Dear all,
Please guide me on the difference between a casual and contract employee. Are PF and ESIC applicable to both employees?
What is the Mathadi Labour Act, and what is the registration procedure? Please provide a brief description.
Sidharth.
From India, Khopoli
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Please guide me on the difference between a casual and contract employee. Are PF and ESIC applicable to both employees?
What is the Mathadi Labour Act, and what is the registration procedure? Please provide a brief description.
Sidharth.
From India, Khopoli
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The workers who are engaged in work that is mainly casual in nature may be called casual workers. In most factories, there are some operations that are not directly connected to the core manufacturing process, but support the process for a certain period; casual laborers can be engaged for these operations.
Workers engaged through a contractor under The Contract Workers (Regulation & Abolition) Act 1970 will be considered contract workers. The nature of work for contract workers is not directly involved in the manufacturing process, but may be ongoing as part of regular work.
In short, casual workers may be engaged temporarily for specific casual operations, not necessarily through a contractor. Contract workers, on the other hand, are engaged full-time in activities related to and supporting the manufacturing process but are hired through a contractor only.
As for PF & ESI, the provisions of both acts apply to workers engaged as casual or contract workers.
Regarding the Mathadi Labour Act, first, check the applicability of the act to your organization, as I don't know your area or your work.
The provisions of the Mathadi Labour Act apply where activities such as loading and unloading finished/raw materials, finished products, or goods occur on the factory premises. According to the Mathadi Act, all loading and unloading activities must be carried out by Mathadi laborers (available under the Mathadi board in your area). Failure to comply may result in penalties from the labor department. To avoid this, you need to hire Mathadi laborers for your loading/unloading activities or pay levy charges to the Mathadi board based on your loading/unloading costs. For more details, refer to the Mathadi Act.
Regards,
Atul S. Malve
Manager- HR & Admin
From India, Sholapur
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25Workers engaged through a contractor under The Contract Workers (Regulation & Abolition) Act 1970 will be considered contract workers. The nature of work for contract workers is not directly involved in the manufacturing process, but may be ongoing as part of regular work.
In short, casual workers may be engaged temporarily for specific casual operations, not necessarily through a contractor. Contract workers, on the other hand, are engaged full-time in activities related to and supporting the manufacturing process but are hired through a contractor only.
As for PF & ESI, the provisions of both acts apply to workers engaged as casual or contract workers.
Regarding the Mathadi Labour Act, first, check the applicability of the act to your organization, as I don't know your area or your work.
The provisions of the Mathadi Labour Act apply where activities such as loading and unloading finished/raw materials, finished products, or goods occur on the factory premises. According to the Mathadi Act, all loading and unloading activities must be carried out by Mathadi laborers (available under the Mathadi board in your area). Failure to comply may result in penalties from the labor department. To avoid this, you need to hire Mathadi laborers for your loading/unloading activities or pay levy charges to the Mathadi board based on your loading/unloading costs. For more details, refer to the Mathadi Act.
Regards,
Atul S. Malve
Manager- HR & Admin
From India, Sholapur
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Dear Sidharth,
Atul sir has elaborated on your query. The only thing remaining is the classification of employees under the Model Standing Order Act. This might be applicable to your organization. As per the Act, a casual employee is an employee who is on your payroll for a casual nature of work, not core work. You can refer to the Standing Order to regulate his employment. PF, ESI, etc., are applicable to him as to other regular workers in your company.
Contract workers mean, as Atul sir very precisely explained. For "mathadi," please look over the definition of mathadi kamgar and then see the attachment of the act.
Mangesh Wakodkar Sr. Executive HRD
From India, Pune
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Atul sir has elaborated on your query. The only thing remaining is the classification of employees under the Model Standing Order Act. This might be applicable to your organization. As per the Act, a casual employee is an employee who is on your payroll for a casual nature of work, not core work. You can refer to the Standing Order to regulate his employment. PF, ESI, etc., are applicable to him as to other regular workers in your company.
Contract workers mean, as Atul sir very precisely explained. For "mathadi," please look over the definition of mathadi kamgar and then see the attachment of the act.
Mangesh Wakodkar Sr. Executive HRD
From India, Pune
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