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Master Circular 26 Contract Labour under Contract Labour

RBE 86/1991
Circularreservation

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Circular numberRBE 86/1991
TypeRates Master Circular
Topicreservation

Summary

contractor Contract Labour under Contract Labour (Regulation & Abolition) Act,

Text of the circular

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MASTER CIRCULAR
Master Circular No. 26
Contract Labour under Contract Labour (Regulation & Abolition) Act,
1970.
Contract Labour under Contract Labour (Regulation & Abolition) Act, 197
0.
CONTRACT LABOUR UNDER CONTRACT LABOUR (REGULATION & ABOLITION) ACTS,
197
0
 
Master Circular No. 26/91, on the subject cited above was last circulated to the
Railways vide Railway Board's Circular No. E(LL)91/AT/CNR/1-13 dated 24.4.91
(RBE 86/1991) which has now been up-dated and issued as under :-
2.    The Central Government, in order to regulate the employment of contract
labour, brought out the Contract Labour (Regulation and Abolition) Act, 1970 and
the Rules made thereunder in 1971, effective from 10.02.1971.
(Authority: Contract Labour (Regulation & Abolition) Act, 1970
 and the Rules made thereunder and Amendments issued from time to time.)
Some of the important provisions of the Act and the rules made thereunder are
reproduced below for convenience sake: —
2(1) Applicability: - It applies
a. To every establishment in which 20 or more workmen are employed or were
employed on any day of the preceding 12 months as contract labour, and
b. To every contractor who employs or who employed on any day of the
preceding 12 months 20 or more workmen.
Note:
i. The Central Government may, by Notification in the Official Gazette,
apply this Act to any establishment or contractor employing less than
20 workmen.
ii. The above provision shall not apply to establishment in which work only
of an intermittent or casual nature is performed.
2(2) Workman:
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.
2(3) Contractor:
"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 
or 
articles 
of 
manufacture 
to 
such
establishments, through Contract Labour or who supplies Contract
Labour for any work of the establishment and includes a sub-contractor.
2(4) Establishment:
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.
2(5) Principal Employer: - Principal employer means: —
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 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, the
person so named.
2(6) Registration of an establishment:
Every Principal employer of an establishment to which the Contract
Labour (R&A) Act applies shall, within such period as the appropriate
Government may, by notification in the Official Gazette, fix with respect
to each establishment, make an application to the registering officer in
the prescribed manner for registration of the establishment.
3.    On the Railways the Divisional Officers in the Divisions, Senior Mechanical
Engineers, Deputy Chief Mechanical Engineers or Works Managers (as the case
may be) in respect of workshops, District Controllers of Stores in respect of Stores
Depots, Executive Engineers in respect of constructions, Heads of Departments in
respect of contracts directly controlled by the Headquarters have been nominated
"Principal Employer". They are answerable for fulfilling the requirements of the Act
and the Rules as representatives of the Railway Establishments under their
administrative control.
[Railway Board's letter No.  E(LL)70AT/CNR/1-3 dated 15.10.1971]
4.    In accordance wit

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