How to Provide Appointment Letter to Contract Workers? Is there any specific provisions in any act?

Is there any specific provision in any act to issue the appointment letter to contract workers? During the issuing of it, what points should be taken care of?

If the contract workers are deployed through a contractor, it is advisable to issue appointment letters to contract workers through your contractor. However, you can draft the appointment letter with all relevant clauses that are able to safeguard your interests as a Principal Employer. You can then ask your contractor to issue the letter to his employees under his signature with a seal.

Better Contract Workmen provided a valid Employment Card through the Contractor/Vendor name.

Dear member,

If the Contract Labour (R&A) Act of 1970 is applicable to this contractor, then under the applicable rules, he is required to issue an Employment Card (Appointment letter) to the workers. This action will be considered sufficient compliance with the CLRA Act.

Submitted, please.

Regards,
R N KHOLA

There is no specific requirement under the Contract Labour Act to give an appointment letter. However, many companies insist that the contractor issue appointment letters to the contract workers on his own letterhead so that there is proof that they worked for him and not the company, and that the contractor is an independent business.

Under the Shop & Establishment Act, the contractor may be required to issue an appointment letter.

Most of the answers are not appropriate when we are talking about contract workers. Please be specific about the kind of work you are demanding from them and who the decision-maker or primary employer will be. If your company will be held as an employer due to having all the administrative and management control over the workers, your company will be liable for all legalities and payments, and the role of the agent or contractor plays no role. Please refer to the Hussain Bhai Calicut case citation.

If you enter into a renewable contract, the same will be invalid. Refer to the Uma Devi case citation. If you hire workers for a period of less than 240 days, give them a rest, and then rehire them or anyone else, you will be liable for unfair labor practices. Review the Tata Motors case from the Mumbai High Court.

In simple terms, only involve an agent or contractor if you have a job that cannot be performed by you or if you do not have the required specialization. Hire directly onto your payroll.