Centre asks states to transfer daily-wage workers’ fund via DBT

NEW DELHI: In a move aimed at protecting the wages of daily-wage workers due to spike in the confirmed cases of Covid-19, Union Minister of State (I/C) Labour and Employment Santosh Kumar Gangwar has on Tuesday asked all the states to transfer funds in the account of construction workers through DBT mode from the cess fund collected by the Labour Welfare Boards under the Building and Other Construction Workers (BOCW) welfare cess Act.

In the letter written to all CMS and chief secretaries of the states, the Union Minister said, “In the backdrop of such a challenging situation, it is imperative that we devise a probable mechanism to support our unorganised workers, who sustain their livelihood on daily wages.”

The states/uts BOCW welfare boards have collected sufficient finds and about 3.5 crore construction workers are registered with them, Gangwar said in his letter.

As per the ministry officials, a sum of about Rs 52,000 crore is available as BOCW cess fund.

He has advised all the states/uts to frame a scheme for the welfare of all dailywage workers by the citing the provisions of Section 60 of the BOCW Act, 1956.

The union minister also maintained that it's up to the states as how much amount they want to grant to construction workers at this national medical emergency.

“The financial assistance at this point of time would help to mitigate the financial crisis of our construction workers to some extent and boost their morale to deal with the pandemic,” the Union Minister said.