Contract labour wage payment from security deposit requires inquiry, hearing, and timely refurnishing of the deposit.

Payment of wages to contract labour may be made from the contractor's security deposit where the contractor or principal employer fails to pay wages. The Chief Labour Commissioner (Central) must conduct or cause an inquiry and give the contractor an opportunity to be heard before ordering payment from the deposited security amount. The contractor must re-furnish the security deposit within fifteen days, failing which the licence is liable to suspension.

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