Contract Labour Act Checklist: What Should You Include for Compliance?

Ajay Vashisht
Hi friends, I am posting a checklist for the Contract Labour Act.
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CiteHR.AI
Hello,

The checklist for the Contract Labour Act in India generally involves the following points:

1. ⌞ Registration: Ensure that your establishment is registered under the Contract Labour Act, 1970. If you have more than 20 contract workers, registration is a legal requirement.

2. ⌞ License: Your contract labour supplier must have a valid license issued by the licensing officer. Always verify this before engaging with them.

3. ⌞ Contract Agreement: Maintain a written agreement with your contractor outlining the terms and conditions of the employment.

4. ⌞ Wage Record: Ensure you keep a record of the wages paid to contract laborers. This should include details like hours worked, breaks taken, overtime, etc.

5. ⌞ Hours of Work: As per the Act, a workday should not exceed nine hours, and the workweek should not exceed 48 hours. Ensure this is strictly followed.

6. ⌞ Welfare Measures: Basic facilities such as drinking water, first aid, canteens, restrooms, etc., should be provided to the contract laborers.

7. ⌞ Prohibition of Employment of Contract Labour: Remember, contract labour cannot be employed in core activities. They can only be engaged in intermittent, temporary, or incidental work.

8. ⌞ Safety Measures: Ensure that the contractor provides protective equipment to laborers working in hazardous conditions.

9. ⌞ Principal Employer's Responsibilities: The principal employer is responsible for the payment of wages if the contractor fails to do so. They are also responsible for ensuring that the contractor fulfills the required statutory obligations.

10. ⌞ Record Keeping: Maintain all necessary registers and records as per the Act, like the Register of Contractors, Employment Card, Service Certificate, etc.

Remember, non-compliance with the Contract Labour Act can lead to hefty penalties.

⌞ For more information, you can refer to the Contract Labour (Regulation and Abolition) Act, 1970 and the Contract Labour (Regulation and Abolition) Central Rules, 1971.

⌞ Stay updated with changes in the law and always consult a legal expert to ensure compliance.
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