Enroll construction workers under EPF, MP Act: EPFO to regional PF offices

NEW DELHI: The Employees' Provident Fund Organisation has directed all regional provident fund offices to enrol construction workers under the EPF and MP Act on priority and submit a consolidated action taken report within a week.

Construction industry is the second largest employer in India, after agriculture. It comprises largely unorganised workers (89%), three-fourths of whom are unskilled.

“It is informed that the matter is being monitored at the highest level in government and this is an area flagged as of utmost concern,” the EPFO said in a letter issued on January 27. “Thus it becomes imperative that this work is accorded top priority and taken up in right earnest, duly engaging all stakeholders including the various trade unions, industry associations, BOCW (building and other construction workers' welfare) board of the states,” it said.

Through the letter, the EPFO urged all regional provident fund offices to ensure that the matter of enrolment of construction workers and allotment and activation of Universal Account Number receives the personal attention of officer in-charge.

As per National Sample Survey (2011- 2012) estimates, there are about 50.22 million building and other construction workers, including contract workers, many of whom keep moving from one location to another.

Last year, the EPFO had set up two sub-committees to suggest ways to close the gap in coverage of construction and contract workers, many of whom are not stationed in one location. According to labour ministry estimates, over Rs 27,000 crore lying in operative accounts belong to this section of workers.