Despite strong laws, there has been negligible enforcement. The bureaucratic machinery and the political leadership of India are responsible for India having the largest bonded child labor population.

Most states have added responsibility for enforcement of the Child Labour (Prohibition and Regulation) Act on to the already-existing ranks of the labor inspectors. This is an undesirable arrangement for two reasons. Requiring the labor inspectors to also investigate violations of the Child Labour (Prohibition and Regulation) Act saddles them with an unrealistic work burden.
In practice, some labor inspectors enforce the Factories Act while others enforce the Child Labour (Prohibition and Regulation) Act, a not very efficient division of labor. Furthermore, a 1995 government-mandated report on child labor found that "many inspectors were unclear about the import of laws." The same report also presented evidence of high incidence of corruption and bribery among labor inspectors [Commission on Labour Standards, Child Labour in India, p. 40]. Against this background, there is little reason to expect them to vigorously find and root out instances of illegal child labor.

District magistrates (DM) – also called district collectors, or deputy commissioners, in some states – are responsible for enforcement of the Bonded Labour System (Abolition) Act. ["It shall be the duty of every District Magistrate and every officer specified by him under Sec. 10 to inquire whether after the commencement of this act, any bonded labour system or any other form of forced labour is being enforced by, or on behalf of, any person resident within the local limits of his jurisdiction and if, as a result of such inquiry, any person is found to be enforcing the bonded labour system or any other system of forced labour, he shall forthwith take such action as may be necessary to eradicate the enforcement of such forced labour." Bonded Labour System (Abolition) Act, 1976, Sec. 12.] The district magistrate is to constitute and participate in the functioning of a district-level "vigilance committee" whose function are to advise the DM on cases on bonded labourers, to provide for their rehabilitation through economic, legal and social institutions.

Very few such vigilance committees have been formed, and almost none are currently operative.

While the Bonded Labour System (Abolition) Act demands rehabilitation of bonded labourers, it does not specify of what this rehabilitation should consist and left implementation of rehabilitation up to the state governments, and largely dependent on the initiative of District Magistrates.

In 1978, the Ministry of Labour launched a scheme that specified a "rehabilitation allowance" in order to assist state governments with rehabilitation [Reddy, Bonded Labour System in India, p. 163]. Despite extensive layout and financial assistance for rehabilitation of bonded labourers vis-à-vis this plan, and the inclusion of psychological physical and economic components of rehabilitation [Ministry of Labor Direct Order No. S.11011/20/82-BL], the extent to which bonded laborers have been identified, released, and rehabilitated by government officials has been negligible.

Related Articles:
Indian Laws Against Bonded Labor
There Live Enslaved Children
How Bonded Child Labor Works
The Hidden Factory: Child Labour in India