Dear All,
I am working with a manufacturing company. We have engaged 10 contractors, and each contractor has recruited 12 employees. We have a total of 120 contractual employees. I would like to ask the question: should the company apply for registration of a certificate, or should the company force the contractors to apply for labor licenses? I would also like to know if, as per the Contract Labour Act, only when 20 or more workmen are employed during the calendar month, the act applies. In my case, is the act applying or not?
My second question is, what is section 1(4) b under the Contract Labour (Regulation and Abolition) Act 1970?
Kindly guide me.
Thanks & Regards,
Sachin Dethe
From India, Pune
Acknowledge(0)
Amend(0)
1I am working with a manufacturing company. We have engaged 10 contractors, and each contractor has recruited 12 employees. We have a total of 120 contractual employees. I would like to ask the question: should the company apply for registration of a certificate, or should the company force the contractors to apply for labor licenses? I would also like to know if, as per the Contract Labour Act, only when 20 or more workmen are employed during the calendar month, the act applies. In my case, is the act applying or not?
My second question is, what is section 1(4) b under the Contract Labour (Regulation and Abolition) Act 1970?
Kindly guide me.
Thanks & Regards,
Sachin Dethe
From India, Pune
Acknowledge(0)Amend(0)
Subject: CLRA Registration
Dear All,
Do not be under the impression that avoidance of CLRA registration is beneficial to your organization. In reality, it is quite the opposite; it will backfire on you as the principal employer. Do not simply count the numbers; opt for registration.
Best regards,
V. Sounder Rajan
Email: rajanassociates@eth.net
From India, Bangalore
Acknowledge(0)Amend(0)
Dear All,
Do not be under the impression that avoidance of CLRA registration is beneficial to your organization. In reality, it is quite the opposite; it will backfire on you as the principal employer. Do not simply count the numbers; opt for registration.
Best regards,
V. Sounder Rajan
Email: rajanassociates@eth.net
From India, Bangalore
Acknowledge(0)Amend(0)
Dear Sachin,
An employer who engages less than 20 contract employees and a contractor who has fewer than 20 employees do not require registration under the Act. However, if an employer engages more than 20 contract employees, registration is necessary. In this case, the contractor can be unlicensed.
If a contractor has more than 20 employees, they need a license, and the employer also needs to complete the registration process.
Regards,
Srinivas
From Germany
Acknowledge(0)Amend(0)
An employer who engages less than 20 contract employees and a contractor who has fewer than 20 employees do not require registration under the Act. However, if an employer engages more than 20 contract employees, registration is necessary. In this case, the contractor can be unlicensed.
If a contractor has more than 20 employees, they need a license, and the employer also needs to complete the registration process.
Regards,
Srinivas
From Germany
Acknowledge(0)Amend(0)
1. At any given point in time, if the number of employees exceeds more than 20 in a year, whether in direct or indirect employment, the company is required to be registered under CLRA.
2. The contractor needs a license only if the number of his employees exceeds more than 20.
Hope this is clear.
Regards,
Zakir Malik
zakir.malik@suzlon.com
From India, Pune
Acknowledge(0)Amend(0)
2. The contractor needs a license only if the number of his employees exceeds more than 20.
Hope this is clear.
Regards,
Zakir Malik
zakir.malik@suzlon.com
From India, Pune
Acknowledge(0)Amend(0)
Dear Sachin,
An employer who engages less than 20 contract employees, and a contractor with fewer than 20 employees, do not require registration under the Act. However, if an employer engages more than 20 contract employees, registration is necessary. The contractor can be unlicensed.
Thanks,
Ajay Raj
From India, Delhi
Acknowledge(0)Amend(0)
An employer who engages less than 20 contract employees, and a contractor with fewer than 20 employees, do not require registration under the Act. However, if an employer engages more than 20 contract employees, registration is necessary. The contractor can be unlicensed.
Thanks,
Ajay Raj
From India, Delhi
Acknowledge(0)Amend(0)
Dear Sachin,
I think that in a factory where there are 10 or more workmen under contract, the firm should come under the Contract Labour Regulation and Abolition Act (CLRA). Except for manufacturing concerns, the limit has been extended to 20 workmen. I would request other members to correct me if I am wrong, but recently, I had a talk with the Labour Inspector, and he stated this.
Please let me know if you need any further clarification.
Thank you.
From India, Calcutta
Acknowledge(0)Amend(0)
I think that in a factory where there are 10 or more workmen under contract, the firm should come under the Contract Labour Regulation and Abolition Act (CLRA). Except for manufacturing concerns, the limit has been extended to 20 workmen. I would request other members to correct me if I am wrong, but recently, I had a talk with the Labour Inspector, and he stated this.
Please let me know if you need any further clarification.
Thank you.
From India, Calcutta
Acknowledge(0)Amend(0)
CLRA is applicable for 5 employees engaged. upto four employees it is not required it comes under Shop & Establishment act. regards, rajashekar
From India, Hyderabad
Acknowledge(0)Amend(0)
From India, Hyderabad
Acknowledge(0)Amend(0)
Dear Sachin,
When we are discussing the CLRA Act, we should not use the word "employee"; we should use the term "workmen," as "workmen" has been defined by the CLRA Act of 1970. Regarding your question, it is mandatory for an establishment employing 20 or more workmen to register if they employ contract labor. It is also mandatory for a contractor to obtain a license if they employ contract labor. For either of these cases, it is not mandatory if there are less than 20 employees. However, if the appropriate government deems it necessary, this act will be applicable even if the number is less than 20.
With regards,
Khusi Sarangi
From India, Feroke
Acknowledge(0)Amend(0)
When we are discussing the CLRA Act, we should not use the word "employee"; we should use the term "workmen," as "workmen" has been defined by the CLRA Act of 1970. Regarding your question, it is mandatory for an establishment employing 20 or more workmen to register if they employ contract labor. It is also mandatory for a contractor to obtain a license if they employ contract labor. For either of these cases, it is not mandatory if there are less than 20 employees. However, if the appropriate government deems it necessary, this act will be applicable even if the number is less than 20.
With regards,
Khusi Sarangi
From India, Feroke
Acknowledge(0)Amend(0)Gathering data for an AI comment.... Sending emails to relevant members...
Stuck with an HR fire? Get a verified answer before your next coffee. - Join Our Community and get connected with the right people who can help. Our AI-powered platform provides real-time fact-checking, peer-reviewed insights, and a vast historical knowledge base to support your search.
REGISTRATION & LICENSING UNDER DELHI S&E ACT.pdf
Contract Labour Act.zip
SELF-CERTIFICAT E PROFORMA UNNDER CONTRACT LABOUR (R&A) ACT, 1970.doc