Contract Labour Regulation and Abolition (CLRA) Registration Online In India!
Now, be hassle-free! You are just a click away to get your CLRA Registration done with us. We are India’s No.1 platform for registration services and have registered 10000+ successful registrations.
50,000+ businesses incorporated since 2011
Highly professional staff and timely resolution adds great value.
GET STARTED!
Get easy updates through Whatsapp
Shop Act Registration – HOME
Shop Act Registration
India’s Most Trusted Payroll Compliance Platform
- Effortless Payroll Processing
- Seamless Statutory Compliance
- 3x Faster Disbursements
- Employee Data Management
Talk to our Compliance Manager
What are the requirements to obtain the Shop and Establishment Act Registration?
How can I register my shop and establishment online?
What are the penalties under Shop and Establishment Act?
Contract Labour Regulation and Abolition(CLRA)
Contract Labour Regulation and Abolition(CLRA)
What Is the Contract Labour (Regulation & Abolition) Act, 1970?
- Prevent exploitation of contract labourers
- Ensure fair wages and proper working conditions
- Define the responsibilities of both principal employers and contractors
- Mandate legal registration and licensing before engaging contract labour
This Act applies uniformly across all states in India, with individual states also framing their own
rules under it.
Who Needs CLRA Registration or a Contract Labour License?
Principal Employers (Establishments)
Any establishment — whether a factory, office, or construction site — where 20 or more contract
workers are engaged on any day during the preceding 12 months must obtain CLRA registration
as a principal employer
Contractors
Any contractor who supplies or employs 20 or more contract workers to a principal employer on
any day during the preceding 12 months must obtain a Contract Labour License.
Note: Some states have a threshold of 50 workers. The applicable limit depends on the state
in which your establishment operates.
Industries Where CLRA Registration Is Commonly Required
- Manufacturing and production units
- Construction and infrastructure companies
- IT parks and facility management firms
- Logistics and warehousing companies
- Security agencies and housekeeping service providers
- Staffing and manpower agencies
- Event management companies
| Particulars | Registration (Principal Employer) | License (Contractor) |
|---|---|---|
| Applicable To | Establishment engaging contract labour | Contractor supplying contract labour |
| Legal Section | Section 7, CLRA Act 1970 | Section 12, CLRA Act 1970 |
| Authority | Registering Officer | Licensing Officer |
| Validity | Ongoing (with updates) | Typically 1 year, renewable |
| Renewal Required | No (only amendment on change) | Yes, annually |
Benefits of Getting Your Contract Labour License Registration Done
Legal Protection : Operate without the risk of penalties, fines, or prosecution
Credibility : Build trust with clients, partners, and government agencies
Smooth Business Operations : Avoid surprise inspections and operational shutdowns
Avoid Liability : As a principal employer, protect yourself from contractor defaults
Government Tender Eligibility : Many tenders require proof of CLRA compliance
Worker Welfare : Fulfil your legal duty to provide fair wages and welfare facilities
| For Principal Employers (Establishments) | For Contractors |
|---|---|
|
|
Step-by-Step Process for Contract Labour License Registration
Step 1 – Determine Applicability
Confirm whether your establishment or contracting operations meet the worker threshold (20 or more workers) under your state’s specific rules.
Step 2 – Gather Documents
Collect all the required documents as listed above for either principal employer registration or
contractor licensing.
Step 3 – Fill the Application Form
- Principal Employers apply in Form I to the Registering Officer.
- Contractors apply in Form IV to the Licensing Officer.
Applications must be submitted within 30 days of the Act becoming applicable.
Step 4 – Pay the Prescribed Fees
Registration and license fees are determined based on the number of workers. Contractors must also pay a security deposit at the time of license application.
Step 5 – Submit Application
Applications can be submitted online via the Shram Suvidha Portal (for central
establishments) or through the respective state labour portal. GoCompliances manages this
entire submission process on your behalf
Step 6 – Verification & Approval
The Registering/Licensing Officer reviews the application and documents. Once satisfied, they
issue:
- Form II – Certificate of Registration (for principal employers)
- Form VI – Contract Labour License (for contractors)
Step 7 – Renewal (for Contractors)
The contractor’s license must be renewed annually. Apply for renewal in Form VII at least 30
days before the expiry date. Late renewal attracts a penalty of 25% of the standard fee
How to Apply for Contract Labour License Onlin
The Shram Suvidha Portal (shramsuvidha.gov.in) launched by the Ministry of Labour and
Employment enables online registration and licensing under the CLRA Act. The portal allows:
- Online submission of application forms
- Document upload
- Fee payment via digital modes
- Tracking of application status
Many state governments have also launched their own portals for CLRA compliance.
GoCompliances handles online applications across both central and state portals, ensuring error-free submissions and faster approvals
Compliance Obligations After Registration
Once registered or licensed, both principal employers and contractors must fulfil ongoing
obligations:
For Principal Employers
- Engage contract labour only through licensed contractors
- Ensure contractors pay minimum wages as per the Minimum Wages Act, 1948
- Maintain a Register of Contractors (Form XII)
- Display the Inspector’s name and contact details at the workplace
- Ensure welfare facilities (canteen, restrooms, drinking water, first aid) are provided if the
contractor fails to do so
For Contractors
- Display the license copy prominently at the worksite
- Maintain a Register of Workers and Muster Roll
- Maintain a Wage Register and issue wage slips
- Provide welfare facilities to contract workers
- File half-yearly returns in Form XX to the Licensing Officer within 30 days of close of each
half-year (June and December) - File annual returns in Form XXV
Penalties for Non-Compliance Under the CLRA Act
Non-compliance with the Contract Labour Act can result in severe consequences:
| Offence | Penalty |
|---|---|
| Operating without registration / license | Imprisonment up to 3 months and/or fine up to ₹1,000 |
| Repeated or continued violation | Enhanced penalties under Section 24 |
| Non-payment of wages or welfare default | Legal liability shifts to principal employer |
| Licence revocation | Business operations may be halted |
A manufacturing unit found operating without CLRA registration can face operational shutdowns and revenue losses running into lakhs — far exceeding the cost of getting registered
Contract Labour License Registration – State-Specific Services
GoCompliances provides CLRA registration services across all major states in India:
- Contract Labour Registration in Delhi
- Contract Labour License in Maharashtra
- CLRA Registration in Uttar Pradesh
- Contract Labour Act Consultant in Karnataka
- Contract Labour Registration in Rajasthan
- Contract Labour License in Haryana
- CLRA Registration in Tamil Nadu
- Contract Labour Registration in Gujarat
- Contract Labour License in Telangana
- CLRA Registration in Madhya Pradesh
(Contact us to confirm requirements for your specific state.)
Why Choose GoCompliances for Your CLRA Registration?
At GoCompliances, we are a dedicated team of labour law experts and compliance consultants
who have helped hundreds of businesses across India get their contract labour registration done
efficiently
What we offer:
- Free initial consultation to check applicability
- End-to-end document preparation and verification
- Online and offline application filing across all states
- Follow-up with labour authorities until approval
- Annual renewal management for contractors
- Ongoing compliance support (registers, returns, amendments)
- Transparent pricing with no hidden charges
Our experts stay up to date with the latest amendments to the CLRA Act and state-specific rules,
so you never miss a change that could affect your business.
Frequently Asked Questions (FAQs) – Contract Labour License Registration
Yes. Under the Contract Labour (Regulation
and Abolition) Act, 1970, it is mandatory for any contractor employing 20 or more contract
workers to obtain a contract labour license. Principal employers must also register their
establishments. Failure to do so can result in penalties and legal action.
registration applies to principal employers (the company that hires labour through a contractor),
while the contract labour license applies to the contractor who supplies or employs the workers.
Both are separate requirements under different sections of the same Act
The timeline varies by state and the
completeness of your application. On average, it takes 15 to 30 working days. GoCompliances
helps expedite the process with complete and accurate documentation
A contractor's license is generally valid for
one year and must be renewed annually before the expiry date. Principal employer registration
does not expire but must be updated if the number of workers or other details change.
Yes. The Shram Suvidha Portal and
various state-specific labour portals allow online submission of CLRA applications.
GoCompliances manages online filings for both central and state jurisdictions
Under Section 21 of the
CLRA Act, the principal employer becomes directly liable if the contractor fails to pay wages. The
principal employer must then pay those wages and recover the amount from the contractor.
Yes. Under Section 14 of the Act, the Licensing
Officer can suspend or revoke a license if the contractor violates any licence conditions or
provisions of the Act, after giving the contractor an opportunity to be heard
Yes. Construction and
infrastructure projects are among the most common sectors where CLRA registration is
mandatory. Additionally, if the project involves construction activity, Labour Welfare Cess under
the BOCW Act may also be applicable.
Yes. If your contracting operations span
multiple states, you will need a separate contract labour license in each state where you deploy
workers, as each state has its own Licensing Officer and rules
We Are Certified with!
TESTIMONIALS
What Clients
Say About Us
What ClientsSay About Us
Lorem ipsum dolor sit amet, consectetur adipiscing elit. Ut elit tellus, luctus nec ullamcorper mattis, pulvinar dapibus leo. Lorem ipsum dolor sit amet, consectetur adipiscing elit. Ut elit tellus, luctus nec ullamcorper mattis, pulvinar dapibus leo. Lorem ipsum dolor sit amet, consectetur adipiscing elit. Ut elit tellus, luctus nec ullamcorper mattis, pulvinar dapibus leo.
Client satisfaction
Project Finished
Total up Sales
Working Team Member
Client satisfaction
Project Finished
Working Team Member
Total up Sales
CONTACT US
Get Your Contract Labour
License Registration Done Today
GoCompliances – Your Trusted Partner for Labour Law Compliance Across India