Understanding Contract Labour Act: How Does It Apply to Off-Site Workers?

I have a doubt pertaining to The Contract Labour (Regulation and Abolition) Act, 1970. In the agreement, service is provided by Party B to Party A on a principal-to-principal basis. It is purely a service agreement, and the employees of Party B would perform at multiple public property locations with proper municipal authorities' permission.

Based on the above background, I have the following doubts:

1) Does the Contract Labour and principal establishment exist? If yes, then the reference of the section?

2) Since the work is performed not on the premises of the establishment, can we consider it as an exclusion of workmen? Yes or No, please provide the section or case law reference.

3) Are there any other factors to be considered?

Please let me know if any other factors need to be considered.

Dear Mr. Pavan Kumar, as per the Contract Labour Act of 1970, labor is engaged through contractors in any establishment. Your question or query does not appear to be covered under the Contract Labour Act of 1970. It falls under the purview of the Indian Contract Act of 1872.

Understanding Contract of Service vs. Contract for Service

First, try to understand the difference between a Contract of Service and a Contract for Service. This understanding will lead you to the right answer.

Application of the Contract Labour Act

If more than 19 employees are at any single location, then the act will apply. However, if the matter goes to court, it is likely that the courts will consider the entirety of the contract and deem it to be covered under the Contract Labour Act for the purpose of providing the required protection to the employees/workers.

Please provide background information and specify the exact problem you are facing so that members can give you a proper answer.