What is the task which the appropriate Government has to perform while abolishing contract labour or making a reference for abolition of contract labour?
No doubt the appropriate Government exercises administrative power both in relation to prohibition of employment of contract labour in terms of Section 10 of Contract Labour Act as also in relation to making a reference for adjudication under Section 10 of Industrial Disputes Act. While issuing a notification under Section 10 of Contract Labour Act the appropriate Government would have to proceed on the basis that the principal employer had appointed contractors and such appointments are valid in law. Then it has to take a decision to prohibit employment of contract labour after satisfying itself that all the relevant factors enumerated under Clauses (a) to (d) of Section 10(2) of Contract Labour Act did exist. While making a reference for adjudication under Section 10 of Industrial Disputes Act, the validity of appointment of the contractor would itself be an issue as the appropriate Government must prima facie satisfy itself that there exists a dispute as to whether the workmen are in fact not employed the management.
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