Lok Sabha Question No. 278 (UNSTARRED), answered on 2019-06-24
Subject: Welfare of Construction Workers
Ministry: LABOUR AND EMPLOYMENT
Asked by: Shashi Tharoor

## GOVERNMENT OF INDIA

## MINISTRY OF LABOUR AND EMPLOYMENT

## LOK SABHA

UNSTARRED QUESTION NO. 278 TO BE ANSWERED ON 24.06.2019

## WELFARE OF CONSTRUCTION WORKERS

## 278. DR. SHASHI THAROOR:

Will  the  Minister  of  LABOUR  AND  EMPLOYMENT  be  pleased  to state:

- (a)the  details  of  total  cess  amount  collected  for  the  welfare  of construction  workers  under  the  Building  and  Other  Construction Workers (Regulation of Employment and Conditions of Service) Act, since 2014, year-wise;
- (b)the  details  of  the  total  utilisation  of  the  cess  collected  for  the welfare of construction workers since 2014, year-wise;
- (c)whether the Ministry has taken any specific steps and measures to ensure compliance with the said Act in relation to the utilisation of these funds;
- (d)if so, the details thereof; and
- (e)if not, the reasons therefor?

## ANSWER

## MINISTER OF STATE (IC) FOR LABOUR AND EMPLOYMENT (SHRI SANTOSH KUMAR GANGWAR)

- (a) & (b): The Building and Other Construction Workers' Welfare Cess Act,  1996,  provides  levy  and  collection  of  cess  at  such  rate  not exceeding two per cent but not less than one per cent of the cost of construction as the Central Government may notify. The cess has been levied and being collected at the rate of 1% of the cost of construction as notified by the Central Government in the Official Gazette.

The  cess  at  the  above  rate  is  collected  by  the  State Governments/Union  Territory Administrations and utilized for the welfare  of  the  building  and  other  construction  workers  by  the  State Building  and  Other  Construction  Workers  Welfare  Boards  constituted by the State Governments/ Union Territory Administrations under the Building  and  Other  Construction  Workers  (Regulation  of  Employment and Conditions of Service) Act, 1996.

The details of the total cess amount collected and spent is not maintained centrally. However, the cumulative total of the amount of  cess  collected  and  spent  by  the  States/  UTs  up  to  31.03.2019 provisionally is annexed.

(c) to (e): The Central Government has been issuing directions under Section 60 of the Building and Other Construction Workers (RECS) Act, 1996, to the State Governments/UT Administrations from time to time for proper utilization of cess fund in terms of the provisions of the Act.

Further, the Central Government has constituted a Monitoring  Committee  on  09.09.2015  under  the  Chairmanship  of Secretary (Labour and Employment) to monitor the implementation of directions  issued  under  Section  60  of  the  Act,  specifically  with reference to utilization of Cess fund for Welfare Schemes by the State Building and  Other Construction Workers' Welfare Boards. The Committee  has  been  holding  regular  meetings  with  the  Principal Secretary/ Secretary/ Labour Commissioners of all the States/ UTs to monitor  the  progress.  10th  meeting  of  the  committee  was  held  on 04.06.2019.

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## Annexure

## Annexure referred to in reply to part (a) & (b) of Lok Sabha unstarred question No. 278 for 24.06.2019.

| State-wise position of Cess Collected and Amount Spent under the Building and Other Construction Workers Acts, 1996   | State-wise position of Cess Collected and Amount Spent under the Building and Other Construction Workers Acts, 1996   | State-wise position of Cess Collected and Amount Spent under the Building and Other Construction Workers Acts, 1996   | State-wise position of Cess Collected and Amount Spent under the Building and Other Construction Workers Acts, 1996   |
|-----------------------------------------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------------------------------------|
| Sl. No.                                                                                                               | Name of the States/UTs                                                                                                | Amount of Cess Collected (in Crore)                                                                                   | Amount Spent (in Crore)                                                                                               |
| 1                                                                                                                     | Andhra Pradesh                                                                                                        | 2374.71                                                                                                               | 519.17                                                                                                                |
| 2                                                                                                                     | Arunachal Pradesh                                                                                                     | 120.36                                                                                                                | 115.16                                                                                                                |
| 3                                                                                                                     | Assam                                                                                                                 | 874.78                                                                                                                | 188.62                                                                                                                |
| 4                                                                                                                     | Bihar                                                                                                                 | 1608                                                                                                                  | 229.41                                                                                                                |
| 5                                                                                                                     | Chhattisgarh                                                                                                          | 1133.9                                                                                                                | 949.46                                                                                                                |
| 6                                                                                                                     | Goa                                                                                                                   | 147.46                                                                                                                | 1.22                                                                                                                  |
| 7                                                                                                                     | Gujarat                                                                                                               | 2097.62                                                                                                               | 197.19                                                                                                                |
| 8                                                                                                                     | Haryana                                                                                                               | 2462.76                                                                                                               | 606.01                                                                                                                |
| 9                                                                                                                     | Himachal Pradesh                                                                                                      | 692.01                                                                                                                | 96.33                                                                                                                 |
| 10                                                                                                                    | J&K                                                                                                                   | 711.53                                                                                                                | 301.97                                                                                                                |
| 11                                                                                                                    | Jharkhand                                                                                                             | 444.91                                                                                                                | 236.81                                                                                                                |
| 12                                                                                                                    | Karnataka                                                                                                             | 5071.04                                                                                                               | 4519.52                                                                                                               |
| 13                                                                                                                    | Kerala                                                                                                                | 1942.27                                                                                                               | 2341.02                                                                                                               |
| 14                                                                                                                    | Madhya Pradesh                                                                                                        | 2705.95                                                                                                               | 1454.69                                                                                                               |
| 15                                                                                                                    | Maharashtra                                                                                                           | 7402.15                                                                                                               | 402.57                                                                                                                |
| 16                                                                                                                    | Manipur                                                                                                               | 89.19                                                                                                                 | 74.35                                                                                                                 |
| 17                                                                                                                    | Meghalaya                                                                                                             | 131.79                                                                                                                | 3.38                                                                                                                  |
| 18                                                                                                                    | Mizoram                                                                                                               | 85.19                                                                                                                 | 39.51                                                                                                                 |
| 19                                                                                                                    | Nagaland                                                                                                              | 42.8                                                                                                                  | 13.17                                                                                                                 |
| 20                                                                                                                    | Odisha                                                                                                                | 1830.88                                                                                                               | 1418.44                                                                                                               |
| 21                                                                                                                    | Punjab                                                                                                                | 1318.77                                                                                                               | 708.75                                                                                                                |
| 22                                                                                                                    | Rajasthan                                                                                                             | 2250.02                                                                                                               | 1253.71                                                                                                               |
| 23                                                                                                                    | Sikkim                                                                                                                | 100.21                                                                                                                | 29.27                                                                                                                 |
| 24                                                                                                                    | Tamil Nadu                                                                                                            | 2957.3                                                                                                                | 787.04                                                                                                                |
| 25                                                                                                                    | Telangana                                                                                                             | 1210.12                                                                                                               | 262.92                                                                                                                |
| 26                                                                                                                    | Tripura                                                                                                               | 170.72                                                                                                                | 22.618                                                                                                                |
| 27                                                                                                                    | Uttar Pradesh                                                                                                         | 4762                                                                                                                  | 1289.35                                                                                                               |
| 28                                                                                                                    | Uttarakhand                                                                                                           | 251.11                                                                                                                | 68.39                                                                                                                 |
| 29                                                                                                                    | West Bengal                                                                                                           | 2138.53                                                                                                               | 956.75                                                                                                                |
| 30                                                                                                                    | Delhi                                                                                                                 | 2189.74                                                                                                               | 206.38                                                                                                                |
| 31                                                                                                                    | A & N Island                                                                                                          | 70.23                                                                                                                 | 11.63                                                                                                                 |
| 32                                                                                                                    | Chandigarh                                                                                                            | 110.51                                                                                                                | 9.95                                                                                                                  |
| 33                                                                                                                    | Dadra &Nagar Haveli                                                                                                   | 29.61                                                                                                                 | 0.0044                                                                                                                |
| 34                                                                                                                    | Daman and Diu                                                                                                         | 37.17                                                                                                                 | 0.57                                                                                                                  |
| 35                                                                                                                    | Lakshadweep                                                                                                           | 9.02                                                                                                                  | 0                                                                                                                     |
| 36                                                                                                                    | Puducherry                                                                                                            | 100.16                                                                                                                | 63.92                                                                                                                 |
| Total                                                                                                                 | Total                                                                                                                 | 49674.52                                                                                                              | 19379.25                                                                                                              |

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