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  1. 1. Presented by: Jagadish Prasad Yadav(29)
  2. 2. OBJECTIVES  THE ACT WAS ENACTED WITH AVIEW TO REGULATE THE CONTRACT LABOUR AND TO PROVIDE FOR ITS ABOLITION IN CERTAIN CERCUMSTANCES.  THE UNDERLYING POLICIES OF THE ACT IS TO ABOLISH CONTRACT LABOUR WHEREVER POSSIBLE AND PRACTICABLE
  3. 3. BENEFITS OF CONTRACT LAW The need of contract law is undisputed. It is necessary for the following among other reasons.  The contract labour would ensure speedy completion of the assigned work.  Comparatively cheaper with less liability on supervision and control.  There will not be much union activities.  There is no need of permanent retention of employee.  It is best system for certain activities like construction, repairs of machines, packing, loading & unloading, etc.
  4. 4. APPLICABILITY & NOT APPLICABLE APPLICABILITY:  To every establishment in which 20 or more workmen are employed.  To every contractor who employs or employed on any one day of the preceding 12 month 20 or more contract workmen. NOT APPLICABLE:  To establishment in which work only is of only an intermittent or casual nature is performed. (Non-intermittent: more than 120 days, seasonal work more than60 days)
  5. 5. CONTRACTORS:  Who undertakes to provide a given result for the establishment other than mere supply of goods or articles to such establishment. PRINCIPAL EMPLOYER:  Government-local authority- head of department  Factory- the owner, manager  Mines- the owner, agent.
  6. 6. 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
  7. 7. VARIOUS SECTIONS UNDER THIS ACT Sec 11 appointment of licensing officer Sec 12 licensing of contractor Sec 13 grant of license Sec 14 revocation, suspension of license Sec 15 appeal Sec 16 canteen Sec 17 rest room sec 18 other facilities sec 19 first Aid facilities Sec 20 liabilities of principal employer in certain case sec 21 responsibility for the payment of wages
  8. 8. SEC 35 POWER TO MAKE RULES Obligation of principal employer 1. Principal employer to get his establishment registered under the act and rules. ( prosecution under sec 23, 24& 25) 2. Contractors must be licenses. 3. Principal employer must provide certain amenities.  If employment of contract labour is likely to continue for more than 6 month and employ contract labour of 100 or morecontractor should provide canteen within 60 days of employment of contract labour.  REST ROOM- within 15 days of commencement, if 3 month or more.  DRINKING WATER.  FIRST AID FACILITIES – 1 box for every 150 employees.
  9. 9. CRECHES: Where 50 or more women are employed as contract labour there shall be provided 2 rooms of reasonable dimension. Prohibition of female employment before 6am and after 7 pm URINAL FACILITIES Atleast one urinal for every 50 male & female employees. WASHING FACILITIES: Adequate supply of water @ of 20 lts per employee.
  10. 10. PAYMENT OF WAGES  No wages period shall exceed one month  If employment is terminated, wages should be disbursed before the expiry of second working day.  All deductions shall be in accordance with the provision payment of wages Act 1936.  It shall be paid in current coin or currency and to be paid at work site.  The contractor shall disburse the wages in the presence of the principal employer.
  11. 11. CASE LAWS AIR INDIA STATUTORY CORPORATION-1997 (1) LLN 75 Contract labour engaged by air India for sweeping, cleaning. Dusting and washing of building are to be absorbed by air India. STEEL AUTHORITY OF INDIA Vs national union water front worker and other (5 judges bench- 2001LLR 961-SC) Notification by government prohibiting employment of contractor labour for sweeping , cleaning, dusting and washing of building by establishments governed by central government.
  12. 12. CASE LAW SATTE OF HARYANA Vs SURENDRA KUMAR Contract workman can not claim equal pay on par with regular workman.

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