(A Study of the Impact of Contract Labour Act 1970)
The Contract Labour (Regulation and Abolition) Act 1970 has been in force for last 42 years. During these 42 long years several changes have occurred in the industrial sector. Especially after opening the economy in the early nineties and globalization, the industrial picture of the India has changed completely. Output and profitability have assumed greater importance, encouraging some employers to bypass or find loopholes, in the law enacted for protection of the interests of the workers, with the sole objective of achieving higher productivity, which in turn has affected this relationship. One of such laws which was passed for the protection of the contract labour was this Act. The decisions by the Courts, in respect of this law, are now being used for the purposes contrary to the purpose for which the Act was enacted.
This study tried to analyse and find out as to what is the reason for this Act becoming impracticable and redundant and whether it should be repealed or amended and if amendment is to be carried out, what can be the basis on which we can arrive at relevant conclusions for suggesting amendments or whether a fresh legislation should be enacted by incorporating such provisions which can be expected to fulfill the objects of the Act and also remove its shortcomings.