requirements and precautions in awarding contract for safeguarding managements interests?
From India, Sambalpur

Dear Pratap
Please give some more details regarding your query.
1. What is the industry you are interested to gain knowledge?
2. Are you asking this question for your educational purpose or for implementing on the job?
3. What do you know in this subject?
4. What is your requirement on safety and on Statutory requirement?
Our members will surely guide you in the subject.

From India, Kumbakonam
1. In manufacturing industry, specially in the project stage.
2. NO
3. I am specific to the act only but need to know more in depth on it.
4. As i am in a company in a project stage so it is necessary to know more on contract management.
Hope members will help me in this regard.
Thanking You

From India, Sambalpur

Certainly you will get all the help from our members.

If the factory is under construction, then you might have got the approval for construction of factory under Factories Act. After approval, the Building and Other Construction Workers Act, 1996 will come into force, till the production commences. Once you are engaging the contractors for construction then you will follow the Contract Labour (R&A) Act, 1970. In BOCW Rules of your state will have all the provision regarding health & hygiene, safety in technical aspects, welfare measures, etc. If you follow all the safety norms as per BOCW Rules, then you can avoid all the unsafe condition in the construction site.

Here in this stage you will follow BOCW Act and Rules, Contract Labour (R&A) Act & Rules, Payment of Wages Act & Rules, Minimum Wages Act and Rules, Payment of Bonus Act, Payment of Gratuity Act and Interstate Migrant workmen Act and Rules.

Once the Manufacturing process begins then the BOCW Act and Rules will comes to an end and the Factories Act will be applicable.

To know more about BOCW Act & Rules please go through the entire https://www.citehr.com/344521-buildi...lrker-law.html thread in which I have explained in depth.

Hope you understand the basic requirement. If you have any other doubt, please revert back.

From India, Kumbakonam
Sir Thanks for your reply and you are very rightly said. But i want to know about - What are things we should look in to while awarding contract to to a contractor?
From India, Sambalpur

You should take precautionery measures as defined hereunder:-

1. First of all you should make a Contract Agreament as per mutually agreed terms & conditions on valid non judicial stamp paper.

2. Then you should apply with the labour Dept. for engaging Contract Labour and should get Cerificate of Registration from there.

3. You should issue Form No.5 to Contractor fo obtain labour license from the Labour Deptt. and keep a copy of the same with you.

4. Also ensure the Contractor has obtained P.F. & ESI registration and keep copy of the same with you.

5. Ensure thet the workers are paid in time and correctly, better to engage your personnel at the time of wage payment.

6. Get a copy of Chalan of ESI & PF dues duly deposited with the appropriate authorities.

7. Ensure the Contractor is maintening all the registers prescribed under Contract Labour Regulation Act.

8. Also proper Insurance cover should be provided for All Risks (Cntractor;s All Risk Policy.)

9. Proper statutory dedctions viz. TDS, WCT are made at your end.

10.Contractor is also liable to deposit Service tax for the work done and you should obtain proper tax deposited Chalan.

11. All deductions such as Security etc. should be deducted as per terms.

12. B.G. should be obtained for Performance Guarantee or as per terms of inviting tender.

13. Hope these will help you a lot.

--- Raj.

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