Dear Sirs,
We have around 1100 casual workers working under the Contractor, and most of them have completed more than 240 days at our Plant Premises.
We need your support to guide us in case there is any pressure from Local Political Leaders.
Regards,
Hilary Joseph
From India, Jaipur
We have around 1100 casual workers working under the Contractor, and most of them have completed more than 240 days at our Plant Premises.
We need your support to guide us in case there is any pressure from Local Political Leaders.
Regards,
Hilary Joseph
From India, Jaipur
It is a very sensitive issue. By outsourcing the labor, what did you gain? You have to pay the contractor based on his payment of wages, which should be at least at par with the statutory minimum wages fixed by the government. You have to compensate the EPF and ESI payments made by the contractor. You have to ensure that these contributions are paid by the contractor every month. You should also reimburse the bonus paid to them. At the end of the day, if a dispute arises, you have to look into it. If you have engaged them in core activities, then the labor authorities will question it, and they can even abolish such engagement. If the arrangement with the contractor is seen to be a sham, then you will have to absorb everyone under your own rolls. Therefore, what is the real benefit that you get by such engagement? Nothing, I would say.
At the same time, if the contract is genuine and the contractor is taking care of everything, including the service book of the laborers, then there is no risk in such deployment. However, there should not be any document to establish that you have direct supervision over these workers. If there exists a system where you bargain with the workers for fixing their wages, that they take your permission for taking leave, etc., then the situation will lead to making the contract a sham, and that may lead to serious issues. Very simple, it all depends on how you manage the workforce of the contractor. As far as possible, ask the contractor not to send the same person to your plant regularly but to send different persons.
From India, Kannur
At the same time, if the contract is genuine and the contractor is taking care of everything, including the service book of the laborers, then there is no risk in such deployment. However, there should not be any document to establish that you have direct supervision over these workers. If there exists a system where you bargain with the workers for fixing their wages, that they take your permission for taking leave, etc., then the situation will lead to making the contract a sham, and that may lead to serious issues. Very simple, it all depends on how you manage the workforce of the contractor. As far as possible, ask the contractor not to send the same person to your plant regularly but to send different persons.
From India, Kannur
Dear Hilary Joseph,
You apprehend that there may be some threat from local political leaders regarding the employment of casual workers under a contractor. It is difficult to suggest a specific solution to your query because you didn't mention the kind of problem or threat that could be posed by the local leaders.
In the absence of a specific cause, I would suggest streamlining all the welfare measures and facilities that need to be extended under the law before someone knocks on your door. The forum can guide you appropriately if you provide specific causes and problems.
Thank you.
From India, Mumbai
You apprehend that there may be some threat from local political leaders regarding the employment of casual workers under a contractor. It is difficult to suggest a specific solution to your query because you didn't mention the kind of problem or threat that could be posed by the local leaders.
In the absence of a specific cause, I would suggest streamlining all the welfare measures and facilities that need to be extended under the law before someone knocks on your door. The forum can guide you appropriately if you provide specific causes and problems.
Thank you.
From India, Mumbai
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