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(Guest)

Whether a principal employer or not

Ours is a road construction company. We have entered into a license agreement with a pvt company for toll collection at one of our roads for one year. The pvt company is now asking us to issue FORM V to them. We had called for the legal opinions. One opinion says we should issue form V as we are princpal emplyer for them and another says we should not issue form V as its a license agreement and the work has been alloted as Independent eMplyer to the pvt company.

 

Please advice..its urgent



 1 Replies

Nikhil Desai (Statutory Compliance Incharge)     14 July 2012

Have you entered into an Contract Agreement with your Contractor. If no, pls make an agreement . The location of the  work being is not mentioned. Under the Contract Labour Act, if the total number of contract employees you engage is more than 20, you need to obtain Licence from the jurisdictiona ALC or Labour Officer. The Contractor whom you  engaging deputes more than 20 employees in a single workplace, issue him Form V (on your company letterhead) under the CLRAct  and he has to obtain CL Licence from the same ALC or LO who has issued your CL Licence.  For more clarifications, pls write to nikdesai1972@gmail.com

 


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