The Contract Labour (Regulation & Abolition) Act, 1970

The Contract Labour (Regulation & Abolition) Act, 1970 (CLRA) is a key piece of legislation in India aimed at regulating the employment of contract labour and ensuring their welfare. It balances the need for flexibility in industries with protecting vulnerable workers.

Objectives

Regulation: The Act regulates the employment of contract labour in specific establishments.

Abolition: It empowers the government to abolish contract labour in certain circumstances where it can be detrimental to worker rights or safety.

Welfare: The Act ensures basic working conditions and safeguards the rights of contract workers.

Applicability

The CLRA applies to establishments with 20 or more workers (threshold can vary by state). However, it excludes work of an intermittent or casual nature.

Key Provisions

Registration & Licensing

• Principal employers (who outsource work) need to register with the government.
• Contractors (who supply contract labour) must obtain a license.

Regulation of Contract Work

• The Act specifies certain activities where contract labour is prohibited.
• The government can notify additional activities where they may be restricted.

Wages & Welfare

• Contractors are responsible for timely payment of wages as per minimum wage standards.
• The Act mandates basic amenities like canteens, restrooms, and first-aid facilities for contract workers.

Regulation of Service Conditions

• The Act restricts working hours and prohibits child labour among contract workers.
• It ensures certain benefits like leave and overtime pay under specific circumstances.

Enforcement

• The government appoints inspectors to ensure compliance with the Act.
• Penalties are prescribed for violations, including imprisonment and fines.

CLRA Applicability State and Union Territory Wise

CLRA Forms

FORMS AND REGISTERS FOR PRINCIPAL EMPLOYERS

Forms for Principal Employer

1. Form I – Application for Registration under CLRA
2. Form V – Certificate from Employer – (This duly filled form is to be attached with Form IV and submitted by the Contractor for obtaining a Contract Labour License)
3. Form VI-B – Notice Of Commencement or Completion Of Contract Work by Principal Employer
4. Form XXV – Annual Return of Principal Employer CLRA – (To be filed before the 31st of January for the year ending 31of December of the previous year)

Registers are to be Maintained by the Principal Employer

1. Form XII – Register of Contractors CLRA

FORMS AND REGISTERS FOR CONTRACTORS

Forms for Contractor

1. Form IV – Application for License CLRA
2. Form VI-A – Notice Of Commencement or Completion by Contractor – to be submitted by the Contractor
3. Form X – Application for Temporary Licence CLRA
4. Form XIV – Employment Card CLRA
5. Form XIX – Wage Slip CLRA
6. Form XXIV – Return to be sent by the contractor to the licensing officer CLRA

Registers are to be Maintained by the Contractor

1. Form XIII – Register Of Workman Employed by Contractor CLRA
2. Form XVI – Muster Roll CLRA
3. Form XVII – Register Of Wages CLRA
4. Form XX – Register of Deductions for damage or loss CLRA
5. Form XXI – Register of Fines CLRA
6. Form XXII – Register of Advances CLRA
7. Form XXIII – Register of Overtime CLRA

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