The Company, for some statutory requirements from the Contractor's end has recently hold its one month payment. Many reminders have been made for these statutory documents to the Contractor. However, only promises were received but no documents. And we no option, the Company had to hold its payment; and with this reason the Contractor has no made payment to its employees working in our Company.
Kindly let me know, whether - this act of the Contractor for not making payment to its employees is justified ? and also whether the same is allowed on statutory grounds?

From India, undefined
Dear Mr. Sharma,
It is not justified to hold the salary of the contract employees as your contractor is giving an justification of payment held with you then you may release his payment and hold management fees till the time he provides you the required documents. This may resolve an issue and contractor will be able to make the payment of the employees.


Dear Mr. Sharma,
What ever Mr. Kamble has mentioned, I would like to add the following:-
1. Pay to Contract Labor immediately of your own.
2.Complete Compliance under PF & ESI at the contractor's code.
3. Adjust all above from Contractor's bill.
4.Without proper compliance documents from contractor (which you may also check from concern site) after obtaining user id and password from contractor.
5. It is very common picture in India when good number of contractors are not complying properly.
If your contractor in category no. 5,please change the contractor immediately and engage proper contractor after due deligence.
Thanks & Regards,
S K Bandyopadhyay
USD HR Solutions
+9198310 81531
email-
www.usdhrs.in

From India, New Delhi
Thank you Mr. Kamble and Mr. Bandyopadhyay for your guidance.
From India, undefined





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