Dear all,

My query is: Upon registering as the principal employer and engaging contractors on one's premises, is it mandatory for the principal employer to renew their registration certificate? If yes, may I know the duration of the renewal process? Or is the registration a one-time procedure to be followed by the principal employer.

From India, Chennai
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An establishment or factory has to register itself under the Act within 15 days of the Act becoming applicable to it as per Sec. 2A read with Reg. 10B. Once the Act becomes applicable, it continues to be applicable to it notwithstanding the fall in the minimum number of employees. So, I do not envisage any direction given by the ESI Act to renew the registration once done. Other views are welcome.

B. Saikumar

From India, Mumbai
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Registration Certificate under the CLRA Act does not need to be renewed. However, when there is a change in the particulars such as a Change of Contractor or the number of contract workmen to be employed, the Registration Certificate must be amended with the payment of an amendment fee.

N. Nataraajhan
Sakthi Management Services
Hp: +91 94835 17402
Email: natraj@sakthimanagement.com

From India, Bangalore
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Sai Kumar, I think he is talking about registration under the Contract Labour Act. In some states, there is a validity date. In such cases, it needs to be renewed as long as contract labour is used.

In other cases, there is, of course, no need as the registration is valid until revoked or surrendered.

From India, Mumbai
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Yes, Saswata, you are right; he is talking about registration under CLRA only, and I endorse your reply in this regard. The mistake happened as I switched over to this thread after replying to an ESI query.

B. Saikumar
HR & Labour Law Advisor
Navi Mumbai

From India, Mumbai
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Anonymous
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Dear all,

Thank you very much for your clarifications. Just to ensure that my understanding is correct, once the registration certificate is obtained by a principal employer under CLRA, it does not need to be renewed unless mandated by the state government. I noticed an expiry date on the contractor's license document, and I deduce from the CLRA that the principal employer must issue Form V to the contractor each time the license nears expiry to extend the engagement of the employees at the principal employer's work site. On the other hand, the principal employer's registration certificate, which does not display an expiry or validity date, does not require renewal.

Could you please confirm or correct me?

Regards,
Vian

From India, Chennai
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Contractor's license has to be renewed every year, and there is no provision for the renewal of the Principal Employer's Registration Certificate; therefore, the RC need not be renewed. Form V has to be given to the contractor only when he applies for the license for the first time and not every year when he is required to renew the license. There is no provision in the TNCLRA Rules for enclosing Form V by the contractor every time when he applies for the renewal of the license.

N. Nataraajhan, Sakthi Management Services (Hp: +91 94835 17402; e-mail: natraj@sakthimanagement.com)

From India, Bangalore
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Once Registration under CLRA for the Principal Employer has been done & Reg No Granted, No further renewal for PE required.
From India
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