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Dear Mr. Keshav Korgaonkar, The contents of Circular is self explanatory to address the matter . Hope all concerned would adhere to the same. Thks, Anil Sharma
From India, Pune
Dear Mr. Devbrat Jha ,
Pls go through the query raised by Mr.Krishnan and susbsequently my post on the same.
We have dealt n number of such cases as on date. Still not convinced /satisfied with my logical explanation, u may revert to me.
e-mail id :
Mob.No.+919619186855

From India, Pune
Dear Devbrat Jha ji,
I have gone thru' all the postings once again and found that no member including me has suggested PE to issue Form V to sub contractor.
On the contrary, Shri. Krishnan who started this thread mentioned that the PE is asking the Main contractor to deposit the PF of sub contractor under their code or to issue Form V to the Sub-contractor to enable them to obtain the labour license.
The members including me replied in response to query by Shri. Krishnan. The views expressed by individuals may or may not be correct. One can differ with other(s).
I have sufficed my say with support.

From India, Mumbai
Dear Mr. Sharma and Mr. Korgaonkar,

It is nice to find that so many HR professionals are contributing and exploring the nuances of Labour Laws.

I quote the original querist:

In a NTPC Project the main contractor has engaged a sub-contractor and offloaded some part of the work. The sub-contractor is recovering the PF contributions from his employees and depositing under his PF code regularly. The sub-contractors' labors are covered under the labour license of the Main contractor. NTPC is asking the Main contractor to deposit the PF under their PF code or to issue Form V to the Sub-contractor to enable them to obtain the labour license.

Please advice me on the following

1. Is it mandatory that the PF contributions to be deposited with the Main contractors PF code only even if the S/c is having aPF registration.

2. Whether the S/c should have a labour license for depositing the contribution under his PF code.

I above case, we are talking about two different Labour laws, independent of each other. My short and simple reply to the queries are as under:

1. No. It is not.

2. No. It is not.

Further, on the issue of license under Contract Labour Act,( which in fact is indirectly a point of discussion,not raised by querist specifically) I am still of the opinion that PE cannot issue two certificates in Form V , one to main contractor and another to a contractor engaged by the main contractor, perticularly in the absence of any contractual relationship between NTPC and contractor of main contractor.It is possible only when two separate contracts are awarded,

This is my opinion despite going through the copy of Circular stated to be issued by Labour Commissioner, Govt. Of Maharashtra.

Above opinion of mine has been duly endorsed by Shri P K Mukhopadhaya, Ex. Chief Labour Commissioner Of India.

I strongly believe, we the HR professionals do have rights to hold different opinions. I dont intend to abase or demean any ones opinion or views.

From India, Pune
Dear All,
I have gone through the comments given by the all the echeloan in the field of Labour Law and particularly alll the nuiance cosultants I beg to differ with Mr Koregaonkar on the subject of issuance of Form V to Sub Contractors, in this regards, please refer section 13 of CLRA Act, 1970 Grant of License, and the Basic documents need to be provided to ALC to issue the Contract Labour License to Contractors.
In Maharashtra the docS required are :-
Form V,
Form IV along with Annexure B,
Affidavit of Contractor,
Work Order / Agreement / Purchase Order,
Kindly read the contents of Form V , Since PE has not entered in to work contract with Sub Contractors how PE will issue Form V to Sub Contract.
Kindly revert with the opinion on the matter

From India, Mumbai
Hi
When any government dept issue the Tender in open market, it has clearly mentioned in terms and condition that joint venture /sub-contractors will not be entertained. In private sector no problem.
Suggestion - you have to refer terms & condition and discus with concern department, if they will agree, you have to make simple agreement (one thing has to be mentioned in agreement - sub-contractor will comply under various labor law) and submit with dept.
No need to procure contract labour license by your sub-contractor.
If you have any query , kindly write

From India, Mumbai
Very informative. So it is mandatory for a Company to get registered as per act 1970 and issue Form V to the contractor to get his License. Please clarify Lakshmi GM HR SKS
From India, Bangalore
Hello, Responding to your query Lakshmi, YES it is mandatory to issue Form V to the contractor and insist on Labour License, otherwise the contractor will not be a seperate entity apart from you. And that means a lot of botheration and avoidable legal complications including being a 'sham contract'.
KK

From India, Bhopal
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