Towards a fairer future
As India is on its way to becoming one of the largest construction markets globally, a better pay structure and additional benefits in line with existing legislations should be instituted
Those who provided us with our houses and workplaces deserve something in return. Construction companies earn Gazillions. The opportunity for profit increases when clients demand top-quality work, especially in expensive commercial projects or in posh localities. In such cases, the deal is a bonanza for many involved. However, construction workers receive only a few pennies irrespective of the situation. Shouldn't they also benefit and have the opportunity to work for better wages like everyone else?
Construction workers are the backbone of a developing nation, yet they have the least negotiating power due to India’s massive population. However, laws are not powerless. There are concepts of wage boards and higher pay packages based on factors like industry, region, paying capacity, and living index under labour laws. Many industries, due to the bargaining power of unions, have much higher wages than those prescribed under the Minimum Wages Act of 1948 for different categories of employees. It is urgent that the wages of construction workers are fixed considering parameters like profits and paying capacity, thereby also taking care of the interests of the companies.
Post-independence, when the organised labour sector was at a nascent stage of development, in realisation of the problems which arise in the arena of wage fixation due to absence of such bargaining power, various Wage Boards were constituted. These Wage Boards included representatives of workers, employers, and independent members. In the past, sectors like sugar, print, and cement have had wage boards. Banking and some other sectors have bipartite and tripartite settlements, with many entities having wage agreements. Times have changed, and for some of these sectors, wage boards have become burdensome, a disaster for business, and a hiring hurdle for employees, necessitating a review. However, the construction sector, involving hard labour in deplorable conditions and unbearable weather, definitely needs appropriately framed pay regulations. Actually, labour laws are meant for such employees, not for highly paid ones who often misuse provisions under the protection of militant unions. While some unions have greatly benefited those in need, others have significantly harmed the cause of genuinely needy workers.
The Building and Other Construction Workers (Regulation of Employment and Conditions of Service) Act, 1996 (BOCW), was promulgated for the benefit of construction workers. However, this statute does not address the issue of higher wages. Ironically, its sister act, the Building and Other Construction Workers Welfare Cess Act, 1996, has created massive litigation for management and an absolutely unfair inspector raj in some states. Balance and clarity are needed for the benefit of management as well on this count, with uniform circulars across the country.
Many judgments have expressed the need for a level playing field for the deplorable ones, which can be achieved only by improving the economics of all. By executing our available legislation, such as the concept of higher wages, significant relief can be provided to the bricklayers. Apart from this, special schemes could be introduced for their social security. Companies could be incentivised to train workers in technological advancements, and CSR funds could be used for their training. Construction workers should also benefit from growth and simpler techniques after putting in certain years of hard labour.
Given the project-based nature of the work and the fragmented industry, such workers are often exploited. Therefore, senior labour officials with dedicated responsibility for handling construction workers, provisions for time-bound resolutions (just a few days), and under confidential CCTV recording ought to be promulgated. Of course, the collected Cess should not be managed by these officials, as their job should be restricted to the well-being of workers and saving them from blatant illegalities.
According to some recent reports, India's construction industry is experiencing soaring heights and is on its way to becoming one of the largest construction markets globally. Much has been done for the benefit of the unorganised sector. A better pay structure and additional benefits would go a long way in bringing peace and prosperity.
The writer is a practising Advocate in Supreme Court and High Court of Delhi. Views expressed are personal
