Manish (salaried employee) (137 Points)
15 December 2008Hi,
Kindly let me know that, can a factory established under the Factory Act, run it's factory on all contractual labour.
Is there any penalty if they are not keeping any of the labour on company's roll and just keep all the labour on contractual roll.
Please suggets me as soon as possible with proper sections and rules.
Thanks & regards
Garima
(Student)
(1107 Points)
Replied 15 December 2008
As per Section 2(1) of the said Act, A worker means a person wmployed, directly or by through any agency (including a contractor) with or without the knowledge of the principal employer. He may be employed for or without the remuneration. But he must be employed in a manufacturing process, or in a cleaning some part of the manufacturing process, orin some kind of work oncidental to, or connected with, the manufacturing process, or subject of the manufacturing process.
Whather a particular person is a worker depend on the terms of the contract between him and the employer. A worker does not include an independent contractor or coolies or servants who are not under the control and supervision of the employer.
CAclubindia
