Industrial Relations And Labour Laws
Hr Manager

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Hi, When do we need to take company RC under Contract Labour Act. Here there are two case.
1. Five different contractors but having 10-12 workmen each.
2. All Contractors are far below 20 but total contractual workmen headcount is much beyond that.
Another query is that the RC taken for these contractors is temporary or permanent RC. Kindly explain in detail.

From India, Delhi
RC (Registration Certificate) is for principal employer and Licence is for contractor. You can apply the same in the Labour department of your jurisdiction.
From India, Aizawl
Registration Certificate obtained by the Principal Employer is permanent one. Only those contractor who deploys 20 or more workers needs to take licence. However, it is always desirable that each contractor shall have contract licence. Normally, in order to meet this requirement, the number of workers deployed may be put as 20.
From India, Kannur
Dear Sandeep,
The registration of Principal Employer under CL(R&A) Act is not guided by numbers but for the engagement of workmen through contractor other than employee of the company. To have better understanding please refer the Section 7 of the CL(R&A) Act,1970.
In absence of registration by PE, engagement of any number workmen for any number of period through contractor shall be treated as the employee of Principal Employer.
So take registration immediately before come across any dispute, also ask the contractor to take CL licence for good.

From India, Mumbai
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