What do you understand by Contract Labour? Do you think that present legislation around contract labour in India is doing injustice with the firms or employees? Discuss.

Published: March 17, 2016

Contract Labour refers to the laborers who do not work directly for a firm but are employed by another firm which has a contract to do particular work. This type of labour allows flexibility for the firm and permits outsourcing the work. As per judgement of Supreme Court no firm is allowed to use contract labour for their regular work. But stringent labour laws force industries to use contract labour even for their regular work. The contract labours work in an environment of unorganised sector and do not get benefits as enjoyed by regular workers of the company. Since the employers are always apprehensive about contract labour; they frequently change the personnel / services of contract labour so that nobody claims for permanent absorption; companies use the outside labour to do core/ regular work but don’t do any paper work to avoid hassle of their getting a contract worker status. Thus, we can see that the present legislation about contract labour is neither strong enough to save exploitation or dignity of labour in India nor it can provide job security to labour; the only thing which the present labour law envisages is handsome beneficiaries to elite class of the society.

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