Licence Is Required For A Contractor????

hi dude,
plz help........
we have given a part of our maufacturing work to a contractor. we are paying esi for those contract workers in a sub code. so plz tel me whether factories act is applicable to those contract work??? if so plz tel me what are all the records to be maintained!!!!!!!!

If the contractor is running a unit with power naturally the contractor will have to follow the rules prescribed under the Factories Act by taking separate licence etc.
Regards,
Madhu.T.K

Dear Bridha ji,
Firstly your question is not clear, is your organisation is covered under the Factories Act ? since you are raising "Manufacturing Process". Next If your organistion is a manufacturing unit the contract works and workmen are also covered under that category.
For coverage of ESI purpose manufacturing is no criteria. Once the principal employer coveres, the contractor is also covered. Since you are paying through your sub-code no problem.
You have to maintain all the registers and recorders as per the "Contract Labour Act" not factories act. Those register if any the Principal Employer has to maintain.
Regards,
PBS KUMAR

Hi Bridha,
What Mr. PBS Kumar said is right things.
Note : Applicability of Contract Labour Act, where 20 or more contract employees are engaged (including securities, Housed keeping and production etc) you need to obtain Registration certificate under the CLRA Act since your are a Principal employer, and based on the registration certificate as your contractor to get the licence for the authorities.
Registers and records should be maintained under CLRA Act only.

Prinpal Employer has to obtain a registration certificate and also the Contractor has to obtain a contractor licence as per the Act. Further to ensure that contractor has valid registration nos under PF, ESI and other staturory laws.
Thanks,
regards
R K Nair