{"id":50472,"date":"2022-11-02T13:55:40","date_gmt":"2022-11-02T08:25:40","guid":{"rendered":"https:\/\/corpbiz.io\/learning\/?p=50472"},"modified":"2023-04-10T17:45:06","modified_gmt":"2023-04-10T12:15:06","slug":"clra-act-karnataka","status":"publish","type":"post","link":"https:\/\/corpbiz.io\/learning\/clra-act-karnataka\/","title":{"rendered":"A Brief Introduction to the CLRA Act Karnataka"},"content":{"rendered":"\n<p>In 1971, the <strong>Contract Labour (Regulation and Abolition) Act<\/strong><sup><a href=\"https:\/\/www.indiacode.nic.in\/bitstream\/123456789\/1467\/1\/A1970-37.pdf\"><strong>[1]<\/strong><\/a><\/sup> was aimed at regulating the employment of contract labour at certain establishments and providing for its abolition under specific conditions. In 1974, the <strong><em>Contract Labour (Regulation &amp; Abolition), Karnataka Rules<\/em><\/strong> were introduced. The Act applies to the entire state of Karnataka and to all units in Karnataka, with the exception of the Central Government. In 2020, the Karnataka Governor announced the <strong><em>Industrial Disputes and Certain Other Laws (Karnataka Amendment) Ordinance, <\/em><\/strong>which would go into effect immediately. The Ordinance introduced certain significant changes to several Acts, including the CLRA Act Karnataka, which were aimed at improving ease of business across the state as well as attracting investments for the same.&nbsp;<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title ez-toc-toggle\" style=\"cursor:pointer\">Page Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/corpbiz.io\/learning\/clra-act-karnataka\/#Who_does_the_CLRA_Act_Karnataka_Apply_to\" >Who does the CLRA Act Karnataka Apply to?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/corpbiz.io\/learning\/clra-act-karnataka\/#Provisions_Needed_Under_the_CLRA_Act\" >Provisions Needed Under the CLRA Act<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/corpbiz.io\/learning\/clra-act-karnataka\/#Registration_under_the_CLRA_Act_Karnataka\" >Registration under the CLRA Act Karnataka<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/corpbiz.io\/learning\/clra-act-karnataka\/#Factors_Considered_for_Prohibition_of_Employment_of_Contract_Labour\" >Factors\nConsidered for Prohibition of Employment of Contract Labour<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/corpbiz.io\/learning\/clra-act-karnataka\/#Payment_of_Wages_under_the_CLRA_Act_Karnataka\" >Payment of Wages under the CLRA Act Karnataka<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/corpbiz.io\/learning\/clra-act-karnataka\/#Penalties_Under_the_CLRA_Act_Karnataka\" >Penalties Under the CLRA Act Karnataka<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/corpbiz.io\/learning\/clra-act-karnataka\/#Conclusion\" >Conclusion<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Who_does_the_CLRA_Act_Karnataka_Apply_to\"><\/span>Who does the CLRA Act Karnataka Apply to?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The CLRA Act applies to any\nand all establishments that employ or had employed, at one point, more than\ntwenty people as contract labour. The Act also applies to any and all\ncontractors who employ or have employed, at one point, twenty or more\npeople.&nbsp;<\/p>\n\n\n\n<p>Since the 2020 Ordinance, the threshold of applicability for such establishments has been increased. Now, any and all establishments that employ fifty or more people as contract labour must register under the <a href=\"https:\/\/corpbiz.io\/clra-registration-and-licensing\"><strong>CLRA<\/strong><\/a>.<\/p>\n\n\n\n<p>The Act does not apply to\nany establishments where the work performed is intermittent or casual in\nnature.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Provisions_Needed_Under_the_CLRA_Act\"><\/span>Provisions Needed Under the CLRA Act <span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The CLRA Act Karnataka\nRules largely follows the Central Rules with regards to necessary provisions,\nwith the addition that in case of any arrangements made by a contractor with a\nprimary employer, the canteen facilities provided by the primary employer to\ntheir direct employees shall be equally available to contract labour provided\nthrough the contractor. Following is a list of amenities and\/or facilities that\nan employer is required to provide to contract labour under this Act-<\/p>\n\n\n\n<ul><li>Canteens<\/li><li>Rest-rooms<\/li><li>A sufficient supply of drinking water<\/li><li>Convenient and sufficient access to latrines and urinals<\/li><li>Washing facilities<\/li><li>First-aid facilities&nbsp;<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Registration_under_the_CLRA_Act_Karnataka\"><\/span>Registration under the CLRA Act Karnataka<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The principal employers of\nany and all establishments that fall under the purview of this Act must make an\napplication to the registering officer within a specified period of time in\norder to register their establishment as per the Act. In this respect, CLRA Act\nKarnataka follows the same regulations as the central rule.&nbsp;<\/p>\n\n\n\n<p>The registering officer may\nrevoke an establishment&#8217;s registration at their own discretion if they&#8217;ve found\nthe applicant to have suppressed or misrepresented any facts. Registration may\nalso be revoked if it is found to be useless or ineffective. The registering\nofficer shall provide the principal employer with an opportunity to present\ntheir case before finalising the revocation of registration. <\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Factors_Considered_for_Prohibition_of_Employment_of_Contract_Labour\"><\/span>Factors\nConsidered for Prohibition of Employment of Contract Labour<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Under the CLRA Act\nKarnataka, the state board may prohibit any establishment from employing\ncontract labour via Official Gazette notification. The following factors are\nconsidered while making the decision to prohibit the employment of contract\nlabour at an establishment, with regard to the working conditions, benefits\nprovided and other such factors-<\/p>\n\n\n\n<ul><li>If the services provided by the establishment are incidental to or necessary to the industry, trade, occupation, etc., performed by the establishment in question<\/li><li>If the work done is perpetual or carried on for a sufficient duration with regards to the respective industry, trade, occupation, etc.<\/li><li>If  he work can be done ordinarily through regular workmen either in the establishment in question or at another establishment of a similar natural<\/li><li>If the work done warrants the number of workmen employed as contract labour<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Payment_of_Wages_under_the_CLRA_Act_Karnataka\"><\/span>Payment of Wages under the CLRA Act Karnataka <span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The CLRA Act Karnataka\nRules largely follow the Central Rules regarding the responsibility of paying\nwages. <\/p>\n\n\n\n<ul><li>Contractors are responsible for paying each of the contract labours under their employ within the specified period of time.<\/li><li>Primary employers are required to nominate a representative who would be responsible for the disbursement of the wages by the contractor and it shall be the representative&#8217;s responsibility to certify the amount paid. <\/li><li>The contractor is responsible for ensuring the disbursement of wages in the aforementioned representative&#8217;s presence.<\/li><li>The principal employer is liable, in case of the contractor fails to pay the wages by the specified time or falling short on payments, to pay the full wages or any unpaid balances that may be due at the time. The primary employer can recover this amount through either a deduction from a contract with the contractor or through debt.<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Penalties_Under_the_CLRA_Act_Karnataka\"><\/span>Penalties Under the CLRA Act Karnataka<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Any individual who\nobstructs an investigator from fulfilling their duties refuses inspection or wilfully\nneglects to provide the inspector with necessary facilities for the inspection,\ninquiry, etc., may be punished with imprisonment for a period of up to 3\nmonths, or with a fine of up to five hundred rupees or both.<\/p>\n\n\n\n<p>Refusal to produce any\nnecessary documents on the inspector&#8217;s demand or attempts to prevent any\npersons from appearing before the inspector can be punishable with imprisonment\nfor a period of up to 3 months, or with a fine of up to five hundred rupees or\nboth.<\/p>\n\n\n\n<p>Contravention of any of the\nprovisions under the Act or of any conditions of the licence granted under the\nsame can be punishable with imprisonment for a period of up to 3 months, or\nwith a fine of up to a thousand rupees or both.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span>Conclusion<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The Contract Labour (Regulation and Abolition) Act exists to protect Contract Labour from being exploited by primary employers and contractors alike. Through the regulations and abolition allowed for under this Act, Contract Labours are ensured better working conditions, provisions, wage security, etc. The present-day version of CLRA Act Karnataka follows the Central Rules in most aspects, the most prominent exemption to this being the increased threshold for applicability following the 2020 Ordinance. <\/p>\n\n\n\n<p class=\"text-left\"><b>Read our Article<\/b>:<mark style=\"background: #fffd03 !important;\"><a href=\"https:\/\/corpbiz.io\/learning\/key-highlights-of-the-clra-act\/\">Key Highlights of the CLRA Act<\/a><\/mark><\/p>\n","protected":false},"excerpt":{"rendered":"<p>In 1971, the Contract Labour (Regulation and Abolition) Act[1] was aimed at regulating the employment of contract labour at certain establishments and providing for its abolition under specific conditions. In 1974, the Contract Labour (Regulation &amp; Abolition), Karnataka Rules were introduced. The Act applies to the entire state of Karnataka and to all units in [&hellip;]<\/p>\n","protected":false},"author":46,"featured_media":50485,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[2386],"tags":[2823],"acf":{"service_id":"367"},"authorName":"Jahnvi Shrivastava","authorImageUrl":"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2022\/10\/MicrosoftTeams-image-244.jpg","authorDescription":"Jahnvi Shrivastava has done her MA in English Literature from the University of Leeds and her BA in the same from Jesus and Mary College, DU. She has an excellent grasp of the English language and a love for reading which have both led to her pursuing a career in writing. Due to her background in academics and editing she has developed a keen eye for details and a good mind for research. She loves to work with and write a wide variety of topics and aims to hone her skills further through her experience.","postViews":10513,"readingTime":4,"_links":{"self":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/50472"}],"collection":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/users\/46"}],"replies":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/comments?post=50472"}],"version-history":[{"count":7,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/50472\/revisions"}],"predecessor-version":[{"id":54814,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/50472\/revisions\/54814"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media\/50485"}],"wp:attachment":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media?parent=50472"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/categories?post=50472"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/tags?post=50472"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}