Is a Contract Labor Registration Certificate Needed by Contractors or Just Companies?

Hi,

I want to know if the contract labor registration certificate is required to be obtained by the contractors or if it is required only by the company.

Can you help me out? I require this urgently.

Regards,
Priyanka

Dear Priyanka,

This is to clarify that the registration certificate is required to be obtained by the Principal Employer/Company and not by the Contractor if the Contract Labour (Regulation and Abolition) Act, 1970 is applicable to the establishment. Meanwhile, the Contractors are required to obtain licenses from the concerned Licensing Officer if they are covered under this Act.

With Regards,
R.N.Khola

I may add one more point. If the number of contract employees (taking together all contract employees engaged through different contractors) engaged by the Principal Employer is twenty or more, then the Principal Employer should take registration required under Section 7 of the Act. Similarly, if any contractor engages 20 or more employees, then he is expected to take a license under the same Act.

Regards, Madhu.T.K