Exemption to coal mines Gare Pelma Sector III 4 MTPA to Chhattishgarh State Power Generation Limited

## Report on Exemption Notification Regarding Contract Labour in Coal Mines **1. Executive Summary:** This report analyzes a notification (S.O. 2219E) issued by the Ministry of Labour and Employment on May 19, 2025, which exempts the Coal Block allotted to Chhattisgarh State Power Generation Company Limited, specifically the Gare Pelma Sector III Coal Mines, from a previous notification (S.O. 2063, dated June 21, 1988) regarding the employment of contract labour. The exemption applies to specific works (serial numbers 1 to 3) related to coal mining for a period of three years, subject to certain conditions protecting the interests of the workmen. This report details the rationale, key provisions, affected stakeholders, and expected outcomes of this exemption. **2. Introduction:** The purpose of this report is to provide a comprehensive overview of the notification S.O. 2219E, as published in the Gazette of India on May 19, 2025. The analysis is based solely on the information provided within the text of the notification. **3. Policy Overview:** * This notification amends the applicability of a previous notification: S.O. 2063, dated June 21, 1988, which pertains to the employment of contract labour. * **Core Objective(s):** The core objective of this notification is to provide an exemption from the applicability of the previous notification (S.O. 2063) to Chhattisgarh State Power Generation Company Limited's Gare Pelma Sector III Coal Mines for a limited time, while ensuring the protection of workers' interests. **4. Background and Rationale:** This notification functions as an amendment, granting an exemption. The likely reason for this specific exemption is to facilitate the operation of the Gare Pelma Sector III Coal Mines by Chhattisgarh State Power Generation Company Limited by providing a temporary respite from the regulations stipulated in S.O. 2063 regarding contract labour. The provided text implies a desire to balance operational flexibility with the welfare of contract workers, as conditions are attached to the exemption that aims to safeguard their rights and benefits. **5. Key Provisions / Changes:** This notification introduces an exemption to an existing policy: * **Specific Part of Original Policy Changed:** The notification S.O. 2219E modifies the applicability of S.O. 2063 specifically for the Gare Pelma Sector III Coal Mines (Chhattisgarh State Power Generation Company Limited) for works specified against serial numbers 1 to 3 in the schedule to S.O. 2063. * **New Rule/Provision:** The new rule is that the Gare Pelma Sector III Coal Mines are exempt from the regulations of S.O. 2063 for a period of three years. This exemption is conditional and requires that the interest of the workmen is protected, they shall be paid wages and other benefits as per the recommendations of the High-Powered Committee appointed by the Coal India Limited, Ministry of Coal, Government of India and at the rates notified by Coal India Limited from time to time; The Central Advisory Contract Labour Board shall have the right to inspect the establishment to ensure and check whether such wages and benefits are given to such workers in the establishment. The management of Chhattisgarh State Power Generation Company Limited shall ensure that whenever there is a change of contract, existing contract workmen who are working may be given preference in employment by the incoming contractor, subject to the satisfactory performance of duties; the workmen working in jobs ancillary or incidental to coal mining works specified against serial numbers 1 to 3 of the Schedule to the said notification number S.O. 2063E dated the 21st June, 1988 shall get wages as determined by the High-Powered Committee appointed by the Coal India Limited, Ministry of Coal, Government of India and at the rates notified by the Coal India Limited from time to time; the contractor, as well as the principal employer, shall ensure payment of the said HighPowered Committee wages, which increases every six months and also other benefits as per the provisions of the Mines Act, 1952 35 of 1952; the contract workers shall be covered under the provisions of the Payment of Gratuity Act, 1972 39 of 1972; and the contract workers shall be paid bonus and leave with wages as per the provisions of the Mines Act, 1952 35 of 1952. * **Difference/Effect of the Change:** The effect of this change is to allow Chhattisgarh State Power Generation Company Limited more flexibility in employing contract labour at the Gare Pelma Sector III Coal Mines, potentially reducing operational costs or administrative burdens associated with complying with the original notification. However, the conditions attached to the exemption aim to prevent exploitation of workers and ensure they receive fair wages, benefits, and job security. **6. Target Audience and Stakeholders:** The primary target audience and stakeholders are: * Chhattisgarh State Power Generation Company Limited, specifically the management and employees of the Gare Pelma Sector III Coal Mines. * Contract labourers employed at the Gare Pelma Sector III Coal Mines. * Contractors providing labour to the Gare Pelma Sector III Coal Mines. * The Central Advisory Contract Labour Board. * Coal India Limited. * Ministry of Coal, Government of India. **7. Implementation Aspects (Inferred):** * **Responsible agency/bodies:** The Central Advisory Contract Labour Board is responsible for inspecting the establishment to ensure compliance with the conditions of the exemption. Coal India Limited, Ministry of Coal, Government of India is responsible for wage recommendations. * **Timelines/procedures:** The exemption is valid for three years from the date of publication (May 19, 2025). Wages are increased every six months. * **Amendment-Specific Aspects:** The conditions of the exemption concerning wages, benefits, preference in employment, gratuity, bonus, and leave must be implemented by both the Chhattisgarh State Power Generation Company Limited and its contractors. **8. Expected Outcomes / Impact of Changes:** The likely intended outcomes of this exemption are: * Facilitation of coal production at the Gare Pelma Sector III Coal Mines. * Reduced operational constraints for Chhattisgarh State Power Generation Company Limited related to contract labour regulations. * Continued protection of the rights and benefits of contract workers through the imposed conditions. * Preference to existing contract workmen who are working may be given preference in employment by the incoming contractor, subject to the satisfactory performance of duties. **9. Conclusion:** The notification S.O. 2219E grants a conditional exemption from the applicability of S.O. 2063 to the Gare Pelma Sector III Coal Mines. This exemption is significant as it provides operational flexibility to Chhattisgarh State Power Generation Company Limited while simultaneously emphasizing the importance of protecting the interests of contract labourers. The implementation of the conditions attached to the exemption is crucial to achieving the intended balance between operational efficiency and worker welfare.

Key Entities Referenced