how to apply for labour contractor license​

 

How to Apply for Labour Contractor License: Step-by-Step Guide

If you're planning to start a manpower supply business or provide contract labour to companies, getting a Labour Contractor License is a legal requirement in India. This license is issued under the Contract Labour (Regulation and Abolition) Act, 1970, and ensures that both workers' rights and employer obligations are maintained.

In this blog, we’ll guide you through the complete process of applying for a Labour Contractor License—whether you're working in construction, facility management, manufacturing, or any other labour-intensive sector.

🧾 What is a Labour Contractor License?

A Labour Contractor License is a permit issued by the State Labour Department that allows a contractor to legally hire and deploy contract labour to any principal employer. It is mandatory for contractors who employ 20 or more workers on any day in a year.

Without this license, supplying labour is illegal and may lead to fines or blacklisting by companies.

✅ Who Needs to Apply?

You need to apply for a Labour Contractor License if:

  • You’re hiring or supplying 20 or more contract workers.

  • You have an agreement with a company or organization (principal employer) to provide manpower.

  • You operate in sectors like construction, housekeeping, security, logistics, IT support, or manufacturing.

📄 Documents Required

To apply for a labour license, you’ll need to prepare the following documents:

  1. Application Form (Form IV)

  2. Form V – Certificate from the principal employer

  3. Copy of agreement with the principal employer

  4. Identity proof (Aadhar card, PAN card)

  5. Address proof (utility bill, rent agreement, etc.)

  6. Photograph of the contractor

  7. Challan receipt of the government fee

  8. Business registration documents (if applicable)

📝 How to Apply for a Labour Contractor License (Online Process)

Most states in India now offer online labour license services through their respective labour department portals. Here's a general step-by-step process:

Step 1: Register on the State Labour Portal

  • Visit your state’s official Labour Department or e-services portal.

  • Create an account using your mobile number and email ID.

Step 2: Fill the Application Form

  • Select “Apply for Labour Contractor License” or Form IV.

  • Enter all the required details such as:

    • Contractor’s name and address

    • Details of the principal employer

    • Number of workers to be employed

    • Nature and duration of work

Step 3: Upload Documents

  • Upload scanned copies of all required documents in the specified format (PDF or JPEG).

Step 4: Pay the Fee

  • The license fee depends on the number of workers.

    • Upto 50 workers: Approx ₹1,000

    • 51–100 workers: ₹2,000

    • 100+ workers: ₹3,000+

  • Payment can be made online via net banking or UPI.

Step 5: Submit the Application

  • Review all information and click Submit.

  • You will receive an acknowledgment number for tracking.

⏳ Processing Time

The processing time typically ranges from 15 to 30 working days, depending on the state and completeness of your documents.

🔄 License Validity and Renewal

  • The license is generally valid for one year or for the duration of the work contract.

  • Renewal must be applied for before the license expires by submitting Form VIII.

✅ Final Thoughts

Applying for a Labour Contractor License may seem complex, but with the right documentation and online systems in place, it’s more straightforward than ever. Make sure you stay compliant with labour laws to build credibility and avoid penalties. If needed, consult a legal or labour consultant to guide you through the process.

For more information, kindly contact our advisor:


Mr. Parveen Sundriyal

📞 Mobile / WhatsApp: +91 95991 24163

📧 Email: consult@corpzo.com

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