Corpzo: Labour Contractor Licence Requirements and Process in Delhi NCR, India (2025)

📍 Delhi NCR, India | 📩 reach@corpzo.com | 📞 +91 9999 139 391 | 🌐 www.corpzo.com

Introduction

As industries across Delhi NCR continue to expand in 2025, the demand for skilled and unskilled labour has increased across sectors such as construction, manufacturing, logistics, warehousing, and facility management. To meet this demand legally and efficiently, many companies engage labour contractors. However, operating as a labour contractor in India requires proper licensing and compliance under The Contract Labour (Regulation and Abolition) Act, 1970.

In this blog, Corpzo, a leading compliance and licensing consultancy based in Delhi NCR, walks you through the Labour Contractor Licence requirements and process in 2025, along with the latest updates and expert insights to help you stay compliant and operational.

What is a Labour Contractor Licence?

A Labour Contractor Licence is a legal permit that allows an individual or entity (the contractor) to supply labour to another organization (the principal employer). This license is mandatory when:

• The contractor employs 50 or more workers on any day in the last 12 months (as per recent amendments).

• Labour is supplied to another company under a contractual agreement.

• The work is being carried out in factories, construction sites, mines, warehouses, or establishments.

The licence is issued under The Contract Labour (Regulation & Abolition) Act, 1970 and regulated by the Labour Department of the respective state government—in this case, Delhi, Haryana, or Uttar Pradesh for the NCR region.

Why is a Labour Contractor Licence Important?

Operating without a valid licence can lead to legal penalties, blacklisting, cancellation of contracts, and even imprisonment under Indian labour laws. Compliance also ensures:

• Transparency in employment practices

• Protection of workers’ rights

• Legal credibility for contractors during tenders and audits

Who Needs a Labour Contractor Licence in Delhi NCR?

If you're supplying workers to any industrial, commercial, or construction site in the Delhi NCR region—including Noida, Ghaziabad, Gurgaon, Faridabad, Manesar—you must obtain a Labour Contractor Licence if:

• You have 50 or more workers under contract

• The work is not directly supervised by your organization

• You provide workers for cleaning, housekeeping, construction, security, facility management, etc.

Labour Contractor Licence – 2025 Requirements

To obtain a Labour Contractor Licence in Delhi NCR, the following requirements must be met:

✅ 1. Business Registration

You must be a registered entity, such as:

• Proprietorship

• Partnership

• Private Limited Company

• LLP

✅ 2. Principal Employer Agreement

You must have a contractual agreement or work order with a principal employer (the company you’re supplying labour to).

✅ 3. Labour Details

You’ll need to disclose:

• Total number of workers deployed

• Nature of work

• Site/location details

• Duration of the contract

✅ 4. Registration under Labour Welfare Laws

You must be registered under:

• EPFO (Employee Provident Fund Organization)

• ESIC (Employee State Insurance Corporation)

• State Labour Welfare Board

✅ 5. Safety and Welfare Measures

You must provide:

• Medical facilities

• Drinking water

• Restrooms

• First-aid

• Wages in accordance with Minimum Wages Act

Documents Required for Labour Contractor Licence (Delhi NCR – 2025)

Here’s a list of standard documents:

Document	Purpose
Identity & Address Proof of applicant	For authentication
PAN Card of business	Tax registration
GST Registration Certificate	Commercial validation
Business Incorporation Proof	ROC, Partnership Deed, etc.
Agreement/Contract with Principal Employer	Basis of deployment
List of Workers	Name, age, address, wages
EPFO & ESIC Registration	Employee benefits compliance
Affidavit/Undertaking	Declaration of truth
Address proof of worksite	Utility bills or lease deed
Fee Payment Challan	As per Labour Department

Step-by-Step Process to Get a Labour Contractor Licence (Delhi NCR)

✅ Step 1: Consultation and Document Preparation

With Corpzo, the process starts with a detailed consultation to understand your business model. Our team then helps gather and verify all necessary documents.

✅ Step 2: Online Application Filing

In Delhi NCR, the application is filed online through the State Labour Department portal (Delhi, Haryana, UP respectively). Corpzo handles:

• Form V – Certificate from principal employer

• Form IV – Application for contractor licence

• Scanned document uploads

✅ Step 3: Payment of Government Fees

The fee varies depending on the number of labourers employed and the state. For example:

• ₹1,000 to ₹5,000 (Licence Fee)

• ₹90 to ₹120 per worker (Security Deposit)

Corpzo calculates and pays this on your behalf.

✅ Step 4: Inspection (if applicable)

Some jurisdictions may conduct a site inspection. We help you prepare for and comply with inspector’s checklist.

✅ Step 5: Approval & Issuance of Licence

If all conditions are satisfied, the Labour Department issues the Labour Contractor Licence, typically within 7–15 working days.

Renewal of Labour Contractor Licence

Labour Contractor Licences are usually valid for 1 year. Renewal must be initiated at least 30 days before expiry. Corpzo handles:

• Licence renewal application

• Updated worker list

• Compliance verification

Penalties for Non-Compliance (2025 Update)

Failure to obtain or renew a licence can result in:

• Penalty up to ₹1 lakh

• Cancellation of ongoing contracts

• Prohibition from future labour supply

• Legal proceedings under the Labour Act

How Corpzo Helps: Labour Licence Experts in Delhi NCR

At Corpzo, we specialize in Labour Compliance and Licensing across India, with strong expertise in Delhi NCR regulations. Here’s how we make it simple:

✅ End-to-End Service

We handle everything—from document collection to licence issuance and renewals.

✅ 100% Online Process

No need to visit government offices. Everything is done digitally through our secured platform.

✅ Fast Turnaround

Receive your Labour Contractor Licence in as little as 7 working days.

✅ Multi-State Support

Need licences in Delhi, Noida, Gurgaon, and more? We can manage your pan-NCR compliance.

✅ Affordable Pricing

Transparent, competitive pricing with no hidden charges.

Conclusion: Be Compliant, Stay Competitive

With rising regulatory scrutiny in 2025, it's critical for labour contractors and manpower agencies to stay compliant. Whether you're a startup manpower supplier or an established contractor working with large infrastructure firms, having a valid Labour Contractor Licence is not just a legal requirement—it's a business necessity.

Let Corpzo help you stay ahead of the curve with expert support, hassle-free licensing, and ongoing compliance.

📞 Call Us Today: +91 9999 139 391📩 Email: reach@corpzo.com🌐 Visit: www.corpzo.com

Corpzo – Your Trusted Labour Licence Consultant in Delhi NCR