Applicability Of Labour Laws On Job Work

varun_v
Dear All,
Can any one plz tell me regarding the applicability of labour laws including pf on the organisation which sent goods outside the premises for job work. Wht would be the records tht it should have to keep to safegaurds itself from penalties and offences.
Thanks,
Varun
Ajmal Mirza
Hi Varun
If you would be more specific.. we would be in position to answer better...
If the employees are working on payroll of an indian company, they are entitled to PF and are covered by Indian Labour Laws.
If they are not working in India or are not primarily employed in India, they would not be covered by Indian Labour Laws or PF act...
note: (Employee working on payroll of indian company at UK 'site' would be considered as primarily be employed in India)
varun_v
Dear Sir,
There is an organisation which sent its goods outside the premises for job work and party raises invoices as per agreed rate with the organisation for such job work (inclusive of labour charges). Now, the question is that whether the company would be liable to keep track on records of the party as specified by labour laws or any other relative law applicable in india.
Also, what would be the boundations on the organisation in the regards on such job work.
Ajmal Mirza
If it is a manufacturing unit and the bill has been paid according to the terms and condition to the jobwork company, I don't think that you should be liable to the payment of PF. Only if the employees were on your payroll are you liable..
As in this case the employees are on payroll of the jobwork contracter, you are not legally bound to check whether he has paid PF or not. But ensure that your labour contractor / jobwork contractor is registered with labour office in your region.
kknair
Hello Varun :!: :!: I hope the second is not a subsidiary of the first company. If the management is substantially same, though the premises are distinct, then the units can be clubbed together. If the company A & B have PF registration then there is absolutely no problem for company A & and it will have no liability on PF account for some activity carried out in another establishment, recognised to be so by PF orgn. If the position is different, then the matter has to be looked into in detail Thankx KK Nair :P
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