Dear Seniors,
We have our factory situated in Maharashtra and producing engineering products.Due to our requirement we have now outsourced production of certain components of our final product to various vendors.To monitor the work and ensure the quality we provide the working space and required equipment to this vendors within our factory and we pay the vendor based on the component produced.We have no control on the number of employees involved in the manufacturing by the vendor as our contract is with regards to the component and also the payment is made based on the number of components produced, but we ensure the safety of this employees.We have our on roll permanent workmen, staff and our temporary workmen and staff working on the same floor.So my query is are we liable for the statutory payment of this employees who are employed by the vendors like bonus,esic,pf etc.Also can you suggest some statutory and other complication that we may face in future in this type of work arrangement.
We have our factory situated in Maharashtra and producing engineering products.Due to our requirement we have now outsourced production of certain components of our final product to various vendors.To monitor the work and ensure the quality we provide the working space and required equipment to this vendors within our factory and we pay the vendor based on the component produced.We have no control on the number of employees involved in the manufacturing by the vendor as our contract is with regards to the component and also the payment is made based on the number of components produced, but we ensure the safety of this employees.We have our on roll permanent workmen, staff and our temporary workmen and staff working on the same floor.So my query is are we liable for the statutory payment of this employees who are employed by the vendors like bonus,esic,pf etc.Also can you suggest some statutory and other complication that we may face in future in this type of work arrangement.