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Contract Labour (Regulation &
Abolition) Act, 1970
Objective of this act is
To regulate the contract labour and abolish it
in certain cases.
Applicability
• Every industry engaging 20 or more workers
on contract basis.
• Every contractor engaging 20 or more
workers.
Act does not apply to:
• Intermittent nature
• Work not perform for more than 120 days
• Seasonal nature
• Work in SEZ
Definitions
• “CONTRACTOR" in relation to an establishment, means a person
who Undertakes to produce a given result for the establishment,
other than a mere supply of goods or articles of manufacture to
such establishment, through contract labor or who supplies contract
labor for any work of the establishment and includes a sub-
contractor.
• “CONTRACT LABOR" in or in connection with the work of an
establishment when he is hired in or in connection with such work
by or through a contractor, with or without the knowledge of the
principal employer.
• “PRINCIPAL EMPLOYER“ in relation to any office or department of
the government or a local authority, the head of that office or
department or such other officer as the government or the local
authority as the case may be, may specify in this behalf.
Provisions
• 1)Registration Of Establishments Employing
Contract Labour.
• 2) Licensing Of Contractors.
• 3)Welfare And Health Of Contract Labour.
• 4)Penalties And Procedure.
• 5) Miscellaneous. PROVISIONS OF CONTRACT
LABOUR ACT 1970
Contract_labour_act.ppt
Contract_labour_act.ppt
Contract_labour_act.ppt
Contract_labour_act.ppt
Contract_labour_act.ppt
Registration Of Establishments
Employing Contract Labour
1)Appointment of registering officers: The appropriate government may, by
an order notified in the Official Gazette-
(a) appoint such persons, being Gazette Officers of government, as it thinks
fit to be registering officers for the purpose of this chapter; and
(b) (b) define the limits, with in which a registering officer shall exercise the
powers conferred on him by or under this Act.
2)Registration of certain establishments:
1) Every principal employer of an establishment to which this Act applies
shall, within such period as the appropriate government may, by notification
in the Official Gazette, fix in this behalf with respect to establishment
generally or with respect to any class of them, make an application to the
registering officer in the prescribed manner for registration of the
establishment. .
2) If the application for registration is complete in all respects, the registering
officer shall register the establishment and issue to the principal employer of
the establishment a certificate of registration containing such particulars as
may be prescribed.
3)Revocation of registration in certain cases:
If the registering officer is satisfied, either on a reference made to him in this
behalf or otherwise, that the registration of any establishment has been
obtained by misrepresentation or suppression of any material fact, or that for
any other reason the registration has become useless or ineffective and,
therefore requires to be revoked, the registering officer may, after giving an
opportunity to the principal employer of the establishment to be heard and
with the previous approval of the appropriate government, revoke the
registration.
Licensing Of Contractors
1)Appointment of licensing officers
The appropriate government may, by an order notified in the Official Gazette-
(a) appoint such person, being Gazetted Officers of government, as it thinks
fit to be licensing officers for the purposes of this chapter; and
(b) define the limits, within which a licensing officer shall exercise the powers
conferred on licensing officers by or under this Act.
2)Licensing of contractors
1) With effect from such date as the appropriate government may, by
notification in the Official Gazette, appoint no contractor to whom this Act
applies, shall undertake or execute any work through contract labor except
under and in accordance with a license issued in that behalf by the licensing
officer.
2) Subject to the provisions of this Act, a license under sub-section may
contain such conditions including, in particular, conditions as to hours of
work, fixation of wages and other essential amenities in respect of contract
labor as the appropriate government may deem fit to impose in accordance
with the rules
3)Grant of licenses
1) Every application for the grant of license under sub-section (1) of section
12 shall be made in the prescribed form and shall contain the particulars
regarding the location of the establishment, the nature of process, operation
or work for which contract labor is to be employed and such other particulars
as may be prescribed.
2) The licensing officer may make such investigation in respect of the
application received under sub-section (1) and in making any such
investigation the licensing officer shall follow such procedure as may be
prescribed.
Provisions for temporary registration &
license
• For work of immediate nature Principal
employer/ Contractor can apply for temporary
registration/ license which is valid up to 15
days only.
Obligation of Principal employer
• Register of contractors Form XII
• Annual return Form XXV (on
or before 15th Feb)
• Notice of Commencement/ Form VI B
Completion
Obligation of Contractor
• Renewal of license Form VII
• Register of workman Form XIII
• Employment Card Form XIV
• Service Certificate Form XV
• Muster Roll Form XVI
• Wages register Form XVII
• Wage slip Form XIX
Contd……
• Deduction for damage/loss Form XX
• Register of fines Form XXI
• Register of advances Form XXII
• Register of over-time Form XXIII
• Half yearly return Form XXIV
• Notice of Commencement Form VI A
/Completion
Welfare Facilities
• Canteen Section 16
• Rest rooms Section 17
• Urinals, Latrines
Drinking Facilities Section 18
• First Aid Facilities Section 19
• Principal employer will have to provide these
facilities if not provided by contractor.
Welfare And Health Of Contract
Labour
1)Canteens :
• • a) wherein work requiring employment of contract labor is likely to
continue for such period as may be prescribed, and
• • b) wherein contract labor numbering one hundred or more is ordinarily
employed by a contractor, one or more canteens shall be provided and
maintained by the contractor for the use of such contract labor.
2)Rest-rooms:
• (1) In every place where in contract labor is required to halt at night in
connection within the work of an establishment- (a) to which this Act
applies, and (b) in which work requiring employment of contract labor is
likely to continue for such period as may be prescribed, there shall be
provided and maintained by the contractor for the use of the contract
labor such number of rest-rooms or such other suitable alternative
accommodation with such time as may be prescribed.
• (2) The rest-rooms or the alternative accommodation to be provided
under subsection (1) shall be sufficiently lighted and ventilated and shall
be maintained in clean and comfortable condition.
3)First-aid facilities There shall be provided and maintained by the contractor
so as to be readily accessible during all working hours a first-aid box equipped
with the prescribed contents at every place where contract labor is employed
by him.
4)Other Facilities (a) a sufficient supply of wholesome drinking-water for the
contract labor at convenient places; (b) a sufficient number of latrines and
urinals of the prescribed types so situated as to be convenient and accessible
to the contract labor in the establishment; and (c) washing facilities.
Responsibility for payment of
wages
(1) A contractor shall be responsible for payment of wages to each worker
employed by him as contract labor and such wages shall be paid before the
expiry of such period as may be prescribed.
(2) Every principal employer shall nominate a representative duly authorized
by him to be present at the time of disbursement of wages by the contractor
and it shall be the duty of such representative to certify the amounts paid as
wages in such manner as may be prescribed.
(3) It shall be the duty of the contractor or ensure the disbursement of wages
in the presence of the authorized representative of the principal employer.
Penalties And Procedure
1)Contravention of provisions regarding employment of contract labor:
Whoever contravenes any provision of this Act or of any rules made there
under prohibiting, restricting or regulating the employment of contract labor,
or contravenes any condition of a license granted under this Act, shall be
punishable with imprisonment for a term which may extend to three months,
or with fine which may extend to one thousand rupees, or with both, and in
the case of a continuing contravention with an additional fine which may
extend to one hundred rupees for every day during which such contravention
continues after conviction for the first such contravention.
2)Other offences If any person contravenes any of the provisions of this Act or
of any rules made there under for which no other penalty is elsewhere
provided, he shall be punishable with imprisonment for a term which may
extend to three months, or with fine which may extend to one thousand
rupees, or with both.
Offences by companies
• 1) If the person committing an offence under this Act is a company, the
company as well as every person in charge of, and responsible to, the
company for the conduct of its business at the time of commission of the
offence shall be deemed to be guilty of the offence and shall be liable to
be proceeded against and punished accordingly. PROVIDED that nothing
contained in this sub-section shall render any such person liable to any
punishment if he proves that the offence was committed without his
knowledge or that he exercised all due diligence to prevent the
commission of such offence.
Applicability of other Act
Persons cover under this act will be covered
under:
• Factory Act, 1948
• Employees’ Provident Fund & Miscellaneous
Provisions Act, 1952
• Employees’ State Insurance Act, 1948 /
Workmen Compensation Act, 1923
• Payment of Bonus Act, 1965
• Minimum Wages Act, 1948
• Payment of Wages Act, 1936

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Contract_labour_act.ppt

  • 1. Contract Labour (Regulation & Abolition) Act, 1970 Objective of this act is To regulate the contract labour and abolish it in certain cases.
  • 2. Applicability • Every industry engaging 20 or more workers on contract basis. • Every contractor engaging 20 or more workers.
  • 3. Act does not apply to: • Intermittent nature • Work not perform for more than 120 days • Seasonal nature • Work in SEZ
  • 4. Definitions • “CONTRACTOR" in relation to an establishment, means a person who Undertakes to produce a given result for the establishment, other than a mere supply of goods or articles of manufacture to such establishment, through contract labor or who supplies contract labor for any work of the establishment and includes a sub- contractor. • “CONTRACT LABOR" in or in connection with the work of an establishment when he is hired in or in connection with such work by or through a contractor, with or without the knowledge of the principal employer. • “PRINCIPAL EMPLOYER“ in relation to any office or department of the government or a local authority, the head of that office or department or such other officer as the government or the local authority as the case may be, may specify in this behalf.
  • 5. Provisions • 1)Registration Of Establishments Employing Contract Labour. • 2) Licensing Of Contractors. • 3)Welfare And Health Of Contract Labour. • 4)Penalties And Procedure. • 5) Miscellaneous. PROVISIONS OF CONTRACT LABOUR ACT 1970
  • 11. Registration Of Establishments Employing Contract Labour 1)Appointment of registering officers: The appropriate government may, by an order notified in the Official Gazette- (a) appoint such persons, being Gazette Officers of government, as it thinks fit to be registering officers for the purpose of this chapter; and (b) (b) define the limits, with in which a registering officer shall exercise the powers conferred on him by or under this Act. 2)Registration of certain establishments: 1) Every principal employer of an establishment to which this Act applies shall, within such period as the appropriate government may, by notification in the Official Gazette, fix in this behalf with respect to establishment generally or with respect to any class of them, make an application to the registering officer in the prescribed manner for registration of the establishment. .
  • 12. 2) If the application for registration is complete in all respects, the registering officer shall register the establishment and issue to the principal employer of the establishment a certificate of registration containing such particulars as may be prescribed. 3)Revocation of registration in certain cases: If the registering officer is satisfied, either on a reference made to him in this behalf or otherwise, that the registration of any establishment has been obtained by misrepresentation or suppression of any material fact, or that for any other reason the registration has become useless or ineffective and, therefore requires to be revoked, the registering officer may, after giving an opportunity to the principal employer of the establishment to be heard and with the previous approval of the appropriate government, revoke the registration.
  • 13. Licensing Of Contractors 1)Appointment of licensing officers The appropriate government may, by an order notified in the Official Gazette- (a) appoint such person, being Gazetted Officers of government, as it thinks fit to be licensing officers for the purposes of this chapter; and (b) define the limits, within which a licensing officer shall exercise the powers conferred on licensing officers by or under this Act. 2)Licensing of contractors 1) With effect from such date as the appropriate government may, by notification in the Official Gazette, appoint no contractor to whom this Act applies, shall undertake or execute any work through contract labor except under and in accordance with a license issued in that behalf by the licensing officer. 2) Subject to the provisions of this Act, a license under sub-section may contain such conditions including, in particular, conditions as to hours of work, fixation of wages and other essential amenities in respect of contract labor as the appropriate government may deem fit to impose in accordance with the rules
  • 14. 3)Grant of licenses 1) Every application for the grant of license under sub-section (1) of section 12 shall be made in the prescribed form and shall contain the particulars regarding the location of the establishment, the nature of process, operation or work for which contract labor is to be employed and such other particulars as may be prescribed. 2) The licensing officer may make such investigation in respect of the application received under sub-section (1) and in making any such investigation the licensing officer shall follow such procedure as may be prescribed.
  • 15. Provisions for temporary registration & license • For work of immediate nature Principal employer/ Contractor can apply for temporary registration/ license which is valid up to 15 days only.
  • 16. Obligation of Principal employer • Register of contractors Form XII • Annual return Form XXV (on or before 15th Feb) • Notice of Commencement/ Form VI B Completion
  • 17. Obligation of Contractor • Renewal of license Form VII • Register of workman Form XIII • Employment Card Form XIV • Service Certificate Form XV • Muster Roll Form XVI • Wages register Form XVII • Wage slip Form XIX
  • 18. Contd…… • Deduction for damage/loss Form XX • Register of fines Form XXI • Register of advances Form XXII • Register of over-time Form XXIII • Half yearly return Form XXIV • Notice of Commencement Form VI A /Completion
  • 19. Welfare Facilities • Canteen Section 16 • Rest rooms Section 17 • Urinals, Latrines Drinking Facilities Section 18 • First Aid Facilities Section 19 • Principal employer will have to provide these facilities if not provided by contractor.
  • 20. Welfare And Health Of Contract Labour 1)Canteens : • • a) wherein work requiring employment of contract labor is likely to continue for such period as may be prescribed, and • • b) wherein contract labor numbering one hundred or more is ordinarily employed by a contractor, one or more canteens shall be provided and maintained by the contractor for the use of such contract labor. 2)Rest-rooms: • (1) In every place where in contract labor is required to halt at night in connection within the work of an establishment- (a) to which this Act applies, and (b) in which work requiring employment of contract labor is likely to continue for such period as may be prescribed, there shall be provided and maintained by the contractor for the use of the contract labor such number of rest-rooms or such other suitable alternative accommodation with such time as may be prescribed.
  • 21. • (2) The rest-rooms or the alternative accommodation to be provided under subsection (1) shall be sufficiently lighted and ventilated and shall be maintained in clean and comfortable condition. 3)First-aid facilities There shall be provided and maintained by the contractor so as to be readily accessible during all working hours a first-aid box equipped with the prescribed contents at every place where contract labor is employed by him. 4)Other Facilities (a) a sufficient supply of wholesome drinking-water for the contract labor at convenient places; (b) a sufficient number of latrines and urinals of the prescribed types so situated as to be convenient and accessible to the contract labor in the establishment; and (c) washing facilities.
  • 22. Responsibility for payment of wages (1) A contractor shall be responsible for payment of wages to each worker employed by him as contract labor and such wages shall be paid before the expiry of such period as may be prescribed. (2) Every principal employer shall nominate a representative duly authorized by him to be present at the time of disbursement of wages by the contractor and it shall be the duty of such representative to certify the amounts paid as wages in such manner as may be prescribed. (3) It shall be the duty of the contractor or ensure the disbursement of wages in the presence of the authorized representative of the principal employer.
  • 23. Penalties And Procedure 1)Contravention of provisions regarding employment of contract labor: Whoever contravenes any provision of this Act or of any rules made there under prohibiting, restricting or regulating the employment of contract labor, or contravenes any condition of a license granted under this Act, shall be punishable with imprisonment for a term which may extend to three months, or with fine which may extend to one thousand rupees, or with both, and in the case of a continuing contravention with an additional fine which may extend to one hundred rupees for every day during which such contravention continues after conviction for the first such contravention. 2)Other offences If any person contravenes any of the provisions of this Act or of any rules made there under for which no other penalty is elsewhere provided, he shall be punishable with imprisonment for a term which may extend to three months, or with fine which may extend to one thousand rupees, or with both.
  • 24. Offences by companies • 1) If the person committing an offence under this Act is a company, the company as well as every person in charge of, and responsible to, the company for the conduct of its business at the time of commission of the offence shall be deemed to be guilty of the offence and shall be liable to be proceeded against and punished accordingly. PROVIDED that nothing contained in this sub-section shall render any such person liable to any punishment if he proves that the offence was committed without his knowledge or that he exercised all due diligence to prevent the commission of such offence.
  • 25. Applicability of other Act Persons cover under this act will be covered under: • Factory Act, 1948 • Employees’ Provident Fund & Miscellaneous Provisions Act, 1952 • Employees’ State Insurance Act, 1948 / Workmen Compensation Act, 1923 • Payment of Bonus Act, 1965 • Minimum Wages Act, 1948 • Payment of Wages Act, 1936