New to HR: Can You Explain Regulation and Abolition in the Contract Labour Act 1970?

Dear Seniors, I am new to the HR field. During my recent interview, I was asked, "What do regulation and abolition mean in the Contract Labour Act 1970?" Another question posed was, "If a contractor does not renew their license, what will be the penalty imposed?" I would appreciate it if you could provide me with a response at your earliest convenience.

Regards,
Raju

The act permits employers to engage "labour through contractors," normally done on "time rates" or these days also on "piece rates." The act stipulates the applicability of the act and the duties and obligations bestowed on the Principal Employers (who engage labour through contractors) and on Contractors who undertake to provide labour to the Principal Employer!

The Theme of the Act

The theme of the act is "Regulation" first and "Abolition" thereafter. Regulation means observance by the parties of all conditionalities assigned to each of the duties and responsibilities.

Abolition occurs when there are complaints of non-observances by any concerned party. Then the Appropriate Government may conduct an investigation of the situation and, in line with the stipulations of Sec 10 of the act, seek advice from the "Advisory Board" and only then take a decision to either ABOLISH contract labour in a given industry/establishment OR in any given trade in a region.

The normal way is to make use of this act and follow it scrupulously! In such a case, the question of "ABOLITION" will remain remote! I trust the difference between Regulation and Abolition envisaged under the said act is now clear to you!

Regards,
Samvedan

In addition to the reply given above by Samvedanji, I advise you to follow the following links:
- https://www.citehr.com/451557-contra...permanent.html
- https://www.citehr.com/452541-what-i...packaging.html

I further advise that one should conduct their study on the subject. Read extensively and make your judgment in conflicting situations.

Understanding Regulation and Abolition in the Contract Labour Act 1970

I feel "regulate" indicates the service conditions of contract labour, such as minimum wages, rest hours, welfare, etc., to protect them from exploitation. Whereas "abolition" indicates prohibiting the engagement of contract labour in such activities. I am requesting seniors to suggest further.

Regards.

Understanding Regulation and Abolition in the Contract Labour (R&A) Act, 1970

By the term "Regulation," the act provides specific terms and conditions of employment, such as working hours for contract labor, welfare facilities, wages, and benefits, etc.

By the term "Abolition," there are provisions stipulated in the act where the state government, in consultation with the state advisory board, can abolish certain types of jobs by notification in the official gazette. For details, you can refer to section 10 of the Contract Labour (R&A) Act, 1970.

Regards,
Manvendra Singh