The company, for some statutory requirements from the contractor's end, has recently withheld its one-month payment. Many reminders have been sent for these statutory documents to the contractor. However, only promises were received, but no documents. With no other option, the company had to withhold its payment. Due to this reason, the contractor has not made payment to its employees working in our company.
Kindly let me know if this act of the contractor not making payment to its employees is justified and whether the same is allowed on statutory grounds.
From India, undefined
Kindly let me know if this act of the contractor not making payment to its employees is justified and whether the same is allowed on statutory grounds.
From India, undefined
Dear Mr. Sharma,
It is not justified to hold the salary of the contract employees. If your contractor is providing a justification for the payment being held, you may release their payment and hold management fees until they provide the required documents. This approach may resolve the issue, and the contractor will then be able to make the payment to the employees.
It is not justified to hold the salary of the contract employees. If your contractor is providing a justification for the payment being held, you may release their payment and hold management fees until they provide the required documents. This approach may resolve the issue, and the contractor will then be able to make the payment to the employees.
Dear Mr. Sharma,
Regarding Mr. Kamble's points, I would like to add the following:
1. Pay the Contract Labor immediately on your own.
2. Ensure complete compliance with PF & ESI at the contractor's code.
3. Adjust all the above from the Contractor's bill.
4. Without proper compliance documents from the contractor (which you may also check from the concerned site) after obtaining user ID and password from the contractor.
5. It is a common issue in India where a good number of contractors do not comply properly. If your contractor falls into category number 5, please replace the contractor immediately and engage a suitable one after thorough due diligence.
Thanks & Regards,
S K Bandyopadhyay
USD HR Solutions
+9198310 81531
email- skb@usdhrs.in
website- www.usdhrs.in
From India, New Delhi
Regarding Mr. Kamble's points, I would like to add the following:
1. Pay the Contract Labor immediately on your own.
2. Ensure complete compliance with PF & ESI at the contractor's code.
3. Adjust all the above from the Contractor's bill.
4. Without proper compliance documents from the contractor (which you may also check from the concerned site) after obtaining user ID and password from the contractor.
5. It is a common issue in India where a good number of contractors do not comply properly. If your contractor falls into category number 5, please replace the contractor immediately and engage a suitable one after thorough due diligence.
Thanks & Regards,
S K Bandyopadhyay
USD HR Solutions
+9198310 81531
email- skb@usdhrs.in
website- www.usdhrs.in
From India, New Delhi
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