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4. Contract Labour (Regulation and Abolition) Act, 1970
 
     

THE CONTRACT LABOUR (REGULATION AND ABOLITION) ACT, 1970 
                    ACT NO. 37 OF 1970 
                  [5th September, 1970.]
 
 
 An Act  to regulate  the employment  of  contract  labour  in  certain
 establishments  and   to  provide   for  its   abolition  in   certain
 circumstances and for matters connected therewith.
 
      BE it  enacted by  Parliament in  the Twenty-first  Year  of  the
 Republic of India as follows :--
 
 
 CHAP
 
 PRELIMINARY
 
 
                               CHAPTER I
 
                              PRELIMINARY
 
 
 1.
 
 Short title, extent, commencement and application.
 
 
      1. Short title, extent,  commencement and  application.- (1) This
 Act may  be called the Contract Labour (Regulation and Abolition) Act,
 1970.
 
      (2) It extends to the whole of India.
 
      (3) It  shall come  into force  on such  date 1*  as the  Central
 Government may,  by notification  in the Official Gazette, appoint and
 different dates may be appointed for different provisions of this Act.
 
      (4) It applies--
 
           (a) to  every establishment  in which twenty or more workmen
                are employed  or  were  employed  on  any  day  of  the
                preceding twelve months as contract labour;
 
           (b) to  every contractor who employes or who employed on any
                day of  the preceding  twelve  months  twenty  or  more
                workmen:
 
      Provided that  the appropriate  Government may,  after giving not
 less  than   two  months'  notice  of  its  intention  so  to  do,  by
 notification in the Official Gazette, apply the provisions of this Act
 to any  establishment or  contractor employing  such number of workmen
 less than twenty as may be specified in the notification.
 
      (5) (a)  It shall  not apply to establishments in which work only
 of an intermittent or casual nature is performed.
 
      (b)  If   a  question   arises  whether   work  performed  in  an
 establishment is  of an intermittent or casual nature, the appropriate
 Government shall
 ---------------------------------------------------------------------
 1.   10th February,  1971; vide Notification No. G.S.R. 190 dated 1-2-
      1971, Gazette of India, 1971, Pt. II, Sec. 3(i), p.173.
 
 502
 
 decide that  question after consultation with the Central Board or, as
 the case may be, a State Board, and its decision shall be final.
 
      Explanation.--For the purpose of this sub-section, work performed
 in an  establishment shall  not be  deemed to  be of  an  intermittent
 nature--
 
           (i) if it was performed for more than one hundred and twenty
                days in the preceding twelve months, or
 
           (ii) if  it is  of a seasonal character and is performed for
                more than sixty days in a year.
 
 
 2.
 
 Definitions.
 
 
      2. Definitions.- (1) In  this Act,  unless the  context otherwise
 requires,--
 
      1*[(a) "appropriate Government" means,--
 
         (i) in  relation to  an establishment  in  respect  of   which
             the appropriate Government under the  Industrial  Disputes
             Act, 1947 (14 of 1947),  is  the  Central  Government, the
             Central Government;
 
         (ii) in  relation to  any other  establishment, the Government
              of  the  State  in  which  that  other  establishment  is
              situate;]
 
           (b) a  workman shall  be deemed  to be employed as "contract
                labour" in  or  in  connection  with  the  work  of  an
                establishment when he is hired in or in connection with
                such work  by or  through a contractor, with or without
                the knowledge of the principal employer;
 
           (c) "contractor",  in relation  to an establishment, means a
                person who undertakes to produce a given result for the
                establishment, other  than a  mere supply  of goods  of
                articles of  manufacture to such establishment, through
                contract labour or who supplies contract labour for any
                work  of   the  establishment   and  includes   a  sub-
                contractor;
 
           (d) "controlled  industry" means any industry the control of
                which by the Union has been declared by any Central Act
                to be expedient in the public interest;
 ---------------------------------------------------------------------
 1.   Subs. by Act 14 of 1986, s. 2 (w.e.f. 28.1.1986).
 
 503
 
           (e) "establishment" means--
 
                     (i) any  office or department of the Government or
                a local authority, or
 
                     (ii)  any   place  where   any  industry,   trade,
                business, manufacture or occupation is carried on;
 
           (f) "prescribed"  means prescribed  by rules made under this
                Act;
 
           (g) "principal employer" menas--
 
                     (i) in relation to any office or department of the
                Government or  a local  authority,  the  head  of  that
                office or  department or  such  other  officer  as  the
                Government or  the local authority, as the case may be,
                may specify in this behalf,
 
                     (ii) in  a factory,  the owner  or occupier of the
                factory and  where a  person  has  been  named  as  the
                manager of  the factory  under the Factories Act,  1948
                (63 of 1948) the person so named,
 
                     (iii) in  a mine,  the owner  or agent of the mine
                and where a person has been named as the manager of the
                mine, the person so named,
 
                     (iv)  in   any  other  establishment,  any  person
                responsible for  the supervision  and  control  of  the
                establishment.
 
      Explanation.--For the purpose of sub-clause (iii) of this clause,
 the expressions  "mine", "owner"  and "agent"  shall have the meanings
 respectively assigned to them in clause (j), clause (l) and clause (c)
 of sub-section (1) of section 2 of the Mines Act, 1952 (35 of  1952);
 
           (h) "wages"  shall have the meaning assigned to it in clause
                (vi) of section 2 of the Payment of Wages Act, 1936  (4
                of 1936);
 
           (i) "workman"  means any person employed in or in connection
                with the  work of  any establishment to do any skilled,
                semiskilled   or    un-skilled   manual,   supervisory,
                technical or  clerical work for hire or reward, whether
                the terms of employment be express or implied, but does
                not include any such person--
 
                     (A) who  is employed  mainly in  a  managerial  or
                administrative capacity; or
 
                     (B) who,  being employed  in a superviory capacity
                draws wages exceeding five hundred rupees per mensem or
                exercises, either  by the nature of the duties attached
                to the office or by reason of the powers vested in him,
                functions mainly of a managerial nature; or
 
 504
 
                     (C) who is an out-worker, that is to say, a person
                to whom  any articles  or materials are given out by or
                on behalf  of the  Principal employer  to be  made  up,
                cleaned,   washed,   altered,   ornamented,   finished,
                repaired, adapted  or otherwise  processed for sale for
                the purposes  of the trade or business of the principal
                employer and the process is to be carried out either in
                the home  of the  out-worker or in some other premises,
                not being  premises under the control and management of
                the principal employer.
 
      (2) Any  reference in  this Act to a law which is not in force in
 the State  of Jammu  and Kashmir  shall, in relation to that State, be
 construed as a reference to the corresponding law, if any, in force in
 that State.
 
 
 CHAP
 
 THE ADVISORY BOARDS
 
 
                               CHAPTER II
 
                          THE ADVISORY BOARDS
 
 
 3.
 
 Central Advisory Board.
 
 
      3. Central  Advisory Board.- (1) The Central Government shall, as
 soon as  may be,  constitute a board to be called the Central Advisory
 Contract Labour  Board (hereinafter  referred to as the Central Board)
 to advise  the Central  Government on  such matters arising out of the
 administration of  this Act  as may be referred to it and to carry out
 other functions assigned to it under this Act.
 
      (2) The Central Board shall consist of--
 
           (a) a Chairman to be appointed by the Central Government;
 
           (b) the Chief Labour Commissioner (Central), ex-officio;
 
           (c) such  number of members, not exceeding seventeen but not
                less  than   eleven,  as  the  Central  Government  may

                nominate to  represent that  Government, the  Railways,                

the   coal   industry,   the   mining   industry,   the
                contractors, the workmen and any other interests which,
                in the  opinion of  the Central Government, ought to be
                represented on the Central Board.
 
      (3) The number of persons to be appointed as members from each of
 the categories  specified in  sub-section (2),  the term of office and
 other conditions  of service  of, the  procedure to be followed in the
 discharge of  their functions  by, and the manner of filling vacancies
 among, the  members of  the Central  Board shall  be such  as  may  be
 prescribed:
 
      Provided that  the number  of members  nominated to represent the
 workmen shall  not be  less than  the number  of members  nominated to
 represent the principal employers and the contractors.
 
 505
 
 
 4.
 
 State Advisory Board.
 
 
      4. State Advisory Board.- (1) The State Government may constitute
 a board  to  be  called  the  State  Advisory  Contract  Labour  Board
 (hereinafter referred  to as  the State  Board) to  advise  the  State
 Government on  such matters  arising out of the administration of this
 Act as may be referred to it and to carry out other functions assigned
 to it under this Act.
 
      (2) The State Board shall consist of--
 
           (a)  a Chairman to be appointed by the State Government;
 
           (b) the  Labour Commissioner,  ex-officio, or in his absence
                any other  officer nominated by the State Government in
                that behalf;
 
           (c) such  number of  members, not  exceeding eleven  but not
                less than nine, as the State Government may nominate to
                represent   that    Government,   the   industry,   the
                contractors, the workmen and any other interests which,
                in the  opinion of  the State  Government, ought  to be
                represented on the State Board.
 
      (3) The number of persons to be appointed as members from each of
 the categories  specified in  sub-section (2),  the term of office and
 other conditions  of service  of, the  procedure to be followed in the
 discharge of  their functions  by, and the manner of filling vacancies
 among, the  members of  the State  Board  shall  be  such  as  may  be
 prescribed:
 
      Provided that  the number  of members  nominated to represent the
 workmen shall  not be  less than  the number  of members  nominated to
 represent the principal employers and the contractors.
 
 
 5.
 
 Power to constitute committees.
 
 
      5. Power to constitute  committees.- (1) The Central Board or the
 State Board,  as the  case may  be, may constitute such committees and
 for such purpose or purposes as it may think fit.
 
      (2) The  committe constituted under sub-section (1) shall meet at
 such times  and places  and shall  observe such  rules of procedure in
 regard to  the transaction  of business  at its  meetings  as  may  be
 prescribed.
 
      (3) The  members of  a committee  shall be  paid  such  fees  and
 allowances for attending its meetings as may be prescribed:
 
      Provided that  no fees  shall be  payable to  a member  who is an
 officer of Government or of any corporation established by any law for
 the time being in force.
 
 506
 
 
 CHAP
 
 REGISTRATION OF ESTABLISHMENTS EMPLOYING CONTRACT LABOUR
 
 
                              CHAPTER III
 
        REGISTRATION OF ESTABLISHMENTS EMPLOYING CONTRACT LABOUR
 
 
 6.
 
 Appointment of registering officers.
 
 
      6.  Appointment   of  registering  officers.-   The   appropriate
 Government may, by an order notified in the Official Gazette--
 
           (a)  appoint   such  persons,  being  Gazetted  Officers  of
                Government, as it thinks fit to be registering officers
                for the purposes of this Chapter; and
 
           (b) define  the limits,  within which  a registering officer
                shall exercise  the powers conferred on him by or under
                this Act.
 
 
 7.
 
 Registration of certain establishments.
 
 
      7. Registration  of certain  establishments.- (1) Every principal
 employer of  an establishment  to which this Act applies shall, within
 such period  as the appropriate Government may, by notification in the
 Official Gazette,  fix in  this behalf  with respect to establishments
 generally or with respect to any class of them, make an application to
 the registering  officer in  the prescribed manner for registration of
 the establishment:
 
      Provided that  the registering  officer may  entertain  any  such
 application for  registration after expiry of the period fixed in this
 behalf, if  the registering officer is satified that the applicant was
 prevented by sufficient cause from making the application in time.
 
      (2) If  the application  for  registration  is  complete  in  all
 respects, the registering officer shall register the establishment and
 issue to  the principal employer of the establishment a certificate of
 registration containing such particulars as may be prescribed.
 
 
 8.
 
 Revocation of registration in certain cases.
 
 
      8.  Revocation   of  registration   in  certain  cases.-  If  the
 registering officer is satisfied, either on a reference made to him in
 this behalf  or otherwise,  that the registration of any establishment
 has been  obtained by misrepresentation or suppression of any material
 fact, or that for any other reason the registration has become useless
 or ineffective and, therefore, requires to be revoked, the registering
 officer may,  after giving an opportunity to the principal employer of
 the establishment  to be  heard and  with the previous approval of the
 appropriate Government, revoke the registration.
 
 
 9.
 
 Effect of non-registration.
 
 
      9. Effect  of  non-registration.- No  principal  employer  of  an
 establishment, to which this Act applies, shall--
 
           (a)  in   the  case  of  an  establishment  required  to  be
                registered under  section 7,  but which  has  not  been
                registered within  the time fixed for the purpose under
                that section,
 
 507
 
           (b) in  the case  of an  establishment the  registration  in
                respect of which has been revoked under section 8,
 
 employ contract  labour in  the establishment  after the expiry of the
 period  referred   to  in  clause  (a)  or  after  the  revocation  of
 registration referred to in clause (b), as the case may be.
 
 
 10.
 
 Prohibition of employment of contract labour.
 
 
      10.  Prohibition   of  employment   of   contract   labour.-  (1)
 Notwithstanding  anything  contained  in  this  Act,  the  appropriate
 Government may,  after consultation  with the Central Board or, as the
 case may  be, a State Board, prohibit, by notification in the Official
 Gazette, employment  of contract  labour in  any process, operation or
 other work in any establishment.
 
      (2) Before  issuing any  notification under  sub-section  (1)  in
 relation to  an establishment,  the appropriate  Government shall have
 regard to  the conditions  of  work  and  benefits  provided  for  the
 contract labour in that establishment and other relevant factors, such
 as--
 
           (a)  whether   the  process,  operation  or  other  work  is
                incidental to,  or necessary  for the  industry, trade,
                business, manufacture  or occupation that is carried on
                in the establishment:
 
           (b) whether it is of perennial nature, that is to say, it is
                of sufficient  duration having  regard to the nature of
                industry, trade,  business, manufacture  or  occupation
                carried on in that establishment;
 
           (c) whether it is done ordinarily through regular workmen in
                that establishment or an establishment similar thereto;
 
           (d) whether  it is  sufficient to employ considerable number
                of whole-time workmen.
 
      Explanation.--If  a   question  arises  whether  any  process  or
 operation or  other work  is of  perennial nature, the decision of the
 appropriate Government thereon shall be final.
 
 
 CHAP
 
 LICENSING OF CONTRACTORS
 
 
                               CHAPTER IV
 
                          LICENSING OF CONTRACTORS
 
 
 11.
 
 Appointment of licensing officers.
 
 
      11. Appointment of licensing officers.- The appropriate Government

  may, by an order notified in the Official Gazette  

(a)  appoint   such  persons,  being  Gazetted  Officers  of
                Government, as  it thinks  fit to be licensing officers
                for the purposes of this Chapter; and
 
 508
 
           (b) define  the limits,  within which  a  licensing  officer
                shall  exercise   the  powers  conferred  on  licensing
                officers by or under this Act.
 
 
 12.
 
 Licensing of contractors.
 
 
      12. Licensing  of contractors.- (1) With effect from such date as
 the appropriate  Government  may,  by  notification  in  the  Official
 Gazette, appoint,  no contractor  to  whom  this  Act  applies,  shall
 undertake or execute any work through contract labour except under and
 in accordance  with a  licence issued  in that behalf by the licensing
 officer.
 
      (2) Subject  to the  provisions of this Act, a licence under sub-
 section (1)  may contain  such conditions  including,  in  particular,
 conditions as  to hours of work, fixation of wages and other essential
 amenities in  respect of contract labour as the appropriate Government
 may deem  fit to  impose in  accordance with  the rules,  if any, made
 under section  35 and  shall be  issued on payment of such fees and on
 the deposit  of such  sum, if any, as security for the due performance
 of the conditions as may be prescribed.
 
 
 13.
 
 Grant of licences.
 
 
      13. Grant  of licences.- (1) Every application for the grant of a
 licence under  sub-section (1)  of section  12 shall  be made  in  the
 prescribed form  and  shall  contain  the  particulars  regarding  the
 location of  the establishment,  the nature  of process,  operation or
 work for  which contract  labour is  to be  employed  and  such  other
 particulars as may be prescribed.
 
      (2) The  licensing officer may make such investigation in respect
 of the  application received  under sub-section  (1) and in making any
 such investigation  the licensing  officer shall follow such procedure
 as may be prescribed.
 
      (3) A  licence granted  under this Chapter shall be valid for the
 period specified therein and may be renewed from time to time for such
 period and  on payment  of such  fees and on such conditions as may be
 prescribed.
 
 
 14.
 
 Revocation, suspension and amendment of licences.
 
 
      14. Revocation, suspension and amendment of licences.- (1) If the
 licensing officer  is satisfied,  either on a reference made to him in
 this behalf or otherwise, that--
 
           (a) a  licence granted under section 12 has been obtained by
                misrepresentation or  suppression of any material fact,
                or
 
           (b) the  holder of  a licence has, without reasonable cause,
                failed to  comply with  the conditions subject to which
                the licence  has been granted or has contravened any of
                the  provisions   of  this   Act  or   the  rules  made
                thereunder,
 
 then, without  prejudice to  any other  penalty to which the holder of
 the licence  may be  liable under this Act, the licensing officer may,
 after giving
 
 509
 
 the holder  of the  licence an opportunity of showing cause, revoke or
 suspend the licence or forfeit the sum, if any, or any portion thereof
 deposited as  security for  the  due  performance  of  the  conditions
 subject to which the licence has been granted.
 
      (2) Subject  to any  rules that  may be  made in this behalf, the
 licensing officer  may vary  or amend  a licence granted under section
 12.
 
 
 15.
 
 Appeal.
 
 
      15. Appeal.- (1) Any  person aggrieved  by an  order  made  under
 section 7, section 8, section 12 or section 14 may, within thirty days
 from the  date on  which the  order is  communicated to him, prefer an
 appeal to an appellate officer who shall be a person nominated in this
 behalf by the appropriate Government:
 
      Provided that  the appellate  officer may  entertain  the  appeal
 after the expiry of the said period of thirty days, if he is satisfied
 that the  appellant was  prevented by sufficient cause from filing the
 appeal in time.
 
      (2) On  receipt of an appeal under sub-section (1), the appellate
 officer shall,  after giving  the appellant  an opportunity  of  being
 heard dispose of the appeal as expeditiously as possible.
 
 
 CHAP
 
 WELFARE AND HEALTH OF CONTRACT LABOUR
 
 
                               CHAPTER V
 
                 WELFARE AND HEALTH OF CONTRACT LABOUR
 
 
 16.
 
 Canteens.
 
 
      16. Canteens.- (1) The  appropriate  Government  may  make  rules
 requiring that in every establishment--
 
           (a) to which this Act applies,
 
           (b) wherein  work requiring employment of contract labour is
                likely  to   continue  for   such  period   as  may  be
                prescribed, and
 
           (c) wherein contract labour numbering one hundred or more is
                ordinarily employed by a contractor,
 
 one  or  more  canteens  shall  be  provided  and  maintained  by  the
 contractor for the use of such contract labour.
 
      (2) Without  prejudice to  the generality of the foregoing power,
 such rules may provide for--
 
           (a) the date by which the canteens shall be provided;
 
           (b) the  number of  canteens that shall be provided, and the
                standards in  respect of  construction,  accommodation,
                furniture and other equipment of the canteens; and
 
 510
 
           (c) the  foodstuffs which  may be  served  therein  and  the
                charges which may be made therefor.
 
 
 17.
 
 Rest-rooms.
 
 
      17. Rest-rooms.- (1) In every place  wherein contract  labour  is
 required  to  halt  at  night  in  connection  with  the  work  of  an
 establishment--
 
           (a) to which this Act applies, and
 
           (b) in which work requiring employment of contract labour is
                likely  to   continue  for   such  period   as  may  be
                prescribed,
 
 there shall  be provided  and maintained by the contractor for the use
 of the  contract labour  such  number  of  rest-rooms  or  such  other
 suitable  alternative   accommodation  within  such  time  as  may  be
 prescribed.
 
      (2)  The  rest-rooms  or  the  alternative  accommodation  to  be
 provided under  sub-section (1)  shall  be  sufficiently  lighted  and
 ventilated  and  shall  be  maintained  in  a  clean  and  comfortable
 condition.
 
 
 18.
 
 Other facilities.
 
 
      18. Other  facilities.- It shall be  the duty of every contractor
 employing  contract   labour  in   connection  with  the  work  of  an
 establishment to which this Act applies, to provide and maintain--
 
           (a) a  sufficient supply of wholesome drinking water for the
                contract labour at convenient places;
 
           (b) a  sufficient number  of latrines  and  urinals  of  the
                prescribed types  so situated  as to  be convenient and
                accessible to the contract labour in the establishment;
                and
 
           (c) washing facilities.
 
 
 19.
 
 First-aid facilities.
 
 
      19. First-aid facilities.- There shall be provided and maintained
 by the  contractor so  as to  be readily accessible during all working
 hours a  first-aid box  equipped with the prescribed contents at every
 place where contract labour is employed by him.
 
 
 20.
 
 Liability of principal employer in certain cases.
 
 
      20. Liability of principal employer in certain cases.- (1) If any
 amenity required  to be provided under section 16, section 17, section
 18 or section 19 for the benefit of the contract labour employed in an
 establishment is  not provided  by  the  contractor  within  the  time
 prescribed therefor,  such amenity  shall be provided by the principal
 employer within such time as may be prescribed.
 
      (2) All  expenses incurred by the principal employer in providing
 the amenity  may be  recovered by  the  principal  employer  from  the
 contractor  either  by  deduction  from  any  amount  payable  to  the

    

contractor under any contract or as a debt payable by the contractor

511
 
 
 21.
 
 Responsibility for payment of wages.
 
 
      21. Responsibility  for payment of wages.- (1) A contractor shall
 be responsible  for payment of wages to each worker employed by him as
 contract labour and such wages shall be paid before the expiry of such
 period as may be prescribed.
 
      (2) Every principal employer shall nominate a representative duly
 authorised by  him to  be present at the time of disbursement of wages
 by the  contractor and  it shall be the duty of such representative to
 certify the amounts paid as wages in such manner as may be prescribed.
 
      (3) It  shall be  the  duty  of  the  contractor  to  ensure  the
 disbursement of wages in the presence of the authorised representative
 of the principal employer.
 
      (4) In  case the contractor fails to make payment of wages within
 the prescribed  period or  makes short  payment,  then  the  principal
 employer shall  be liable  to make  payment of  wages in  full or  the
 unpaid balance  due, as  the case  may  be,  to  the  contract  labour
 employed by  the contractor  and recover  the amount  so paid from the
 contractor  either  by  deduction  from  any  amount  payable  to  the
 contractor under any contract or as a debt payable by the contractor.
 
 
 CHAP
 
 PENALTIES AND PROCEDURF
 
 
                               CHAPTER VI
 
                        PENALTIES AND PROCEDURF
 
 
 22.
 
 Obstructions.
 
 
      22. Obstructions.- (1) Whoever  obstructs  an  inspector  in  the
 discharge of his duties under this Act or refuses or wilfully neglects
 to afford  the  inspector  any  reasonable  facility  for  making  any
 inspection, examination,  inquiry or  investigation authorised  by  or
 under this  Act in  relation  to  an  establishment  to  which,  or  a
 contractor to  whom,  this  Act  applies,  shall  be  punishable  with
 imprisonment for a term which may extend to three months, or with fine
 which may extend to five hundred rupees, or with both.
 
      (2) Whoever  wilfully refuses  to produce  on the  demand  of  an
 inspector any register or other document kept in pursuance of this Act
 or prevents  or attempts  to prevent  or does  anything which  he  has
 reason to  believe is  likely to  prevent any  person  from  appearing
 before or  being examined  by an  inspector acting in pursuance of his
 duties under  this Act,  shall be  punishable with  imprisonment for a
 term which  may extend  to three months, or with fine which may extend
 to five hundred rupees, or with both.
 
 
 23.
 
 Contravention of provisions regarding employment of contract labour.
 
 
      23. Contravention  of provisions regarding employment of contract
 labour.- Whoever contravenes any provision of this Act or of any rules
 made thereunder  prohibiting, restricting or regulating the employment
 of contract  labour, or contravenes any condition of a licence granted
 under
 
 512
 
 this Act,  shall be  punishable with imprisonment for a term which may
 extend to  three months, or with fine which may extend to one thousand
 rupees, or  with both,  and in  the case of a continuing contravention
 with an  additional fine  which may  extend to  one hundred rupees for
 every day  during which  such contravention continues after conviction
 for the first such contravention.
 
 
 24.
 
 Other offences.
 
 
      24.  Other offences.-  If  any  person  contravenes  any  of  the
 provisions of  this Act  or of  any rules made thereunder for which no
 other penalty  is elsewhere  provided, he  shall  be  punishable  with
 imprisonment for a term which may extend to three months, or with fine
 which may extend to one thousand rupees, or with both.
 
 
 25.
 
 Offences by companies.
 
 
      25. Offences  by companies.- (1)  If  the  person  committing  an
 offence under  this Act  is a  company, the  company as  well as every
 person in  charge of,  and responsible to, the company for the conduct
 of its  business at the time of the commission of the offence shall be
 deemed to be guilty of the offence and shall be liable to be proceeded
 against and punished accordingly:
 
      Provided that  nothing contained in this sub-section shall render
 any such person liable to any punishment if he proves that the offence
 was committed  without his  knowledge or  that he  exercised  all  due
 diligence to prevent the commission of such offence.
 
      (2) Notwithstanding  anything contained in sub-section (1), where
 an offence  under this  Act has  been committed by a company and it is
 proved that  the offence  has been  committed   with  the  consent  or
 connivance of,  or that  the commission of the offence is attributable
 to any neglect on the part of any director, manager, managing agent or
 any other  officer of  the company,  such director,  manager, managing
 agent or  such other officer shall also be deemed to be guilty of that
 offence and  shall be  liable to  be proceeded  against  and  punished
 accordingly.
 
      Explanation.--For the purpose of this section--
 
           (a) "company"  means any  body corporate and includes a firm
                or other association of individuals; and
 
           (b) "director",  in relation  to a  firm, means a partner in
                the firm.
 
 
 26.
 
 Cognizance of offences.
 
 
     26. Cognizance of offences.- No court shall take cognizance of any
 offence under  this Act  except on  a complaint  made by,  or with the
 previous sanction  in writing  of, the inspector and no court inferior
 to that  of a Presidency Magistrate or a magistrate of the first class
 shall try any offence punishable under this Act.
 
 513
 
 
 27.
 
 Limitation of prosecutions.
 
 
     27. Limitation of prosecutions.- No court shall take cognizance of
 an offence  punishable under  this Act unless the complaint thereof is
 made within three months from the date on which the alleged commission
 of the offence came to the knowledge of an inspector:
 
      Provided that  where the offence consists of disobeying a written
 order made  by an  inspector, complaint thereof may be made within six
 months of  the date  on which  the offence  is alleged  to  have  been
 committed.
 
 
 CHAP
 
 MISCELLANEOUS
 
 
                              CHAPTER VII
 
                             MISCELLANEOUS
 
 
 28.
 
 Inspecting staff.
 
 
      28. Inspecting  staff.- (1) The appropriate  Government  may,  by
 notification in  the Official  Gazette, appoint  such  persons  as  it
 thinks fit  to be  inspectors for the purposes of this Act, and define
 the local  limits within  which they shall exercise their powers under
 this Act.
 
      (2) Subject  to any  rules made in this behalf, an inspector may,
 within the local limits for which he is appointed--
 
           (a) enter, at all reasonable hours, with such assistance (if
                any), being persons in the service of the Government or
                any local  or other  public authority as he thinks fit,
                any  premises   or  place   where  contract  labour  is
                employed, for  the purpose of examining any register or
                record or  notices required  to be kept or exhibited by
                or under this Act or rules made thereunder, and require
                the production thereof for inspection;
 
           (b) examine any person whom he finds in any such premises or
                place and who, he has reasonable cause to believe, is a
                workman employed therein;
 
           (c) require  any person  giving out work and any workman, to
                give any  information, which  is in  his power  to give
                with respect  to the names and addresses of the persons
                to, for  and  from  whom  the  work  is  given  out  or
                received, and  with respect  to the payments to be made
                for the work;
 
           (d) seize  or take  copies of such register, record of wages
                or notices  or portions  thereof  as  he  may  consider
                relevant in  respect of an offence under this Act which
                he has  reason to  believe has  been committed  by  the
                principal employer or contractor; and
 
           (e) exercise such other powers as may be prescribed.
 
      (3) Any  person required  to produce  any document or thing or to
 give any  information required  by an  inspector under sub-section (2)
 shall be
 
 514
 
 deemed to  be legally bound to do so within the meaning of section 175

    

and section 176 of the Indian Penal Code (45 of 1860).

(4) The provisions of the Code of Criminal Procedure, 1898  (5 of
 1898), shall,  so far  as may be, apply to any search or seizure under
 sub-section (2)  as they apply to any search or seizure made under the
 authority of a warrant issued under section 98 of the said Code.
 
 
 29.
 
 Registers and other records to be maintained.
 
 
      29. Registers  and other records to  be  maintained.-  (1)  Every
 principal employer  and every contractor shall maintain such registers
 and records  giving such  particulars of contract labour employed, the
 nature of  work performed  by the  contract labour, the rates of wages
 paid to the contract labour and such other particulars in such form as
 may be prescribed.
 
      (2) Every  principal employer  and every  contractor  shall  keep
 exhibited in  such manner  as may be prescribed within the premises of
 the establishment  where the  contract labour  is employed, notices in
 the prescribed  form containing  particulars about  the hours of work,
 nature of duty and such other information as may be prescribed.
 
 
 30.
 
 Effect of laws and agreements inconsistent with this Act.
 
 
      30. Effect of laws and agreements inconsistent with this Act.- (1)
 The provisions  of this Act shall have effect notwithstanding anything
 inconsistent therewith  contained in  any other law or in the terms of
 any agreement  or contract  of service,  or  in  any  standing  orders
 applicable to  the establishment  whether made  before  or  after  the
 commencement of this Act:
 
      Provided that where under any such agreement, contract of service
 or standing  orders the  contract labour employed in the establishment
 are entitled  to benefits  in respect  of any  matter which  are  more
 favourable to  them than  those to  which they would be entitled under
 this Act,  the contract  labour shall  continue to  be entitled to the
 more favourable  benefits in  respect of  that matter, notwithstanding
 that they receive benefits in respect of other matters under this Act.
 
      (2)  Nothing   contained  in  this  Act  shall  be  construed  as
 precluding any  such contract  labour from  entering into an agreement
 with the principal employer or the contractor, as the case may be, for
 granting them  rights or privileges in respect of any matter which are
 more favourable  to them  than those  to which  they would be entitled
 under this Act.
 
 
 31.
 
 Power to exempt in special cases.
 
 
      31. Power to exempt in special cases.- The appropriate Government
 may, in  the case  of an  emergency, direct,  by notification  in  the
 Official Gazette, that subject to such conditions and restrictions, if
 any, and  for such  period or  periods, as  may be  specified  in  the
 notification, all  or any  of the  provisions of this Act or the rules
 made thereunder  shall not  apply to  any establishment  or  class  of
 establishments or any class of contractors.
 
 515
 
 
 32.
 
 Protection of action taken under this Act.
 
 
      32. Protection of action  taken under  this Act.-  (1)  No  suit,
 prosecution  or   other  legal   proceedings  shall  lie  against  any
 registering officer, licensing officer or any other Government servant
 or against  any member of the Central Board or the State Board, as the
 case may  be, for  anything which is in good faith done or intended to
 be done in pursuance of this Act or any rule or order made thereunder.
 
      (2) No  suit or  other legal  proceeding shall  lie  against  the
 Government for  any damage  caused or  likely to be caused by anything
 which is  in good  faith done  or intended  to be done in pursuance of
 this Act or any rule or order made thereunder.
 
 
 33.
 
 Power to give directions.
 
 
      33. Power  to give  directions.- The  Central Government may give
 directions to  the Government  of any  State as  to the  carrying into
 execution in the State of the provisions contained in this Act.
 
 
 34.
 
 Power to remove difficulties.
 
 
      34. Power  to remove  difficulties.- If any difficulty  arises in
 giving effect  to the  provisions of  this Act, the Central Government
 may, by  order published in the Official Gazette, make such provisions
 not inconsistent  with the provisions of this Act, as appears to it to
 be necessary or expedient for removing the difficulty.
 
 
 35.
 
 Power to make rules.
 
 
      35. Power  to make  rules.- (1) The appropriate  Government  may,
 subject to  the condition  of previous  publication,  make  rules  for
 carrying out the purposes of this Act.
 
      (2) In particular, and without prejudice to the generality of the
 foregoing power,  such rules  may  provide  for  all  or  any  of  the
 following matters, namely:--
 
           (a) the  number  of  persons  to  be  appointed  as  members
                representing various interests on the Central Board and
                the State  Board, the  term of  their office  and other
                conditions of  service, the procedure to be followed in
                the discharge  of their  functions and  the  manner  of
                filling vacancies;
 
           (b) the  times and  places of  the meetings of any committee
                constituted  under   this  Act,  the  procedure  to  be
                followed  at   such  meetings   including  the   quorum
                necessary for the transaction of business, and the fees
                and allowances  that may  be paid  to the  members of a
                committee;
 
           (c) the  manner in  which establishments  may be  registered
                under section  7, the  levy of  a fee  therefor and the
                form of certificate of registration;
 
           (d) the  form of  application for  the grant or renewal of a
                licence under  section 13  and the  particulars it  may
                contain;
 
           (e) the  manner in  which an  investigation is to be made in
                respect of  an application  for the  grant of a licence
                and the matters to be taken into account in granting or
                refusing a licence;
 
 516
 
           (f) the  form of  a licence  which may be granted or renewed
                under section  12 and  the conditions  subject to which
                the licence  may be  granted or renewed, the fees to be
                levied for  the grant  or renewal  of a licence and the
                deposit of  any sum  as security for the performance of
                such conditions;
 
           (g) the  circumstances under which licences may be varied or
                amended under section 14;
 
           (h) the  form and manner in which appeals may be filed under
                section  15   and  the  procedure  to  be  followed  by
                appellate officers in disposing of the appeals;
 
           (i) the time within which facilities required by this Act to
                be provided  and maintained  may be  so provided by the
                contractor and  in case  of default  on the part of the
                contractor, by the principal employer;
 
           (j) the  number and  types of canteens, rest-rooms, latrines
                and urinals that should be provided and maintained;
 
           (k) the  type of  equipment that  should be  provided in the
                first-aid boxes;
 
           (l) the period within which wages payable to contract labour
                should be  paid by the contractor under sub-section (1)
                of section 21;
 
           (m) the  form of  registers and  records to be maintained by
                principal employers and contractors;
 
           (n) the  submission of  returns, forms  in  which,  and  the
                authorities to which, such returns, may be submitted;
 
           (o) the  collection of  any  information  or  statistics  in
                relation to contract labour; and
 
           (p) any  other matter which has to be, or may be, prescribed
                under this Act.
 
      (3) Every  rule made  by the  Central Government  under this  Act
 shall be laid as soon as may be after it is made, before each House of
 Parliament while  it is  in session  for a total period of thirty days
 which may  be comprised  in one session or in two successive sessions,
 and if  before the expiry of the session in which it is so laid or the
 session  immediately  following,  both  Houses  agree  in  making  any
 modification in the rule or both Houses agree that the rule should not
 be made,  the rule  shall thereafter have effect only in such modified
 form or  be of  no effect,  as the  case may be; so, however, that any
 such modification  or annulment  shall be  without  prejudice  to  the
 validity of anything previously done under that rule.

 
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