Can an Employer Deny Form VI B After Work Completion Despite Issuing Form VI A? Seeking Advice on Compliance Issues

Dear Seniors,

Question about Form VI B issuance

My question is: Could an employer deny giving Form VI B even after the completion of work if Form VI A is already provided by them?

Context of the situation

The perspective is: A company (matters are concurrent, therefore hiding the company name, etc., the matter is in Gujarat State) has obtained both the Registration Certificate and Labor License (engaged only one Office Boy, and all his relevant monthly and closing IR documents were submitted to the Principal Employer) as per the guidelines from the Principal Employer. On the Registration Certificate, many subcontractors were engaged, and according to the Contract Labor Act, each and every subcontract was closed, and their Labor Licenses were canceled only after an audit by the Principal Employer of all the relevant documents, as per the subcontractors' checklist, which was a combination of CLRA and Factory Act.

Issue with Form VI B issuance

Now, the Principal Employer is stating that Form VI B cannot be issued to the company even after the completion of the work, as they have not submitted the compliance report of the subcontractors' staff. However, from the commencement of work to the closure of work, even during the audit process, they never asked for the same. All the subcontractors left the site six to seven months ago with the consent of the Principal Employer.

Furthermore, we have requested them to issue Form VI B to close our Labor License, and if they have any requirements, they may withhold our part of the bill because how can we keep the Labor License active without labor on the site.

I seek your kind suggestions and thank you in advance.

In this scenario, the employer's refusal to issue Form VI B despite providing Form VI A can be a violation of labor laws. Form VI B is crucial for closing the Labor License, and the employer's obligation to provide it should not be overlooked. Here are steps to address this situation:

1. Review Relevant Labor Laws: Check the specific labor laws in Gujarat State regarding Form VI B issuance and employer obligations.
2. Communicate Clearly: Engage in a formal written communication with the Principal Employer, highlighting the necessity of Form VI B for compliance and license closure.
3. Seek Legal Advice: If the Principal Employer continues to deny issuing Form VI B without valid reasons, consider seeking legal counsel to understand your rights and options.
4. Document Everything: Keep detailed records of all communications, documents submitted, and any responses received from the Principal Employer.
5. Escalate if Necessary: If the issue persists, escalate it within the company hierarchy or to relevant labor authorities for resolution.

It's essential to address this issue promptly to ensure compliance with labor laws and the proper closure of the Labor License.