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Important Citations regarding
Contract Labour Management in India
Is it not necessary to give notice of change of service condition as required
under section 9-A of the Industrial Disputes Act if an employer wants to
introduce Bio-Metric Attendance System.
Hindustan Unilever Employees Union Pondicherry Vs Inspector of
Factories , Pondecherry & Others 2010 LLR 878 (Madras High Court )
Depositing ESI/PF of Contract Labour by Principal Employer and
maintaining their attendance register would not mean that contract was not
genuine and contract labour was of principal employers.
Bharatiya Kamgar Sena Vs Udhe India Ltd. And Another. 2008 LLR 344
(Bombay HC)
The principal employer is liable to pay wages in case the contractor
defaults and the term ‘wages’ includes balance or arrears thereof.
Senior Regional Manager , Food Corporation of India , Calcutta V Tulsi
Das Bauri & Ors 1997 LLR 601 (SC)
If a contractor fails to make payment to its workers , the principal employer
would be liable to make payment.
Uttaranchal Jal Vidyut Nigam Ltd V Presiding officer labour court ,
Dehradun , 2004 LLR 1084 (Uttr HC)
Statutory duty of occupier to ensure safety and welfare to worker can not
be shifted to any one.
S.J. Ghandy and another Vs State of Jharkhand and others 2010 , (127) ,
FLR 1005 (Jharkhand HC)
Merely because the Principal Employer paid bonus to the contractor
workers , it will not establish the master servant relationship between
principal employer and contractor labour.
M/s Indian Iron & Steel Company Ltd (Burnpur works , Burnpur) Vs State
of West Bengal & Ors 2011 LLR 771 (Cal HC)
Merely because casually employed workmen are performing the same task
as of regularly employed workmen – can’t it self constitute a legal
justification for equal pay for equal work.
Air India Ltd Vs Presiding officer CGIT & Anr 2011 LLR 951 (Delhi HC)
Security Guard even engaged through contractors are entitled to get
minimum wages from the principal employer in case the contractor fails to
pay the same.
Tool room & training centre vs delhi industrial security gaurds (Redg.) 2011
LLR 827 (Del HC)
Mere identity card is not sufficient evidence for employer-employee
relationship.
Hon Punjab & Haryana High Court C.W.P. No 1748/2013 , D/-8-2-2013 ,
LLR P&H HC
THANK YOU
Disclaimer: Gaurav Dhavle has made this presentation during the project work done at Scrum System P Ltd.
(www.scrum-system.com/labourworks.html) This information is compiled from various sources on the internet. Users are expected to perform
their due diligence before using this information.

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Important citations about implementing a contract labour management system

  • 1. Important Citations regarding Contract Labour Management in India
  • 2. Is it not necessary to give notice of change of service condition as required under section 9-A of the Industrial Disputes Act if an employer wants to introduce Bio-Metric Attendance System. Hindustan Unilever Employees Union Pondicherry Vs Inspector of Factories , Pondecherry & Others 2010 LLR 878 (Madras High Court ) Depositing ESI/PF of Contract Labour by Principal Employer and maintaining their attendance register would not mean that contract was not genuine and contract labour was of principal employers. Bharatiya Kamgar Sena Vs Udhe India Ltd. And Another. 2008 LLR 344 (Bombay HC)
  • 3. The principal employer is liable to pay wages in case the contractor defaults and the term ‘wages’ includes balance or arrears thereof. Senior Regional Manager , Food Corporation of India , Calcutta V Tulsi Das Bauri & Ors 1997 LLR 601 (SC) If a contractor fails to make payment to its workers , the principal employer would be liable to make payment. Uttaranchal Jal Vidyut Nigam Ltd V Presiding officer labour court , Dehradun , 2004 LLR 1084 (Uttr HC)
  • 4. Statutory duty of occupier to ensure safety and welfare to worker can not be shifted to any one. S.J. Ghandy and another Vs State of Jharkhand and others 2010 , (127) , FLR 1005 (Jharkhand HC) Merely because the Principal Employer paid bonus to the contractor workers , it will not establish the master servant relationship between principal employer and contractor labour. M/s Indian Iron & Steel Company Ltd (Burnpur works , Burnpur) Vs State of West Bengal & Ors 2011 LLR 771 (Cal HC)
  • 5. Merely because casually employed workmen are performing the same task as of regularly employed workmen – can’t it self constitute a legal justification for equal pay for equal work. Air India Ltd Vs Presiding officer CGIT & Anr 2011 LLR 951 (Delhi HC) Security Guard even engaged through contractors are entitled to get minimum wages from the principal employer in case the contractor fails to pay the same. Tool room & training centre vs delhi industrial security gaurds (Redg.) 2011 LLR 827 (Del HC)
  • 6. Mere identity card is not sufficient evidence for employer-employee relationship. Hon Punjab & Haryana High Court C.W.P. No 1748/2013 , D/-8-2-2013 , LLR P&H HC
  • 7. THANK YOU Disclaimer: Gaurav Dhavle has made this presentation during the project work done at Scrum System P Ltd. (www.scrum-system.com/labourworks.html) This information is compiled from various sources on the internet. Users are expected to perform their due diligence before using this information.