Want To Know Abou Labour Licance - Pdf Download

I am working at Komatsu India as an Assistant Manager in service support. Normally, we hire manpower on a contractual basis from Chennai. Currently, we have a planned job at the Tata Motors plant. However, our customer is inquiring about a labor license.

Difference Between Factory Labor License and Contract Labor License

Could someone please clarify the difference between a factory labor license issued by the Factory Inspector and a Contract Labor License issued by the Labor Department? Our subcontractor company, currently stationed in Chennai, possesses a license issued by the Inspectorate of Factories under rule 4(6) of the Tamil Nadu Factory Rules 1950. Can they operate under this license as contractual labor?

Please advise. The license of our subcontractor company is attached for reference.

Regards,
Munish

Here, you have attached the Factory License, not the Labor License, which was issued to run the factory. To engage contract labor, the principal employer will inquire about the Contract Labor License. From the query above, I understand that you are planning to assign some of your contract labor to your customer (Tata Motors Plant). I need clarification: are you planning to move your contract labor or your company employees to Tata Motors Plant? If you are moving your contract labor, you may inquire with the manpower supplier providing you with the Contract Labor License under The Contract Labor (Regulation and Abolition) Act 1970.

Thank you.

Understanding Labor License Requirements

The facts understood are as below:

1. Your company got a contract with TATA Motors.
2. You are subcontracting to someone else.

In the above situation, you should apply for a labor license at the location where TATA Motors is situated. You should request Form V from your principal employer to facilitate the application process.

Furthermore, you should confirm with your subcontractor that they also hold a labor license if the number of persons employed exceeds 20. For any further clarifications, please respond.

Regards.

Dear Munish,

Further to the words of Gandhi Ji and Venkatkrishna Ji, I would like to inform you that when you are going to provide contractual labor to any other organization as a contractor and will have to deploy more than 20 contract laborers at that site, then you will have to obtain a Labor License under the Contract Labor Act. This should be applied for at the Labor Office in whose jurisdiction that location falls, where the contract labor will be deployed.

For this purpose, you will have to apply in Form-IV along with a copy of the Contract Agreement, Form-V, Affidavits (which may vary from state to state), etc.

Hope this will clear your query.

As per the Contract Labour Act, we have to obtain a registration certificate under the CLRA Act if we are engaging more than 20 manpower at a particular site/location on any working day. To obtain the registration certificate, we need to submit FORM-IV along with FORM-V (provided by the principal employer), the work order, and the prescribed fee to the labor office.

For any further clarifications, please feel free to post your queries here.

Regards,
Raju

Procedure for Obtaining a Labor License

Firstly, congratulations on your new assignment. Kindly follow the procedure outlined below:

Since you will be engaging your manpower in the Manufacturing Unit, obtain Form V in favor of your firm from the Principal Employer, i.e., the Owner or Manager of the Bottling Unit. Subsequently, obtain the Labor License from the Assistant Labour Commissioner's Office in Meerut, Uttar Pradesh.

Ensure that PF and ESI coverage is in place along with the Labor License. Also, remember to have your Work Order or Agreement signed, as a copy may need to be enclosed with the Labor License.

Keep your manpower details updated for verification by government officials. This requirement applies if you are employing 20 or more individuals daily for the specified job.

Thank you.