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Labour & Statutory Compliance

Labour Licence

Contract labour licensing priced per employee, with a calculator so you can see the cost before you commit.

Professional fee
₹100 per employee
Typical timeline
Depends on the state labour department; commonly one to thr…
Government charges
Billed separately

What this service is

A labour licence is required by contractors engaging contract labour above the threshold prescribed under the Contract Labour (Regulation and Abolition) Act, 1970, read with the applicable state rules. The principal employer typically also holds a registration certificate for the same work.

Why it matters

Client sites increasingly refuse to onboard contract manpower without a valid licence. Licences are also tied to headcount, so a licence taken for a smaller team needs amendment before you scale up.

Who needs it

  • Contractors deploying contract labour at client premises
  • Manpower, housekeeping, security and facility management agencies
  • Businesses bidding for contracts that require a licence copy
  • Contractors whose licensed strength no longer matches actual deployment

What you get

  • Licence covering your deployed headcount
  • Documentation the principal employer can verify
  • Clarity on renewal and amendment timelines
  • Support with associated registers and returns

Eligibility

  • Contractor engaging contract labour at or above the state threshold
  • Work order or agreement with the principal employer
  • Principal employer's Form V / registration details
  • Employee strength to be covered under the licence

Documents required

Typical documents for this service:

  • Work order or contract agreement
  • Form V from the principal employer
  • PF and ESI registration details
  • PAN and identity proof of the contractor
  • Address proof of the establishment
  • Employee strength declaration
  • Proof of payment of statutory licence fee and security deposit

Required documents may vary depending on the service, business structure, state and applicable regulations. We confirm the exact list for your case before filing.

How the process runs

  1. Confirm headcount, state and principal employer details

  2. Calculate the professional fee and statutory charges

  3. Prepare and file the licence application

  4. Statutory fee and security deposit paid as applicable

  5. Licence issued and handed over with renewal reminders

Timeline

Depends on the state labour department; commonly one to three weeks after complete filing.

Labour licence calculator

Professional fee is ₹100 per employee. Statutory licence fee and security deposit are set by your state and are payable in addition.

Licence strength should match the headcount you will actually deploy.
Employees100
Professional fee₹10,000
Government feeAs applicable in your state
Estimated total₹10,000 + govt. fee

State licence fees and security deposits change from time to time and differ between states. Tell us your state and headcount and we will confirm the statutory amount in writing before you pay anything.

Pricing

Trueline Solutions professional fee₹100 per employee
Government / statutory chargesAs applicable — see below

Government fees. Statutory licence fee and security deposit are prescribed per employee by the state and are payable in addition to the professional fee. Use the calculator on this page to see the split.

Do's and don'ts

Do

  • Apply for the licence before deploying labour at site
  • Keep licensed strength aligned with actual deployment
  • Renew well before the expiry date
  • Maintain the registers and returns required under the Act

Don't

  • Don't deploy above your licensed headcount
  • Don't let the licence lapse mid-contract
  • Don't rely on the principal employer's registration instead of your own licence
  • Don't ignore the state-specific rules — they differ significantly

Questions people ask

How is the professional fee calculated?

At ₹100 per employee covered. For 100 employees the professional fee is ₹10,000, plus the applicable government fee.

What government charges apply?

State-prescribed licence fee and security deposit, generally calculated per employee. The rates vary by state and change from time to time.

Can the licence be amended later?

Yes, licences can usually be amended for increased strength. We can handle the amendment filing.

Do I need PF and ESI before applying?

In most states, yes — the labour department expects those registrations to be in place.