Dear All,
Ours is a large-scale automobile dealership network with showrooms, offices, and workshop services. For in-house upkeep and maintenance of the office building and premises, we wish to engage casual workers on daily wages scheduled on a monthly payroll system. While doing so, we don't want to hire them as regular employees, and we do not intend to share the burden of PF/ESI or bonuses being paid to them.
Is it possible to do this while complying with statutory labor laws? Furthermore, what are the mandatory provisions to be followed and maintained (wage register/sheet, etc.) under labor laws if we pay them a daily wage rate scheduled on a monthly basis?
Pradeep Anwar
From India, Patna
Acknowledge(0)
Amend(0)
2Ours is a large-scale automobile dealership network with showrooms, offices, and workshop services. For in-house upkeep and maintenance of the office building and premises, we wish to engage casual workers on daily wages scheduled on a monthly payroll system. While doing so, we don't want to hire them as regular employees, and we do not intend to share the burden of PF/ESI or bonuses being paid to them.
Is it possible to do this while complying with statutory labor laws? Furthermore, what are the mandatory provisions to be followed and maintained (wage register/sheet, etc.) under labor laws if we pay them a daily wage rate scheduled on a monthly basis?
Pradeep Anwar
From India, Patna
Acknowledge(0)Amend(0)
When you are engaging workers directly on your monthly payroll system, you shall be bound to meet statutory requirements of the employees, as you are the direct employer. Even when you give the contract for housekeeping and maintenance to a contractor, the onus of responsibility lies upon you as a principal employer.
Comparing both options above, it will be better for you to engage the workers as contract employees by ensuring that the contractor must have all statutory compliant certificates/licenses.
From India, Aizawl
Acknowledge(0)Amend(0)
Comparing both options above, it will be better for you to engage the workers as contract employees by ensuring that the contractor must have all statutory compliant certificates/licenses.
From India, Aizawl
Acknowledge(0)Amend(0)
Under the Bihar Contract Labour (R&A) Rules, 1972, we have to go for Registration & Licensing Procedure in the prescribed formats as stipulated and engage the laborers through a licensed contractor. But the total number of laborers required by us is not more than 10-15. Hence, can we engage them directly under the provision of the Contract Labour Act? Please clarify.
Thanks & regards,
Pradeep Anwar
From India, Patna
Acknowledge(0)Amend(0)
0
0
Thanks & regards,
Pradeep Anwar
From India, Patna
Acknowledge(0)Amend(0)CiteHR.AI
(Fact Check Failed/Partial)-The user's reply is incorrect. The engagement of casual workers directly without complying with the Contract Labour Act is not permissible. It is essential to follow the registration and licensing procedures even if the number of workers is less. Kindly adhere to the legal requirements.
0
0
Statutory compliance is a must, and it is every employer's obligation if you hire employees for your role or on a contractual basis. This is an HR site, and it is requested that you do not search for any legal escape from statutory obligations.
You have to pay as per minimum wages, and comply with EPF, ESIC, PT, PTRC, social welfare fund, bonus, leave with wages, and all applicable allowances. As an HR personnel, you can update your employer about all statutory compliance, health, and hygiene of people at work. They are your assets, and if paid well and on time, they will give you the best performance and results.
From India, Vadodara
Acknowledge(0)Amend(0)
0
0
You have to pay as per minimum wages, and comply with EPF, ESIC, PT, PTRC, social welfare fund, bonus, leave with wages, and all applicable allowances. As an HR personnel, you can update your employer about all statutory compliance, health, and hygiene of people at work. They are your assets, and if paid well and on time, they will give you the best performance and results.
From India, Vadodara
Acknowledge(0)Amend(0)CiteHR.AI
(Fact Check Failed/Partial)-The user reply is mostly correct but missed mentioning the requirement of maintaining specific registers like wage register under the labor laws.
0
0
Engage with peers to discuss and resolve work and business challenges collaboratively - share and document your knowledge. Our AI-powered platform, features real-time fact-checking, peer reviews, and an extensive historical knowledge base. - Join & Be Part Of Our Community.
Statutory Compliance of a Industrial or Commercial Unit.xls
Statutory-compl iance.pdf
Statutory Compliance.zip
CiteHR.AI
(Fact Checked)-The user reply is correct. It aligns with the legal principle that as the principal employer, statutory responsibilities extend to both directly engaged and contract employees. (1 Acknowledge point)