Advisory issued to all States/UTs to use Cess fund for welfare of construction workers

In the advisory all State Governments/UTs have been advised to transfer funds in the account of construction workers through DBT mode from the Cess fund collected by the Labour Welfare Boards.

New Delhi: Ministry of Labour and Employment has released an advisory to all the States/UTs for the usage of Cess fund for the welfare of construction workers.

In the advisory all State Governments/UTs have been advised to transfer funds in the account of construction workers through DBT mode from the Cess fund collected by the Labour Welfare Boards.

"In the backdrop of outbreak of COVID-19, to give relief to workers, an advisory by Ministry of Labour and Employment to all States/UTs, for the usage of Cess fund for Welfare of Construction Workers," the ministry tweeted.

• In the backdrop of outbreak of COVID-19, to giverelief to workers, an advisory By Ministry of Labour and Employment to all States/UTs, for the
  usage of Cess fund for Welfare of Construction Workers. pic.twitter.com/sgAsMxFnXM

  — Ministry of Labour (@LabourMinistry) March 25, 2020 " class="align-text-top noRightClick twitterSection" data="

  In the backdrop of outbreak of COVID-19, to giverelief to workers, an advisory By Ministry of Labour and Employment to all States/UTs, for the
  usage of Cess fund for Welfare of Construction Workers. pic.twitter.com/sgAsMxFnXM

  — Ministry of Labour (@LabourMinistry) March 25, 2020

  ">

  In the backdrop of outbreak of COVID-19, to giverelief to workers, an advisory By Ministry of Labour and Employment to all States/UTs, for the
  usage of Cess fund for Welfare of Construction Workers. pic.twitter.com/sgAsMxFnXM

  — Ministry of Labour (@LabourMinistry) March 25, 2020

As per the advisory about Rs 52,000 crore is available as cess fund and about 3.5 crore construction workers are registered with this Construction Welfare Boards.

Section. 60 of the THE BUILDING AND OTHER CONSTRUCTION WORKERS’ (REGULATION OF EMPLOYMENT AND CONDITIONS OF SERVICE ACT, 1996 empowers the Central Government to give directions to the State Governments.

Extract of Section 60: Power of Central Government to give directions:- The Central Government may give directions to the Government of any State or to a Board as to the carrying into execution in that State of any of the provisions of this Act.

Dr. Syam Sundar, Ex-Deputy Chief Labour Commissioner, explains that this type of transfer of fund is possible for the Construction Workers who are registered with the State Welfare Fund Boards. Huge amount of about Rs.52000 Crores is lying in the Cess Fund, and hence the Government of India, has advised the States to utilize these funds for providing relief to the Construction/Building workers during this period of Crisis.

It is good move and advisory given by the Central Government. Many of the Construction workers/Building workers are not aware of the benefits, and Schemes available under this Welfare Cess Fund. As such, there are very less number of claims by these workers. Thereby there was accumulation of un-utilized amounts in the fund, he added.