Dear Seniors,
What is the maximum limit for overtime (number of hours) under the Contract Labour Act? I have read through the Contract Labour Act, but it does not specify the maximum number of hours. Additionally, I would like to seek clarification on whether it is a good sign for the principal employer if a contract worker is receiving overtime wages exceeding their monthly wages. Please help me with this matter.
Sekhar
From India, New Delhi
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5What is the maximum limit for overtime (number of hours) under the Contract Labour Act? I have read through the Contract Labour Act, but it does not specify the maximum number of hours. Additionally, I would like to seek clarification on whether it is a good sign for the principal employer if a contract worker is receiving overtime wages exceeding their monthly wages. Please help me with this matter.
Sekhar
From India, New Delhi
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Dear Ratna Under General Standard section 7 (a) Wage & Hour Division it is 40 hours , the maximum limit of overtime in a week . Regards Shubham
From India, Hyderabad
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From India, Hyderabad
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Dear Ratna,
The law for the maximum limit for overtime hours is the same as for factory workers. They are allowed a maximum of 12 hours in a week and 50 hours in a quarter as per the Factory Act.
The question you asked about the contractor worker receiving overtime wages more than their monthly wages is concerning. It suggests that the contractor workers may be working more than 12 hours per day.
Thank you,
J.S. Malik
From India, Delhi
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The law for the maximum limit for overtime hours is the same as for factory workers. They are allowed a maximum of 12 hours in a week and 50 hours in a quarter as per the Factory Act.
The question you asked about the contractor worker receiving overtime wages more than their monthly wages is concerning. It suggests that the contractor workers may be working more than 12 hours per day.
Thank you,
J.S. Malik
From India, Delhi
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Dear Mr.J.S.Malik, Thank you for early reply When contract act doesn’t specify the no.of maximum , which act we should follow to control the overtime. Regards, Sekhar
From India, New Delhi
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From India, New Delhi
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Dear Shekhar,
Employees working under a contract are covered by the Factories Act as well. This means that all provisions of the Factory Act are applied to contract workers if they are working in a factory.
As per the Factories Act, a worker is defined as a person employed directly or through any agency, including a contractor, with or without the knowledge of the principal employer. Therefore, all Factory Act provisions will apply to contract workers if they are deployed in a factory. If they are deployed in any other establishment, then Shop Act provisions will also apply.
Thank you,
J. S. Malik
From India, Delhi
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Employees working under a contract are covered by the Factories Act as well. This means that all provisions of the Factory Act are applied to contract workers if they are working in a factory.
As per the Factories Act, a worker is defined as a person employed directly or through any agency, including a contractor, with or without the knowledge of the principal employer. Therefore, all Factory Act provisions will apply to contract workers if they are deployed in a factory. If they are deployed in any other establishment, then Shop Act provisions will also apply.
Thank you,
J. S. Malik
From India, Delhi
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(Fact Checked)-The user provided correct information regarding the extension of the Factory Act provisions to contract workers working in factories or other establishments. No corrections needed. (1 Acknowledge point)
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The overtime payment is regulated by the Factories Act of 1948 and not the Contract Labour Act. The latter only pertains to regulation and abolition. Don't get confused. Please read the Factories Act for information on daily working hours.
Milind Naik
From India, Mumbai
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Milind Naik
From India, Mumbai
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Dear Malik Sir,
I want to know if we can run the factory using 100% contract labor for all operations, including manufacturing (meaning all activities). If yes, please suggest. If no, please provide suggestions as well as any relevant case law.
Please consider the practical aspect of this.
Regards,
Ram
From India
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I want to know if we can run the factory using 100% contract labor for all operations, including manufacturing (meaning all activities). If yes, please suggest. If no, please provide suggestions as well as any relevant case law.
Please consider the practical aspect of this.
Regards,
Ram
From India
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Dear Ram,
Basically, you cannot hire 100% contract labor because you will not get a license. For the manufacturing process, contract labor is not allowed. It is allowed for intermittent and casual nature of work. Manufacturing process is regular work, so contract labor cannot be used for that purpose.
That is the reason we get a license for contract labor for loading, unloading, housekeeping, etc.
Thanks,
J.S. Malik
From India, Delhi
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Basically, you cannot hire 100% contract labor because you will not get a license. For the manufacturing process, contract labor is not allowed. It is allowed for intermittent and casual nature of work. Manufacturing process is regular work, so contract labor cannot be used for that purpose.
That is the reason we get a license for contract labor for loading, unloading, housekeeping, etc.
Thanks,
J.S. Malik
From India, Delhi
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Dear Mr. Malik,
Regarding your comment on overtime, the overtime limit should be 12 hours per week or 12 hours per day. This is because there is a restriction of 9 hours of work per day. If we calculate the 48-hour restriction per week and subtract the 60-hour limit of working per week, it results in 12 hours per week, which means you can only work an extra 2 hours per day.
Could you please confirm if my calculations are correct, or if there is another approach?
Regards,
Vinay Shedge
9850062122
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Regarding your comment on overtime, the overtime limit should be 12 hours per week or 12 hours per day. This is because there is a restriction of 9 hours of work per day. If we calculate the 48-hour restriction per week and subtract the 60-hour limit of working per week, it results in 12 hours per week, which means you can only work an extra 2 hours per day.
Could you please confirm if my calculations are correct, or if there is another approach?
Regards,
Vinay Shedge
9850062122
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CiteHR.AI
(Fact Checked)-The Contract Labour Act does not specify a maximum limit for overtime hours. In such cases, the concerned state's Shops and Establishments Act or Factories Act may govern overtime regulations. It's essential to adhere to the relevant state laws for overtime control. (1 Acknowledge point)