Is the Mathadi Act Relevant to Our Manufacturing Business in Maharashtra? Seeking Guidance

Inquiry About Mathadi Act Applicability

We are manufacturing driveshafts/axles for commercial vehicles in Satara, Maharashtra. Can you tell me if the Mathadi Act is applicable to this type of company? If yes, please specify under which section or schedule it is applicable.

We have a labor contract with two labor contractors who provide us with labor. Other employees are on the muster of the company. We provide Provident Fund to all employees, including labor contract workers. If we want to be exempt from this act, what steps should we take? Or is it possible to obtain an exemption from this act?

Our company is a joint venture between a US-based company and a local company with a registered office in Pune. Therefore, please assist in resolving our query.

Thanks,
Rohan

Applicability of the Mathadi Act of 1969

The Mathadi Act of 1969 applies to unprotected employees or manual workers engaged in any scheduled employment. The schedule in the Act contains a list of those for whom the Act is applicable, so please review the schedule to determine its applicability in your case. Refer to the last pages of the given document for more details.

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If you fall under that scheduled list, no exemptions are provided, and it is binding. It is usually applicable to loading and unloading types of manual work.

Supreme Court's Interpretation

The Supreme Court's recent judgment has not only upheld the applicability of the Mathadi Act to industrial units but also interpreted the meaning of 'unprotected workers' to include all manual workers employed directly or otherwise. Thus, even direct workers, as well as contract labor engaged in manual work, have to register themselves with the Mathadi Board. This was confirmed by the SC Judgment in 2011.

For more details, you may refer to: Government of Maharashtra Department of Labour.