Union Minister of State for Labour and Employment, Shobha Karandlaje, has issued a firm directive to state governments regarding the utilization of construction worker welfare funds. Speaking at a recent sectoral review, the Minister emphasized that the primary purpose of these funds is to provide substantial social security and direct support to laborers, rather than financing temporary health camps or distributing miscellaneous kits.
Shift Toward Tangible Benefits
Karandlaje voiced concerns over the current trend of utilizing the Building and Other Construction Workers (BOCW) cess for activities she deems insufficient for long-term welfare. According to the Minister, organizing one-day health checkups or providing toolkits does not fulfill the core mandate of the welfare boards. Instead, she urged state officials to focus on permanent solutions such as housing, comprehensive insurance coverage, and educational scholarships for the children of workers.
“Distributing kits and conducting health camps is not true labour welfare,” Karandlaje asserted during the meeting. She highlighted that the cess collected from construction projects across the country is intended to build a safety net for those working in one of the most hazardous and unorganized sectors of the economy.
Integration with Central Schemes
The Union Minister proposed a more integrated approach to social security. She encouraged state governments to register construction workers under central initiatives like the Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY) and the Pradhan Mantri Suraksha Bima Yojana (PMSBY). By leveraging the existing welfare funds to pay premiums for these schemes, states can ensure that workers receive life and accident insurance coverage effortlessly.
Improving Registration and Transparency
A significant portion of the discussion focused on the digital tracking of workers. Karandlaje stressed the importance of linking worker profiles with the e-Shram portal to ensure that benefits reach the intended recipients without leakage. She noted that while several states have accumulated significant funds through the construction cess, the actual disbursement of those funds for “meaningful” life-improving measures remains low in many regions.
The Minister concluded by stating that the Ministry would be monitoring the expenditure patterns of state welfare boards more closely to ensure that the hard-earned money collected for the laborers’ benefit is not being diverted toward superficial activities.