The case is: Organization has a staff of 200 no workers .. Sales and Service Support in Maharashtra.
They keep housekeeping. Directly to the Company payroll for six months as a contract
Need to know
Is the contract labour act applicable in Maharashtra as a staff is 200 - sales, service - no worker?
Is it legal? As workers are not there, so Contract labour (50 no) is not applicable.
Is there another way to employ Housekeeping on contract?
From India, Mumbai
They keep housekeeping. Directly to the Company payroll for six months as a contract
Need to know
Is the contract labour act applicable in Maharashtra as a staff is 200 - sales, service - no worker?
Is it legal? As workers are not there, so Contract labour (50 no) is not applicable.
Is there another way to employ Housekeeping on contract?
From India, Mumbai
For applicability the total workforce will be counted. Therefore, if you have 200 employees, the Act (let it be CLRA or other) will be applicable to that establishment. Now, the employer can only outsource or keep workers through a contractor only in such areas of operations which are not perennial in nature and not connected with the core business. Housekeeping is not a core activity and hence you can have workers deployed through a contractor.
The alternative to deploying the workers for housekeeping is outsourcing the work of housekeeping to an independent. In such arrangement, a contract FOR service, the agency will provide workers sufficient to make the premises clean. For this purpose they should use their own consumables, equipments etc. You do not know who all are engaged to do the work, and in how many numbers they are engaged. You will not supply toilet cleaners, disinfectants, broom, brushes, vacuum cleaners etc but the agency will come with the all the materials and equipments required to do the work. You are only concerned with getting the result, getting your premises clean, and not concerned with how does it happen, how many workers are engaged for that work and who all are engaged for that.
From India, Kannur
4240The alternative to deploying the workers for housekeeping is outsourcing the work of housekeeping to an independent. In such arrangement, a contract FOR service, the agency will provide workers sufficient to make the premises clean. For this purpose they should use their own consumables, equipments etc. You do not know who all are engaged to do the work, and in how many numbers they are engaged. You will not supply toilet cleaners, disinfectants, broom, brushes, vacuum cleaners etc but the agency will come with the all the materials and equipments required to do the work. You are only concerned with getting the result, getting your premises clean, and not concerned with how does it happen, how many workers are engaged for that work and who all are engaged for that.
From India, Kannur
@Madhu Sir
Thanks
it gave clarity.
please do help as,
1. as Housekeeping is not core activity, can we hire as,/
- 1.1 Can we appoint HK on company letterhead for a full-time, permanent position?
- 1.2 can we appoint HK on company role or letterhead on Contract of 6M or 12 M ? ( is CLRA registration required for this ?)
-1.3 can we appoint HK on Fixed term contract (FTC) under Standing order act amendment ?
thanks
From India, Mumbai
Thanks
it gave clarity.
please do help as,
1. as Housekeeping is not core activity, can we hire as,/
- 1.1 Can we appoint HK on company letterhead for a full-time, permanent position?
- 1.2 can we appoint HK on company role or letterhead on Contract of 6M or 12 M ? ( is CLRA registration required for this ?)
-1.3 can we appoint HK on Fixed term contract (FTC) under Standing order act amendment ?
thanks
From India, Mumbai
You can appoint any person on the rolls of the company. Appointing an employee under the rolls of the company is not restricted by any law. The restriction is with regard to engaging workers through a contractor for doing core work, and no such worker shall be engaged through a contractor. At the same time, you can also employ any person who is not directly related to the core business under your own rolls. As such there is nothing wrong in appointing a housekeeping worker under your rolls, by giving appointment letter in the company letterhead.
Any person can be appointed for 6 months or 12 months if the period of work is 6 months or 12 months, as the case may be. This appointment is called fixed term contract (FTC) employment and is widely been applied across all industries since 2017. An employee under an FTC is an employee directly employed by the employer, wages is paid by the employer directly, and as such no CLRA will be applicable to him or the employer. CLRA will come in to picture only when somebody else, ie, the contractor, is sending his employees to work for you in your premises. In this arrangement the wages is paid by the contractor, and the employer only reimburse his cost.
Only when you employ persons under your rolls you will give appointment order under your letterhead. The appointment orders of contract workers will be issued by the respective employer, ie, the contractor.
Yes, you can employ housekeeping workers on a fixed term contract basis. This is permitted for work of regular nature only if the Standing Orders provide for such a category of employees. But now a days, even establishments not having any certified standing orders do employ workers on FTC basis.
From India, Kannur
Any person can be appointed for 6 months or 12 months if the period of work is 6 months or 12 months, as the case may be. This appointment is called fixed term contract (FTC) employment and is widely been applied across all industries since 2017. An employee under an FTC is an employee directly employed by the employer, wages is paid by the employer directly, and as such no CLRA will be applicable to him or the employer. CLRA will come in to picture only when somebody else, ie, the contractor, is sending his employees to work for you in your premises. In this arrangement the wages is paid by the contractor, and the employer only reimburse his cost.
Only when you employ persons under your rolls you will give appointment order under your letterhead. The appointment orders of contract workers will be issued by the respective employer, ie, the contractor.
Yes, you can employ housekeeping workers on a fixed term contract basis. This is permitted for work of regular nature only if the Standing Orders provide for such a category of employees. But now a days, even establishments not having any certified standing orders do employ workers on FTC basis.
From India, Kannur
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Notification No G.S.R. 1128(E) Contract Labour (Regulation and Abolition) Central Amendment .pdf
LABOUR CONTRACT AGREEMENT.doc
Contract Labour Act.zip