Building and Other Construction Workers (RE&CS) Act, 1996 provides for regulation of employment and conditions of service of Building and Other Construction workers and  their safety, health and welfare measures.  The Cess Act provides for levy and collection of cess @ 1% on the cost of construction which constitutes fund of A.P. Building and other Construction Workers Welfare Board for financing Welfare Schemes for Building Workers. The Building and Other Construction Workers Act, 1996 has been implemented since 26.06.2007 when the amended State Rules came in to force. 

A.P. Building and Other Construction Workers Welfare Board has been constituted in accordance with Section 18 of the Act.   The Board consists of Chairman nominated by the Government, Secretary to Government, Labour Department, ex-officio Member, Commissioner of Labour, Member Convener, two persons representing employers and two persons representing building workers, a woman representative and one person to be nominated by the Central Government. The Building and Other construction worker working for not less than 90 days as building worker in a yearis entitled to registration under the Act as beneficiary on payment of  Rs.110/- (Rs.50/- towards registration and Rs.60/- towards subscription for 5 years).  The Asst. Labour Officers are notified as Registering Authorities and Inspectors to enforce safety and health provisions in construction activity.  Officers from the cadre of Asst. Commissioner of Labour to the Commissioner of Labour have been notified as Cess Assessing Officers and Cess Collectors.

The A.P. Building and Other Construction Workers Welfare Board constituted in 2007 has formulated welfare schemes for the building and other construction workers implemented by the labour department.  The Dy. Commissioners of Labour settle the claims and release benefits under the schemes.  The Board has registered more than 16 lakh building and other construction workers and the fund available is Rs.1463 crore and the share of A.P. is about Rs.853 crore. 

The schemes implemented by A.P.Building & Other Construction Workers Welfare Board are:

  1. Personal Accidental Death Relief:                 Rs. 2 lakh
  2. Permanent Disability       Relief:                   Rs.25,000/- to Rs.2 lakh
  3. Natural Death Relief:                                    Rs.30,000/-
  4. Maternity Benefit:                                         Rs.10,000/-
  5. Temporary disability Relief (Hospitalization charges)    up to  Rs.4,500/-
  6. Funeral Expenses:                              Rs.10,000/-
  7. Training in Safety and Skill Development:Rs.8,000/- (per worker)
  8. Pension Scheme (NPS Lite-2010):                Rs.3,000/- (Annual Contribution)(worker: Rs.1,000/- Board: Rs.1,000/- GOI:Rs.1,000/- )                     
  9. Marriage Gift:                                              Rs.5,000/-
  10. Financial Assistance to the unregistered workers:


  1. Accidental death relief:                            Rs.50,000/-
  2. Permanent Disability Relief:           Rs.10,000/- to 20,000/-

The Board is in the process of re-organization in accordance with A.P. Reorganization Act, 2014.  A separate operational unit for Telangana State has been functioning since 02.06.2014 and a formal distribution of assets and posts is yet to take place.