Gujarat labour leaders seek transparent use of ₹6,856 cr welfare fund for construction workers

By Jag Jivan 

Gujarat’s labour leaders have accused the state of neglecting construction workers’ welfare while also pushing through controversial changes to factory working hours. Speaking at a two-day workshop in Ahmedabad, they said the Gujarat Building and Other Construction Workers (BOCW) Welfare Board is sitting on ₹6,856 crore, yet has spent barely 10% of it in two decades.

The workshop — “Gujarat Building and Other Construction Workers Welfare Board: From Current Realities to Future Pathways” — was held on August 12–13 under the banner of the Bandhkam Shramik Sankalan Samiti, with 45 leaders from Gujarat and representatives from Rajasthan and Maharashtra.

Union leaders Rajendra Sharma and Rajesh Dhodawat (Rajasthan) and Shankar Pujari (Maharashtra) joined Gujarat leaders to discuss fund utilisation, cess collection, and welfare priorities. The inaugural session was addressed by Shri Keval Parikh, Gujarat State Chairman of the Builders Association of India, and Smt. Manali Shah, Secretary of SEWA.

Vipul Pandya, Convenor of the Bandhkam Shramik Sankalan Samiti, said:

“The Gujarat BOCW Welfare Board has ₹6,856 crore, but in 20 years, only ₹1,080 crore — barely 10% — has been spent. Of this, ₹370 crore went to welfare schemes, and 43% of that was used for just two third-party programs — Annapurna Yojana (₹180 crore) and Dhanvantari Arogya Rath (₹142 crore). Direct benefits such as education assistance (39%), maternity benefits (5%), and accident assistance (3%) have received much less, and pensions remain neglected.”

Gujarat has an estimated 25 lakh construction workers, but only half are registered with the Welfare Board. Although Gujarat was among the first states to adopt the BOCW Act, 1996 and the BOCW Welfare Cess Act, 1996, its cess collection trails behind 13 other states, including Maharashtra and Karnataka.

Earlier Deliberation

The deliberation follows an earlier meeting, about three weeks ago, in which 50 trade union leaders and worker rights activists met in Ahmedabad under the banner of the Asangathit Shramik Hit Rakshak Manch, to discuss the Gujarat Factories (Amendment) Ordinance, 2025, and state rules under the Occupational Safety, Health and Working Conditions (OHS) Code, 2020.

The ordinance, issued on July 1, raised daily working hours from 9 to 12 (subject to worker consent), increased the quarterly overtime limit from 75 to 125 hours, and allowed women to work night shifts under certain conditions.

Union leaders said the move effectively legalises exploitative practices already prevalent in some sectors, undermines the ILO’s 8-hour standard, and could lead to job losses, health risks, more workplace accidents, and increased vulnerability of women to harassment during night work. They also accused the state of bypassing consultation with major trade unions.

The meeting resolved that if the ordinance is not withdrawn, a state-wide protest will be launched by a joint committee of trade unions. Representatives from INTUC, CITU, HMS, Hind Mazdoor Kisan Panchayat, Gujarat Majdoor Sabha, SEWA, Majoor Mahajan Sangh, Unorganised Workers Federation, Migrant Workers Forum, Diamond Workers Union, Mazdoor Adhikar Manch, Hamal Suraksha Sangh, Forest Workers Union, Shramjivi Samaj, Ahmedabad Workers Safety Campaign, and other organisations were present.

Both the deliberations were coordinated by Vipul Pandya, who has been at the forefront of demanding worker-first spending, pension schemes, and stricter enforcement of labour rights in Gujarat.