Lok Sabha Question No. 913 (UNSTARRED), answered on 2016-11-21
Subject: Employment on Contractual Basis
Ministry: LABOUR AND EMPLOYMENT
Asked by: PARAYAMPARANBIL KUTTAPPAN BIJU, SATISH CHANDRA DUBEY, PRALHAD VENKATESH JOSHI, AJAY (TENI) MISRA, KUNWAR PUSHPENDRA SINGH CHANDEL, SONA RAM CHOUDHARY, ALOK SANJAR, INNOCENT

## GOVERNMENT OF INDIA MINISTRY OF LABOUR AND EMPLOYMENT LOK SABHA

## UNSTARRED QUESTION NO. 913 TO BE ANSWERED ON 21.11.2016 EMPLOYMENT ON CONTRACTUAL BASIS

913. SHRI P.K. BIJU:

SHRI SATISH CHANDRA DUBEY:

SHRI PRALHAD JOSHI:

SHRI AJAY MISRA TENI:

SHRI KUNWAR PUSHPENDRA SINGH CHANDEL:

COL. SONARAM CHOUDHARY:

SHRI ALOK SANJAR:

SHRI INNOCENT:

Will the Minister of LABOUR AND EMPLOYMENT be pleased to state:

- (a)the  number  of  contract  and  casual  workers  working  in  the  Central Government, Public Sector undertakings during the last three years and the current year, separately, State/UT-wise;
- (b)whether organised sector enterprises/employers are increasingly hiring  workers  on  contractual  terms  and  if  so,  the  details  thereof  along with the Government's stand on engaging workers on contractual basis;
- (c)the details of minimum wages paid to the contractual workers including the steps taken by the Government to provide "equal pay for equal work" to such contract and casual workers on the pattern of regular ones;
- (d)the mechanism put in place to ensure payment of minimum wages to the contract and casual workers engaged through the labour contractors; and
- (e)whether  the  Government  has formulated  any  policy  for  safeguarding  the interest  of  contractual/casual  workers  in  terms  of  wages  and  other service  conditions  and  also  with  regard  to  social  security  schemes including regularisation and improvement of working conditions and if so, the details thereof?

## ANSWER

## MINISTER OF STATE (IC) FOR LABOUR AND EMPLOYMENT (SHRI BANDARU DATTATREYA)

(a) & (b): The number of contract workers engaged on the basis of license issued  under  Contract  Labour(Regulation  &  Abolition)  Act,  1970  in  the Central Sphere during the last 3 years is given below:-

| Year    |   No. of Contract Labour* |
|---------|---------------------------|
| 2013-14 |                   1967747 |
| 2014-15 |                   1903170 |
| 2015-16 |                   2092673 |

The number of casual workers working in the Central Government and the establishments thereunder is not centrally maintained. They are engaged by the establishments based on their individual requirements.

(c): Contract and Casual workers engaged in Central Government Offices have the protection of minimum wages fixed under the Minimum Wages Act, 1948.  For  'equal  pay  for  equal  work',  the  provision  exists  under  Rule 25(2)(v)(a) of Contract Labour (Regulation & Abolition) Act, 1970. It stipulates that for the contract workers performing the same or similar kind of work as the regular employees of the establishment, the wage rates, holidays, hours of work and other conditions of service of the contract workers will be the same as applicable to the regular employee of the establishment performing the same or similar kind of work. Whenever any case comes, Deputy Chief Labour Commissioner (Central) is an authority under Rule (2)(v)(a) to decide the matter.

As  regards  the  casual  workers,  in  places  where  the  nature  of  work entrusted  to  the  casual  workers  and  regular  employees  is  the  same,  the casual workers is to be paid at the rate of 1/30 th  of the pay at the minimum of the relevant pay scale plus dearness allowance for work of 8 hours a day. In cases where the work done by a casual worker is different from the work done  by  a  regular  employee,  the  casual  worker  is  to  be  paid  only  the State Government/Union Territory Administration, whichever is higher, as per the Minimum  Wages  Act,  1948.  However,  if  a  Department  was  already  paying daily  wages  at  a  higher  rate  as  on  7 th   June,  1988,  the  practice  could  be minimum wages notified by the Central Government or the continued with the approval of its Financial Advisor.

(d) & (e): Strict  monitoring  of  payment  is  done  by  conducting  regular inspections and whenever there is a delay or non-payment of wages, claim cases are filed before the respective Regional Labour Commissioner (Central) who is an authority under the Act to decide the claims.

Though  there is no social security scheme  as  such  to ensure regularisation of workers working on contract or casual basis in the Central Government,  Public  Sector  Undertakings,  the  workers  avail  social  security and other benefits of the Employees' Compensation Act (1923), the Industrial Dispute Act (1947), the Employees' State Insurance Act (1948), the Minimum Wages Act (1948),  The Provident Funds Act (1925), the Employees Provident Fund  and  Miscellaneous  Provisions  Act  (1952),  the  Maternity  Benefit  Act (1961),  the  Contract  Labour  Act  (1970),  the  Payment  of  Gratuity  Act (1972),etc