Lok Sabha Question No. 2811 (UNSTARRED), answered on 2022-08-03
Subject: Workers engaged by Contractors
Ministry: COAL
Asked by: Amol Ramsing Kolhe, Gautham Sigamani Pon, Gajanan Chandrakant Kirtikar, Subhash Ramrao Bhamre, C.N. Annadurai, Dhanush M Kumar, Manjulata Mandal, Kuldeep Rai Sharma, DNV Senthilkumar. S., Sunil Dattatray Tatkare, Supriya Sadanand Sule, Ganesan Selvam

## GOVERNMENT OF INDIA MINISTRY OF COAL LOK  SABHA UNSTARRED QUESTION No. 2811

TO BE ANSWERED ON 03.08.2022

## Workers engaged by Contractors

## 2811.   DR. AMOL RAMSING KOLHE;

DR. PON GAUTHAM SIGAMANI;

SHRI GAJANAN KIRTIKAR;

DR. SUBHASH RAMRAO BHAMRE;

SHRI C.N. ANNADURAI;

SHRI DHANUSH M. KUMAR;

SHRIMATI MANJULATA MANDAL;

SHRI KULDEEP RAI SHARMA;

DR DNV SENTHIL KUMAR. S;

SHRI SUNIL DATTATRAY TATKARE;

SHRIMATI SUPRIYA SULE;

SHRI SELVAM G;

Will the Minister of Coal be pleased to state:

- (a)        the total number of workers engaged by the contractors in each  of the ancillary coal mine of the Coal India Limited (CIL);
- (b)         whether  any  agreement  is  signed  between  the  contractor  and  the  management regarding the working condition and wages of such workers;
- (c)         if  so,  the  total  remuneration  fixed  for  payment  to  various  categories  of  workers engaged by the contractors;
- (d)       whether the workers are being paid as per the agreement; and
- (e)        if not, the steps being taken by the management in this regard?

## Answer

## MINISTER OF PARLIAMENTARY AFFAIRS, COAL AND MINES (SHRI PRALHAD JOSHI)

- (a) Coal  India  Limited  (CIL)  and  its  subsidiaries  do  not  employ  contract  workers directly. However, some of the works are outsourced through agencies/contractors  and  those  agencies   employ   their  workmen  for  the  said work. Total number of workers engaged by the contractors in each subsidiary of CIL is given below:
- (b)  &  (c): Contract  is  awarded  as  per  the  NIT  (Notice  Inviting  Tender)  containing  all  the provisions of the statutory provisions of the applicable acts. The contractor has to follow the statutory provisions as per the relevant Acts/ Rules. Other than contract agreement, no other agreement is signed between the contractor and the management.

| Sl. No.   | Company   | No. of Contractors' workers presently deployed in CIL & It's Subsidiaries (as on 01.07.2022)   |
|-----------|-----------|------------------------------------------------------------------------------------------------|
| 1         | ECL       | 7,045                                                                                          |
| 2         | BCCL      | 6,110                                                                                          |
| 3         | CCL       | 6,461                                                                                          |
| 4         | WCL       | 11,107                                                                                         |
| 5         | SECL      | 14,912                                                                                         |
| 6         | MCL       | 21,590                                                                                         |
| 7         | NCL       | 20,265                                                                                         |
| 8         | CMPDIL    | 908                                                                                            |
| 9         | NEC       | 369                                                                                            |
| 10        | CIL(HQ)   | 312                                                                                            |
| TOTAL:    | TOTAL:    | 89,079                                                                                         |

Agreements  signed  for  Mining  Contracts  contain  provisions  related  to  Employment  of Labour,  payment  of  wages  and  Provident  Fund  deduction  provided  in  Clause  12  (xi)  of General Terms and Condition of the Contract Management Manual (attached as AnnexureA ). At present, HPC wages are 42% to 122% higher than the Central Government prescribed minimum wages for Highly skilled to unskilled labour respectively. Copy of the minimum rate of wages w.e.f. 1.04.2022 is attached herewith ( Annexure-B ).

- (d)  &  (e): The  contractors  have  to  pay  wages  as  per  agreement/  applicable  laws.  All payments  made  through  bank  transfer.  Management  takes  all  possible  steps  as  Principal Employer to ensure payment of wages to the contractors'  workers  as per the  agreement / applicable laws.

******

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## COAL INDIA LIMITED - CONTRACT MANAGEMENT MANUAL - 2022

CHAPTER 6 HIRING OF EQUIPMENT FOR REMOVAL OF OVERBURDEN & EXTRACTION OF COAL SECTION-6 (CONDITIONS OF CONTRACT GENERAL TERMS AND CONDITIONS)

Clause12.  Provision related to Employment of Labour, payment of wages and Provident      Fund deduction:

The execution of work shall be done by deploying machines / equipment through only regular employees of the Contractor. The Contractor shall also comply with statutory requirements under CL(R&A) Act and also obtain labour license.

The Contractor shall not engage any person of less than 18-year age or females during night hours as required by relevant law.

The Contractor/Contractors shall not pay less than the wages fixed (notified and prevalent during submission of the bid for mining activities as per policy decision of  the  Company/CIL  valid  from  time  to  time)  in  respect  of  his  employees  of different categories.

## Note:

However, if the basic rate of wages of labour as fixed by CIL is revised during the  contract  period  then  the  incremental  difference  shall  be  reimbursed  on actual basis through a suitable mechanism as decided by CIL/Subsidiary.

The payment of wages to the workers should be made through Bank.

The Contractor/ Contractors shall make necessary payment of the Provident Fund for the workmen employed by him for the work as per the laws prevailing under provisions of CMPF and Allied Schemes and Miscellaneous Provisions Act 1948 or Employees Provident Fund and Miscellaneous Provisions Act 1952 as the case may be. The Contractor shall regularly deposit the contribution in accordance with such scheme. The Company shall have no liability whatsoever in this regard.

The Contractor shall arrange treatment facilities to Contractor However,  treatment  facilities,  as  available  at  Company dispensary shall be provided to Contractor Contractor wants to avail it. The treatment facility at Company ry shall be free of cost, but to the extent of available medicines, pathological examination spouse or dependent.

The Contractor should issue Identity Card to the workmen deployed by them with photograph duly attested by him which the employee shall always carry with him while on work and produce for Inspection whenever required.

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## COAL INDIA LIMITED - CONTRACT MANAGEMENT MANUAL - 2022

CHAPTER 6 HIRING OF EQUIPMENT FOR REMOVAL OF OVERBURDEN & EXTRACTION OF COAL SECTION-6 (CONDITIONS OF CONTRACT GENERAL TERMS AND CONDITIONS)

The Contractor shall familiarize himself and fully comply with the provisions of all  the  Acts/Rules/Regulations/Bye-laws  and  orders  of  the  Local  authority  / Municipality /State  Govt./  Central Govt. applicable  to  the  worker. Mines  Act, Labour Laws, Insurance etc. and shall be fully responsible and liable for the due observance of the same. The Company shall have no responsibility / liability whatsoever  on  these  accounts.  The  Contractor  shall  fully  indemnify  the Company against  any  claim/dispute/reference  Award,  etc.  arising  out  of  the same.

The  Contractor  shall  make  timely  payment  of  all  salary  /wages/  dues  to  his employees and shall also provide all benefits to his employees as per various Acts/ Rules, Regulation, Orders applicable to the work e.g bonus under Coal Mines Bonus Scheme and Payment of Bonus Act, Sunday Wages, Overtime, Holiday Wages, Leave Wages, Sick Leave etc.

The Contractor shall prepare the wages sheet for his employees in duplicate, a copy of which shall be regularly submitted to the Engineer-in- charge of the project.

The responsibility of the Contractor in respect of all payments to his employees will be complete and absolute. The Company shall have no liability whatsoever in this regard and shall be fully indemnified by the Contractor against any claim arising out of any non-payment / short payment/ dispute/ award.

In case any accident occurs or any injury is caused to any employee of the Company  by  the  vehicles/equipment  of  the  Contractors  or  by  any  act  of omission/ commission on the part of the Contractor's representative/ employees, the compensation for the same, as provided in law or as assessed by the Company shall be recovered from the Contractor along with the costs and expenses incurred by the Company on the same.

- xi. The Contractor will have to make necessary security arrangement to prevent theft of coal from the project premises, during transportation and also at coal dumps.
- xii. All accounts shall be maintained in English and the Company shall have the right  of  access  and  inspection  of  all  such  books  of  accounts  etc.  relating  to payment of labourer considered necessary and the Company may arrange for witnessing the payment to the labourer by its representatives.
- xiii. Insurance The Contractor shall take full responsibility to take all precautions to  prevent  loss  or  damage  to  the  works  or  part  thereof  for  any  reasons whatsoever (except for reasons which are beyond control of the Contractor or act of God, e.g. flood, riots, war, earthquake, etc.) and shall at his own cost repair and make good the loss/damage to the work so that on completion, the work  shall  be  in  good  order  and  condition  and  in  conformity  with  the requirements of the contract and instructions of the Engineer-In-Charge, if any:

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## Coal lndia  Limited

(A  MAHARAINA  Col\,lPAllY) A Govt  of lodia  Erderprise

"Coal  BhaMn"

Premises  No 04, [,4AR  Plot No AF-lll Action  ArealA,  New  Town,  Rajahat Kolkata-700156  (West  Bengal) Phone  033  2324  6536 Fax:033  2324  6527

websii*  tvr,vw.coalindia.in

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*rrilF:  clUC.5B/JBCCt/JCl/Di6i/ -

(An ISO 9001:2015, ISO'14001:2015 and ISO 50001:2011 Certified Company)

Rai5' 96,95,2922

|                                     | arqt{q        | qrtqr     |
|-------------------------------------|---------------|-----------|
| t-{r t,                             |               |           |
| The Chairman-cum-Managing Director, | ECL,          | Sactoria  |
| The Chairman-cum-Managing Director, | BCCL,         | Dhanbad   |
| The Chairman-cum-Managing Director, | CCL,          | Ranchi    |
| The Chairman-cum-Managing Director, | WCL,          | Nagpur    |
| The Chairman-cum-Managing Director, | SECL,         | Bilaspur  |
| The Chairman-cum-Managing Director, | NCL,          | Singrauli |
| The Chairman-cum-Managing Director, | MCL,          | Sambalpur |
| The Chairman-cum-Managing Director, | C[/PD|L, | Ranchi    |

## ftqq: Revised  Rate of VDA fqr the Contractors' Workers as  per  the Recommendations  of the Joint  Committee  w.e.f. 01.04.2022

The Chief Labour  Commissioner  (C), Ministry  of Labour  & Employment,  Govt.  of lndia vide Order F. No,: 114(2)12022-LS-ll  dated 31.03.2022 intimated the rate of Variable Dearness  Allowance on the basis of average Consumer  Price Index number for the  preceding period of six months ending on 31.12.2021  reaching  124.18  from 119.8G (2016=100) for lndustrial  Workers.

Accordingly, in terms  of clause  (3) of Recommendations  of the Joint Committee, the rates of Variable Dearness Allowance  payable  per day w.e.f. 01.04.2022  (i.e, from 01 ,04,20221o  30.09.2022)  would be as under: -

| Categories of employees             | Rounded Off VDA (Rs.)   |
|-------------------------------------|-------------------------|
| U nskilled                          | 198.00                  |
| Semi-Skilled/ Unskilled Supervisory | 205.00                  |
| Skilled                             | 213,00                  |
| Highly Skilled                      | 220.00                  |

Therefore,  the Rate  of Wages showing  the Basic Rates and Variable Dearness  Allowance payable  w.e.f 01.04.2022  (i,e.  from 01.04.20221o30,09,2022)  will be as under:  -

| Categories of employees            | Basic Rate of (Rs.) Per Day Wages   | VDA (Rs.) Per Day   | Rate of Wage including VDA (Rs.) Per Day w.e.f. 01.04.2022   |
|------------------------------------|-------------------------------------|---------------------|--------------------------------------------------------------|
| Unskilled                          | 787 00                              | 198,00              | 985 00                                                       |
| Semi-Skilled/Unskilled Supervisory | B 17.00                             | 205 00              | 1022.00                                                      |
| Skilled                            | 847 00                              | 213.00              | 1060.00                                                      |
| Highly Skilled                     | 877.00                              | 220.00              | 1097,00                                                      |

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Other terms and conditions  mentioned in the Office Order Ref. No.: CIUC-SB/JBCCI/JC Wages/995 dated 09/10/2018  and Recommendations dated 04.09.2018  of the Joint Committee shall remain  the same.

It is requested  to take necessary  action to implement the same.

This  is being issued with the approval of the Competent Authority.

## fta-<q tti-q arql:-

- Director  (Finance)/  Director  (Personnel  & lR)/Director  (Technical)/Director  (Marketing),  ClL, Kolkata 1
- Director  (Personnel)  - ECL/BCCL/CCL/!VCL/SECL/NCUMCL 2
- Directo(Finance)-  ECL/BCCL/CCLMCUSECUNCL/l\ilCL ., \.)
- Director  (T/CRD),  CMPDIL,  Ranchi. 4
- Chief Vigilance  Officer,  ClL,  Kolkata. 5
- ED (Coordination)/TS  to Chairman, ClL, Kolkata 6
- General  Manager,  NEC,  Assam 7
- 8 Genera I Manager  (CMC), ClL, Kolkata
- 9 Genera I Manager  (Fin./lC),  ClL,  Kolkata
10. Genera I Manager  (Admin,),  ClL,  Kolkata
11. Genera I Manager  (Civil),  ClL,  Kolkata
12. Genera I Manager (System), CIL with a request to upload the O/Ct on Website of CIL

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(Ajay Kumar Choudh General  l\ilanager  ([/P & lR)