Lok Sabha Question No. 3664 (UNSTARRED), answered on 2015-12-21
Subject: Employment on Contractual Basis
Ministry: LABOUR AND EMPLOYMENT
Asked by: GAJENDRA SINGH SHEKHAWAT, PRATHAP SIMHA, VINOD KUMAR SONKAR, SHIVKUMAR CHANABASAPPA UDASI, RAKSHA NIKHIL KHADSE, ADHIR RANJAN CHOWDHURY, BHAIRON PRASAD MISHRA, P.P. CHAUDHARY, VISHNU DAYAL RAM

## MINISTRY OF LABOUR AND EMPLOYMENT

## GOVERNMENT OF INDIA LOK SABHA

## UNSTARRED QUESTION NO. 3664 TO BE ANSWERED ON 21.12.2015 EMPLOYMENT ON CONTRACTUAL BASIS

## 3664. SHRI GAJENDRA SINGH SHEKHAWAT:

SHRI PRATHAP SIMHA:

SHRI VINOD KUMAR SONKAR:

SHRI SHIVKUMAR UDASI:

SHRIMATI RAKSHATAI KHADSE:

SHRI ADHIR RANJAN CHOWDHURY:

SHRI BHAIRON PRASAD MISHRA:

SHRI P.P. CHAUDHARY:

SHRI VISHNU DAYAL RAM:

## 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  each  of  the  last  three
- years and the current year, separately, State/UT-wise;
- (b)whether  organized  enterprise  employers  are  increasingly  hiring  workers on contractual terms due to labour laws and other concerns and if so, the details  in  this  regard  along  with  Government's  stand  on  employment  on contractual basis;
- (c)the details of minimum wages paid to them 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 through the labour contractors; and
- (e)whether  the  Government  has formulated  any  policy  for  safeguarding  the interest of contractual/casual workers in term of wages and other service conditions  and  also  with  regard  to  social  security  scheme  including regularisation  and  improvement  of  working  conditions  and  if  so,  the details thereof and if not, the reasons therefor?

## 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 Licensed Contractor |   No. of Contract Labour* |
|---------|------------------------------|---------------------------|
| 2012-13 |                        33484 |                   1804389 |
| 2013-14 |                        36790 |                   1967747 |
| 2014-15 |                        41183 |                   1903170 |

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 the contract workers performing the same or similar kind of work as the regular  employee  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  25  (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 minimum wages notified by the Central Government or 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 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.

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