Delhi Labour Department advises regarding non-payment of bonus by the contractors

Dec 08, 2020 | by TeamLease RegTech Legal Research Team

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Labour ComplianceThe Labour Department of Delhi on November 2, 2020 has issued Advisory on the Complaints received from outsourced worker regarding non-payment of bonus by the contractors. It is informed that all the Contractor's establishments are covered under the Payment of Bonus Act 1965 and therefore it is a statutory responsibility of the Contractor to pay bonus to its employees since respective contractors are their employers. In case of default, the establishment/contractor are liable for prosecution and the due amount of bonus is recoverable. Also as per the provisions of the Contract Labour (Regulation & Abolition) Act, 1970, responsibility has been cast upon the Principal Employer to ensure compliance of various Labour Laws by their respective contractors. 

[Notification No.: 15(46)/Lab/2020/3333]


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