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 Instructions on implementation of
the building and other Construction
Workers (ROE & COS) Act, 1996
and Building and other Construction
Workers Welfare Cess Act.1996

Government of Gujarat
Labour & Employment Department
G.R. No. CWA – 2004 – 841 – M3
Sachivalaya, Gandhinagar
Dated : 30 January 2006

Read : Labour & Employment Department, Gandhinagar GR No. CWA-2004-1831- M(3) dated 9-
12-2005

RESOLUTION

Building and other constructions workers are one of the largest and most vulnerable
segment of the unorganized labour, Their work is characterised by inherent risk to life and limb of the
workers and also by the casual nature, temporary relationship between employer and employee, uncertain
working hours, lack of basic amenities and inadequate welfare facilities.

Government of India has decided to constitute Welfare Boards for such workers in every
State and accordingly, the building and other Construction Workers (Regulation of Employment &
conditions of service) Act, 1996 was enacted by Parliament and brought into force from 19th August,
1996. Implementation of the Act including cess collection has already commenced in Kerala, Karnataka,
Tamil Nadu, and Delhi. Under the said Act, Government of Gujarat has constituted a Board under section
18. The State Government has been given powers to make rules for carrying out the provisions of this
Act.

Accordingly, Government of Gujarat made Gujarat Building and other Construction

Workers (Regulation of Employment & conditions of service) Rules, 2003 and published these rules vide
Notification No. GHR-2003-111-CWA-2000-1869-M(3) dated 18th August, 2003. Government of
Gujarat has also constituted the Gujarat Building and other Construction Workers Welfare Board vide
Notification No. GHR/2004/163/CWA/2004/3743-M3, dated 18th December, 2004. Secretary (Labour)
has been appointed as Chairmen.
Government of India has also enacted the Building and other Construction Workers’
Welfare Cess Act (hereinafter called as Cess Act) and brought it in force from 19th August, 1996. The
Cess Act provides for the levy and collection of the Welfare Board. Section 3 of the Cess Act provides
that Cess shall be lived and collected at a rate not less than 1% of the cost of construction incurred by an
employer. Rule 5 of the Building and other Construction Workers Cess Rules, 1998 reads as follows :-
 1. The proceeds of the Cess collected under Rule 4 shall be transferred by such Government office,
Public Sector Undertaking, local authority or Cess collector, to the Board along with the from of
challan prescribed (and in the head of account of the Board) under the accounting procedures of
the State, by whatever name they are known.
2. Such Government office or Public Sector Undertaking may deduct from the Cess collected, or
claim form the board, as the case may be, actual collection expenses not exceeding one per cent of
the total amount collected.
3. The amount collected shall be transferred to the Board within thirty days of its collections.

Moreover, under Rule 6, every employer, within thirty days of commencement of his work
or payment of Cess, as the case may be, has to furnish information in From 1 to the Assessing Officer.
Under Rule 12 the Assessing Officer in cases where the employer has not pay the Cess or has paid less
Cess, can impose a penalty up to the amount of Cess payable.

By Government of Gujarat Notification No. GHR/2005/04/CWA/2004/ 841/M3, dated 3rd

January 2005, all Heads of the Departments of the Government of Gujarat, all Executive Heads of Public
Sector Undertaking and all Executive Heads of Local Authority (except Gram Panchayat and Nagar
Panchayat are declared as Cess Collectors and Assessing Officers.

The Building and other Contraction Workers Welfare Board has passed the necessary
resolution to collect the Cess with effect from 18th December 2004.

Accordingly, the Cess is payable by Government Officers, Public Sector Undertaking,

Local Authority or Cess Collector to the Board in Challan prescribed, in the following Head / Sub Head :

Major Head - 0230-Labour and Employment

Minor Head - 106-Fees under Contract Labour

(Regulation and Abolition) Rules

Sub Head - (04) – Income from Cess levied under Gujarat

Building & Other Construction Workers’ Welfare Cess Act, 1996

Approval of the Finance Department Government of Gujarat has been taken for meeting
the expenditure to be incurred for the various welfare activities by the Gujarat Building & Other
Construction Workers Welfare Board and the opening of the Accounting Head / Sub-head in file No.
CWA-2004-1831-M3, on 1st December, 2005 (copy of Resolution dated 9/12/2005 is enclosed).

All Government Department, Public Sector Undertaking and local authorities are
instructed to pay the above Cess as per the Act. All Department, Public Sector Undertaking and local
authorities are also advised to incorporate the 1% Cess in their estimates for all new works.

By order in the name of Governor of Gujarat.

(Vinod Babbar)
Principal Secretary to Government
Labour & Employment Department
 Opening of New Sub-head of Account

Government of Gujarat
Labour & Employment Department
No. CWA – 2004 – 1831 – M(3)
Sachivalaya, Gandhinagar
Dated : 09 / 12 / 2005

Read :

(1) Commissioner of Labour (Factory Wing), Ahmedabad, letter No. CL-DISI-I- A-LAW-2004-
1748, dated 3-6-2004
(2) Finance Department, Gandhinagar, letter No. ONS-102005-5435(133)-K
Dated : 01-12-2005.

RESOLUTION

Under the Gujarat Building and other Construction Worker’s (Regulation of Employment
and Condition of Service) Rules, 2003, the proposal to meet with the expenditure incurred for the various
welfare activates for the beneficiaries of Gujarat Building & other Construction Worker’s Welfare Board
and payment of salaries to the establishment of the said board, has been received from Commissioner of
Labour, vide his letter referred to in the preamble. The said proposal was under active consideration for
some time. After careful consideration, the government is pleased to open a New Sub- Head of account as
under :-

Demand No. :- -
Major Head :- 0230 – Labour and Employment
Sub Major Head :- -
Minor Head :- 106- Fees under Contract Labour (Regulation and
Abolition) Rules.
Sub Head :- (03)-Contribution from beneficiaries building
workers under Gujarat Building & Other
Construction Workers Welfare Cess Act, 1996.

Demand No. :- -
Major Head :- 0230 – Labour and Employment
Sub Major Head :- -
Minor Head :- 106- Fees under Contract Labour (Regulation and
Abolition) Rules.
Sub Head :- (04)-Income from Cess levied under Gujarat
Building & Other Construction Workers’ Welfare
Cess Act, 1996.

Demand No. :- 57
Major Head :- 2230 – Labour and Employment
Sub Major Head :- 01- Labour
Minor Head :- 111- Social Security of Labour
Sub Head :- (05)-Activities of the Gujarat Building & Other
Construction Workers’ Welfare Cess Act, 1996.

2. The Competent Authority (Registering Officer or the Appellate Officer as the case may be)
shall arrange to deposit the amount in the said head by challan in the respective treasury or in the bank
specified by the State Government, accordingly.
3. This order is issued in concurrence with Finance Department’s letter dated 01/12/2005,
referred to in preamble.

By order and in the name of the Governor of Gujarat.

(S. K. Bamaniya)
Under Secretary to Govt. of Gujarat,
Labour and Employment Department

To,

1. The Principal Secretary and Chairmen, Gujarat Building & Other Construction Workers’
Welfare Board, Sachivalaya, Gandhinagar
2. The Commissioner of Labour, Gujarat State, O-3, New Mental Hospital Compound,
Meghaninagar, Ahmedabad.
3. The Director, Industrial Safety & Health. 0-9, New Mental Hospital Compound,
Meghaninagar, Ahmedabad.
4. The Accountant General, Gujarat , Ahmedabad.
5. The Accountant General, Gujarat , Rajkot.
6. All District Treasury Officers.
7. The Deputy Commissioner of Labour, O/o. the Commissioner of Labour, Gujarat State,
Meghaninagar, Ahmedabad.
8. The Member Secretary, Gujarat Building & Other Construction Workers’ Welfare Board, O/o.
the Commissioner of Labour, Gujarat State, Meghaninagar, Ahmedabad-16.
9. The Finance Department (K-Branch), Sachivalaya, Gandhinagar.
10. The Section Officer / M-1 Br., Labour and Employment Department, Sachivalaya,
Gandhinagar.
11. The Branch Select File.
12. The Dy. S.O. Select File.
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 IMPORTANT CLAUSE OF CONTRACT

All the privileging taxes levied by the central

Govt., State Govt. or local bodies will be borne

by the contractor and shall be recovered from

the payment of work/supply.

Executive Engineer
R&B Division, Mehsana
 The Rate shall be considered with all taxes

including royalty charges and Vat charges and

necessary detail will have to provide regarding

royalty charges i.e. no due certificate.

Executive Engineer
R&B Division, Mehsana
 krirn) Kis Srt
srkir~)ni mi. an[ m. (vBigni p(rp#ik|mi>k airJa[n/602006/{35}/s ti.31/5/2007

“krir h[qLni kim pr ejirdir[ f&lTiem kvi[l)fieD a[ºJn)yr (ny&kt krvini[ rh[S[. j[ a>g[ kimni[ vk<
ai[D<r mL[ (dn-15 mi> kiy<pilk ejn[r~)n) jiN h[qL, niyb kiy<pilk ejn[r~)n[ (ny&kt ejn[rni nim,
kvi[l)f)k[Sn, mik<S)T, sT)<f)k[T, klr fi[Ti[g\if, (ny&kt)ni[ h&km vg[r[ (vgt rj* krvin) rh[S[. tYi kim pr
hijr Yyi a>g[ni[ r)pi[T< aipvini[ rh[S[. j[ an&sir krir h[qL ni kim pr kvi[l)fieD ejn[rn) upri[kt Srt
m&jb (ny&kt) Yiy tYi AYL pr Kr[Kr kimg)r) n s>BiL[ Ryi> s&F)ni smygiLi t[mj kim cil& rh[ t[
drÀyin (ny&kt kr[l ejn[r kimg)r) s>BiLS[ nh) ti[ t[ smygiLi miT[ $i.15,000.00 p\(t mis l[K[ (blmi>Y)
kpit krvimi> aivS[. j[ ni[nr)fºD[bl rh[S[.”

Ejirdirn) sh). kiy<pilk Ejn[r

mig< an[ mkin (vBig
mh[siNi
Clause No. 17(B) :-
1. Free maintenance guarantee period :
The contractor shall have to give three years free maintenance guarantee for all executed item from the
certified date of completion. During this period contractor shall have to repair the damaged portion or
settled portion of the Road at his risk and cost as per direction of engineer in charge. If the during
maintenance period of 3 years is warned out then agency shall have to repair damage portion as per tender
item a directed by engineer in charge. The amount equivalent to 5% of each running bill shall be withheld
and will be released after the free maintenance guarantee period ( i.e. 3 years) is over.
However this amount shall be released against fix deposit or bank guarantee pledged in the name of
Executive Engineer after completion certificate of work is issued.
2. The flakiness and elongation index ( combined) for coarse aggregates under no circumstances shall exceed
the allowance limit set forth in the relevant clause for the material in question.
3. 2% of the amount eligible for the payment shall be with held till the miscellaneous items like earthwork in
embankment / cutting for side shoulders, side gutters, kilometer / indicator / guard stones, sign boards etc.
are completed in all respect by the contractor. After completion of the miscellaneous items, the above said
2% with held amount shall be released.
4. Setting up of adequate laboratory & deployment of quality engineer.
The contractor shall have to set up the laboratory with adequate equipment. Till the setting up of adequate
laboratory is completed & reported of this to the engineer ( subject to due verification by engineers
representative ) by contractor in writing, Rs. 2,00,000 shall be withheld. The qualified quality engineer
shall be deployed exclusive for this contract the contractors. If quality engineer is not deployed by
contractor within one month after the date of work order, the amount equivalent to Rs. 15,000 per month
shall be recovered till the actual deployment of quality engineer. The amount so recovered towards the
deployment of quality engineer shall be non-refunded.

Signature of Contractor. Dy. Exe. Engineer Executive Engineer

R & B sub Division R & B Division
Mehsana Mehsana
 SPECIAL CONDITION
Name of Work :- As per Above

The unit rates of controlled cement concrete items for R.C.C. Work of mix M- 150, M –
200, M – 250 ,M-300 and M-350 included in tender are taken considering cement consumption
as shown below in Table – A

TABLE – A

Sr. No. Grade of controlled Cement Remarks.

cement concrete. consumption as per
S.O.R. in Kg/ Cu.m.
1 M - 150 320
2 M - 200 400
3 M - 250 450
4 M - 300 475
5 M - 350 500

The contractor has to submit the mix Design for different grades of cement concrete at
his own cost before execution as directed and to be approved from the Executive in charge. Reduction
in rates of R.C.C. items put into the tenders by the contractor shall be given according to the cement
consumption of the approved mix design of cement concrete for that item if the cement consumption of
the mix design is less than as prescribed in Table – A. The recovery shall be carried out as per the Star
rate of cement mentioned in clause – 59. The condition is also applicable to the ( i) excess quantity for
R.C.C. Items and ( ii ) Extra item Rate lists. This condition is to be followed in addition to clause – 14 .

Signature of Contractor. Dy. Exe. Engineer Executive Engineer

R & B sub Division R & B Division
Mehsana Mehsana