Respected Member,
I have a query regarding the payment of wages to contractor labour, for a short period the factory closed the production, the company owned the contractor labour for the production and due to some issue production is stop and may be resume after somedays, as the company declare holiday for the labour. So my question is still need to pay the labour even no production. if yes please refer the relevant point where it mention and how much we have to pay..as company management decide no work no pay..
From India, undefined
2I have a query regarding the payment of wages to contractor labour, for a short period the factory closed the production, the company owned the contractor labour for the production and due to some issue production is stop and may be resume after somedays, as the company declare holiday for the labour. So my question is still need to pay the labour even no production. if yes please refer the relevant point where it mention and how much we have to pay..as company management decide no work no pay..
From India, undefined
If the contract is a genuine one, the PE can simply terminate the contract due to the temporary closure of the establishment and as such he need not pay any compensation or wages to the contract labor.
From India, Salem
From India, Salem
As no such clause in contract, Company shutdown for a short period, production is going to resume within 10-15 days with the same labor(Contractor). i think for this don't want to terminate contract. I want to know whether company can legally do "no work no pay" or is anywhere mention for to deduct wages some part and pay some part.
i found some relevant point under "Payment of wages Act" regarding Deduction of wages and under "Industrial Dispute Act"regarding compensation for layoff. but it's not still clear.
From India, undefined
i found some relevant point under "Payment of wages Act" regarding Deduction of wages and under "Industrial Dispute Act"regarding compensation for layoff. but it's not still clear.
From India, undefined
Dear Shukla,
In the contract labor system of engagement, no contract of service between the Principal Employer and the contract labor and as such you are not bound to ensure continuous employment nor to pay any compensation for your inability to provide employment. Irrespective of the length of the spell of such no work, no payment based on the doctrine of " No work No wages ". Of course, if your financial capacity is commensurate with your magnanimity, you can pay some compensation on the line of lay off to them through the contractor.
From India, Salem
In the contract labor system of engagement, no contract of service between the Principal Employer and the contract labor and as such you are not bound to ensure continuous employment nor to pay any compensation for your inability to provide employment. Irrespective of the length of the spell of such no work, no payment based on the doctrine of " No work No wages ". Of course, if your financial capacity is commensurate with your magnanimity, you can pay some compensation on the line of lay off to them through the contractor.
From India, Salem
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PAYMENT OF WAGES ACT 2009.doc