Service Charges for Statutory Payment

Dear All,

Can someone help me with the following w.r.t. Service Charges being paid to labour contractors:-

Should the Labour Contractor who supplies manpower to the principal employer and pays the PF and ESI for his contract manpower deployed at the site of the Principal employer claim Service Charges for Gross Wages + PF + ESI + Bonus + Gratuity + Leave Wage to ensure clear the liability of the Principal employer or just the Gross Wages.

Requesting senior members on the site to kindly help me with this query.

Regards
Akshay

The Service Charges has to be paid for Gross Wages + PF + ESI + Bonus + Gratuity + Leave Wage to ensure clear the liability of the Principal employer and not on only the Gross Wages.

This is a matter that the contractor has to negotiate with the Principal Employer.
There is no rule of law involved. Whether his service charge will be on gross wages or including various benefits is a matter of negotiation