GOVERNMENT OF INDIA
MINISTRY OF PERSONNEL,
PUBLIC GRIEVANCES AND PENSIONS
LOK SABHA
STARRED
QUESTION NO 304
ANSWERED ON 30.07.2014
304 . Prof. SAUGATA ROY
Will the Minister of PERSONNEL, PUBLIC GRIEVANCES AND PENSIONS be pleased to state:-
(a) whether a large number of employees are
reportedly working on contract basis and several jobs have been outsourced in
various Ministries/ Departments of the Government of India;
(b) if so, the details of the existing policy/guidelines/rules
which regulate contractual workers and outsourcing of jobs/services along with
the number of such workers in various Ministries/ Departments;
(c) whether such policy/guidelines/rules provide
for social security and other benefits to be given to workers on contract basis
and those performing in outsourced jobs;
(d) whether the Government proposes to formulate
any scheme for providing welfare measures and improving the service conditions
of such workers; and
ANSWER
Minister of State in the Ministry of Personnel, Public
Grievances and Pensions and Minister of State in the Prime Minister’s Office.
(DR. JITENDRA SINGH)
(a): The fundamental principles applicable to
all Ministries/Departments regarding engagement of consultants and outsourcing
of services are provided in General Financial Rules 2005. The Ministries/
Departments may hire external professionals, consultancy firms or consultants
for a specific job which is well defined in terms of content and time frame for
its completion or outsource certain services. A Ministry/Department may
outsource certain services in the interest of economy and efficiency and it may
describe detailed instructions for this purpose. As the respective Ministries/
Departments are empowered to outsource certain services on their own, no
centralized data is maintained.
(b)&(c): Engagement of contract labourers is
regulated under the Contract Labour (Regulation & Abolition) Act. The
Central Government is the appropriate Government in respect of the
establishments falling in central sphere. The interest of contract labourers in
terms of wages and other service conditions are safeguarded under this Act. As
far as the security in term of wages is concerned, as per Rule 25(2)
(v)(a) of the Contract Labour (Regulation &
Abolition) Central Rules, 1971 , the wages of the contract labour shall not be
less than the rates prescribed under Minimum Wages Act, 1948 and in cases where
the contract workers perform the same or similar kind of work as the workmen
directly employed by the principal employer of the establishment, the wage
rates, holidays , hours of work and other conditions of service shall be the
same as applicable to the workmen directly employed by the principal employer
doing the same or similar kind of work. The liabilities to ensure payment of
wages and other benefits is primarily that of the contractor and, in case of
default, that of the principal employer.
The Social Security aspects of contract
labourers under Employees Provident Fund and Miscellaneous Provision Act, 1952
and Employees state Insurance Act, 1948 are enforced by the Employees Provident
Fund organization and Employees State Insurance Corporation respectively
provided the establishments in which contract labourers are working are covered
under the said Acts.
In the Central sphere, the Central Industrial
Relations Machinery (CIRM) has been entrusted with the responsibility of
enforcing the provisions of the Act and rules made thereunder. Aggrieved
workers may raise their issues, if any, before the Appropriate Authority under
Labour laws.
(d)&(e): The Social Welfare Schemes of the
Government are also applicable to the Contract Labourers if they fulfil the
conditions of the Scheme to be eligible for the benefits of a particular
Scheme. However, the interests of Contract Workers are protected specifically
under Contract Labour (Regulation & Abolition) Act, 1970.
Some of the prominent social welfare
legislations are as follows:-
# Payment of Gratuity Act, 1972
# Employees’ Provident Fund & Misc. Provisions
Act, 1952
# Employees’ Pension Scheme, 1995
# Employees’ State Insurance Act,
1948
# Minimum Wages Act, 1948
# Payment of Wages Act, 1936
# Maternity Benefit
Act, 1961
# Equal Remuneration Act, 1976
#
Payment of Bonus Act, 1965
# Workmen Compensation Act, 1923
# Mines Act, 1952 #
Factories Act, 1948
# Industrial Dispute Act, 1947
# Contract labour
(Regulation & Abolition) Act, 1970