Contact Labour (Regulation and Abolition) Act, 1970
21. Responsibility for payment of wages
(1) A contractor shall be responsible for payment of wages to
each worker employed by him as contract labor and such wages shall be paid
before the expiry of such period as may be prescribed.
(2) Every principal employer shall nominate a representative
duly authorized by him to be present at the time of disbursement of wages by
the contractor and it shall be the duty of such representative to certify the
amounts paid as wages in such manner as may be prescribed.
(3) It shall be the duty of the contractor or ensure the
disbursement of wages in the presence of the authorized representative of the
principal employer.
(4) In case the contractor fails to make payment of wages within
the prescribed period or makes short payment, then the principal employer shall
be liable to make payment of wages in full or the unpaid balance due, as the
case may be, to the contract labor employed by the contractor and recover the
amount so paid from the contractor either by deduction from any amount payable
to the contractor under any contract or as a debt payable by the contractor.