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Contract workers to receive minimum wages; same as direct employees if work similar

Updated: Aug 07, 2013 04:29:33pm
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New Delhi, Aug 7 (KNN)  According to the Contract Labour (Regulation and Abolition) Central Rules of 1971, wages of contract labour shall not be less than the rates prescribed under the Minimum Wages Act of 1948, said Minister of State for Labour and Employment Kodikunnil Suresh.
 
Significantly, “...in cases where the contract workers perform the same or similar kind of work as the workmen directly employed by the principal employer of the establishment, the wage rates, holidays, hours of work and other conditions of service shall be the same as applicable to the workmen directly employed by the principal employer doing the same or similar kind of work,” the minister said in parliament today. 
 
As far as payment of wages and other benefits are concerned, the liability to ensure the same is primarily that of the contractor, and in case of default, that of the principal employer, he added.
 
Currently, the estimated number of contract labourers, engaged by licensed contractors all over India is 18.44 lakh.  However, there is no provision of regularisation under the Contract Labour Act of 1970, and therefore no proposal has been made to that effect.
 
In case of complaints, field offices of Chief Labour Commissioner (Central) Organization investigate grievances and take action.
 
Social security aspects of contract workers under Employees Provident Fund and Miscellaneous Provision Act, 1952 and Employees State Insurance Act 1948 are enforced by the Employees Provident Fund organization and Employees State Insurance Corporation respectively provided the establishments in which outsourced workers are working are covered under the said Acts. 
 
The Minister also informed the parliament that the estimated number of contract labourers engaged by licenced contractors in central sphere all over India including the industrial sector during the last three years showed an upward trend. 
 
In 2009-10 the number of contract labour covered by such licenses were 13.73 lakhs; in 2010-11: 14.89 lakhs and in 2011-12: 18.44 lakhs.
 
The Contract Labourers are engaged by an establishment as per the terms of contract and requirement and no centralized data is maintained with respect to number of contract labour deployed in the country industry or sector-wise, he said.  (KNN/ES)
 

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