Project Office Staff - Contract Labour or Shop & Establishment

Greetings Team,

We have an administrative office registered under the Shops & Establishment Act. We have Construction Project Offices at various places. We have Registration under the Contract Labour (R&A) Act for the Construction workers working on the Project. Now, please explain under which act the Engineers and Clerical Staff working at the Project Offices shall be covered.

Dear Colleague,

There are 3 major Acts applicable for your type of Organization.

1. Your Registered or Administrative Office should be registered under the Shops and Establishments Act in the respective State.

2. The site offices in various locations, if located outside the Project Sites, should also be registered under the Shops and Establishments Act in the respective State.

3. Regarding Project Sites, the workers should be covered and registered under the Building and Other Construction Workers Act as it will apply. CESS payment should be ensured as the Act will apply to the working personnel. Additionally, the Contract Labour (R&A) Act and The Interstate Migrant Labour Act (if you engage workers from other states on the site) will apply. For example, if the construction is for a factory and manufacturing is initiated, then The Factories Act 1948 will apply, and the Principal Employer must ensure compliance.

4. Your Engineers and Clerical Staff, as part of Project Offices, will be governed by the Shops and Establishment Act. Once the site work is completed, the legal provisions applicable will depend on the nature of the operations carried out on the premises.

5. For all your Administrative Office and Project Office staff, you need to cover them under the Provident Fund Act and ESI Act. In the case of Project sites, they must also be covered under the Provident Fund Act and Employees' Compensation Act, in addition to the regulations discussed above.