PAC KEA CWWB Study Final Report Submitted en
PAC KEA CWWB Study Final Report Submitted en
JUNE 2021
STUDY OF WELFARE IMPACT OF USAGE OF
CONSTRUCTION WORKERS WELFARE
BOARD CESS IN KARNATAKA
PRINCIPAL INVESTIGATOR:
MR. BASIL LIONGS
SUBMITTED BY:
PUBLIC AFFAIRS CENTRE
DEPARTMENT:
KARNATAKA BUILDING AND OTHER CONSTRUCTION
WORKERS WELFARE BOARD, DEPARTMENT OF
LABOUR
JUNE 2021
©Karnataka Evaluation Authority, 2021
Published for:
Karnataka Evaluation Authority,
#542, 5th Floor, 2nd Gate,
M.S. Building, Ambedkar Veedhi,
Bengaluru – 560 001.
By:
Public Affairs Centre,
#15, KIADB Industrial Area,
Jigani Bommasandra Link Road,
Bengaluru – 560 105.
LIST OF FIGURES
Figure 1: Marriage Assistance Year-wise cess disbursement to beneficiaries in
Karnataka in total numbers 44
Figure 2: Marriage Assistance - Percentage share of cess disbursement and
beneficiaries in Karnataka 44
Figure 3: Education Assistance - Year-wise cess disbursement to beneficiaries
in Karnataka in total numbers 45
Figure 4: Education Assistance - Percentage share of cess disbursement and
beneficiaries in Karnataka 46
ABBREVIATIONS
AAY Antyodaya Anna Yojana
ALC Assistant Labour Commissioner
APL Above Poverty Level
BMTC Bengaluru Metropolitan Transport Corporation
BPL Below Poverty Level
CSC Common Service Centres
CWWB Construction Workers Welfare Board
DLC Deputy Labour Commissioner
ESI Employee State Insurance
E-KYC Electronic Know Your Client
FD Fixed Deposit
ICT Information and Communication Technology
ILO International Labour Organisation
ISMW Inter-State Migrant Workmen Act, 1979
ITI Industrial Training Institute
KBOCWWB Karnataka Building and Other Construction Workers Welfare
Board
KSRTC Karnataka State Road Transport Corporation
LPG Liquid Petroleum Gas
MGNREGA Mahatma Gandhi National Rural Employment Guarantee Act 2005
MIS Management Information System
MRC Migrant Resource Centre
NCC-CL National Campaign Committee for Central Legislation
NGOs Non-Government Organisations
NSSO National Sample Survey Office
OBC Other Backward Communities
OTP One Time Password
RBSK Rashtriya Bal Swasthya Karyakram
RPL Recognition of Prior Learning
RSBY Rashtriya Swasthya Bima Yojana
SB State Bank
SC/ST Scheduled Caste / Scheduled Tribe
Executive Summary
EXECUTIVE SUMMARY
In the forty-seventh year of the Republic of India, the Parliament passed a landmark Act
whose overall objective was ‘to regulate the employment and condition of service of
buildings and other construction workers and to provide for their safety, health and welfare
measures and for other matters connected therewith…’. It was called the Building and Other
Construction Workers (Regulation of Employment and Conditions of Service) Act, 1996,
extending to the whole of India. Simultaneously, Government of India also enacted the
Building and Other Construction Workers’ Welfare Cess Act, 1996, to provide for the levy
and collection of a cess on the cost of construction incurred by employers with a view to
augmenting the resources of the Building and Other Construction Workers’ Welfare Boards
constituted under the Building and Other Construction Workers (Regulation of Employment
and Conditions of Service) Act, 1996. The Government of Karnataka (GoK) framed the
Building and Other Construction Workers (Regulation of Employment and Conditions of
Service), Karnataka Rules, 2006 to implement the Building and Other Construction Workers
(BOCW) Act in the state. The Government of Karnataka then constituted the Karnataka
Building and Other Construction Workers Welfare Board (KBOCWWB) on 18-01-2007
under the Building and Other Construction Workers (Regulation of Employment and
Conditions of Service) Act, 1996 to implement the provisions and the schemes as per the
Act, and to enforce the Karnataka Rules.
The scope of this study was to understand the welfare impact of the usage of the Construction
Workers Welfare Board Cess in the state of Karnataka. The study thus included in its ambit
schemes under the aegis of the 1996 Act and the 2006 Rules for which the Cess is collected
and disbursed. The study created a logframe based on the evaluation questions framing the
scope of the study and took into its ambit all the 30 districts of the state of Karnataka for
secondary data analysis, and 10 districts as sample for primary survey.
For secondary data, KBOCWWB and the district offices of the Department of Labour
provided data for 10 years on the number of beneficiaries who availed various schemes and
cess amounts disbursed for each of these schemes. These were analysed at the district and
Division level to assess temporal trends and spatial patterns both scheme-wise distribution
of beneficiaries. The analytical tools used mainly included calculating averages, percentage
distribution, proportions and data visualisation techniques, presented in more than 30 tables
and figures.
Primary data was collected through field survey by carrying out interviews with various
stakeholders including nearly 2000 beneficiary construction workers, more than ten
thousand non-beneficiary construction workers, and more than 500 simple interviews with
- officials and representatives of the local administration involved in the registration
processes, office bearers of workers’ unions, Builders and Real Estate Associations, other
relevant institutions such as those of training and skill development, using both structure
questionnaires and semi-structured interview schedules.
Selected major findings from detailed secondary and primary data analysis in response to
the Evaluation Questions are as follows with regard to –
of establishment Form covers the number of construction workers in the site; however,
there is no checklist on whether they have been informed about registration, renewal and
benefits/schemes that they are entitled to. There is no IEC material for distribution to
construction workers when they start working in an establishment. To start with, 92% of
both beneficiary and non-beneficiary construction workers were aware of the eligibility
criteria required to be a member. For all the 10 districts covered by the survey, it took
about 45-46 days to complete the registration process for both the beneficiary and non-
beneficiary respondents. More than 40% of the non-beneficiary and 34% of the
beneficiary respondents found it difficult to complete the process without support from
others, followed by those who mentioned not having adequate information (25% of
beneficiaries) and time loss/wage loss incurred in travel (16% of non-beneficiaries).
About one-fifth of the respondents did not go in for renewal as they had problems with
their Aadhaar not being linked to their accounts (21% of beneficiary respondents),
travel/wage loss (20% of beneficiary respondents), and the process being very
cumbersome (16-17% of all respondents). In the case of inter-state migrant workers,
44% were not able to produce required documents for registration, with another 27%
mentioning that did not understand the language to be able to carry out the registration
process.
5. Lack of formal grievance redressal mechanisms to deal with problems faced by
intra and interstate construction workers - There is no specific mention of grievance
redress mechanisms in the guideline on KBOCWWB. Both the BOCW Karnataka Rules
2006 and the Gazette of 2017 have not mentioned a grievance redress process to be made
available for construction workers. This was confirmed during the primary survey when
the issues that they faced could not be shared through a formal process in the system.
The study comes out with recommendations based on the system as is and what could be
done to ensure better service delivery and efficient utilisation of the cess collected from
establishments. The major ones include –
1. Provide additional support through the Cess – In addition to spending on schemes
the corpus of cess can be used for occupational health and safety, establishment and
operation of helplines and grievance redressal system, creating awareness drives for
construction workers and distribution of sanitary pads to women workers. Special drives
to register women construction workers and providing basic facilities such as separate
toilets, creche for their children, should be arranged in sites where they are working.
Appropriate amendments to the current Gazette should be able to achieve this objective.
2. Increase enrolment and renewal of workers - Allocate sufficient funds to conduct IEC
campaign to improve registration and bring visibility among construction workers on
welfare board schemes; develop short video films for advocacy; involve youth
organisations and other local platforms for awareness generation at the district level to
overcome registration roadblocks; facilitate the workers for on time renewal
membership by sending SMS or voice-based reminders. There should be simultaneous
efforts to simplify the registration procedures on the basis of feedback from regular
social audit exercises as per the mandate of the Supreme Court and CAG guidelines. A
comparison of schemes among select states shows that Tamil Nadu has tried to keep the
Karnataka Evaluation Authority | 3
Study Of Welfare Impact Of Usage Of Construction Workers Welfare Board Cess In Karnataka
registration processes simple for the construction workers, with less supporting
documents and more time for renewal.
3. Link seamlessly the process of registration of establishment, payment of cess, and
registration of construction workers in the establishment – all government and
private establishments should register themselves with the District Labour Offices for
further assessment of the site and provision of services to construction workers. The
process of interlinking can be initiated from the time of approval of projects and the
corresponding drawing plans and implementation documents.
The GoI has brought out various SOPs for Ease of Doing Business under the aegis of
the Department for Promotion of Industry and Internal Trade, Ministry of Commerce.
They include guidelines for CWWBs of states as well, which can be adopted by
KBOCWWB under GoK – State Reforms Action Plan 2020 Implementation Guide for
States/UTs (https://eodb.dipp.gov.in/PublicDoc/Download/30337), State Reforms
Action Plan 2020 (https://eodb.dipp.gov.in/PublicDoc/Download/30336 ).
4. Involve other departments to provide services to all construction and other workers
– As per the Gazette of 2017, new type of works have been added to the scope of
construction work that come under the jurisdiction of other departments such as the
Rural Development and Panchayati Raj, Education, Health, SDEL and similar
departments. Inter departmental coordination will help provision of benefits under the
assistance schemes to those construction and other workers as well.
5. Use of existing infrastructure to improve information on upskilling – The CWWB
and Department of Labour are initiating programmes such as the Shrama Samarthya
Yojane and Recognition of Prior Learning to upskill construction and other workers.
Information about these can be kept in District Employment Exchanges and YES Kendra
offices and SDEL run skilling centres to reach out to as many potential registered
workers and beneficiaries. CWWB can enrol staff to coordinate activities in these centres
and facilitate inter-departmental coordination as well.
The impact of the COVID-19 pandemic on building and other construction workers is well
documented - distress movements, delayed provision of financial doles, food kits, and
transport facilities post the first lockdown to facilitate return, lack of support from
employers, contractors or other stakeholders. A well documented process of creating and
maintaining data dashboards of the building and other construction workers will help in
benefits always reaching in time for any need.
1. INTRODUCTION
1.1 Background
In the forty-seventh year of the Republic of India, the Parliament passed a landmark Act
whose overall objective was ‘to regulate the employment and condition of service of
buildings and other construction workers and to provide for their safety, health and welfare
measures and for other matters connected therewith…’1. It was called the Building and
Other Construction Workers (Regulation of Employment and Conditions of Service) Act,
1996, extending to the whole of India. The Act applies to every establishment which
employs, or had employed on any day of the preceding twelve months, ten or more buildings
workers in any building or other construction work. The Act, through each of its chapters
devotes itself to various aspects that include definitions of terms, the constitution and role
of relevant committees, registration of establishments, registration of building workers as
beneficiaries, the constitution and works of the Building and Other Construction Workers’
Welfare Boards at the state level, and various service, safety and health measures to be
followed, along with penalties and procedures to be followed if any violations are found.
Simultaneously, Government of India also enacted the Building and Other Construction
Workers’ Welfare Cess Act, 1996, to provide for the levy and collection of a cess on the cost
of construction incurred by employers with a view to augmenting the resources of the
Building and Other Construction Workers’ Welfare Boards constituted under the Building
and Other Construction Workers (Regulation of Employment and Conditions of Service)
Act, 19962. The Building and Other Construction Worker’s Welfare Cess Rules 1998 was
introduced by the Government of India in exercise of the powers conferred by sub-section
(1) of section 14 of the Cess Act 1996 (Act 28 of 1996).
The Government of Karnataka (GoK) framed the Building and Other Construction Workers
(Regulation of Employment and Conditions of Service), Karnataka Rules, 2006 3 to
implement the Building and Other Construction Workers (BOCW) Act in the state. This
document among other things includes details of the kind of appliances and equipments to
be used at various worksites to ensure the safety and security of workers and adequate work
compensation to be provided to them, along with Forms to be submitted by workers,
employers or contractors to meet with the requirements of the Labour Department. The
Rules were further amended through a Gazette Notification from the Labour Secretariat and
came into force in November 20174. Importantly, the Gazette covers the template of all the
Forms active in Karnataka to be filled by various stakeholders.
on 16.11.2020.
4
See Gazette at https://karbwwb.karnataka.gov.in/storage/pdf-files/Notification/Notification-13-11-2017.pdf . Last
accessed on 16.11.2020.
The Government of Karnataka then constituted the Karnataka Building and Other
Construction Workers Welfare Board (KBOCWWB) on 18-01-2007 under the Building and
Other Construction Workers (Regulation of Employment and Conditions of Service) Act,
1996 to implement the provisions and the schemes as per the Act, and to enforce the
Karnataka Rules. The Board came into existence vide Notification No.KAE 241 LET 2006,
dated: 18-01-20075.
To be able to carry out all the activities relevant to the BOCW Act in Karnataka by the
Department of Labour under whose jurisdiction the BOCW comes, a quick assessment of
the available human resources in the Boards leads to the following understanding.
Table 1 presents the current staff position at the KBOCWWB.
Table 1: Status of staff position in KBOCWWB
Staff Position of Karnataka Building and Other Construction Workers' Welfare Board
(KBOCWWB)
S.No Designation/Position Sanctioned Working Vacant
1 Secretary & CEO 1 1 0
2 Joint Secretary 1 0 1
3 Deputy Secretary 4 0 4
4 Special Officer 1 0 1
5 Assistant Secretary 4 3 1
6 Labour Officer 7 3 4
Staff Position of Karnataka Building and Other Construction Workers' Welfare Board
(KBOCWWB)
S.No Designation/Position Sanctioned Working Vacant
7 Senior Labour Inspector 7 2 5
8 Deputy Controller of Finance 1 0 1
9 Assistant Controller of Finance 2 0 2
10 Accounts Superintendent 2 0 2
11 Executive Engineer 1 0 1
12 Assistant Executive Engineer 1 0 1
13 Junior Engineer 2 2 0
14 Technical & Construction Training 1 0 1
Expert
Total 35 11 24
% 100% 31.5% 68.5%
Source: KBOCWWB
The Table above shows that nearly 69 per cent of sanctioned staff positions are vacant in the
Construction Workers Welfare Board at the head office level. As the custodian of the cess
at the state level and the node from where funds for welfare schemes are sent to the district
offices of the state, adequate staff for the CWWB is required to perform efficiently and
maintain all records and systems at the head office.
Overall, nearly one-third of the positions of Labour Officers is vacant with major variations
among districts. Four districts located in Belagavi and Kalaburagi Divisions have more than
50% vacancies that need to be filled.
its ambit schemes under the aegis of the 1996 Act and the 2006 Rules for which the Cess is
collected and disbursed.
The scope of the study included all the 30 districts of the state of Karnataka for secondary
data analysis. Of them, 10 districts were selected as sample for primary survey as defined in
the sampling methodology in Chapter 3. The chapters that follow in this report include a
review of literature, a log frame for the study, results and discussions on process evaluation
for welfare impact and data evaluation for welfare impact, with recommendations,
references, and appendices.
2 REVIEW OF LITERATURE
While there are not many studies carried out on the utilisation of cess of the CWWB, the
following is a quick analysis of relevant studies carried out on the sector.
“Study of Migration of Labour to and from Karnataka” by Council for Social Development
The study was aimed at understanding the factors that influence the push and pull factors that
contribute to labour migration within and outside the state of Karnataka.
Unavailability of work was recognised as the most compelling reason behind migration, not
because of better wages or to explore more livelihood options. Labour migration is most
common among Scheduled Castes and most uncommon among socially privileged castes. All
the three categories (intra-district, inter-district and inter-state) earned less than Rs 6000 per
month. Caste and gender-based violence was also recognised as a push factor by inter-state
migrants in Karnataka. Majority of the migrant workers are not registered. In this context,
finding the exact size of the migrant cohort in any administrative unit was a major challenge.
The study revealed that finding required data on the extent of migration in an area was not
possible as 2011 Census data on migration at district level had not been published yet and it
is not possible to find district wise data on migration.
The study recommended the effective implementation of MGNREGS and generating
livelihood options at the local level, stringent policies to counter monopoly of unregistered
contractors who charge commission from migrant workers and to discourage child labour,
effective implementation of redressal mechanisms, organising regular training workshops to
educate workers about their rights, ensuring easy access to good quality health care services
and education for children.
At the policy level, the study suggested ensuring registration of migrant workers and issuing
them identity cards through which the migrants can access PDS shops at the destination,
health services and government schools for their children. The study also suggested for
formulation of policies/laws to regulate unregistered contractors.
The Socio Economic Status of Unorganised Migrant Construction Labourers in
Karnataka: A Case Study in Bengaluru
B. Shamala Research Scholar, Department of Economics Bengaluru University, Bengaluru,
Karnataka, India & T. Rajendra Prasad, Professor and Chairman, Department of Economics
Bengaluru University, Bengaluru, Karnataka, India
The objectives of the exercise were to study the economic position of labourers before and
after migration, their living conditions, food security, health facilities etc.
Primary data was collected from randomly selected labourers especially interstate migrants
and secondary data was collected to analyse the conditions of migrant labourers.
The study involved migrant workers employed in various construction sites, specifically
inter-state migrants within Bengaluru city were selected for the study.
The study revealed that a majority of the migrant workers are illiterate and unskilled which
makes them vulnerable to being exploited by the sub-contractors/contractors. The challenges
the migrants face are restricted access to basic needs such as identity documentation, social
entitlements, housing and financial services.
The study shows that the migrant workers are kept out of the purview of welfare measures
and legal services and suggested that migrant construction workers should be ensured safe
and secure working conditions. Their food, health, political security should be given topmost
priority.
Most migrant workers in misery, a pre-COVID -19 Study
The article 7 quoted a study, which revealed that illiteracy prevented migrant construction
workers from articulating their issues before the government to seek justice. Incidentally,
almost a third of the survey respondents were illiterate. Over a third of the workers surveyed
had only elementary education.
Long working hours, lack of medical help and dependence on usurious money lenders were
all part of the workers’ everyday challenges. Among the districts covered by the study were
Bengaluru urban and rural, Tumakuru, Chikkaballapur, Mysuru, Mangaluru, Hassan,
Shivamogga, Belagavi and Kalaburagi.
Study on labour rights violations and the availability and effectiveness of grievance
mechanisms in the construction sector in Bengaluru
The major findings from this study reveal that Labour laws that should be safeguarding
workers’ rights are poorly implemented. The BOCW Act in Karnataka illustrates the idea of
social security on paper, but is yet to reach out to the vast majority of the construction workers
in the state. The social security contributions by workers and employers are not being used
for the welfare of workers and end up as dormant money within the trust fund.
This study found out that on the one hand the implementation of labour laws and the provision
of benefits to construction sector workers depends on civil society advocacy. The lack of
organised unions in the construction sector has only strengthened the bureaucracy and vested
interests such of construction companies that have their profit margins at the centre of their
concern. On the other hand, the study highlights that not all workers were enthusiastic in
registering with the welfare board. Apart from providing very little benefits to workers and a
dysfunctional grievance redressal mechanism, the welfare card is not acknowledged across
different states in India as in the case of ESI. Without a comprehensive legislation along the
lines of the ESI, many workers do not receive the benefits they are entitled to and cannot
claim their rights.
The living and working conditions of construction workers leave a lot of room for
improvement. However, public campaigns for pro-worker legislations and judicial
interventions have shown that pressure from below can bring about meaningful changes in
the lives of workers. As per the National Sample Survey (2011-12) estimates, there are about
7 https://www.deccanherald.com/state/most-migrant-workers-in-misery-says-pre-covid-19-study-856317.html
5.02 crore building and other construction workers in the country. However, the States/Union
Territories have registered only 2.86 crore workers through the State Building and Other
Construction Workers’ Welfare Board up to December 31, 2017.
Slow registrations, procedural delays, and lack of awareness have left construction workers
unable to secure mandated benefits such as insurance and pensions (Sinha 2018).
NCC-CL says that the average amount being collected per worker per year is only ₹477.10,
which means the cess collected from construction companies, which is meant to pay for such
workers’ welfare, is low. According to calculations by the NCC-CL using data from the
National Sample Survey Office (NSSO) as well as affidavits filed by the Centre and States,
only four States have collected more than ₹2,000 per worker per year. In fact, more than 20
States have collected less than ₹1,000. The worst performers are Manipur (₹113.86),
Jharkhand (₹134.82) and Tamil Nadu (₹135.84). While planning the social securities to be
provided, the government must keep these figures in mind says NCC-CL coordinator Subhash
Bhatnagar.
“If we are paying more than this average amount to any construction worker in the form of
incentives for children’s education, marriage assistance, pension or maternity expenses, it is
at the cost of other workers who have been deprived of getting registered as beneficiaries due
to the insufficient functioning of the Building and Other Construction Workers Welfare
Board.” (NCC-CL)
According to the Building and Other Construction Workers’ Welfare Act, 1996, 1% is to be
levied and collected on all types of construction activities, whether by government, PSUs or
private players. “If an average daily wage is ₹300, then the collected amount should be about
₹4,000 per worker per year. Instead, the national average is less than ₹500,” (NCC-CL)
Labour and ESI are the Nodal Departments for implementation of the Building and Other
Construction Workers' (RE&CS) Act, 1996 and Building and Other Construction Workers'
Welfare Act, 1996 in the state of Odisha.
The Labour & Employment Department (currently Labour& ESI Department) has notified
the Labour Commissioner, Odisha as the Chief Inspector under the Act and the Director of
Factories and Boilers, Odisha as the Chief Inspector under the Act as well. Apart from them,
the Enforcement Officers of the Labour Directorate have been notified to act in various
capacities as Inspectors, Registering Officers, Assessing Officers, Collectors, Appellate
Officers, Appellate Authority and Certificate Officers etc. and the Enforcement Officers of
the Directorate of Factories and Boilers have been notified as Inspectors under the Act.
In Odisha state, the construction board gives Rs.1000/- towards Assistance for purchase of
safety equipment (helmet, safety shoe and gloves) to the registered construction worker. In
Karnataka state, the Construction Workers Welfare Board has introduced the Shrama
Samarthya Yojane that are training programmes held at the district level, where at the end of
having a completed a training programme, workers are given safety kits and a tool box that
help improve safety and efficiency respectively among the construction workers.
The Scheme of "Recognition of Prior Learning (RPL) and Skill Development of Construction
Workers” is being implemented by the Odisha Building & Other Construction Workers’
Welfare Board since 2014-15 through Empanelled training partners of DGET, MOLE, Govt.
of India, under which onsite training is being provided to the registered building workers.
In Odisha and Bihar: Both Odisha and Bihar states provide assistance to buy bicycles
(Coupon for a Maximum Rs. 4000) to eligible beneficiaries among registered construction
workers.
In Andhra Pradesh, registration of Construction Workers (through radar seeding app and
website) is linked to their Aadhaar number during the registration. This information is
displayed on their website on how many registered workers are linked to Aadhaar during the
registration which will help to sort out several issues.
A study brought out on assessing the welfare framework of building and other construction
workers in India 8 presents some of the parameters that can play a role in ensuring better
registration. The standards and processes followed by three states are presented as follows:
S.No. Parameters State
Odisha Tamil Nadu Telangana
1. Age limit 18-60 years 15-60 years 18-60 years
2. Supporting documents with Attested proof of Attested proof of age Proof of age;
application for registration age; certificate of certificate of
employment employment
3. Registration fee Rs. 20 None Rs. 50
4. Annual contribution by the Rs. 100 None Rs. 12
worker
5. Validity of registration No limit 5 years 5 years
As can be see from above, Tamil Nadu has tried to keep the registration processes as simple
as possible for the construction workers; this should be supported by a strict monitoring
system to ensure efficient, effective and equitable distribution of schemes.
What comes out clearly from this literature review is that despite the availability of funds
targeted towards the welfare and safety of construction workers, they continue to remain one
of the most vulnerable verticals of the Indian workforce – undercounted, undermined and
underreached. An assessment therefore of all aspects of the BOCW Act in terms of process
implementation and the resultant expression on the ground thus becomes imperative.
COVID-19 and the construction workers – As is universally acknowledged, almost all state
governments in India along with the Central government spent almost the whole of the year
of 2020-21 in tackling issues faced due to the COVID-19 pandemic. One of the sectors most
deeply hit was the building and other construction work sector which has workers living in
8
researchgate.net/publication/337150887_Evaluating_the_welfare_framework_for_building_and_other_construction_work
ers_in_india/link/5dc7acad299bf1a47b2764a0/download. Accessed and produced on 19.01.2021.
vulnerable conditions having come from other districts of the state or from other states. While
governments made efforts to stop any distress movement by providing financial doles, food
kits, and some transport facilities post the first lockdown to facilitate return, there were many
hardships reported by migrant workers without support from either their employers,
contractors or other stakeholders. Lack of data on the number of migrant construction
workers, their places of origin, current places of stay, and demographic details led to many
benefits not reaching in time.
Two policy briefs brought out by Public Affairs Centre attempt to provide solutions to address
the issues that construction workers in general and migrant workers in specific have faced
during these unprecendented times -
1. Solution 19 - Develop a robust, scientific and legally mandated data framework to capture
the stocks and lows of economic migrants and thus mainstream migration management.
The first principles that must circumscribe the framework include:
• Data base must centre on economic migrants defined as those that leave their place of
residence (origin) and move to another place (destination) for purposes of livelihoods, for
longer than one year
• Migrants need a unique identity that is portable with their mobility and can serve as the
basis for delivery of social protection benefits. Therefore, the Aadhaar number must be
the basis for data management
• Data management systems must generate timely, accurate and consistent data of the
migration flows as well as the stocks
• Data must enable seamless delivery of migrant-essential services: food and affordable
housing; healthcare; education and skill development and social security protection.
2. Solution 210 - Develop a scientific and legally mandated migration management system
and develop a coordinated institutional response for the delivery of migrant-essential
services. For this, the state governments must:
• Develop and implement a progressive migration policy
• Redesign and restructure the administrative apparatus for effective migration governance
• Enhance migration governance capacities through training and capacity building.
3 LOGFRAME
3.1. Log frame
The following log frame encapsulates the Board’s work towards enhancing the welfare of
construction workers in Karnataka:
4 METHODOLOGY
4.1. The Research Design
The scope of this study covers three aspects of the implementation of the KBOCWWB Act –
the process of registration of the establishments and construction workers therein, the
disbursement of funds to registered construction workers for various schemes and the
experience of the construction workers with regard to application and availment process of
the scheme.
Under the BOCW Act, 1996 adopted by the Government of Karnataka (GoK), the definition
of ‘construction or other constructon work’ is as follows –
"building or other construction work" means the construction, alteration, repairs, maintenance
or demolition, of or, in relation to, buildings, streets, roads, railways, tramways, airfields,
irrigation, drainage, embankment and navigation works, flood control works (including storm
water drainage works), generation, transmission and distribution of power, water works
(including channels for distribution of water), oil and gas installations, electric lines, wireless,
radio, television, telephone, telegraph and overseas communications, dams, canals, reservoirs,
watercourses, tunnels, bridges, viaducts, aqueducts, pipelines, towers, cooling towers,
transmission towers and such other work as may be specified in this behalf by the appropriate
Government, by notification but does not include any building or other construction work to
which the provisions of the Factories Act, 1948 (63 of 1948), or the Mines Act, 1952 (35 of
1952), apply”11 (Page 2). The 2017 Gazette Notification lists an additional 17 construction
works in its ambit12 (Page 13).
This was done intentionally to meet and interact with the women construction
workers to ensure comfort for women worker respondents during the interview.
c. Field Data Collection: Once the tools were finalised, the study team visited each
selected district to meet the district level officials of the Labour Department (they were
informed of the team’s visit in advance) such as Labour Officers, Labour Inspectors,
Senior Labour Inspectors, and Labour Union Officials and had detailed meetings
explaining the purpose of the study and the kind of support required from them to meet
and interact with the construction workers.
d. Digitisation and Data Cleaning: The data collected was checked carefully and data
entry was done by a professional team engaged for this purpose.
e. Statistical tools used for analysis: The quantitative data was analysed using simple
statistical techniques such as frequencies, averages, percentages, graphs wherever
needed. Analysis softwares used included both Excel and Tableau. Qualitative data
was analysed separately and have been added to the findings. Case studies and field
notes prepared by the Field Research Officers of the study team were also incorporated
into the report where relevant.
From the KBOCWWB and 30 District Labour Offices where templates were sent for relevant
data on construction workers in their districts, the following data was collected, collated,
cleaned and analysed –
• Total number of registered construction workers
• Total number of registered establishments
• Total number of beneficiaries
• Total cess collected so far (from KBOCWWB and District Labour Offices), year-wise
/ district-wise
• Cess expenditure scheme-wise / year-wise / district-wise
4.4. Limitations
The Consultant Organisation faced some constraints during the data collection process
creating limitations in the study, the major ones being as follows:
1. Non-maintenance of records in an appropriate form was a major constraint. The team took
more than 6 months to collect data on numbers - of construction workers, of schemes
availed, amounts disbursed, from the districts. Since much of the data is still maintained
in registers, the team collected both online and paper data to create a sampling frame.
2. Non-tracing of construction workers – the highly mobile and dispersed nature of the
registered construction workers constrained the team in reaching out to the allotted sample
size for primary survey especially those who had availed schemes as the sample universe
itself was not very high.
3. Non-availability of officials at the district levels – Reaching out to the Labour Officers,
Labour Inspectors and other officials of the CWWB was difficult as they were involved
in many activities on a daily basis of both the Board and the Labour department. The team
reached out to the trade union offices to help trace the construction workers in many
districts.
The amount collected shall be transferred to the Board within thirty days of its collection.
The register of establishments will have details such as 1. Postal address of the Establishment
2. Full name and permanent address of the Establishment, if any 3. Full name and address of
the Manager or person responsible for the supervision and control of the Establishment 4.
Nature of building or other construction work carried/is to be carried on in the Establishment
5. Maximum number of building workers to be employed on any day 6. Estimated date of
13
See more details at http://www.karlabour.in/sahayoga/template/default/images/pdf/6.pdf . Accessed on
16.11.2020.
Beneficiaries of the Fund: Subject to the provisions of the Act, every building worker
registered as a beneficiary under this Act shall be entitled to the benefits provided by the
Board from its Fund under this Act.
Eligibility for Registration of building workers as beneficiaries: (1) Every building worker
who has completed either eighteen years of age, but has not completed sixty years of age, and
who has been engaged in any building or other construction work for not less than ninety days
during the preceding twelve months shall be eligible for registration as a beneficiary under
this Act. A prescribed application form shall be accompanied by such documents together
with such fee not exceeding fifty rupees as may be prescribed. There are various Forms for
registration along with clear instructions regarding supporting documents required, fee to be
paid, nomination by the worker, issuance of identity card.
Results from the process evaluation carried out on the above are as follows.
14
See relevant Forms at http://164.100.133.11:9080/FBIS/docs/BOCW%20Karnataka%20Rules%202006.pdf
construction activity so that they can be registered if the activity involves more than
90 days.
6. Form IV, also covering completion of work does not refer to the Cess paid – if the
amount, with the completion of work, has been paid in full to the Board (advance or
upon completion as per the Act).
7. Both the registration and the cess payment processes go together to ensure the
cess is paid as per the registration of the establishment, which in turn will inform
the Board about the number of construction workers working in the
establishment who can be approached for registration or renewal as per their
requirements.
With the introduction of online services by the Labour Department including for Form 1, a
process checklist has been provided for online registration15 with provision of online filling
up16. While the online version of Form-I asks for the advance cess paid / estimated cost, Form
IV to be filled up upon commencement / completion of building and other construction work
by the employer does not mention anything about cess paid/to be paid. This aspect should be
consistently mentioned across Forms so that the link remains between the establishment made
and the cess.
Chapter IV of the BOCW Act 1996 and Chapter III of the BOCW, Karnataka Rules, 2006,
point to the process of registration that construction workers have to follow to be registered
under the Act and with the CWWB. While the Act mentions who the beneficiary should be
and what they should be provided with - identify cards, information on entitlements which is
part of the work on the BOCW, and so on, the Rules mention the Forms17 that need to be filled
by the construction workers to be able to apply and avail the benefits.
• Form-V for registration under sub-section (2) of Section 12 of the Act, as a
beneficiary
• The application for registration, as beneficiary, shall be accompanied with the
following:
(a) registration fee of Rs. 25/-;
(b) proof of age;
Explanation: Proof of age means school record, birth certificate, driving licence,
pass port or certificate from a doctor not below the rank of Assistant Surgeon in
Govt. Hospitals / ESI Hospitals / Hospitals of Local Bodies, i.e., Corporation, City
Municipal Corporation, Town Municipal Corporation and Zilla Panchayats.
15
See checklist at
https://labouronline.kar.nic.in/Files/Building%20%20other%20Construction%20act%20Check%20List.pdf.
Accessed on 16.11.2020.
16
See Form-I at https://labouronline.kar.nic.in/karBuildingcon/Building_Registration.aspx . Accessed on
16.11.2020.
17
See the related Forms at
http://164.100.133.11:9080/FBIS/docs/BOCW%20Karnataka%20Rules%202006.pdf . Accessed on
16.11.2020.
(c) certificate from the present employer or a Trade union registered under the Trade
Unions Act, 1926, or an official of Labour Department in the concerned
jurisdiction not below the rank of Labour Inspector;
• (d) 3 passport size photographs.
• The Building worker shall also file a nomination in Form – VI. The nomination
shall stand revised in the name of the spouse on his acquiring a family or on the
happening of any legal change in the status of the family and any change of
nomination shall intimate to the Board in Form – VII.
• The Secretary or other officer authorized by him in this behalf shall issue to every
beneficiary an identity card with a photo of the beneficiary affixed in Form – VIII.
• (5) The Secretary of the Board shall maintain a register of beneficiaries containing the
names and addresses of the construction workers registered in Form-IX. The Board
may maintain such other records and registers as it considers necessary.
• Register of beneficiaries to be maintained by the Employer.- Every registered
employer shall maintain employment register in Form- X. However, this Form is not
available online for filling up which would have made the identification of
construction workers for registration much simpler.
As will be seen in the chapters on findings from the primary survey, most construction
workers are illiterate or less educated. Living in vulnerable conditions in the construction sites
or low-income neighbourhoods and eking out a daily living, they may not have the capacity
to fill up all these forms for submission for registration. The process of filling up of Forms
would require support from a third party. CBOs/NGOs and local voluntary associations such
as youth clubs can play a role to help them register/renew their names along with information
to be given on the schemes that are available to them. There are Forms that can be merged;
e.g., Forms for registration and nomination, since only a name needs to be given.
• The Table above indicates that the total amount of received including the interest is
Rs. 8216/- Crores. The amount collected is to be utilised for providing benefits to the
eligible registered construction workers and also for administrative expenses.
Karnataka Evaluation Authority | 27
Study Of Welfare Impact Of Usage Of Construction Workers Welfare Board Cess In Karnataka
• During the period 2007-08 to 2018-19 an amount of 513 crores has been utilised for
benefit schemes and administrative expenses, which is only 6.25 per cent of the total
received.
• Out of this, 5.45 per cent (about Rs.447 crores) and 0.80 per cent (about Rs.66.05
crores) has been utilised towards benefit schemes and adminisrtrative expenses
respectively.
• As per the annexed overall Expenditure Statement (ANNEXURE 2) provided by
KBOCWWB, of the Rs. 439 Crore spent on salaries and wages alone, 10.853% of the
expenditure (Rs.47.68 crore) has been utilised due to engagement of more staff on a
contract basis and/or daily wage basis.
• Another Rs.2.29 crore, (which is 0.5% of the Rs.439 crore) has been spent for various
programmes such as (a) seminar and workshops -Rs.1.15 crore (b) training expenses
– Rs.99.60 lakhs (c) Skill training & development & academy expenses – Rs.12.34
lakhs, and (d) training cum toolkit programme – Rs.1.25 lakhs.
• The Statement also has budget for field staff; several have been engaged by CWWB
and Labour department on a temporary and on a contract basis as indicated by the
Expenditure Statement where quite an amount has been spent towards salary and
transport expenses.
• In terms of transport expenses, in the expenditure statement of CWWB, a substantial
sum has been spent towards vehicle running and maintenance (Rs.40.68 lakhs),
travelling and conveyance (39.80 lakhs) and car hire charges of Rs. 50.49 lakhs. It is
not clear what the purposes of these expenditures were.
The results of the process evaluation point towards the following –
1. The registration of establishments is an important step linking payment of cess and
registration of construction workers working on the site. However, the Forms for
registration (commencement/completion) do not have space for filling in cess details or
details of the constructions workers on the site.
2. There are too many Forms to cover all aspects of registration of a construction worker –
for registration, for nomination, for change of nomination, for submitting a photograph
for getting an identity card, and so on. This puts a great burden on the construction
worker to compromise on work to be able to go through the registration process.
3. The lack of a proper process of utilisation of funds is noted in the amount spent so far –
6.25% of the total of Rs. 8216 crore received by the KBOCWWB as cess.
6 MAJOR FINDINGS
This chapter presents findings from the secondary data that was collected at the district level
complemented with findings from the primary data that was collected from all relevant
stakeholders.
Building & Other Construction Workers’ Welfare Cess [BOCWW Cess] is levied @ 1% on
the cost of construction incurred by an employer as per the provisions of Sections 3(1) and
3(3) of the Building and Other Construction Workers’ Welfare Cess Act, 1996 read with
Notification No.S. O 2899 dated 26.9.1996.
As per Rule 3 of the Building and Other Construction Workers’ Welfare Cess Rules, 1998,
the “cost of construction” is an inclusive definition which includes all expenditure except a)
cost of land and b) any compensation paid or payable to a worker or his kin under the
Workmen’s Compensation Act, 1923.
Procedure for payment of cess
Cess should be paid by an employer within 30 days of completion of a construction or other
project or within 30 days of the date on which assessment of cess payable is finalised,
whichever is earlier, (Rule 4).
In case of Government departments or Public Sector Undertakings – the cess shall be
deducted from the bills payable to the contractor and deposited in the account of the State
Board. The responsibility for deduction of cess in case of Government Departments is on the
Head of the Department and in case of a Local Authority the CEO of such authority. {Rule
4(3)}
In case of private construction (i.e. establishments other than Government or Public
Sector Undertaking) Rule 4(4).
Where the approval of the construction work by a local authority is required, every application
for such approval shall be accompanied by a cross demand draft in favour of the Board for an
amount of cess payable on the estimated cost of construction. The local authority shall not
approve the proposal for construction if cess amount is not deposited in the manner as
described.
Every employer is required to file a return in the manner prescribed (Section 4).
Penalty: Delay in payment of cess attracts interest at the rate of 2% per month (Section 8). In
case of non-payment of cess the Assessing Officer is competent to impose penalty not
exceeding the amount of cess. Willful or intentional evasion of cess attracts punishment of
imprisonment up to six months or fine or both. (Section 12 (2)) Section 11 provides for an
appeal to the employer aggrieved by the assessment order made under Section 5.
The table above shows that the total amount available with CWWB from 2007-08 till July
2019 stands at Rs. 8,215.73/- Crores, which includes cess received Rs. 6015.20/- Crores,
comprising 73% of the total.
In about 13 years of cess collection from 2007-08 onwards, the rate of increase in cess over
the years has been inconsistent which is true for the number of establishments as well. A quick
analysis shows that the tipping year was 2013-14 when though the number of establishments
registered was the highest (943), the cess received was the lowest in the decade (Rs. 480
Crore) reflecting in low cess per establishment (Rs 51 Lakh). This however doubled to Rs.
1.05 Crore in 2018-19. The average though stands at Rs. 85 Lakh per establishment.
The total of just these three years amount to 632 construction works and Rs.29,71,83,755/- as cess collected.
None of the data sheets of Tumkur provided to the team had any details about number of construction workers
in these places, whether they have been registered or not, so that the welfare cess collected for them can be
given to them.
No cess has been collected from the districts of Gadag, Bidar and Yadgir despite there
being both registered establishments and construction workers. This brings in the question
as to whether the cess was not paid at all or was sent directly to the Board and not through
the district labour offices, where cess should have been paid against registration of
establishments.
• Around 38% of the registered establishments are in Bengaluru contributing almost
83% of the total cess collected. The only other district that comes second albeit not
closely is Udupi, with 18% of its registered establishments contributing 5% of total
cess collected.
• For the state as a whole, cess collected per establishment is only about Rs. 5 Lakh and
about Rs 7000 per construction worker with the cess amount received.
According to the website of the Department of Labour, GoK, between June 2007 and
September 2015, there were 9,07,638 registered construction workers18. The Karnataka State
Construction Workers Central Union estimates that about 12-15 lakh workers are involved in
construction activities in the state. As per Business Line of May 01,2020, about 40 million
informal workers in India are with the BOCW, and Karnataka’s share is about 7 per cent,
which means 2.8 million or 28 lakh workers are working in Karnataka. This indicates the
requirement for proper counting of construction workers in the state.
Data as provided by the KBOCWWB regarding details of the registered construction workers
is presented in Table 7.
Table 7: Number of Registered Construction Workers from 2007-08 to July 2019
Belgaum Division Male % Female % Total % to % to
workers workers Division overall
al total total
Bagalkot 28,814 72.8 10,748 27.2 39,562 10.4 23.0
Belgaum 77,682 80.4 18,943 19.6 96,625 25.5
Bijapur 36,421 51.7 34,041 48.3 70,462 18.6
Dharwad 37,548 68.1 17,620 31.9 55,168 14.6
Gadag 16,222 76.0 5,109 24.0 21,331 5.6
Haveri 28,321 77.6 8,162 22.4 36,483 9.6
Karwar 32,646 55.2 26,514 44.8 59,160 15.6
Sub-Total 2,57,654 68.0 1,21,137 32.0 3,78,791 100.0
18
See district-wise data at http://www.karlabour.in/sahayoga/karnataka_building.php . Last accessed on
17.11.2020.
A total of 21,62,090 construction workers have been manually registered with the Karnataka
Building and Other Construction Workers Welfare Board (CWWB) till around 2015-16
before mandatory online registration through Karmika 1 was brought into force. However,
this includes new registrations and renewals as there was no mechanim of removing the old
registration upon each renewal. Both Bengaluru and Belgaum Division put together accounts
for two-third (66 per cent) of the total registered construction workers.
required for further processing. Also, server problems have been reported due to non-
availability of internet connection at various places.
The number of active registered construction workers whose registration was done through
Karmika 1 and Seva Sindhu portals is presented below:
Table 8: Gender-District Wise Number of construction workers registered for the Period 01/01/2007 To
14/02/2020
S.No District Composition of Construction Workers
Male % Female % Total
1 Bagalkot 19,436 70.3 8,219 29.7 27,655
2 Bengaluru 6,445 73.8 2,287 26.2 8,732
3 Bengaluru (U) 46,846 83.5 9,290 16.5 56,136
4 Belagavi 26,453 78.4 7,294 21.6 33,747
5 Bellary 25,625 74.2 8,904 25.8 34,529
6 Bidar 29,526 49.8 29,764 50.2 59,290
7 Bijapur 14,049 48.3 15,010 51.7 29,059
8 Chamarajanagar 3,747 87.2 548 12.8 4,295
9 Chikkaballapur 8,022 74.1 2,805 25.9 10,827
10 Chikkamagalur 9,632 59.7 6,498 40.3 16,130
11 Chitradurga 19,757 70.9 8,103 29.1 27,860
12 Dakshina Kannada 13,598 90.1 1,497 9.9 15,095
13 Davanagere 33,556 76.8 10,163 23.2 43,719
14 Gadag 8,520 73.5 3,067 26.5 11,587
15 Hassan 10,273 73.9 3,619 26.1 13,892
16 Haveri 11,319 77.2 3,348 22.8 14,667
17 Hubli 16,622 65.2 8,860 34.8 25,482
18 Kalaburagi 20,988 48.3 22,463 51.7 43,451
19 Kodagu 862 77.8 246 22.2 1,108
20 Kolar 24,005 48.8 25,219 51.2 49,224
21 Koppal 6,112 65.2 3,259 34.8 9,371
22 Mandya 5,704 73.6 2,048 26.4 7,752
23 Mysore 15,308 87.4 2,206 12.6 17,514
24 Raichur 9,433 72.4 3,603 27.6 13,036
25 Ramanagara 6,848 54.8 5,650 45.2 12,498
26 Shivamogga 16,186 69.7 7,042 30.3 23,228
27 Tumkur 12,906 68.8 5,850 31.2 18,756
28 Udupi 9,301 83.3 1,870 16.7 11,171
29 Uttara Kannada 8,933 52.6 8,046 47.4 16,979
30 Yadagiri 14,659 60.1 9,743 39.9 24,402
TOTAL 4,54,671 66.7 2,26,521 33.3 6,81,192
Source: KBOCWWB
The Table above indicates that a total of 6,81,192 construction workers have been registered
through online registration using the web portal Karmika 1 from 2016 onwards and is still
active.
Added to the above are the construction workers registered in the Seva Sindhu portal as seen
in the Table below.
Table 9: Online Registration of Construction Workers through the Seva Sindhu portal
S.No Division (ALC) District (LO) Received Total Approved Rejected Pending
Total
1 ALC 1 Bengaluru Bengaluru 1231 1132 23 76
2 ALC 1 Bengaluru Ramanagara 1698 1086 190 422
3 ALC 1 Bengaluru Tumkur 2383 1708 81 594
Total 5312 3926 294 1092
100% 73.9% 5.5% 20.6%
S.No Division (ALC) District (LO) Received Total Approved Rejected Pending
Total
1 ALC 2 Bengaluru LO-2 Bengalore 1150 1058 17 75
2 ALC 2 Bengaluru LO-5 Bengalore 1057 835 59 163
3 ALC 2 Bengaluru LO-claims 1208 1082 73 53
Total 3415 2975 149 291
100% 87.1% 4.4% 8.5%
S.No Division (ALC) District (LO) Received Total Approved Rejected Pending
Total
1 ALC 3 Bengaluru LO-3 Bengalore 1302 960 139 203
2 ALC 3 Bengaluru LO-Kolar 1220 764 220 236
Total 2522 1724 359 439
100% 68.4% 14.2% 17.4%
S.No Division (ALC) District (LO) Received Total Approved Rejected Pending
Total
1 ALC 4 Bengaluru LO-4 Bengalore 1058 664 55 339
2 ALC 4 Bengaluru LO-6 Bengalore 942 868 45 29
Total 2000 1532 100 368
100% 76.6% 5.0% 18.4%
ALC Belgaum
S.No Division (ALC) District (LO) Received Total Approved Rejected Pending
Total
1 ALC Belgaum LO- Bagalkot 2358 1254 498 606
2 ALC Belgaum LO-1 Belgaum 2150 1550 284 316
3 ALC Belgaum LO-1 Bijapur 1211 718 305 188
4 ALC Belgaum LO-2 Belgaum 4215 2989 193 1033
5 ALC Belgaum LO-2 Bijapur 2952 2101 586 265
Total 12886 8612 1866 2408
100% 66.8% 14.5% 18.7%
S.No Division (ALC) District (LO) Received Total Approved Rejected Pending
Total
S.No Division (ALC) District (LO) Received Total Approved Rejected Pending
Total
1 ALC Hubli LO-1 Hubli 1533 1129 295 109
2 ALC Hubli LO-2 Hubli 3547 2793 348 406
3 ALC Hubli LO-Gadag 4699 3693 300 706
4 ALC Hubli LO-Haveri 9073 7223 532 1318
5 ALC Hubli LO-Karwar 2810 707 293 1810
Total 21662 15545 1768 4349
100% 71.8% 8.2% 20.1%
S.No Division (ALC) District (LO) Received Total Approved Rejected Pending
Total
1 ALC Managalore LO- 1 Mangalore 1752 1551 54 147
Seva Sindhu portal is more useful in terms of usage as well as providing the status on
registration in detail in terms of number of applications received for registration, approved,
rejected and pending. As a result, there are some concerns that need to be highlighted –
• Rejection of applications is high in ALC3 Bengaluru and ALC Belgaum (>14%),
followed by ALC Chikkamagalur (>12%). This warrants a follow-up for reasons for
rejection which has been covered in the findings from the primary survey.
• Similarly, pendency is high in ALC 1 Bengaluru and ALC Hubli (>20% or more
than one-fifth applications), followed by ALC Belgaum and ALC 4 Bengaluru
(>18%) despite not having a problem of vacant positions as seen in Table 2 in this
report.
Registration through KARMIKA 1 6,81,192
Registration through Seva Sindhu portal 91,741
Total Registration of construction workers through Karmika 1 & Seva
7,72,933
Sindhu as on Feb.2020
Through these online services, the probability of the same construction worker being
registered and renewed without the name earlier registered being removed to avoid double
counting, becomes minimal. It is noted that the data received from the district-level Labour
Officers have totally reported about Rs. 5 Lakh workers, the online database shows abour 7.7
lakh workers indicating that some Labour Offiers may not have the entire data of registered
construction workers.
Addressing discrepancy in data about registration of workers – The PAC Study team carried
out detailed discussions with senior officers of the KBOCWWB regarding the total number
of registered workers. It was informed that post 2016, with the onset of registration in the
Karmika 1 and Seva Sindhu portal and with the provision of recording Aadhaar card details
and allocating unique ID to registered construction workers, the chances of double counting
of registrations and renewals have become minimal, though in some districts, the registration
and renewal process is yet to become completely digitised. However, efforts are being made
to ensure maintainence of data at different levels through set formats and further strengthening
of the Seva Sindhu system.
Measures taken by the Board for registration and inclusion of workers – Realising that there
needs to be in place very strong and committed efforts to register construction workers,
Karnataka’s CWWB has, through the Karnataka Gazetter No.997 released in 201719, outlined
the following amendments to the Karnataka 2006 Rules, along with those defined in other
government Circulars,:
1. Expansion of the list of building or other construction works – The Gazette has
included 18 additional construction works in its ambit to bring more workers into its
ambit for registration so that they can apply and avail relevant schemes.
2. Addition of new forms/officials for registration – Forms V(A) to V(D) in the Gazette
indicate the expansion in the type of stakeholders who can also contribute to
registration of the construction workers – employer/contractor; registered trade union;
Labour Officer / Senior Labour Inspector / Labour Inspector; Panchayat Development
Officer / Gram Panchayat Secretary. This decentralized system should help
construction workers to reach out to the relevant officials closest to them than travel
long distances for registration, incurring time and wage loss.
3. Clear definition of ‘dependents’ – “means the spouse, minor son and minor daughter
including step children residing with and wholly dependent on the registered
construction worker and also includes the parents residing with and wholly dependent
on such worker”. This will help the registered worker to apply and avail schemes for
the defined family members.
4. New staff for the KBOCWWB – In his interaction with the Additional Chief
Secretary, PPMS Department and the Chief Evaluation Officer, KEA during
presentation of findings of the study, the Secretary of the KBOCWWB mentioned that
a request has been made to the GoK to hire staff exclusive to the Board to ensure that
the process of registration and inspection of establishments, identification of
construction workers and getting them to register can be done more smoothly and
efficiently. This request may be considered favourably.
19
See Gazette at https://karbwwb.karnataka.gov.in/storage/pdf-files/Notification/Notification-13-11-2017.pdf . Last
accessed on 19.01.2021.
of the type of schemes that beneficiaries among the construction workers have availed and
the cess funds disbursed on the same.
Table 10: Scheme-wise availment by beneficiaries and cess amounts spent
Name of Subsidy Beneficiaries Amount Average Deviation
the amount per from
Scheme Total % Total amount % beneficiary subsidy
Number of disbursed (Rs.) amount
Beneficiaries
Education 3-8000 3,37,382 90.67 1,77,50,63,275 54.51 5261 NA
Marriage 50,000 27,974 7.52 1,30,96,73,500 40.22 46,817 -3183
Maternity 15,000 2,482 0.67 4,00,59,372 1.23 16,139 +1139
Major <2,00,000 1,991 0.54 5,64,22,092 1.73 28,338 NA
medical
Funeral 54,000 1,066 0.29 4,69,82,000 1.44 44,073 -9927
Medical 400-6000 783 0.21 1,27,99,073 0.39 16,346 NA
Death 50,000 404 0.11 1,00,87,800 0.31 24,969 -25,031
Permanent <5,00,000 26 0.01 21,55,000 0.07 82,884 NA
disability
Accident 2,00,000 10 0.00 30,96,000 0.10 3,09,600 +1,00,000
Total 3,72,118 100 3,25,63,38,112 100 8750
Source:KBOCWWB + computation by study team; NA-Not Applicable because of varying claim amounts
The remaining sections will provided a more detailed evaluation of schemes related to
education and marriage with some points with regard the remaining schemes as well
(Annexure 4 for scheme-wise district-wise details).
Table 11 presents a district-level assessment of the number of beneficiaries and amounts spent
on education and marriage.
Table 11: Beneficiaries availing education and marriage schemes and cess disbursed
S. District Number of Education Marriage
registered
N Percentage Percentage Average Percentage Percentage Average
construction
workers to the Total to the total amount to the Total to the amount
Beneficiaries amount disbursed Beneficiaries Total disbursed
disbursed / received amount / received
(Rs.) disbursed (Rs.)
1 Bagalkote 3150 93.07 63.54 3,491.90 6.10 34.88 29,255.32
2 Belagavi 13,530 91.51 56.53 5,809.60 7.73 41.32 50,281.00
3 Gadag 2418 92.98 60.96 5,480.78 6.32 37.92 50,193.05
4 Haveri 1450 89.70 43.73 4,087.29 8.91 53.12 50,000.00
5 Hubli 6687 92.99 63.06 3,211.68 5.92 33.35 26,669.68
6 Karwar 789 91.72 61.12 6,128.45 6.45 35.08 50,000.00
7 Vijayapura 4657 85.88 4,693.71 13.04 60.66 50,000.00
8 Belagavi Division 32,681 91.12 58.16 4,700.49 7.78 42.33 43,771.29
9 Bengaluru 3,14,325 94.42 67.69 5,644.57 4.46 26.78 47,317.40
10 Chikkaballapura 2452 92.22 60.97 6,330.77 7.20 37.58 50,000.00
11 Chitradurga 9393 88.60 44.90 4,787.17 6.76 35.80 50,000.00
12 Davanagere 6612 83.40 32.30 4,208.04 11.70 49.60 46,069.54
13 Kolar 16,220 93.82 69.41 6,161.46 4.34 26.07 50,000.00
14 Ramanagara 6157 84.73 47.72 6,744.82 11.13 46.47 50,000.00
15 Shivamogga 5168 91.13 63.36 7,335.04 6.87 33.14 50,883.84
16 Tumakuru 13,745 87.08 51.55 6,267.63 10.70 42.59 42,134.63
17 Bengaluru Division 3,74,072 89.43 54.74 5,934.94 7.90 37.25 48,300.68
18 Ballari 6439 88.07 42.14 4,620.22 8.62 44.61 49,955.56
19 Bidar 1668 92.33 62.16 4,959.84 6.14 32.46 38,944.70
20 Kalaburagi 607 88.56 46.02 4,648.70 9.81 51.53 46,972.48
21 Koppal 4682 74.63 26.77 4,406.16 18.33 62.65 41,987.15
22 Raichur 9951 83.29 34.68 4,457.21 12.78 59.69 50,000.00
23 Yadgir 1122 81.35 38.44 5,882.34 13.06 52.46 50,000.00
24 Kalaburagi Division 24,469 84.71 41.70 4,829.08 11.46 50.57 46,309.98
25 Chamarajanagara 1896 90.78 50.18 4,720.05 7.89 46.20 50,000.00
Lakshmi Bond) for a minimum of three years in the name of the Bride and remaining fifty per
cent transferred through RTGS in the name of the Beneficiary.
The following Figures provides cess disbursement across beneficiaries over the period of 10
years between 2009-10 and 2018-19.
10000 500000000
8000 400000000
6000 300000000
4000 200000000
2000 100000000
0 0
2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 2018-19
Axis Title
50.00
40.00
30.00
20.00
10.00
0.00
2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19
While the percentage of beneficiaries availing marriage benefits (of the total of all schemes)
has been coming down over the years, the percentage of cess disbursed (of the total cess
disbursed) has been disproportionately going up. By the year 2018-19, nearly 43% of the
total cess was disbursed to only 9% of the beneficiaries for marriage assistance, a social
function that does not contribute to the per capita productivity as education, health and
opportunities for better employment would.
Assistance in education
• A total 3,37,382 beneficiaries availed educational assistance from CWWB during the
study period and an amount of Rs.177/- crore has been disbursed. This works out an
average amount of Rs.5260/- per beneficiary, this includes both first time and repeat
beneficiaries.
• Except for Kalaburagi Division and its districts, the remaining districts and divisions
show more than 90% beneficiaries having availed education subsidies.
• Since education subsidies vary across classes unlike a fixed amount as in the case of
marriage allowances, district-level variations were studied. The highest variation
among districts in the same Division is seen in Belagavi, between Hubli (Rs. 3211)
and Karwar (Rs. 6128).
• As in the case of marriage assistance, both Bagalkote and Hubli districts also show
least cess amount disbursements as against other districts.
• Bengaluru Division has contributed 35.6% of the total disbursement, Mysore
Division’s share is 28%, followed by Belgaum Division (22.2%) and the least
contribution is by Kalaburagi Division (14.2%).
Analyses on proportion of beneficiaries and cess utilisation over the years for education is as
follows –
100000 600000000
500000000
80000
400000000
60000
300000000
40000
200000000
20000 100000000
0 0
2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 2018-19
80
60
40
20
0
2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19
Unlike marriage assistance, percentage cess amounts disbursed (of the total cess disbursed
across all schemes) to beneficiaries of education assistance has been consistently lower than
percentage of total beneficiaries. An opportunity, where children of construction workers can
get better prospects for employment should see more disbursement of funds.
A disaggregated discussion across Divisions and Districts is as follows:
Bengaluru Division -
• A total of 330 children were supported in 2013-14 which increased to 40,807 children
in 2018-19, an increase by 123 times. In Chikkaballapura district there were 117
claims in 2013-14 that rose to 1932 claims in 2018-19 which is an increase of almost
17 times during the period.
• The highest number of registrations for educational assistance (9209) is in Kolar
district in the year 2018-19.
• However, highest claim for educational assistance is from Bengaluru district
which is nearly 21% of the total disbursement in Bengaluru diviaion. This is followed
by Kolar district (21%), Shivamoga district (18%), Davangere and Tumkur (each
11%) and followed by Ramanagara,Chikkabalapura, and Chitradurga.
• On an average Rs. 5915 has been spent per beneficiary in the Division. For
Bengaluru this amount is Rs.5644 and in Kolar Rs. 6161.
• Year-wise, financial assistance for education in Bengaluru Division has been steadily
increasing from Rs.15,45,000/- in 2013-14 to Rs.24.15 Crore in 2018-19, a 156 time
increase in 5 years’ time which is a very good sign.
Belgaum Division -
• There is a steady increase in the number of claims and amount used for children’s
education. The number of children claiming educational support was 838 in 2013-14
that increased to 33,975 children in the year 2018-19 which is a 40-fold increase.
There is a decline in the number of claims in the year 2017-18 but there is a massive
increase in the year 2018-19.
• A total of Rs. 39.37 Crore has been disbursed towards educational assistance in
Belgaum Division. In Belgaum Division, the highest disbursement is from Karwar
district which is 36.5% of the total amount disbursed in the Division. This is
followed by Belagavi district whose contribution stands at 19.5% of the total
disbursement. This is followed by Hubli (14.1%) and Bagalkot (10.1%).
• On an average Rs. 4797 has been spent per beneficiary in Belgaum Division.
Karwar that has the highest number of beneficiaries has received an average amount
of Rs.6128 but only among 789 registered construction workers.
Kalaburagi Division -
• Kalaburagi Division is the only Division that started getting educational claim
from 2009-10 in the districts of Bidar, Kalaburagi and Koppal and the number of
claims is increasing steadily from 28 in the year 2009-10 to 17,792 in 2018-19. Nearly
37% of the claims are from Bidar district followed by Ballari (22%) and Kalaburagi
district (21%).
• A total of Rs. 25.10 Crore has been disbursed towards educational assistance in
Kalaburagi Division. Among the districts, Bidar has received the highest amount
which is 38% of the total disbursement, followed by Bellary district (21.1%),
Kalaburagi district (20.0%).
• On an average Rs. 4804 has been spent per beneficiary in Kalaburagi Division.
Bidar that has the highest number of beneficiaries has received an average amount of
Rs. 4959.
Mysuru Division -
• Unlike the other Divisions, Mysore Division has witnessed a decreasing trend in
the number of children claiming for educational support - from 28,119 in 2017-
18 to 21,364 in 2018-19 which is a 24% decrease, which means either no registration
for fresh claims or repeat claims have taken place in Mysore Division.
• A total of Rs.49.79 Crore has been disbursed towards educational assistance in Mysore
Division. Among the districts, the highest disbursement has been made in
Mangalore district which is 22.5% of the total disbursement in the Division. This is
followed by Udupi district which is done 18% of the total disbursement, followed by
Mysore, Hassan, Mandya and Chikkamagaluru.
• It is also interesting to note that the average amount spent per beneficiary is higher
in the Division - Rs. 5178 per beneficiary. Mangalore that has the highest number of
beneficiaries has received an average amount of Rs.4853; however, Hassan that has
slightly more than half the number of beneficiaries that Mangalore has, received an
average amount of Rs 5491 per beneficiary.
An overview discussion on the remaining schemes is as follows -
In Belgaum Division,
• The district Karwar (with 45% registered female construction workers as per Table 3)
contributes to about 44% of the maternity claim in Belgaum Division, followed by
Hubli (22%) and about 11% in Haveri and Vijayapura.
• Number of claims peaked in 2016-17, fell precipitously the next year (especially
Karwar by more than 3 times, followed by Vijayapura) and then again went up in
2018-19. It would be interesting to see if the number of registered female construction
workers came down during those years for the resultant fall.
In Kalaburagi Division,
• A total of 787 claims have been made and distribution is more or less evently
distributed. Slightly more claims have been made from the districts of Yadgir (22.8%)
and Raichur (20.3%) districts compared to other districts in Kalaburagi Division.
• There has been a steady increase in the number of beneficiaries except in the last year
of 2018-19 (dip of almost 50% seen in Koppal and Ballari).
In Mysuru Division,
• The number of claims has steadily increased from 2 in 2013-14 to 106 in 2018-19 in
Mysuru Division.
• Chikkamagaluru district has made the highest number of maternity claims (88, 33%)
followed by Mandya (61, 23%) and Mangalore district (46, 17%).
District-wise and year-wise details show that there are major discrepancies between districts
in the same Division.
• Out of a total 378 beneficiaries who have claimed medical assistance in Bengaluru
Division, 56.6% are from Shivamogga district, followed by Bengaluru district
(19.5%), and Chitradurga district (10.3%).
• However, in Bengaluru district, for 74 claimants, an amount of Rs. 23,61,371 was paid
out (average of Rs.31,910) as against Rs. 41,61,195 paid to 214 claimants (average of
Rs.19,444) in Shivamogga. The average amount per beneficiary is highest in
Chitradurga with Rs.35,760 (Rs. 13,94,646 for 39 cases). The other extreme is
Davangere, where Rs. 67,789 was paid to 20 claimants (average of Rs 3,389). Year-
wise, the highest number of claimants were in 2018-19 (136 beneficiaries paid
Rs.30,66,536).
• In Belgaum Division, there is a total of 111 claims, of which 59 claims and 28 claims
were made in Bagalkot district (53%) and Haveri district (25%) respectively. The
number of claims has increased from 7 in 2014-15 to 39 in 2018-19. The average
amounts paid for medical assistance were Rs.12,016 in Bagalkot and Rs. 27,340 in
Haveri (Rs.7,65,529 to 28 beneficiaries). Year-wise the highest amount was made in
2015-16 (Rs 5,07,111 to 27 beneficiaries).
• In Kalaburagi Division, the highest number of 59 claims is from Koppal district
(33%), followed by Bellary district (51 claims, 28%), and Yadgir where 40
beneficiaries have claimed medical assistance which is 22.3% of the total number of
claims. The average amounts paid are – Rs.844 in Koppal, Rs.16601 in Bellary and
an unbelievable sum of Rs. 46,013 in Yadgir. Year-wise the highest amount was
made in 2016-17 (Rs 10,42,722 to 23 beneficiaries).
• In Mysuru Division, there has been a steady increase in the number of claims towards
medical expenses from 5 in 2013-14 to 28 in 2018-19. The highest number of claims
are from Udipi district (55) with an average sum of Rs 2834 paid, followed by 17
claimants in Mysore who were paid an average sum of Rs. 582. Year-wise the highest
amount was made in 2018-19 (Rs 62,086 to 28 beneficiaries).
In Bengaluru Division
• There is an increase in the number of claims for major ailments from 44 in 2014-15
to 351 in the year 2018-19 except a fall in 2016-17.
• The highest number (321) or 37.7% of the total claimants were from Davanagere
district, followed by Tumakuru district (25.9%), Bengaluru district (15%) and
Ramanagara district (12.5%). No claims have been made from the districts of
Chitradurga and Shivamogga, as per the data received.
• A total of Rs.2.75 Crore has been disbursed towards major ailments. The highest
financial assistance in major ailment was provided to claimants in Davanagere,
which is Rs.89.30 Lakhs that is 32.4% of the total distribution in Bengaluru Division.
This is followed by Tumakuru district (26.5%), Bengaluru (23.3%), and Ramanagara
district (10.7%).
• Average amounts paid are Rs. 27,819 for Davangere, Rs.33,021 for Tumkur, and
Rs. 40,740 for Bengaluru district.
In Belgaum Division -
• There are a total of 444 beneficiaries who claimed their expenses for major ailment in
Belgaum Division. Of this, more than a half of them, 232 beneficiaries are from
Karwar district (52.3%). This is followed by Belagavi district (20%), and Hubli
district (18.9%). There are no claims for major ailment from the districts of Bagalkot
and Haveri.
• Most of the claim amounts have been made to the districts of Karwar (52.1%),
Belagavi (25.8%) and Hubli (14.1%). The major ailment claims have started from the
year 2014-15, but the highest disbursement is in the year 2016-17, which is 40.9%
of the total amount disbursed for 190 claims in Belgaum Division, followed by 36.3%
in 2018-19 and 15% in the year 2017-18.
• Average amounts paid are – Rs.23,597 to beneficiaries in Karwar district, Rs.30,381
in Belagavi, and Rs. 17,668 in Hubli.
In Kalaburagi Division -
• Only 69 beneficiaries have received major ailment benefit in Kalaburagi Division.
This is from the three districts of Bellary (69.6%), Raichur (17.4%) and Koppal (13%).
The average amount disbursed is Rs. 34,115.
• A total of Rs.23.53 Lakhs have been disbursed towards major ailment benefit to the
beneficiaries of CWWB. In this, more than three-fourth, that is 76.5% of the
disbursement has happened in the district of Bellary, followed by 13.9% in the district
of Koppal and 9.6% in Raichur district.
• Average amount disbursed at the district level is Rs 37,530 in Ballari, and Rs 27,277
in Raichur. Year-wise though the highest number of beneficiaries (22) were in 2016-
17, highest amounts paid out were in 2015-16 to 13 beneficiaries (average amount of
Rs. 56,471).
In Mysore Division -
• The number of claims has increased steadily from 35 in 2014-15 to 194 in 2018-19.
The highest is 174 claims, that is 27.8% of the total 627 is Udupi district, followed by
Mandya district (26.9%), Hassan district (19.6%).
• There are not many disability pensioners as beneficiaries. There have been only 26
disability claims, and 25 are from Kalaburagi Division and 1 from Bengaluru
Division.
• A total of Rs. 21.55 Lakh has been utilised towards disability beneficiaries’ claims.
An amount of Rs.2,70,000/- has been disbursed towards disability assistance for 1
beneficiary in Bengaluru Division.
• In Kalaburagi Division, an amount of Rs.18,85,000/- has been disbursed towards
disability assistance for 25 beneficiaries, which means an average of Rs.75,400/- per
claim has been disbursed.
While the schemes above are as per the mandate of the Act, it has been observed that the
CWWB under the Government of Karnataka, also introduced some schemes to improve the
general well-being of the construction workers.
After the applications are made, the government would take about 30 days to process the
applications and provide scheme benefits. Any BPL holder who has not availed the benefits
of centrally sponsored free LPG connection scheme PM Ujjwala Yojana can apply online for
Anila Bhagya. Below given some features of the scheme: -
• Online registrations for the scheme will be started soon.
• All BPL cardholders are eligible to take the benefits of the scheme.
• The process of application will be completed within one month.
• The government is prepared to cover about 15 lakh beneficiaries in the state.
• The government has earmarked total outlay of Rs. 1100 crore to implement of scheme.
• Total cost of per connection is Rs. 4,040.
Karnataka State govt. has allocated Rs. 1350 crore in Karnataka Budget 2018-19 to benefit
30 lakh people. In the year 2018-19, CWWB has transferred an amount of Rs.6,600 lakhs
(Rs.66/- crores) to the Food Civil Supplies Department to supply LPG.
Allocated benefit per beneficiary per year is Rs.12,600/-. As per the data received, it works
out to Rs.11,493/- per beneficiary (Rs.2,08,24,700 / 1812 = Rs.11,493/-).
MGNREGA – Mahatma Gandhi Rural Employment Guarantee Act
Government of Karnataka has decided to consider MGNREGA workers and other labourers
within the category of construction workers and is offering them Ambedkar Helping Hand
Scheme. The welfare scheme already existing for the construction workers has been extended
to NREGA workers.
The NREGA workers have to register their names as construction workers in the local
Karmika Bandhu’s office by paying Rs.125/- to be beneficiary of the scheme and have to
submit the copies of Aadhaar card, voter ID, bank passbook, land or mobile numbers and to
certify that he or she has been working for 90 days in any of the construction project. To
register as a construction worker, copies of the wage certificate, attendance document,
employer’s letter, certificate from a registered union, muster roll copy from Gram Panchayat
and passport-size photograph must be submitted.
In the first phase, the scheme will be implemented in 12 districts: Ballari, Raichur, Kalaburagi,
Belagavi, Vijayapura, Bagalkot, Gadag, Davangere, Chitradurga, and Yadgir.
Table 12: Money transferred for Anila Bhagya scheme, Buss Pass and Housing
SL.NO Schemes Year Amount – Money
Rupees in Lakh transferred to
1 Assistance for 2018-19 7,600 Housing
purchase or Department
construction of a
house
2 Assistance for 2018-19 5,2479 BMTC*
KSRTC BUS Pass
3 Assistance for 2018-19 6,600 Food and Civil
LPG Supplies dept.
Source: KBOCWWB
workers presented earlier in this report. More than three-fourth of the respondents were in the
age group of 30 to 50 years. About 16 per cent of the respondents were in the age group of 50
to 60 years. Only 5 per cent of them were less than 30 years old. About 78 per cent of the
respondents were either illiterate or had studied up to 7th std.
Among the respondents from the beneficiary category, as the table above indicates, nearly
two-third (about 64 per cent) of the respondents belong to SC/ST and OBC. For all the ten
districts put together, workers belonging to the general category formed about 25 per cent.
However, in Dakshina Kannada district, nearly 65 per cent of the respondents belonged to the
General category and only 25 per cent were from the SC/ST and OBC categories.
The caste category among the non-beneficiary respondents revealed that majority, i.e., 54 per
cent belong to SC/ST community, 21 per cent belong to general category, 16 per cent belong
to OBC and 10 per cent belong to minority group. Also, among the non-beneficiary
respondents interviewed, 31 per cent of the respondents were women construction workers in
all the ten districts put together. Women respondents were more in the districts of Bidar
(58%), Kalaburagi (45%) and Uttara Kannada (45%) compared to other selected districts. The
number of registered women construction workers is high in Bidar and Kalaburagi. About 38
per cent of the respondents were in the age group of 31 - 40 years, 34 per cent were aged
between 41 - 50 years, 12 per cent were in the age of 51 – 60 years and 15 per cent of
respondents were in the age of 18-30 years.
With regard to the overall education level of respondents, about 60 per cent of them were
literates, with 43 per cent of them having completed some form of primary education, 3 per
cent have completed 10th std, 3 per cent have completed PUC and 1 per cent graduates.
Illiterates were in more proportion in the districts of Bidar, Kalaburagi, Mysuru and Uttara
Kannada.
Among the non-beneficiary respondents, 98 per cent of them belong to BPL category, 1.5 per
cent belong to AAY and 0.5 per cent belong to APL category. The monthly household income
of the respondents was recorded as stated by them. About 37 per cent of the respondents
reported a monthly income of Rs. 7,500 – 10,000, about 24 per cent an income of Rs.10,000-
15,000, nearly 18 per cent an income of Rs.5,000 – 7500, and 11 per cent of them have an
income of Rs. 15,000-30,000 and only 1 per cent earns more than Rs.30,000. The average
monthly income among the non-beneficiary respondents is Rs.11,547/- with the highest in
Mysore district (Rs.21,311/-), and lowest in Dakshin Kannada district (Rs.9116/-).
The Table above indicates that 92 per cent of the construction workers have reported that
they are aware of the criteria that make them eligible to register themselves as a member of
the CWWB. However, about 26 per cent of the respondents from Dakshina Kannada district
were not aware of the eligibility criteria to become a member of the Board.
Yes 893 174 286 1548 804 1736 148 2010 327 2106 10032
% 88.2 77.7 85.1 98.2 85.4 95.2 80.4 84.2 90.1 97.9 91.2
No 120 50 50 28 137 87 36 378 36 45 967
% 11.8 22.3 14.9 1.8 14.6 4.8 19.6 15.8 9.9 2.1 8.8
Total 1013 224 336 1576 941 1823 184 2388 363 2151 10999
Source: Survey, 2019
The pattern among the non-beneficiary respondents was also found to be the same as
beneficiaries. About 91% were aware of the eligibility conditions to register to become a
member of the Construction Workers Welfare Board to avail benefits. More than one-fifth of
the non-beneficiaries were those covered in Mysore district.
With regard to sources through which they received the information, more than 50 per cent of
the registered workers became aware of the eligibility criteria through their peers while about
one-fourth respondents received information from the construction associations. Among the
non-beneficiaries, about 40 per cent reported awareness through peers and 34 per cent through
construction associations.
Table 16 provides information on the number of days taken for registration by the beneficiary
respondents.
Table 16: Number of days taken for registration for beneficiary respondents
No. of days District Total
taken for
registration Bagalkot Bengaluru Bengaluru Bidar Dakshina Kalaburagi Kolar Mysore Tumkur Uttara &
Rural Urban Kannada Kannada
%
<15 11 1 0 2 9 33 1 76 15 20 168
% 6.4 0.8 0.0 1.2 2.7 21.2 0.5 35.2 10.4 5.4 8.4
16 to 30 42 5 4 25 55 89 13 125 42 56 456
% 24.6 3.9 3.3 14.5 16.8 57.1 6.7 57.9 29.2 15.2 22.8
31 to 45 14 43 36 28 81 6 100 3 59 88 458
% 8.2 33.6 30.0 16.3 24.7 3.8 51.5 1.4 41.0 23.9 22.9
46 to 60 62 58 54 59 176 23 74 6 23 76 611
% 36.3 45.3 45.0 34.3 53.7 14.7 38.1 2.8 16.0 20.6 30.6
61 to 90 29 18 25 58 7 4 6 3 4 71 225
% 17.0 14.1 20.8 33.7 2.1 2.6 3.1 1.4 2.8 19.2 11.3
91 to 120 1 2 0 0 0 0 0 1 0 11 15
% 0.6 1.6 0.0 0.0 0.0 0.0 0.0 0.5 0.0 3.0 0.8
121 to 180 9 1 0 0 0 0 0 1 1 4 16
% 5.3 0.8 0.0 0.0 0.0 0.0 0.0 0.5 0.7 1.1 0.8
180+ 3 0 1 0 0 1 0 1 0 42 48
% 1.8 0.0 0.8 0.0 0.0 0.6 0.0 0.5 0.0 11.4 2.4
Total 171 128 120 172 328 156 194 216 144 368 1997
Avg no. of 52 50 45 43 48 25 37 17 31 45 46
days
Source: Survey, 2019
In six of the districts covered, more than one-third respondents reported more than one and
half months to get their registration done. At the same time, in Kalaburagi and Mysore, more
than half the respondents said that their registration was completed within a month. The
average for all the study districts taken together is 46 days.
Among non-beneficiaries, the patterns is not very different. More than two-third non-
beneficiary respondents in Mysore and nearly half in Kalaburagi got their registration done
within a month. For nearly one-third respondents in Bengaluru and Kolar, it took upto 90 days
to get their registration done. As in the case of the beneficiaries, Mysore takes only 20 days
to register construction workers as against 50 days in Kolar.
During detailed interaction with the workers, it was found that the long waiting time was one
of the reasons for many workers not going in for renewal.
The registration fee to be paid by an eligible construction worker for registration is fixed at
Rs. 25/- and another Rs.25/- towards subscription (total Rs.50/- for one year). The table shows
that all the respondents have paid a registration fee more than the stipulated amount of
Rs.50/-. Nearly one-fourth of the total respondents have paid more than Rs.400 as fee while
another one-third of them have paid more than Rs.200. In Bidar, more than one-fourth
respondents have paid more than Rs.500 as registration fee. Dakshina Kannada shows least
payment (nearly 70% paying upto Rs.100), while districts including Kalaburagi, Kolar and
Bagalkote have nearly one-third respondents paying upto Rs.300.
Across the districts, Dakshin Kannada has reported the least amount (Rs.178/-) though still
more than the mandated amount, while Bidar has reported the highest average amount
(Rs.479/-) paid as registration fee.
The workers expressed various difficulties being faced by them during registration.
District Total
%
Bagal B'lore B'lore Bidar Dakshin Kalabu Kolar Mysore Tumkur Uttara
kot Rural Urban Kannada ragi Kannada
leading to non-
receipt of OTP
Aadhaar not 0 0 0 0 0 3 0 87 0 17 107 10.6
linked to account
Lack of 6 14 6 0 0 34 20 0 11 11 102 10.1
information
regarding the
process
Did not know the 3 0 0 0 0 0 0 34 0 0 37 3.7
online registration
process
Non-availability 0 6 3 0 3 6 6 0 3 3 30 3.0
of officials for
help
Card given earlier 0 0 0 0 0 0 0 14 0 0 14 1.4
got cancelled
Paid fee, but not 0 6 3 0 0 0 3 0 0 0 12 1.2
yet renewed
No. of 15 46 214 0 62 111 45 444 25 43 1005
respondents
Source: Survey, 2019
Among those who expressed difficulties faced, the process of filling up the form and get all
appropriate supporting documents proved hard, followed by non-receipt of OTP that they
would have linked to their previous mobile number and not updated the concerned officials
when changing.
The same pattern and proportion of response has been observed among beneficiary
respondents as well where they have expressed difficulties in completing the process (34%),
not having adequate information (25%), and not getting the OTP for linking (17%) to
complete the registration.
In addition, deeper interaction with some key respondents threw light on the kind of problems
being faced by the registered construction workers as shared by them:
• Workers have to pay extra money (workers not willing to disclose the persons or agents to
whom they have to pay) to get their work done. They are mainly dependent on this mediator
to get their registration/renewal done.
• It takes time to claim their benefit; some workers wait to receive their benefit even after 6
months after applying for the claim.
• Facilities are inadequate at the construction site and the workers are at risk.
• Not being able to directly interact with any government officials to express their concerns
was also mentioned by the workers.
• Lack of transportation and long distance travel to the offices from the work sites consumes
time and leads to wage loss, a minimum of 2 – 3 days.
Yes 149 118 118 163 327 154 190 186 141 40 1586 79
% 87.1 92.2 98.3 94.8 99.7 98.7 97.9 86.1 97.9 10.9 79.4
No 22 10 2 9 1 2 4 30 3 328 411 21
% 12.9 7.8 1.7 5.2 0.3 1.3 2.1 13.9 2.1 89.1 20.6
Total 171 128 120 172 328 156 194 216 144 368 1997 100
% 8.6 6.4 6.0 8.6 16.4 7.8 9.7 10.8 7.2 18.4
For all the study districts put together, non-beneficiaries paid more for renewal than the
beneficiary respondents. The renewal amount being as minimal as the registration fee, paying
sums such as Rs.541/- seems too high a price. However, this has not been expressed as a
reason for not going for renewal most probably due to lack of awareness regarding the right
amount to be paid.
Reasons for not going for renewal have been provided in the next Table.
Table 22: Major reasons for non-renewal of membership by Beneficiary respondents
District Total
Bagal Bengaluru Bengaluru Bidar Dakshin Kalabu Kolar Mysore Tumkur Uttara /%
kot Rural Urban Kannada ragi Kannada
Aadhaar not 9 4 0 3 0 1 1 12 1 58 89
linked to account
% 40.9 40.0 0.0 33.3 0.0 50.0 25.0 41.4 33.3 17.7 21.7
Time consumed in 5 1 0 2 0 0 2 3 1 66 80
travel to visit
office incurring
loss of pay
% 22.7 10.0 0.0 22.2 0.0 0.0 50.0 10.3 33.3 20.1 19.5
District Total
Bagal Bengaluru Bengaluru Bidar Dakshin Kalabu Kolar Mysore Tumkur Uttara /%
kot Rural Urban Kannada ragi Kannada
Renewal process 2 0 0 0 0 0 0 0 0 65 67
is cumbersome
% 9.1 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 19.8 16.3
Changing of 2 1 0 1 1 0 1 5 0 48 59
mobile numbers
leading to non-
receipt of OTP
% 9.1 10.0 0.0 11.1 100.0 0.0 25.0 17.2 0.0 14.6 14.4
Lack of 3 0 0 0 0 1 0 7 1 39 51
information about
time for renewal
% 13.6 0.0 0.0 0.0 0.0 50.0 0.0 24.1 33.3 11.9 12.4
Do not know how 0 2 0 0 0 0 0 2 0 40 44
to renew online
% 0.0 20.0 0.0 0.0 0.0 0.0 0.0 6.9 0.0 12.2 10.7
Every year not 1 2 2 3 0 0 0 0 0 12 20
needed / done
every 3 years once
% 4.5 20.0 100.0 33.3 0.0 0.0 0.0 0.0 0.0 3.7 4.9
Total 22 10 2 9 1 2 4 29 3 328 410
Source: Survey, 2019
• The recent introduction of technology for both registration and renewal processes has not yet
made respondents comfortable as more than one-fourth respondents have reported technology
related issues - not having their Aadhaar number linked to their account and not getting OTPs
due to frequent change in mobile numbers.
• The physical effort involved in terms of going through the renewal process in addition to the
effort that needs to be taken to go to the offices thus incurring transport costs and loss of pay
is another deterrent for non-renewal of registration.
• Lack of awareness regarding the upcoming completion of their membership and not knowing
the online procedure for renewal has been reported to be another set of reasons for not going
for renewal.
The following table presents reasons for non-renewal expressed by non-beneficiary members.
Table 23: Major reasons for non-renewal of membership by Non-beneficiaries
Reason for District Total
not renewal of /%
Bagal Bengaluru Bengaluru Bidar Dakshin Kalabu Kolar Mysore Tumkur Uttara
membership Rural Urban Kannada Kannada
kot ragi
Cumbersome 14 10 6 0 0 11 15 53 0 0 109
renewal
application
process
% 17.5 76.9 35.3 0.0 0.0 34.4 57.7 23.7 0.0 0.0 18.3
Membership is 15 0 6 0 0 6 4 18 8 52 109
still valid
% 18.7 0.0 35.3 0.0 0.0 18.7 15.4 8.1 50.0 30.8 18.3
Aadhaar 13 0 0 1 0 0 0 51 2 27 94
number not
linked
% 16.3 0.0 0.0 12.5 0.0 0.0 0.0 22.8 12.5 16.0 15.8
Did not get 0 2 5 0 4 0 5 31 0 46 93
OTP / no
connection
% 0.0 15.4 29.4 0.0 40.0 0.0 19.2 13.8 0.0 27.2 15.6
Taking 17 0 0 7 6 9 0 17 4 31 91
transport and
visiting offices
is too time
consuming
% 21.3 0.0 0.0 87.5 60.0 28.1 0.0 7.6 25.0 18.3 15.3
Lack of 18 1 0 0 0 3 2 48 2 11 85
information
about
upcoming
renewal
% 22.5 7.7 0.0 0.0 0.0 9.4 7.7 21.4 12.4 6.5 14.3
No particular 3 0 0 0 0 3 0 6 0 2 14
reason
% 3.7 0.0 0.0 0.0 0.0 9.4 0.0 2.7 0.0 1.2 2.4
Total Workers 80 13 17 8 10 32 26 224 16 169 595
who responded
Source: Survey, 2019
Unlike the beneficiary respondents, nearly one-fifth have reported that their registration is
still valid probably having taken the long term membership. However, all other responses
remain the same - relating to technology, access to the service, lack of awareness and
information.
Benefits received by respondents
As observed in the secondary data analysis, most beneficiaries have availed assistance related
to marriage, education and medical. The following tables provides details of average amounts
received by beneficiaries across the study districts for these three schemes.
Marriage 50,000 50,000 50,000 50,000 55,000 50,000 50,000 75000 50,000 50,000 75,000
Assistance
Medical 9000 7000 6000 6000 8000 6000 9000 9000 9000 7000 9000
Assistance
Education 9000 7000 6000 6000 8000 6000 9000 9000 9000 7000 9000
Assistance – 5th,
6th, and 7th
classes
Source: Survey, 2019
Entitlements related to marriage assistance match with the actual amount to be disbursed,
except in the caes of Bengaluru Urban and Mysore. In the case of medical and eduational
assistance, the reported amounts are less than the entitled amounts. Unlike marriage
assistance, the amounts are not equal across the districts either.
Number of times received educational assistance
Among those respondents who had received educational assistance, about 20 per cent of them
have received assistance twice and more. About 80 per cent of them have availed the
educational assistance for their children for the first time.
Types of problems faced by the registered construction workers are as follows:
• They have to pay extra money to get their work done
• It takes a lot of time to claim their benefit, some workers are yet to receive their benefit
even after 6 months after applying for the claim.
• Facilities are inadequate on the construction site and the workers are at risk
• Lack of information in the absence of communication which leads to unawareness
• Problem of mediator is big nuisance for the workers
• No proper response from the department officials is another major issue being faced by
the workers
• Lack of transportation and long-distance travel consumes more time and leads to wage
loss
Among those construction workers who were migrants responded that their biggest
challenges are producing the required documents for registration and speaking the local
language. This is true of most districts. Nearly 70% migrant registered workers About 44%
of them are not able to produce the required documents for registration, in fact they are not
aware of the process of registration and do not have the required documents. Nearly 27% of
the responded migrants said that speaking in local language, Kannada, is another challenge
for them. Also, wages paid to them are slightly lesser than the local workers.
There were indications of the prevalence of fictitious members, and persons becoming
members without being eligible to become members.
During the field study, the team identified registered workers with the CWWB who actually
work as agriculture labourers and housemaids but were able to produce fake employment
certificate and required documents to register themselves as a member of the Board. However,
the assessment authorities did not make field visits to assess the workers’ eligibility to become
a member of the Board. Lack of efforts from the assessment officers provide an opportunity
to the labour unions to exploit the situation by helping the ineligible workers to become
members of the Board.
The beneficiaries’ opinion on the awareness of the provisions under the 1996 Act is
described below:
As there are no funds available for awareness campaign, no IEC activities have been taken
up by the CWWB in collaboration with the Labour Department. In Karnataka, the labour
unions are closely working with the construction workers and the workers are under
their control, so all the possible information on the benefit schemes are being provided by
the unions.
Table 26: Awareness of the benefit schemes, applied and received benefits
S.No Benefit Scheme Aware Applied Received benefit
(of those who
applied)
% % %
1. Medical Assistance 85 2 73
2. Death & Permanent Disability 77 0.4 33
3. Major Medical Assistance 77 1.3 80
4. Disability support 65 0.23 100
5. Funeral Exp. Assistance 80 4.75 100
6. Maternity – delivery assistance 83 3.8 82.5
7. Marriage assistance 87 26 94
8. Loan for buying tools 62 2 13
9 Pension scheme 71 3.7 89
10. House construction assistance 67 0.7 50
11. Assistance for Children’s Education
a) 5th to 7th std 90.5 40 96
b) 8th to 9th std 90 28 85
c) 10th std 87 20 79
d) ITI/Diploma 73 9.6 33
e) Degree level 70 13 43.5
f) Post-graduate studies 64.5 7 11
g) Engineering/Medical 62 6.5 7
From the Table above, it is noted that the level of awareness on different schemes is good, but
the per cent of registered workers who applied for different benefit schemes is very low,
except in the case of marriage assistance and educational support for the children of registered
construction workers. Among those who applied, the proportion of workers who finally
received the benefit is further low.
The same is reflected in the data provided by the Construction Workers Welfare Board which
indicates those who have availed the marriage and education assistance put together is about
95% of the total beneficiaries and 82% of total amount of the amount disbursed.
In the registration process, the main role is played by the labour unions. They perform the
most active role when it comes to removing information barriers between the workers and the
administration. Once a worker registers under a union, the union gets the worker enrolled with
the Construction Workers Welfare Board. However, over the course of implementation of this
Act, no efforts have been taken further by the unions to encourage workers to take the
advantage of these welfare schemes. The workers during the survey mentioned that the
implicit cost of applying for benefits is high.
Interviews with the beneficiaries revealed that 18 per cent of the respondents are members
of Yashasvini Health Care Scheme, of this 5 per cent had already received benefit / utilised
the services of the scheme. Similarly, with regard to RBY scheme, 24 per cent of the
respondents were members of the Rashtriya Bima Yojana, of this nearly 10 per cent had
received benefits/utilised the services of the scheme.
There are other schemes such as Ayushman Bharat-Arogya Karnataka promoted by
Government of Karnataka (explained below) that poses a constraint for the construction
workers to make successful claims for benefits of CWW schemes.
resident of Karnataka State and belongs to “Eligible Household” as defined under the National
food Security Act 2013.
• The eligible applicant should submit his or her application in Form XII to the board.
• The registered construction worker should surrender his or her beneficiary Identity Card with
the application.
• The board after verifying the application, shall send to the registered building or other
construction worker, the pension sanction order along with the pension Identity card having
electronically generated unique pension payment Order No.
• If the Board after considering the application comes to the conclusion that the applicant is not
eligible for pension, such application shall be rejected after providing an opportunity of being
heard, to the applicant.
• In the event of death, the legal dependents or heirs shall inform the Board about the death of
the pensioner along with the death certificate in order to close the bank account.
• The amount of pension shall not exceed a sum of Rs. 2000/- (Rupees two thousand only) per
month. and the beneficiary shall not avail similar benefit under any of the Government
schemes.
• The beneficiary shall submit the Living Certificate Form XII-A to the sanctioning authority
for each year to prove that he is alive.
• At the district level, the application for the pension has been collected from the eligible
pensioners as per the Rule No.39.the relevant documents also have been collected, verified
and forwarded to the Board.
• The district officials have no clue what is the status of the application and no further
communication from the Board to the district officials on this.
• Ration Card
• Employer Certificate
• Application can be submitted within 6 months after attaining the age of sixty years
• In case of Beneficiary’s death, Nominee should provide death certificate to the Board
Drinking 93.0 90.6 91.7 75.6 59.8 85.9 95.4 86.6 95.8 72.0 81.1
water
Emergency 29.2 5.5 10.8 13.4 1.2 42.3 18.6 32.4 14.6 7.3 15.9
medical aid
Shelter 6.4 3.1 14.2 1.2 0.0 7.1 17.5 5.6 6.3 4.3 7.1
Toilet 46.2 83.6 86.7 55.2 27.4 38.5 95.4 44.0 91.7 4.1 48.2
Safety Office 3.5 1.6 5.8 7.0 0.0 1.9 18.0 7.4 4.2 0.3 4.4
Transport 31.6 46.9 38.3 27.9 21.3 26.3 70.6 38.0 55.6 13.3 33.4
facility for
emergencies
Total 171 128 120 172 328 156 194 216 144 368 1997
Source: Survey, 2019
Drinking water was reported to be the most available facility provided in the construction
sites, though this has been reported by less than 60% construction workers in Dakshin
Kannada, and by more than 95% in Kolar district. This is followed by toilets where at least
one in every two respondents reported the availability of toilets; this has been reported by
more than 90% in Kolar. Around one in three respondents also reported the availability of
transport facilities for emergency, with again the highest being reported in Kolar with more
than 70%. Lack of awareness regarding these basic entitlements as spelt out in the Karnataka
Rules 2006 by both employers and workers is the major cause for non-availability of services.
Most of the respondents said that they were not satisfied with the facilities provided at
the construction site. With regard to the safety equipment provided at the construction site,
nearly 50 per cent said that they are at risk at the work site as they have not been provided
with the required safety equipment to protect themselves from various hazards and danger at
the construction site.
Table 28: Provision of safety equipment at the work site
Response District Total %
Bagalkot Bengaluru Bengaluru Bidar DK Kalaburagi Kolar Mysore Tumkur UK
Rural Urban
With regard to the safety equipment provided at the construction site, nearly 47 per cent
said that they are at risk at the work site as they have not been provided with the
required safety equipment to protect themselves from various hazards at the construction
site. Especially, the workers from the two districts of Dakshin Kannada, Kalaburagi and
Uttara Kannada, 75%, 71.8% and 50.8% respectively, expressed their unhappiness.
Migration and development are a growing area of interest. There has been much debate on
the negative impacts of migration on development and vice - versa. On the one hand, it is
argued that underdevelopment is a cause of migration, and on the other hand, prosperity also
leads to migration.
The history of migration is the history of people’s struggle to survive and to prosper, to escape
insecurity and poverty, and to move in response to opportunity. Migration happens more due
72 | Karnataka Evaluation Authority
Major Findings
45.36 crore Indians (37 per cent) in India are migrants — now settled in a place different
from their previous residence, as per the new Census 2011 data released.
Per cent distribution of reasons for migration by last residence with duration (0-9years) India
2001 and 2011:
Karnataka is home to a number of inter-state migrants. People from across the country have
been drawn to this state to be part of the developed economy. As of 17th May 2020,
approximately 6 lakh migrants had registered themselves on the Karnataka state’s Seva
Sindhu portal to go back to their homes. Of these, more than 3 lakh individuals were from
Bengaluru city alone. The majority of these migrants belong to 2 states. Nearly 1.4 lakh
applicants belonged to Bihar while 1.1 lakh belonged to Uttar Pradesh.
Migrants in Karnataka have been categorised into 2 groups. The first is made up of people
from the Hyderabad-Karnataka region. Most of these people are from an agricultural
background and work in the construction sector in Bengaluru. The second group of migrants
is from north India. These semi-skilled labourers work in masonry, painting, kitchens and
housekeeping.
The existing protective legal framework for migrant workers is the Inter-State Migrant
Workmen (Regulation of Employment and Conditions of Service) Act, 1979 (ISMWA),
designed to protect the interests of labourers who are recruited and subjected to exploitation
by contractors. It provides for registration of establishments employing inter-state migrant
workmen, and licensing of contractors. Safeguards include non-discrimination in terms of
wages vis-à-vis non-migrant workmen, payment of travel and displacement allowance, and
suitable work conditions, in the form of obligations placed on the contractor. However, the
ISMWA is of limited utility to those who migrate on their own.
The Kerala model can be emulated to deal with migrant labourers. The state has conducted
regular surveys on migration since 1998, shedding light on the various issues concerning
migration and mobility. The findings of the survey could be the basis of welfare programmes
and will be useful during a crisis such as this pandemic. There is a need for not only a humane
approach towards those who are the engines of our cities but also proper policy, including
reliable ways of counting India’s ‘people on the move’.
• The officers from the labour department and construction workers claimed that no
considerable efforts have been taken by the Board or Labour Department to build
capacity of district level officers, union officials and construction workers. On the
contrary, the annexed expenditure statement indicates that a total of Rs.2.29 crore,
(which is 0.5% of the Rs.439 crore) has been spent for various programmes such as
(a) seminar and workshops - Rs. 1.15 crore (b) training expenses – Rs.99.60 lakhs (c)
Skill training & development & academy expenses – Rs.12.34 lakhs, and (d) training
cum toolkit programme – Rs.1.25 lakhs. It is not clear for whom the trainings were
conducted and its impact.
• Labour inspector is under pressure by Trade union representatives.
• All the officials are willing to undergo training on CWWB cess.
• The key concerns of the officials are : Threats from community / unions.
• Lack of transport facility to do field visit in Bidar district and lack of protection
supports for self.
• There is demand for having own office at all taluks by department officials.
• In both Karwar and Bagalkot districts, the labour officers are on deputation
• In Karwar district, the Labour officer circulated a letter to all the concerned line
departments like ZP, GPs, TMCs and electricity boards to inform owners/ Builders to
get CESS clearance letter from Labour welfare department before giving the
permission for new constrictions.
• The officers have noticed that non construction workers are trying to register with the
Board as a member but they are helpless and unable to take actions due to threat from
the union officials and local community.
• Different approaches being followed for registration of workers are 1) Through the
Construction Association 2) Trade Unions 3) Through NGOs 4) Walk in the office 5)
Through Special camps 6) Through the Contractor 7) Awareness camps 8) Through
Karmika Bandhus 9) Sakala /others (common service centre)
• Almost all the respondents said that the registration process of workers are complex
and time consuming.
From Union Officials:
From the information collected from the registered trade unions that represent the interests of
the construction workers in each of the districts, some of the major findings that emerged
across board are as follows -
▪ Many of the unions run e-seva Kendra and also work as registration centres. However,
they focus only on workers’ registration and are not instructed / trained to
simultaneously provide information on the schemes that they could benefit from.
▪ Many of the workers’ unions are politically influenced and sometimes carry out
registrations of groups/geographies as per that mandate. In many cases, the unions do
not give much importance to the registration of migrant workers.
▪ However, there were many requests from the unions regarding services, that included:
o Removal of Bond system under marriage benefits
o Restarting of Rashtriya Bima Yojane by the department
o Bring all schemes of the CWWB under the Public Service Guarantee Act
(SAKALA)
o Extend ESI services to all cardholders where ESI is easely accessible.
The PAC study team carried out specific case studies in four of the ten districts and some
significant points of concern and complaints that emerged are as follows –
▪ In Uttara Kannada district, in meetings simultaneously with both officials and
union members, it was mentioned that since Union were given targets in terms of
certain number of construction workers to be registered, there were cases of upto
10-15% on non-construction workers registered as well.
▪ The Unions also mentioned that at the time of registration, workers who came in
for registration were then employed in building and construction work and
therefore registered, though earlier they have been full time in other occupations.
The unions then gave them the 90 days job certificate, which then is in many cases
not renewed.
▪ In Kalaburagi and Bidar districts also, many of the unions had registered the
construction workers based on the verbal endorsements given by the contractors
who may have brought in other workers as well not involved in building and other
construction work.
▪ However, officials at the time of inspection across other districts as well were able
to identify some of these non-construction workers and remove their names. But
these numbers were lower than those registered, and sometimes due to the
seasonality of work, labour inspectors reported that it was difficult to trace the
workers to ascertain their job type.
From Builders/Real estate Associations
The feedback from builders’ association reveal that they extend services for the benefit of the
construction workers. Some of them organise health camps in association with local NGOs
and sometimes with Lions club and health department – camps are organized for eye checkup,
testing HIV and Tuberculosis. They help and encourage the construction workers to get
themselves registered as a member of the CWWB, providing referral services during
emergencies when they meet with accidents and grievously ill.
Help to regulate safety procedures for minimising loss of life and to enhance welfare of the
construction workers.
Support and establish training institutions to train workers and technicians.
Extend financial support to the deserving girl child of a construction worker to continue her
studies.
These associations organise sports activities for construction workers during May Day
celebration.
Construction related training courses such as domestic electrician and gas welding and cutting
technology are being provided to the fresh candidates or those who want to upgrade their
existing skill. Institutions are interested to have a tie up with the CWWB and work out a
feasible modality to customise training courses for those in need of upgrading their skill
especially welding and electrical works.
They identify, orient, motivate, train and assist the rural youth to take up self-
employment/wage employment ventures as an alternative career.
People in the age group of 18-45 years are identified irrespective of caste, creed, religion,
gender and economic status, having aptitude to take up self-employment or wage employment
with some basic knowledge in the related field and provide training which is totally free of
cost (accommodation and food is free during course period). Also provide loan facilities to
purchase tools and other related investments. The construction related training courses being
offered are a) Welding & fabrication b) House wiring c) Plumbing & sanitary works d)
Masonry & concrete work and e) Carpentry
EQ2 - What methods are being followed to ensure registration of establishments? How is
cess levying and collecting linked to the establishments?
EQ3 - How is the existing cess utilised among construction workers to ensure their welfare?
Findings from Process Evaluation
• Only 6.25% of the Cess collected so far has been spent by the CWWB, with 5.45%
going for benefit schemes and the remaining 0.80% going into salaries
EQ4 - What are the processes followed by construction workers while registering and
renewing their membership with CWWB?
Findings from Process Evaluation
• Construction workers have to fill in a minimum of four forms each asking for various
supporting documents as the first step in the registration process.
• The registration of establishment Form covers the number of construction workers in the
site; however, there is no checklist on whether they have been informed about
registration, renewal and benefits/schemes that they are entitled to.
• There is no IEC material for distribution to construction workers when they start
working in an establishment.
Findings from Secondary and Primary Data
1. To start with, 92% of both beneficiary and non-beneficiary construction workers were
aware of the eligibility criteria required to be a member.
2. For all the 10 districts covered by the survey, it took about 45-46 days to complete the
registration process for both the beneficiary and non-beneficiary respondents.
3. More than 40% of the non-beneficiary and 34% of the beneficiary respondents found it
difficult to complete the process without support from others, followed by those who
mentioned not having adequate information (25% of beneficiaries) and time loss/wage
loss incurred in travel (16% of non-beneficiaries).
4. About one-fifth of the respondents did not go in for renewal as they had problems with
their Aadhaar not being linked to their accounts (21% of beneficiary respondents),
travel/wage loss (20% of beneficiary respondents), and the process being very
cumbersome (16-17% of all respondents).
5. In the case of inter-state migrant workers, 44% were not able to produce required
documents for registration, with another 27% mentioning that did not understand the
language to be able to carry out the registration process.
EQ5 - To what extent the registered workers in Karnataka face hardship in making
successful claims for benefits on account of the overlapping schemes of worker welfare in
the state?
Findings from Secondary and Primary Data
• Among the beneficiary respondents covered in the study, most of them had claimed
marriage assistance (26% applied), medical assistance (2% applied) and education
assistance (40% for primary education).
• About 18% of the beneficiaries were members of the Yashaswini Scheme with 5%
having utilized their services, while 24% were members of the Rashtriya Bima Yojana,
with 10% having utilized their services.
EQ6 - What mechanisms are in place and how effective are they at the District and State
headquarters to deal with grievances of the workers?
Other important findings that emerged while interacting with various stakeholders include the
following -
• About 4 lakh registered workers have been benefited by the welfare schemes of CWWB,
which is only 18% of the total registered construction workers.
• The registration of migrants from other states is poor as they do not have documentary
evidence to prove their identity without which registration is not possible.
• KBOCWWB has introduced very useful schemes for the construction workers’ welfare in
the state. However, their uptake has been poor. If the educational support to children of
workers for their education is taken out, only 10% of the total beneficiaries have received
benefits under all other welfare schemes since inception; no takers for other welfare
schemes.
• The budgets are not released on time to the district level offices to distribute the benefits
on time to the successful beneficiaries.
• Dominance by the unions and their interference seems to be promoting malpractices and
leads to increase in fictitious members and genuine members are failed from getting
benefitted. Online registration and approval might help to overcome this issue in the
future.
• Most of the officials expect separate teams for CWWB activities.
• Shortage in staff in the CWWB and Labour Department shouldn’t be a bottleneck in the
field as several staff has been engaged by CWWB and Labour department on a temporary
and on a contract basis as indicated by the Expenditure Statement where quite an amount
has been spent towards salary and transport expenses.
• No followups or special efforts were taken for renewal of construction workers.
• There is a delay of 60 days to one year, sometimes three years to settle the benefit claims.
• As indicated in the annexed Expenditure Statement, Rs.2.29 crore, (which is 0.5% of the
Rs.439 crore) has been spent for various programmes such as (a) seminar and workshops
-Rs. 1.15 crore (b) training expenses – Rs.99.60 lakhs (c) Skill training & development &
academy expenses – Rs.12.34 lakhs, and (d) training cum toolkit programme – Rs.1.25
lakhs.
• The RPL skill training programme has been initiated by the CWWB.
7. RECOMMENDATIONS
The following are the recommendations:
1) The huge corpus of cess fund remained unspent with the Karnataka Building and Other
Construction Workers’ Welfare Board could be used for occupational health and
safety, establishment and operations of helplines and grievance redressal system,
creating an awareness drive for construction workers and distribution of sanitary pads
to women workers. Special drives to register women construction workers and
providing basic facilities such as separate toilets, creche for their children, should be
arranged in sites where they are working. Appropriate amendments to the current
Gazette should be able to achieve this objective.
2) The following are the recommendations to increase the enrollment and renewal of
workers:
• Allocate sufficient funds to conduct IEC campaign to improve registration and
bring visibility among construction workers on welfare board schemes.
• Develop short video films for advocacy.
• Involve youth organisations and other local platforms for awareness generation
at the district level to overcome registration roadblocks
• Facilitate the workers for on time renewal membership by sending SMS or
voice-based reminders.
• There should be simultaneous efforts to simplify the registration procedures on
the basis of feedback from regular social audit exercises as per the mandate of
the Supreme Court and CAG guidelines.
7) Link Aadhaar card of registered workers to mobile phones and bank accounts during
the registration. The process of changing the mobile numbers should be made simple
to enable the labourer to register her/his new number with adequate supporting
document.
8) Develop a mechanism which should help to track migrant workers coming from other
states, and ensure entitlements for them as well.
9) Convergence may be made with other departments such as RDPR, DMA to seek
assistance to register construction workers.
10) Special drives should be made to register women construction workers and provide
basic facilities to them such as separate toilets, creche in sites where they are working.
11) There should be further simplification of the registration procedure and alternative
arrangements should also be planned and implemented along with a robust monitoring
system.
The following are specific recommendations against what is the current system of standards,
processes and templates.
S.No. Variables Existing model Proposed
A. Registration of Establishment
1. Registration of Level of For government funded projects, the concerned
establishments registration of department to be authorised by the department of
establishments is Labour to register the establishments.
low. Not all The GoI has brought out various SOPs for Ease of
registrations are Doing Business under the aegis of the Department for
done at the Promotion of Industry and Internal Trade, Ministry of
labour offices at Commerce. They include guidelines for CWWBs of
the state and states as well, which can be adopted by KBOCWWB
district level. A under GoK – State Reforms Action Plan 2020
register is being Implementation Guide for States/UTs
used but not (https://eodb.dipp.gov.in/PublicDoc/Download/30337
maintained and it ), State Reforms Action Plan 2020
is not diligent (https://eodb.dipp.gov.in/PublicDoc/Download/30336
and clear. )
For private This practice should be continued with strict vigilance.
sector projects, In addition, ensure that filing of returns by the
under the local employers / contractors with the names of labourers
D. Utilisation of Fund
1. Only about Publicity and awareness creation require public
6.25% of the service orientation. The Labour Department, being
cess funds have regulatory in nature, lacks the public service
been utilised so orientation expected of a welfare organisation. Initiate
far. Government-local community organisations such as
volunteer youth club collaborations to overcome
difficulties in registration of construction workers and
Among all the to sustain registration drives at construction worksites,
welfare schemes,
84 | Karnataka Evaluation Authority
Recommendations
2. Inadequacy in No skill training Need to plan and provide skill development to various
skills of was being categories of workers both in classroom and at work
workers provided to the site to improve productivity.
construction
workers.
CWWB should quickly launch RPL for skill
enhancement of construction workers to improve their
CWWB just skills and thus livelihood.
initiated to
implement RPL
8. REFERENCES
1. Government of India, Ministry of Labour and Employment (2009), Building and Other
Construction Workers (Regulation of Employment and Condition of Service) Act,
1996, Available from World Wide Web: http://labour.nic.in/dglw/building_works.html,
[accessed on October 14th 2010]
2. Government of Karnataka, Department of Labour, The Inter-State Migrant Workmen
(Regulation of Employment and Conditions of Service) Act, 1979 (Central Act w.e.f.
12.06.79), Available from World Wide Web:
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Board - Functions, Available from World Wide Web: SASTECH Journal 66 Volume 10,
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on October 24th 2010]
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Information for workers – How to be a beneficiary and obtain the ID card, Available from
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obtain_card.html, [accessed on October 26th 2010]
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6. The Building and Other Construction Workers’ (Regulation of Employment and
Conditions of Service) Act, 19961 Sec (27 Of 1996)
7. International Journal of Research in Management & Business Studies (IJRMBS 2016) Vol.
3 Issue 4 Oct. - Dec. 2016
8. Shishir Sinha New Delhi | Updated on July 05, 2018, Published on July 05, 2018, The
Hindu Business Line
9. The National Campaign Committee for Central Legislation
10. http://www.bocwbihar.in/Website/scheme.aspx
11. http://bocboard.labdirodisha.gov.in
12. https://clc.gov.in/clc/acts-rules/building-and-other-construction-
workers#Accounts%20and%20audit
13. https://apbocwwb.ap.nic.in/welfare_schemes.jsp
14. https://tbocwwb.telangana.gov.in
9. Appendices
Particulars 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 Total %
Rs Rs Rs Rs Rs. Rs. Rs
Bank Charges 245,811 578475 1044218 631,844 706,043 1,196,253 517,163 4,919,808 0.11
Salaries and Wages 10185590 17492237 19,221,330 28,679,175 29299251 38,056,180 61,288,701 69,101,255 77,045,576 126,427,064 47,67,96,359 10.85
Administration
Charges 550231 835,484 2,098,386 128,284 358115 184,386 6,829 - - 4161715 0.09
Agency Charges - 7,413 - - 7,413
Repairs and
Maintenance 214483 126,270 290,073 284,118 362,658 299,833 - 1577435 0.04
Vehicle Running and
Maintenance 145894 262,602 294,596 124,321 177732 964429 186,818 265,644 218,678 1,427,524 4068238 0.1
Postage, Telephone
and Communication &
Internet Charges 349469 500,888 720,288 546,615 431910 1117164 1,212,587 1,474,394 1,404,690 852,475 8610480 0.20
Printing and Stationery 460371 2,186,609 1,357,580 829,313 1,801,722 19481111 2,803,099 1,803,261 1,872,995 2,660,414 35256474 0.80
Travelling and
Conveyance Expenses 680449 354,555 516,899 283555 30488 1,137,383 381,863 243,866 351,553 3980611 0.10
Expenses on Seminar/
Workshops 292,779 1,633,859 447240 4,730,888 4,036,045 46,934 359,883 11,547,628 0.26
C & AG Audit
Remuneration 105150 639,700 - 84,850 - - 829700
Car Hire Charges - 730,000 936,200 3,383,228 5,049,428 0.12
Internal Auditors
Remuneration 270,600 274,720 224,720 196630 358,030 563,500 649,500 - 2,537,700 0.06
Professional Charges 198540 223,850 230,248 547,954 564942 1739604 201,334 561,990 624,460 - 4892922
Software AMC
Charges 1,575,959 252520 112,962 1,352,122 - 12,390 3,305,953
Advertisement and
Publicity 256790 631,044 861,343 372843 1162645 3,914,438 4,809,149 2,813,695 1,243,895 16,065,842 0.37
Particulars 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 Total %
Rs Rs Rs Rs Rs. Rs. Rs
Board & Other
Meeting Expenses 115093 61,600 72,838 136,161 246518 249562 895,612 128,015 266,656 936,106 3108161
Books & Periodicals &
news paper 18256 31,716 27,443 25,272 11790 76960 64,182 19,954 15,650 61,586 352809
Registration Incentive
& Expenses 6,945 42,165 183,820 285570 6908 218,022 130,620 - 2,100 876,150
Membership &
subscription 28090 28,625 - - 56,715
Office Expenses 52,907 53523 213539 264,992 121,643 566,902 321,003 1594509
Vehicle Insurance 9,959 7862 94,643 91,966 59,557 81,802 345,789
Electricity Charges 27,642 851,236 1,070,387 1,375,530 3,324,795 0.08
Fuel & Petrol
Expenses 289,841 402341 536733 339,510 456,893 627,745 841,608 3,494,671 0.08
Building & Office
Equipments
Maintenance 171,784 131442 159656 63,960 108,601 17,000 437,609 1,090,052
Kalyana Bhavana
Expenses 245,200 - - - 245,200
Civil Work Inspection
Charges 55980 - 97,030 - - 153,010
Karnataka
Construction Workers
Skill Training & - 1,234,984 - - 1,234,984 0.03
Development
Academy Expenses
Training Expenses 116875 218229 122994 708,067 - 8,795,500 - 9,961,665 0.23
Building Inauguration
Expenses - 3,021,382 - - 3,021,382
Miscellaneous
Expenses 29832 115,955 76,066 52,907 16500 1,854 18,614 59,551 309,611 680,890
Particulars 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 Total %
Rs Rs Rs Rs Rs. Rs. Rs
Prior Period Expenses 15000 - 37,490 - 52,490
Professional Fees 223,850 - 230,000 293,100 746,950
ShankustapanaGadag
Program Expenses - 98,488 - 98,488
Depreciation 6,517,874 3979403 - - 10,497,277
Awareness Programme
Expenses 25,000 - 25,000
Retainer Fees 3,200 180,000 45,000 228,200
Consultancy Fess 2,500 557,337 391,314 143,000 - 1,094,151
Courier Expense and
on certification 177,815 162296 73783 971,441 369,071 1,754,406
Website Maintenance 27,023 28090 142697 50,658 74,619 323,087
256,795
Hospitality Expenses 72046 328,841
AMC charges 1129039 45111 67,730 1,241,880
Accounting
&Financial Services 1,743,200 1,743,200
Travelling to Officers 497008 87,523 584,531 0.013
Travelling to contract
officers 19,850 19,850
Retainer fees 207978 45,000 252,978
Interest on TDS 318939 21,696 340,635
Inspection charges 8,000 8,000
Income tax for demand 3,719,928,259 3,719,928,259
Rates & taxes 31,323 31,323
TDS late filing fee 6922208 73,757 6,995,965
Record room and
record copying 942,154 942,154
Training cum tool kit
programme 124,792 124,792
Particulars 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 Total %
Rs Rs Rs Rs Rs. Rs. Rs
Data entry charges 46451 6520 52,971
Guest expenses 1419 2654 4,073
M.V.construction
company 212400 212,400
Publicity Exp 32372664 32,372,664 0.76
TOTAL 13,170,233 23,397,642 26,426,484 44,406,056 40,776,286 106,147,382 79,998,897 92,893,932 100,458,522 3,865,477,618 4,39,31,53,053
Major expenses are incurred towards the following:
• Salaries & wages: Rs. 47.68 Crores, which is almost 11 per cent of the total expenses
• Printing & stationeries: Rs.3.53 crores, which is almost 0.8 per cent of the total
expenses 1.09943814
• Advertisement & Publicity: Rs. 5.83 Crores, which is almost 1 per cent of the
total expenses.