Dear Dushyant Please ensure whether the contractors have separate ESI & PF code. You can ask them to submit xerox copy of the letter received from the Authority regarding allotment of code for your reference and record. The contractors may be advised to produce the xerox copies of challan for the remittance of PF & ESI contributions in respect of previous month. You can cross check with the previous month bill raised by the contractor. We can depute one of the HR executives to be present while the contractor disburses the wages to the contract employees and also ask him to check the bills signed by the contract employees. We can also take an undertaking from the contractors every month as follows: We hereby certify that we have complied all statutory formalities for the contract workmen engaged through us at your plant (Mention name of the company) under following Acts of the period ……….(month) & (Year).
- The Contact Labour (Regulation & Abolition) Act, 1970
- The Employees’ State Insurance Act, 1948
- The Employees’ Provident Funds and Miscellaneous Provisions Act 1952
- The Payment of Wages Act, 1936
- The Minimum Wages Act, 1948
- The Tamilnadu Labour Welfare Fund Act, 1972
- The National & Festival Holidays Act, 1958
The above undertaking will be a good shield for the employer in case of any legal issues that may arise due to non compliance. Please revert to me for any clarification. Thanks & Regards Kalyan R Manager - Personnel WABCO-TVS (INDIA) Ltd Chennai 919840942232