Navigating Labor Licenses in India: Do We Need One for Contract Workers?

I'm working for an aluminum and glass facade engineering company in Kerala. We are one of the leading fabricators and installers of aluminum work in India. At times, we have more than 20 laborers on a contract basis working at a particular site. We have a works license. I just want to know if there is a need to apply for a labor license, what are the formalities, and do we need to renew it every year.

Regards,
Mimosa

Since you are engaging about 20 workmen at the site of another employer (referred to as the Principal employer), the provisions of the Contract Labour (Regulation & Abolition) Act will apply to you. Therefore, you have to obtain a license under the said Act. The license is granted by the District Labour Officer (Ernakulam) upon the submission of the prescribed application along with fees and Form V, which is provided by the Principal employer. Please note that your client/Principal employer should have obtained registration to engage contractors. Only then can they issue Form V, which confirms your appointment as a contractor.

The license is granted for one year and must be renewed annually following the same procedure.

Regards,
Madhu T.K.