I am working for a construction company, and we are the principal employer. Now, we have engaged a main contractor for carrying out the works. Our main contractor has engaged sub-contractors in turn. Kindly advise on the following options for issuing Form V:
1) Whether the principal employer has to issue Form V to sub-contractors as per the request given by the main contractor, stating that he is appointing sub-contractors.
2) Whether the main contractor can issue Form V to the sub-contractors.
3) The main contractor has an approved labor strength of 1000, but he has deployed only 600 laborers. Can the remaining strength be taken into account for sub-contractors for 400 laborers, instead of issuing Form V?
4) If so, the main contractor has to prepare wage sheets for 1000 laborers. Can we show statutory compliance separately for 600 laborers under the main contractor and 400 laborers under the sub-contractor?
From India, Chennai
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1) Whether the principal employer has to issue Form V to sub-contractors as per the request given by the main contractor, stating that he is appointing sub-contractors.
2) Whether the main contractor can issue Form V to the sub-contractors.
3) The main contractor has an approved labor strength of 1000, but he has deployed only 600 laborers. Can the remaining strength be taken into account for sub-contractors for 400 laborers, instead of issuing Form V?
4) If so, the main contractor has to prepare wage sheets for 1000 laborers. Can we show statutory compliance separately for 600 laborers under the main contractor and 400 laborers under the sub-contractor?
From India, Chennai
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1. First, you have to understand that "Form V" will be issued by the Principal Employer (PE) only, not by others.
2. The main contractor can't issue "Form V" to their subcontractors. If such a situation arises, the main contractor has to obtain it from the PE.
3. In your case, the main contractor has already obtained a license for 1000 persons but has only deployed 600. Therefore, the remaining 400 are available, and there is no need to apply for Labour License for subcontractors.
4. Yes, your point is correct.
From India, Delhi
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202. The main contractor can't issue "Form V" to their subcontractors. If such a situation arises, the main contractor has to obtain it from the PE.
3. In your case, the main contractor has already obtained a license for 1000 persons but has only deployed 600. Therefore, the remaining 400 are available, and there is no need to apply for Labour License for subcontractors.
4. Yes, your point is correct.
From India, Delhi
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