Rs. 6,500 Cr Workers’ Fund Lies Idle: AITUC Slams Gujarat Govt Over Inaction

Surat, Gujarat – The All India Trade Union Congress (AITUC) has urged the Gujarat Labour Department to ensure the proper utilization of over ₹6,500 crore lying idle in the Workers Welfare Board, meant for the benefit of lakhs of construction workers in the state.

The funds, accumulated through cess levied on builders, were intended to support the health, housing, safety, and welfare of the 25 lakh unorganised construction workers across Gujarat. However, AITUC alleges that despite years of accumulation and interest earnings, the funds remain grossly underutilized.

In a formal letter addressed to Labour Commissioner KD Lakhani, AITUC Gujarat Vice President Vijay Shenmare expressed deep concern. ““A large number of construction workers are still not properly registered under the welfare board. This is an injustice to the unorganised sector. ₹6,500 crore has been collected through cess on builders, but there is no significant utilization for the welfare of workers. This negligence must end immediately.”

Shramik Basera Scheme Promised, But Progress Delayed

In 2023, Chief Minister Bhupendra Patel announced the launch of the ‘Shramik Basera Yojana’, a scheme aimed at providing temporary accommodation for construction workers at a subsidized rate of ₹5 per day. The plan envisioned housing for 15,000 workers across major cities including Ahmedabad, Gandhinagar, Vadodara, and Rajkot. Seventeen residential structures were promised as part of the first phase.

However, implementation has lagged, especially in urban centres like Surat and Ahmedabad, leaving the intended beneficiaries without support.

“This is not just a matter of policy delay—it’s about denying basic rights to workers who build our cities,” said a local construction worker leader in Surat.

“The promise of ₹5 rent homes remains a headline with no real brick-and-mortar impact.”

The state government has earmarked ₹1,500 crore for the Shramik Basera project, aiming to benefit 3 lakh workers over the next three years. But labour unions argue that this allocation is meaningless if the already collected welfare board funds are not deployed promptly and transparently.

AITUC has now demanded an immediate audit and utilization plan for the ₹6,500 crore, to provide medical aid, housing, education for workers’ children, and retirement benefits for aging labourers.

“This money belongs to the workers. Every day that passes without using it is a betrayal of their contribution and dignity,” Shenmare added in the letter.