Who needs labour license (clra)?
The Contract Labour (Regulation & Abolition) Act, 1970 applies to establishments and contractors engaging 20 or more contract workers. The Occupational Safety, Health and Working Conditions Code, 2020 raises the threshold to 50 as it is implemented.
The principal employer must register the establishment. Every contractor must hold a licence before deploying workers, and the principal employer is liable if a contractor defaults on wages.
Manufacturers, facility-management companies, security agencies, logistics operators and construction firms are the most common applicants.
What we handle
- Registration certificate for the principal employer
- Labour licence for contractors
- Renewals and amendment of licence particulars
- Statutory registers and muster rolls for contract workers
- Annual returns and wage-payment verification
- Vendor compliance checks for principal employers
- Response to inspection queries and notices
Documents you will need
- Principal employer's registration and PAN
- Work order or contract with the contractor
- Contractor's PAN, address proof and ID
- Estimated number of contract workers and nature of work
- Details of EPF and ESIC coverage for contract workers
How it works
- We confirm who needs registration and who needs a licence.
- We file the principal-employer registration and contractor licences.
- We set up registers and a monthly vendor compliance check.
- We renew licences and file annual returns on time.
Where we serve
Headquartered in Gurugram, we deliver labour license (clra) in Gurugram, Delhi, Noida, Haryana and across Delhi NCR, as well as pan-India through our state-wise network.
Frequently asked questions
Who must take a labour licence — contractor or principal employer?
The principal employer registers the establishment, and each contractor takes a licence for the work they carry out.
Is the principal employer liable for contractor defaults?
Yes. If a contractor fails to pay wages, the principal employer is responsible for paying them, so vendor compliance checks matter.
Does CLRA apply to fewer than 20 contract workers?
Under the current Act, no. The Occupational Safety, Health and Working Conditions Code raises the threshold to 50 workers.