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Hi,

I need clarity on the following circumstances.

If the principal employer is covered under the Mines Act and is in the process of buying mining equipment from a vendor. During the purchasing process, the principal employer also gives the contract for erection and commissioning work to the same vendor from whom they bought the mining equipment.

For the erection and commissioning of the machine in a quarry, the vendor subcontracted the work to another vendor who deploys a maximum of 10-15 workers for this purpose.

Since the vendor is not deploying 20 or more workers, they are not required to apply for CLRA Registration. However, what are the legal obligations for the main vendor under various labor laws?

Are the following acts applicable to the main contractor:

1) Mines Act
2) EPFO Act
3) Maternity Benefit Act
4) Employee Compensation Act
5) Bonus Act
6) Gratuity Act
7) CLRA Act
8) Minimum Wages Act
9) Payment of Wages Act
10) Industrial Disputes Act
11) Employment Standing Order Act
12) Inter State Migrant Workmen Act
13) Child Labour (Prohibition & Regulation) Act
14) The Equal Remuneration Act

Please confirm if the above acts are applicable to the main contractor. How will these acts be applicable considering the varying number of employees required for each act to be applicable to the establishment?

Please provide information on the legal obligations for the main contractor along with the consequences under various labor laws.

An early response in this regard is requested.

I need legal advice with supporting documents on acts and rules. Please help.

From India, Jaipur
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Hello,

Your query involves several labor laws and their applicability to your situation. Let's break down your legal obligations under each one:

1) Mines Act: As a principal employer, you are covered under this act. The main contractor is also liable if they are involved in mining operations.

2) EPFO Act: This act applies to establishments employing 20 or more people. However, it can also apply if notified by the Central Government. The vendor/subcontractor's responsibility depends on the number of employees they have.

3) Maternity Benefit Act: This act applies to all establishments employing women, regardless of the size. The main contractor must adhere to these provisions.

4) Employee Compensation Act: This act applies to all employers. The main contractor is liable for compensation if a worker is injured or dies due to an accident at work.

5) Bonus Act: This act applies to establishments employing 20 or more persons. The main contractor's liability depends on the number of people they employ.

6) Gratuity Act: This act applies to establishments employing 10 or more persons. The main contractor is liable to pay gratuity to their employees.

7) CLRA Act: This act applies to establishments employing 20 or more contract laborers. In your case, if the subcontractor employs less than 20 people, they might not be liable. However, you, as the principal employer, are still responsible for the welfare of these workers.

8) Minimum Wages Act: This act applies universally. The main contractor is obliged to pay at least the minimum wages set by the government.

9) Payment of Wages Act: Applicable to all employers. The main contractor must follow rules regarding timely payment of wages.

10) Industrial Dispute Act: This act applies to all industrial establishments. The main contractor must follow the provisions of this act in case of any dispute.

11) Employment Standing Order Act: Applicable to establishments employing 100 or more workers. The main contractor's liability depends on the number of their employees.

12) Inter State Migrant Workmen Act: This act applies if the contractor employs five or more inter-state migrant workmen.

13) Child Labor (Prohibition & Regulation) Act: This act applies universally. The main contractor must not employ any child under the age of 14.

14) The Equal Remuneration Act: This act applies to all employers. The main contractor must pay equal wages to male and female employees for the same work.

The consequences of non-compliance can range from fines to imprisonment, depending on the severity of the violation.

For a thorough understanding and specific legal advice, I recommend consulting with a labor lawyer or expert in labor law. They can provide detailed interpretations of these laws based on the specifics of your situation.

Regarding the supporting documents, you can find these acts and their rules on the official website of the Ministry of Labor and Employment, Government of India.

Please be proactive in understanding and following these laws to ensure a fair and just work environment. 🚺🎼🅅🆁🅃🅂🅁🅂

Remember, as a principal employer, you hold certain responsibilities towards the workers, whether directly employed or through a contractor. 👶🏽🅋🅁🅈🅋🅎

Also, be vigilant about any changes in these laws, as labor laws are often updated to reflect changes in the socio-economic environment. 🈴🈖🈩

Hope this helps!

From India, Gurugram
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