Dear Sir,
In a small construction site, a contractor is having a hired bus with a driver for transporting workers and other staff from the labor hut to the working premises. Should he include the driver of the bus in the muster roll of workers?
Regards,
Sandeep Rai
From India, Bangalore
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1In a small construction site, a contractor is having a hired bus with a driver for transporting workers and other staff from the labor hut to the working premises. Should he include the driver of the bus in the muster roll of workers?
Regards,
Sandeep Rai
From India, Bangalore
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Dear Sir,
Please reply as the bus driver is full-time engaged with the services of the contractor. Also, should watch and ward (security personnel) be included in the muster roll or not?
Regards,
Sandeep Rai
From India, Bangalore
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Please reply as the bus driver is full-time engaged with the services of the contractor. Also, should watch and ward (security personnel) be included in the muster roll or not?
Regards,
Sandeep Rai
From India, Bangalore
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If the payment for the service is made to the transporter on the basis of the services undertaken, then there is no need to include the driver or other crews in the muster rolls of the construction company as it is a contract for service. At the same time, if the arrangement is like filling fuel, meeting the repairs and servicing, and paying the wages of the driver/crew, then the provisions of the Contract Labour (Regulations and Abolition) Act will apply, and you will have to keep a register of the driver/crew engaged.
Madhu.T.K
From India, Kannur
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Madhu.T.K
From India, Kannur
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I am in total agreement with the point expressed by Madhu that the above transportation arrangement constitutes a contract for services, as the questioner has clearly stated that the bus is hired with the driver. It is a common practice in the transport industry for the charges paid to the transport operator to be calculated based on the number of hours the vehicle is used and the distance traveled per kilometer, in addition to the driver's batta and wages. Alternatively, the charges may be based on the number of hours the vehicle is used, along with the driver's proportionate batta and wages. In the latter case, the fuel costs are entirely covered by the hirer on an actual basis.
From India, Salem
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From India, Salem
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Respected Madhu ji, I have not understood it. Can you please elaborate?
From India, Mumbai
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From India, Mumbai
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Hi Keshav,
In the present case, it is the service that the company is buying, and it is not like the driver alone is doing it for the company and the company is paying for the work done by the employee (driver). That is why I have also written that if the arrangement was to hire a bus and fill the fuel and pay the crew their wages, there would have been an employer-employee relationship, and CLRA would have been applicable. Here it is like we hire a taxi or rickshaw and pay for the service. We are actually buying their service (since the product they sell is not tangible, we refer to it as a service), and the relationship we have with the service providers, the travel agency, is just like a buyer and seller.
Madhu.T.K
From India, Kannur
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In the present case, it is the service that the company is buying, and it is not like the driver alone is doing it for the company and the company is paying for the work done by the employee (driver). That is why I have also written that if the arrangement was to hire a bus and fill the fuel and pay the crew their wages, there would have been an employer-employee relationship, and CLRA would have been applicable. Here it is like we hire a taxi or rickshaw and pay for the service. We are actually buying their service (since the product they sell is not tangible, we refer to it as a service), and the relationship we have with the service providers, the travel agency, is just like a buyer and seller.
Madhu.T.K
From India, Kannur
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Dear Sir,
One more question which I have already mentioned: whether security personnel (if hired through another agency) will be covered under CLRA. I have read in one state amendment from Andhra Pradesh where they have mentioned that watch and ward services are not "core activity of the establishment."
Regards,
Sandeep
From India, Bangalore
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One more question which I have already mentioned: whether security personnel (if hired through another agency) will be covered under CLRA. I have read in one state amendment from Andhra Pradesh where they have mentioned that watch and ward services are not "core activity of the establishment."
Regards,
Sandeep
From India, Bangalore
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Watch and ward is not a core activity, but that does not mean it is outside the ambit of CLRA. The CLRA states that only those activities which are not directly connected to the core activities of the company can be outsourced. Under the security agreement, some guards are deployed, and we pay for their service. Therefore, they will come under the purview of CLRA, and we have to ensure that they get their salary on time and their statutory contributions are paid on time.
Madhu.T.K
From India, Kannur
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Madhu.T.K
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