Labor issue presentation by mr. vishal gupta

LABOR

Part A – PF

Part B - CESS

PF - Challenges

Migrant temporary nature of work force

Number and type of labor change due to seasonality and activity

Labor is not willing to deduct his share

PF - Challenges

Labor is not able to avail the benefit of PF

Paper work & record keeping by employer is cumbersome & time consuming

Developer assumes its contractors problem

PF - Challenges

Due to sub contractors & PRW’s, very little connect of developer with labor

Labor is not capable of managing the PF department and its paper work

Summary

Developers want to comply but is not compliant with PF

CESS - Challenges Large amounts collected are lying un-utilized

No representation of trade bodies like CREDAI, BAI for allocation of labor CESS

Some states are asking up front payment at the time of release of plans

CESS - Challenges

Arbitrary sq. ft. construction rates are being applied

20% as per GOI order dtd 12.07.2013 to be earmarked for skilling, not followed by most states

Summary

As on 31.12. 2014, 9500 Crores of CESS money is lying unutilized

Team

Form a team of 4

Goals 2015-17

Decide and achieve 2 outcomes each, in PF and CESS

Thank You