Contract labour under the new regime – An Overview
By Manan Chhabra
The article in this issue of Corporate Amicus discusses the yet to be introduced Occupational Safety, Health, and Working Conditions Code, 2020 (‘OSHW Code’) which will subsume 13 central labour legislations including the Contract Labour (Regulation and Abolition) Act of 1970 (‘CLRA Act’) which governs and regulates the employment of contract labour. It notes that once these labour codes are put into force, the existing regime concerning the contract labour will undergo significant changes. The article in this regard analyses some of the major changes introduced under the OSHW Code pertaining to contract labour. It elaborately discusses the issues pertaining to applicability; single and common registration; widened definition of ‘contract labour’; introduction of ‘single license’ system; and non-engagement in core activities (including exceptions thereto), including enlisting of activities which shall not be considered as ‘essential or necessary activity’, if the establishment is not set up for such activity. The author notes that regardless of certain uncertainties, the changes introduced with respect to contract labour can be considered as a step in the right direction...
Notifications and Circulars
- Appointment of directors – Additional requirement of security clearance from Ministry of Home Affairs for nationals of land bordering countries
- Compromises, Arrangements and Amalgamations – New declaration in respect of companies in countries sharing land border with India
- LLPs allowed to file annual returns by 30 June 2022
- Removal of names of companies from Register – Re-submission of defective applications
- Independent Directors – Restoration of name in databank for one year for clearance of online proficiency self-assessment test
Ratio decidendi
- Applications against Corporate Guarantor/Personal Guarantor to be filed before NCLT – Supreme Court
- Arbitration – Decision of MSME Council on its jurisdiction is not an interim/final award permitting an application under Section 34 of Arbitration and Conciliation Act – Calcutta High Court
- Recovery certificate holder can initiate CIRP as financial creditor within three years of issuance of certificate – Supreme Court
News Nuggets
- Export insurance contracts – Applicability of Rule of Contra Proferentem
- Limitation for initiation of insolvency proceedings – SC reiterates applicability of Section 18 of Limitation Act
- Landowner in the real estate development project is not a ‘financial creditor’
- NBFCs granted relief from application of State money lenders laws
- Sale and proceedings under the SARFAESI Act cannot be continued post initiation of CIRP proceedings and imposition of moratorium
- Moratorium period can be excluded in calculating the limitation period for a suit initiated by corporate debtor
- E-commerce food business operators directed to make provisions for display of nutritional and calorific value of food
- Corporate criminal liability – UK releases options paper
