CLRA Quiz

Apex Heavy Industries engages contract workers through Labor Solutions Inc. to assist with assembly line tasks in its factory. The workers from Labor Solutions perform duties that are nearly identical to those of Apex’s regular employees, and Apex managers provide instructions on their daily tasks. The contract workers are, however, paid directly by Labor Solutions Inc. When Apex decides not to renew the contract, the workers file a complaint, claiming that their employment relationship with Labor Solutions is a "sham" and that they should be recognized as direct employees of Apex.

Which of the following factors would be most important in determining if the contract is genuine or a "sham," thereby impacting the workers' status as employees of Apex?

• Whether the contract workers have worked with Apex for a continuous period of more than three years

• Whether Apex Heavy Industries pays the salaries of the contract workers directly

• Whether the workers receive training from Apex managers

• Whether Labor Solutions Inc. holds a valid license under the Contract Labour Act

Zenith Industries contracts with Bright Builders to complete expansion work on its factory premises. The contract specifies that Bright Builders will provide all required labour for construction. During inspections, the Labour Department finds that Bright Builders failed to provide restrooms and adequate drinking water for the workers. Zenith Industries argues it has no obligation to provide these facilities, as Bright Builders is the contractor.

Who would likely be responsible for ensuring these amenities under the CLRA?

• Zenith Industries only

• The government as a regulatory authority

• Zenith Industries and Bright Builders jointly

• Bright Builders only

Global Textiles hires a contractor, Reliant Labour Co., to handle loading and unloading operations. Reliant fails to renew its license under Section 12 of the CLRA. The contract workers claim they should be considered direct employees of Global Textiles due to Reliant's non-compliance with licensing requirements.

How might a court rule in this scenario?

• The workers could be considered employees of Global Textiles due to Reliant’s licensing lapse

• Reliant Labour Co. is solely responsible for the workers, as Global Textiles was compliant

• The workers would be treated as independent contractors

• • The workers have no claim because the lapse is solely Reliant's responsibility

Apex Pharmaceuticals hires contract labour for packaging operations, but the contractor does not provide the same amount of wages to the contract workers, as provided to the regular employees. A contract worker files a complaint, claiming equal pay rights under the principle of "equal pay for equal work."

What is the most likely outcome if the court finds that the packaging work done by contract workers is identical to that of regular employees?

• The contractor will face penalties, but wage equality will not be mandated

• The court will dismiss the complaint due to insufficient wage documentation

• The contract worker will be entitled to the same wages as regular employees

• • Apex Pharmaceuticals will be ordered to hire the worker directly

Regal Manufacturing Ltd. employs contract workers through Top Labour Services for assembling parts. An investigation reveals that the work performed by these contract workers is identical to that performed by regular employees, with supervision provided by Regal staff. The contract workers seek regularization as employees of Regal Manufacturing.

How would the court likely address this request for regularization?

• Grant regularization automatically due to similar work

• Order compensation instead of regularization

• Dismiss the request, as contract workers cannot be regularized

• Require the workers to file a complaint with the Chief Labour Commissioner

In the Steel Authority of India Limited v. Union of India (2006) case, the court ruled on whether a sham contract can be examined by which entity?

• The appropriate government

• The Labour Court or Industrial Tribunal

• • A contract worker representative committee

• The principal employer

What is the minimum number of contract workers an establishment must have to come under the purview of CLRA?

• 10

• 15

• 20

• 25

Section _ of the CLRA gives the government the power to prohibit the employment of contract labour in any establishment.

• 10

• 5

• 12

• 8

According to the CLRA, when must a contractor provide canteens for contract labour?

• When 50 or more contract labourers are employed

• When 150 or more contract labourers are employed

• When 100 or more contract labourers are employed

• When 200 or more contract labourers are employed

Under Section 21 of the CLRA, who is responsible for the payment of wages to contract labour?

• • The contractor only

• Both the principal employer and the contractor

• The government

• The principal employer only