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has become the order of the day given the compulsions of remaining afloat in a highly competitive environment due to . The employment structures are undergoing changes across the world with emphasis on flexibility in markets.
laws to liberalize their respective markets. India too has been in it. The subject of contract figured prominently during the 43rd Indian Conference where the Prime Minister Dr. Singh said this might be the time to ponder the wider issues. He said, ‘’We need consider the role of some of our laws in contributing to rigidities inthe market, which hurt the growth of employment on a large scale. Is itpossible that our best intentions for are not actually met by laws thatsound progressive on paper but end up hurting the very workers they are meant toprotect?’’
The Contract Regulation and Abolition Act, 1970 defines a contract as a worker hired by principal employer of an establishment through a contractor for execution of a specific job. The Act makes certain welfare provisions like payment of minimum wages, certain health and sanitation facilities at the working place, provident fund benefits etc. for the benefit of contract .
in any or in any process/operation depending upon whether the work is perennial in nature or the work is incidental for an establishment. The Central Government on the recommendations of the Central Advisory Board has abolished contract system in a number of jobs in different industries and so far over 70 notifications have been issued. The Act provides for government inspections to detect violations.
is mostly in sector, it is hard for contract to prove their identity as workers because the employer-employee relationship under the Act is blurred.
laws various kinds of employment structures have been created since reducing jobsinto non-traditional part-time, casual and contractual forms of employment. This has weakened job security and collective bargaining of workers.
Welfare “Contract , by and large, is neither borne on pay roll or muster roll nor is paid wages directly. The establishments, which outsource work to contractors, do not own any direct responsibility in regard to their . Generally, the wage rates to be paid and observance of working conditions are stipulated in agreements but in practice they are not strictly adhered to.â€