Can Our Contractor Begin Work with 100 Laborers Before License Approval Under the Contract Labor Act?

Hi all,

We have a manufacturing unit in Navi Mumbai. I would like to inquire about the opinion on my post - If my contractor has applied for a labor license for 100 laborers and he has a copy of the application, and a valid license is to be granted by the authority, can he start the work with 100 or fewer than 100 laborers since the date of the application? Is there any rule or provision as per the Contract Labor Act?

Dear Amit,

As far as I know, there is no specific provision in the CLRA Act, 1970, or the rules made thereunder making it mandatory to commence the contract work only after the issuance of the license under the Act. If the work allotted on contract is not a prohibited activity under Section 10 of the Act, I am of the opinion that there can be simultaneous commencement of the work and submission of the license application by the contractor.

Dear Amit,

You can start work with fewer than 20 workmen until obtaining the license from the authority. In another case, workmen can be engaged without a license after the deadline has expired, if it exists under the rule (deemed issue). However, engaging 20 or more laborers without a license is a violation.