Madhya Pradesh Tightens Contract Labour Compliance: Mandatory Registration & Licensing Before Engagement (March 2026 Notification)

The Government of Madhya Pradesh has directed strict compliance with statutory requirements for engagement of contract labour and outsourced employees, particularly by ensuring: Principal Employer registration is obtained before engagement Valid contractor license is verified prior to issuing work orders All statutory formalities are completed before commencement of work Work orders are shared with the Labour Department for oversight The notification reiterates that compliance under the Contract Labour (Regulation and Abolition) Act, 1970 and aligned provisions under the OSH Code, 2020 is mandatory, and non-compliance may attract penalties. Importantly, the Principal Employer remains ultimately liable for statutory obligations, even in cases of contractor default. Overall implication: Employers must adopt a pre-compliance approach, ensuring that registration, licensing, and documentation are in place before engaging contract labor, as post-facto compliance will not be acceptable.