Hire contract workers directly: Labour panel tells Delhi govt
New Delhi: The Delhi government has something good to offer for contractual workers as an advisory board on Thursday recommended direct work contract with workers who are currently hired through outsourcing agencies.
This will result in benefits directly reaching the workers rather than through outsourcing agencies.
The Delhi Contract Labour Advisory Board in its fifth meeting chaired by Labour Minister Gopal Rai found that the present system of outsourcing leads to non-payment of full provident fund (PF) to the contract staff and also funds' outgo to agencies as charges and taxes.
"Workers deployed through various outsourcing agencies will be hired directly and their wages and entitlement under various labour laws will be compiled with by the department itself.
"To ensure effective supervision, management and compliance, the board has also proposed appointment of a labour welfare officer by various departments. This will relieve officers putting in extra work," Rai said.
The switch will result in savings for the government in respect of monthly agency charges being paid to contractors by departments and also GST on bills.
In case of further need of hiring of personnel on contract basis, the department may obtain suitable candidates through outsourcing agency which will be taken on direct contract by the Department.
The step will also streamline the process of releasing wages and payments made in EPF and ESI.
Based on the recommendations of the Board, the Labour Department will finalise the modalities. A note will then be placed before the Cabinet for its consideration. The mandate of the Board is to recommend welfare measures and ensure the statutory entitlements of contractual workers.
Having noted that there is a very large number of outsourced contract workers and their poor working conditions, the Board adopted a pro active approach and constituted three sub committees to look into various aspects of contractual appointments and suggest the ways to ensure effective implementation of existing provisions in respect of contractual workers.
