form V under THE CONTRACT LABOUR (REGULATION AND ABOLITION) ACT, 1970

Hello Seniors,

Please advise me whether I have to furnish a Form V under THE CONTRACT LABOUR (REGULATION AND ABOLITION) ACT, 1970 to the Carrying and Forwarding Agent. Since they are working independently and based on per CBB they handle, we give them the amount.

My query is, do we have to give Form V? If we do, then we will become the principal employer, and if anything goes wrong with the employee, we will be held responsible.

Hi Tonmoydutta,

As per "THE CONTRACT LABOUR (REGULATION AND ABOLITION) ACT, 1970," all the contractors have to register and obtain a license from the labor department for outsourced work given by the principal employer if he/she has employed 20 or more labors. In order to obtain the license, the employer or the owner has to provide Form V to the contractor.

Your statement "if we do so, then we will become the principal employer and if anything goes wrong with the employee, then we will be held responsible," is well understood. My dear friend, I would like to tell you that, as a principal employer, you are responsible for everything, even when your contractors do not apply and seek permission for a license. Your company cannot escape from the provisions of the law. Section 25 has stated clear instructions for companies for prosecution in case of any offense.

So, the best approach is for your company to first register, apply for its registration, and then ensure your contractors are covered as well. Compliance must be upheld in this current age of technology.

Hello,

Issuing Form V to a carrying and forwarding agent. My submission: Believe you have a Principal-to-Principal Contract. If, in case, the said agent is engaging more than 20/50 (refer to state amending rules) workers at the site, then you need to issue Form V; failing which, there may be an unnecessary call from the enforcement authority towards a violation of the provisions of CLRA, or the said workmen may file litigation at a later stage claiming that the contract is a sham. It hardly matters that not issuing Form V deprives you of liability as a Principal employer. You are always liable for...

Regards,
Gajendra Verma

Thank you very much, sir, for your valuable inputs.

Please let me know if you need further assistance.

Thank you.

Hi,

Please help me with the process of generating Form V.

Thanks

Dear Mr. Nishkar Roy,

The Form V need not be generated. It is used to apply for a Labor License under the CL (R&A) Act, 1970, and Central Rules (1971). It is an obligation for the Principal Employer. The PE is required to issue Form V to the contractor(s), if a certain number (as defined under the state govt. rule) of contract manpower is deployed at your site/office. If you are a contractor and come under the Act, then ask your PE to issue Form V and apply for a Labor License.

How many days are required to take Form V from the employer?

Please let me know the processing time for obtaining Form V from the employer.

Thank you.