Dear Patrons, Greetings from Connect One Dynamic Synergies Private Limited.
Please find the following query and addressed under the Contract Labour (Regulation & Abolition) Act & the Indian Contract Act, for an ticklish query, addressed by as follows.
If Principal employer has asked 5 number of Contract workers for marketing / data collection job/ Collection of dues .Will these 5 workers be considered under CLRA
In the Contract Labour (Regulation & Abolition) Act under the Workmen definition found that work is performed not in the premises of establishment can we consider it has exclusions of workmen, please find the definition of Workmen.
Worker definition are as follows.
(i) “workman” means any person employed in or in connection with the work of any establishment to do any skilled, semi-skilled or un-skilled manual, supervisory, technical or clerical work for hire or reward, whether the terms of employment be express or implied, but does not include any such person—
(A) who is employed mainly in a managerial or administrative capacity; or
(B) who, being employed in a supervisory capacity draws wages exceeding five hundred rupees per mensem or exercises, either by the nature of the duties attached to the office or by reason of the powers vested in him, functions mainly of a managerial nature; or
(C) (C) who is an out-worker, that is to say, a person to whom any articles or materials are given out by or on behalf of the principal employer to be made up, cleaned, washed, altered, ornamented, finished, repaired, adapted or otherwise processed for sale for the purposes of the trade or business of the principal employer and the process is to be carried out either in the home of the out-worker or in some other premises, not being premises under the control and management of the principal employer.
The question/ query seems not to be covered under the Contract Labour (Regulation & Abolition) Act, 1979
It is being covered under Indian Contract Act, 1872.
Under the aforesaid Act Sec.10 are read as follows.
What agreements are contracts. — All agreements are contracts if they are made by the free consent of parties competent to contract, for a lawful consideration and with a lawful object, and are not hereby expressly
declared to be void.
However, first try to understand the difference between Contract of Service and Contract for Service. Then you can get the right answer.
Please be guided accordingly.
Thanks and Regards,
Connect One Compliance Team.
From India, Bengaluru
10Please find the following query and addressed under the Contract Labour (Regulation & Abolition) Act & the Indian Contract Act, for an ticklish query, addressed by as follows.
If Principal employer has asked 5 number of Contract workers for marketing / data collection job/ Collection of dues .Will these 5 workers be considered under CLRA
In the Contract Labour (Regulation & Abolition) Act under the Workmen definition found that work is performed not in the premises of establishment can we consider it has exclusions of workmen, please find the definition of Workmen.
Worker definition are as follows.
(i) “workman” means any person employed in or in connection with the work of any establishment to do any skilled, semi-skilled or un-skilled manual, supervisory, technical or clerical work for hire or reward, whether the terms of employment be express or implied, but does not include any such person—
(A) who is employed mainly in a managerial or administrative capacity; or
(B) who, being employed in a supervisory capacity draws wages exceeding five hundred rupees per mensem or exercises, either by the nature of the duties attached to the office or by reason of the powers vested in him, functions mainly of a managerial nature; or
(C) (C) who is an out-worker, that is to say, a person to whom any articles or materials are given out by or on behalf of the principal employer to be made up, cleaned, washed, altered, ornamented, finished, repaired, adapted or otherwise processed for sale for the purposes of the trade or business of the principal employer and the process is to be carried out either in the home of the out-worker or in some other premises, not being premises under the control and management of the principal employer.
The question/ query seems not to be covered under the Contract Labour (Regulation & Abolition) Act, 1979
It is being covered under Indian Contract Act, 1872.
Under the aforesaid Act Sec.10 are read as follows.
What agreements are contracts. — All agreements are contracts if they are made by the free consent of parties competent to contract, for a lawful consideration and with a lawful object, and are not hereby expressly
declared to be void.
However, first try to understand the difference between Contract of Service and Contract for Service. Then you can get the right answer.
Please be guided accordingly.
Thanks and Regards,
Connect One Compliance Team.
From India, Bengaluru
Why is he not covered by CLRA Act? If he is engaged through a contractor, he will come under the purview of contract labour. Whether his engagement is legal or illegal is different, if he is under an third party rolls, he should be a contract worker.
It is true that he is working outside the boundaries of a factory but that does not mean that he is an outworker. He is not working on any products and returning it to the company after completing or finishing it but he is selling the products or collecting the dues. In order to be called an outworker he should be working on the article that the principal employer has supplied and that he should be working from a place which has no connection with or control of the principal employer. Though there are difference of opinion about the concept of outworker as defined, the same is a production work. Just because your collection boys or sales guys are 'working outside' the factory boundaries, how can they be called outworker?
Regarding contract under Contract Act (the Act of 1872???) the two are totally different. The CLRA speaks about engagement of employees through a contractor and contract labour under it means an employee engaged through an outsider. called contractor. The Contract Act speaks about how a contract is made like agreement, acceptance, consent etc. That is the contract in the ordinary compliance and not from the employment angle.
From India, Kannur
It is true that he is working outside the boundaries of a factory but that does not mean that he is an outworker. He is not working on any products and returning it to the company after completing or finishing it but he is selling the products or collecting the dues. In order to be called an outworker he should be working on the article that the principal employer has supplied and that he should be working from a place which has no connection with or control of the principal employer. Though there are difference of opinion about the concept of outworker as defined, the same is a production work. Just because your collection boys or sales guys are 'working outside' the factory boundaries, how can they be called outworker?
Regarding contract under Contract Act (the Act of 1872???) the two are totally different. The CLRA speaks about engagement of employees through a contractor and contract labour under it means an employee engaged through an outsider. called contractor. The Contract Act speaks about how a contract is made like agreement, acceptance, consent etc. That is the contract in the ordinary compliance and not from the employment angle.
From India, Kannur
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