The Contract Labour (Regulation and Abolition) Act, 1970- Circular for difficulty faced by Contractors on Renewal of Contract Labour License

Circular for difficulty faced by Contractor at the time of renewal of Contract Labour License (Gujarat State) with the previous circular dated 31/12/2020.

As per the previous circular, the Security deposit amount increased by Rs. 540/- from the existing amount of Rs. 270/-.

But now the portal not allowing the renewal according to the previous circular dated 31/12/2020.

Facing the issue with the employer, the department has issued a new circular on 29/01/2021 and the highlights are as given below

  • As per the amendment, the renewal process has been stopped. The contractor can not renew the license, even a long time work order available.
  • The Contractor needs to apply for a fresh contract labour license on IFP Portal
  • New Form V must be issued by the Principal employer showing the duration of work for a maximum period of five years.
  • The previous Security deposit available with the labour office / Government treasury, will be adjusted with the new contract labour license application.
  • Only the difference amount of security deposit will be paid for the new license application.

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