13 January 2009
Supreme Court
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NATIONAL CAMPAIGN COMMITTEE FOR CENTRAL LEGISLATION ON CONSTRUCTION LABOUR (NCC CL) Vs UNION OF INDIA

Case number: W.P.(C) No.-000318-000318 / 2006
Diary number: 17160 / 2006
Advocates: JYOTI MENDIRATTA Vs CORPORATE LAW GROUP


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REPORTABLE IN THE SUPREME COURT OF INDIA

CIVIL  ORIGINAL JURISDICTION

WRIT PETITION(C) NO.318 OF 2006

NATIONAL CAMPAIGN COMMTT.,C.L.LABOUR ...PETITIONER.

VERSUS

UNION OF INDIA & ORS. ...RESPONDENTS.

O R D E R

The  Building  and  Other  Construction  Workers  (Regulation  of

Employment and Conditions of Service) Act, 1996 (for short 'The Act'),

was passed by the Parliament and in this writ petition it is alleged that

many of the provisions of the enactment are not put in practice and the

respective authorities have not complied with the statutory provisions.

All the State Governments and Union territories are impleaded as parties

in this writ  petition.  The Act  is intended to benefit  the unorganized

workers  in  the construction sector.   Under  Section 6 of  the  Act,  the

appropriate Government has to appoint registering officers and under

Section 7 of the Act every employer shall register their establishment.

The building workers are given various benefits and in order to enable

the workers to avail the benefits,  each State has to constitute a State

Welfare Board.  The Board shall consist of a Chairman nominated by the

Central Government, and such other Members, not exceeding 15, as may

be  appointed  by  the  State  Government.   The  Board  shall  appoint  a

Secretary as its Chief Executive Officer.  

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Under Section 22 of  the Act,  the Board may provide immediate

assistance  to  the  beneficiaries  in  case  of  accident,  and  also  pay

compensation to  those  workers  who had completed  the  age  of  sixty

years.   The  Board  may  also  sanction  loans  and  advances  to  the

beneficiaries and also to give financial assistance for the education of

children  of  the  beneficiaries  and  also  to  give  the  benefit  of  group

insurance schemes.  The Board can also grant maternity benefit to the

female beneficiaries.  A construction welfare fund has to be constituted

and there are other provisions also to regulate the conditions of service

of construction workers.  There are also provisions to take care of the

safety and health conditions of the workers.  In order to implement the

provisions there shall be inspecting staff and certain penal provisions are

also in the Act to punish those who act in violation of the provisions of

enactment.   

The  Parliament  has  also  passed  the  Building  and  Other

Construction Workers Welfare Cess Act, 1996 for the purpose of levy and

collection of cess and Section 3 of the Act envisages that– there shall be

levied and collected a cess for the purposes of the Building and Other

Construction  Workers  (Regulation  of  Employment  and  Conditions  of

Service) Act, 1996, at such rate not exceeding two percent; but not less

than one per cent of the cost of construction incurred by an employer, as

the Central Government may specify for  him to time.  Section 62  of  the

Building and

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Other Construction Workers Welfare Cess Act  says that proper Rules are

to  be  framed  by  the  Government  after  consultation  with  the  expert

committee.

The learned counsel appearing for the writ petitioners filed a

chart before us indicating the steps that had been taken by the various

state governments.  It says that many of the governments had not taken

steps  as  per  the  provisions  of  the  Act.   Though  some  of  the  state

governments have collected cess but the benefits have not been fully

passed on to the construction workers.  Some of the State governments

have not constituted either the State  Advisory Committee or the expert

committee or the Welfare Board as envisaged under the Act.   The Delhi

Government has framed detailed Rules, namely, the Delhi Building and

Other Construction Workers (Regulation of Employment and Conditions

of Service) Rules,  2002.  These Rules exclusively deal with the matter

and gives various model forms also for compliance of the provisions of

the Act.  The State Governments and Union Territories which have not

framed the rules as per Section 62 of the Act can very well take the Delhi

Building and Other Construction Workers (Regulation of Employment and

Conditions  of  Service)  Rules  2002,  as  a  model  and the same can be

adopted for the purpose of this Act.   Copy of the same is available on

internet and the same can be had from the Government of Delhi.

We direct the Chief Secretary of the respective States  and

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Secretary (Labour) of each States and the Union Territories to take timely

steps as per the provisions of the Act, if not already done.   We would

like to have the appraisal report in the first week of May as to what steps

have been taken  in this regard.  If any of the State Government has not

done anything pursuant to the Act, urgent steps are to be taken so that

the  benefits  of  this  legislation shall  not  go  waste.   Otherwise  the

unorganized  workers  of  the  construction  sector  will  be  denied  the

benefit of the Act.

Post in the 1st week of May, 2009.   

A copy of the order be sent to the Chief Secretary of all the States

and Secretary (Labour) of each State and the Union Territories for taking

further action in this regard.  

                 ...................CJI    (K.G. BALAKRISHNAN)

             .....................J    (P. SATHASIVAM)

             .....................J    (J.M. PANCHAL)

NEW DELHI;    JANUARY 13, 2009.