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Hello, Our establishment has engaged security services through an outside agency. We routinely pay the agency the monthly wages of the said security staff which the agency in turn pays to the staff. last month, the staff got into a dispute with the agency management and the agency threatened not to pay the wages. in this scenario, will we be liable to pay the salary directly to the said security staff, since they have provided the service last month in our premises?
From India, Thrissur
Sr. Hr Executive


Dear CocoBoy,
This is not necessary as the agency threatening the employee will do actually what it says. You need to get in with the higher management of the agency and discussed on the issue. If you found that, there is any chances where the agency will not pay dues to security guard then you can always hold back there payment. It is allowed to be paid directly to the contract employee if contractor is not paying or ready to pay and it is legally allowed. Also, even principle employer can submit their PF dues as a contract employees.

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