NT NETWORK
PANAJI
While conditions of workers in Goa’s construction industry remains dismal, the CAG audit report has revealed shocking indifference by government in utilizing funds collected for workers welfare.
The apathy is by the labour and welfare department that spent nothing out of Rs 57.4 crore accumulated in the Workers Welfare Fund, the CAG has said.
A fund was created by levying cess on construction companies for workers welfare. However, the labour department spent zero from the fund money and also incurred a loss of Rs 1.13 crore for poor financial management, said the CAG audit report for the year ended March 31, 2015.
The report has pointed out that money is idling in the workers welfare fund without serving the purpose for which it was intended. Furthermore the labour department has been inefficient in earning interest on the accumulated money through judicious investments. For instance, the money was parked in a savings bank account whereas it could have easily been put in fixed deposits where the interest rate is higher. Through inept investments the government lost Rs 1.13 crore in interest income, the CAG report has said.
In December 2004, the state government constituted Goa Building and Other Construction Workers Welfare Board.
The board was reconstituted in July 2008. It received remittances from cess collected from construction companies.
A workers welfare fund was created through a Cess Act. Money collected in the fund was to be used to improve the conditions of workers, to provide safety, health and other welfare measures.
However, the CAG has found that the labour department that is responsible for execution of the welfare fund made zero effort in utilizing the fund.
The main hurdle in utilization was in the process of enrolling beneficiaries since the welfare board had stipulated minimum employment of 90 days. At the same time the board did not take adequate action to create awareness among workers for timely registration, the CAG report has said.
The board had received remittances of cess amounting to Rs 38.7 crore during the period 2009-14 period. As against this the expenditure incurred was only Rs 0.47 crore on administrative expenses and none for welfare of the workers as envisaged in the Act.
Subsequently collection in the fund increased to Rs 57.4 crore during the year ended March 2015.
In May 2015, the matter was referred to the government but reply is awaited, CAG auditors have said.