Curious About Contract Employee Limits in West Bengal Engineering Firms? Let's Discuss!

Maximum Number of Contract Employees in West Bengal

What is the maximum number of contract employees that can be engaged in an engineering firm in West Bengal? I heard the maximum number is 9, beyond which you have to be the Principal Employer and provide all benefits like PF, medical, etc. I would like to know the exact rule that is prevalent in West Bengal specifically.

Contract Labor Strength and Compliance

There is no statutory limit laid down on the contract labor strength. With a strength of 10 laborers, the PF liability would start, and more liabilities get attracted as the numbers increase. You will have to apply to the local Labor Officer seeking permission to engage a maximum number to be specified. Normally, it is granted. Thereafter, the compliances start depending on the strength deployed.

You could employ any number of contract employees through a contractor who will be responsible for the PF and other statutory payments of the employee. However, as the Principal Employer, the responsibility of ensuring that the contractor adheres to compliance will lie with you.

In West Bengal, a Contract Labor license is applicable if there are 10 employees. There is no limit to engaging contract labor in any engineering firm. However, the employer must follow the rules and regulations under the CLRA Act, Factories Act, PF Act, ESI Act, Gratuity Act, Bonus Act, Minimum Wages Act, Payment of Wages Act, etc.

Regards, S K Bandyopadhyay (WB, Howrah) CEO-USD HR Solutions [Phone Number Removed For Privacy-Reasons] [Email Removed For Privacy Reasons] www.usdhrs.in