You are on page 1of 53

CONSTRUCTION

MANAGEMENT
ASSIGNMENT

Shreya Jain
2012 uar 1236
(Question 41-60)

Q 41)

How a cash found surplus or short


is shown in a Cashbook?
Whenever, on the contents of cash chest
being counted, the balance as per cash book
is found to be incorrect, it must, unless the
error can be detected and set right at once,
be made to agree with the actual account
balance by making the necessary receipt or
payment entry.
For surplus cash found in the chest, under
Major and Minor Head, the administrative
action to be taken on the occurrence of a
deficiency must be enforced, as per the case.

Cash Book

Payment side

Receipt Side

Payment side

Date of
Receipt

Classifi
To
No of
Date of No of
From whom Amoun cation
whom
vouchers or
payme vouche
received t Cash
of
paid
receipt
nt
r
receipt
etc

Bank or Treasury
Cash

No of
Cheque

Amount

10

11

Classifi
cation
of
charge
s

12

Q 42)

Maintenance of Cashbook
The definition of following terms are taken
before, the maintenance of cash book is
discussed.
Debit and Credit: Debit means expenditure
and credit means that the amount is shown
as expenditure on the work. Similarly when
an amount is credited to a work it means that
the amount is to be shown as receipts under
the work.
Cash Book: The transactions relating to the
actual receipts and payment of cash are
recorded in a register known as cash
book. The cash book is one of the most
important records of the office.
The pages of the cash book are machine
number and each page is divided into
receipt side and payment side. The
receipt side has got five columns and
payment side has got seven columns.

Q 42)

Cash Book

Every government officer is personally responsible for the


public money with which he deals and for recording the
transaction of receipts and payments promptly. Private
cash or accounts are in no case to be mixed up with
public
cash
or
accounts.
The following instructions are to be followed in the
maintenance of cash book
Entries should be made continuously and no line
should be left blank. If any line is left blank due to
the fact that the other side of the folio has been
completely written up, a diagonal line should be
drawn to cancel the blank space.
Interpolation of entries, or over writings must be
avoided but, if unavoidable, these must be initiated
and dated by the disbursing officer. Erasure of
entries is strictly prohibited.
Transactions should be entered as soon as they occur
in the order of occurrence.
If the cash transaction of private cheques received is
too many, these may first be entered in a Register of
cheques received and adjusted and only the totals of
daily receipts and remittances entered in the cash
book.

Every entry must be concise. The date, number of


voucher and the name of the work together with a brief
description to clearly indicate the nature of transaction
must be entered against each item.
No receipt other than cash should be entered in the
book.
When a cheque is drawn to replenish the chest, its
number and amount to be entered.
When an impreset is given, it should be noted in red ink
in the cash book.
When amount of unspent imprest is received back, it is
shown on the receipt side in red ink.
The disbursement of salary of regular establishment is
recorded in a separate cash book known as subsidiary
cash book.
Bills paid and entered in the cash book are known as
vouchers. Vouchers are allotted serial numbers in a
continuous series each month.
It is advisable to check that the cash balance is counted
every time a balance is struck or at convenient intervals.

Q 43)

Define the following


1. Cash: Any restriction-free (i.e., available for
use in current satisfying debts) items that
are acceptable to the bank for deposit
2. Cash Book: It is a Book in which all cash
receipts and cash payments are recorded. It
is also one of the books of original entry. It
starts with the cash or bank balance at the
beginning of the period. In case of new
business, there is no cash balance to start
with. It is prepared by all organisations.
When a cash book is maintained, cash
transactions are not recorded in the Journal,
and no cash or bank account is required to
be maintained in the ledger as Cash Book
serves the purpose of Cash Account.

3. Temporary advance:
An accountable advance that substitutes for
reimbursement for expenses or for payment for
goods, services or construction already received and
invoiced, i.e., payment arrangements that would
ordinarily be used under similar circumstances.
Examples are duty travel advances (other than
standing travel advances) and contract advances. An
example of a contract advance is a cash advance to a
construction contractor for materials received on site,
which departs from the usual practice of paying only
for work that has already been erected, inspected, and
accepted.

4. Permanent advance:
Permanent advances may be granted to officers who
may have to make payments before they can place
themselves in funds by drawing bills on the Accounts
Offices.

Q 44)

Under what circumstances financial


aids can be granted to the contractor?
It is necessary sometimes, in the interest of
work, to engage labourers or contractors or to
incur other liabilities on behalf of the contractor
concerned, with a view to complete the work
which he has neglected or failed to complete. In
such a case it is permissible to spend
Government funds on behalf of the contractor in
accordance with the terms of his agreement.
Otherwise, no advance or recoverable payment
should be made to or on behalf of a contractor
nor should financial aid be given to him in any
form, except in accordance with paragraphs
10.2.22 and 10.2.23. Note 1: For rules relating
to the issue of materials to contractors, see
paragraph 10.3.2 and 10.3.3.
With a view to avoid subsequent disputes with
the contractor, suitable intimation should be sent
to him
(1) as soon as action is taken under this
paragraph and
(2) subsequently, as charges are incurred on
his account.

Q 45)

Explain the method of preparation,


examination and payment of bills for
work done
PREPARATION

1. The contractor is required to prepare the bill,


in one of the forms prescribed, as applicable
in each case, for the work done by him and
submit the same to the Sub- Divisional
Officer.
EXAMINATION

2. Before the bill of a Contractor/Supplier is


passed, the entries in the Measurement Book
relating to the description and quantities of
work/supplies should be scrutinised by the
Assistant Engineer/Assistant Executive
Engineer and calculations of "Contents or
Area" should be checked arithmetically
under his supervision. The bill should then
be checked, passed and paid in the office of
the Executive Engineer
from the
measurement book entries.

PAYMENT
Full rates, as per agreement/supply order should be
allowed only if the quality of work done or supplies made
conforms to the specification of that standard and under
the agreement it is permissible to make a final payment, if
the contract is determined, or an on account payment, if
the contract is to run, on a part rate as considered
reasonable should be allowed with due regard to the work
remaining to be done and general terms of the agreement,
after getting the part rate statement approved from the
bill passing authority.
In case of supplies, the payment is not permissible until
the stores have been received, examined and accepted. In
case payment has been permitted on production of
despatch documents etc. the payment should be treated
as advance against the final settlement on receipt,
examination and acceptance of the stores.

Q 47)

What is measurement book?


What are the general instructions to be
observed in recording measurement?

Full rates, as per agreement/supply order should be


allowed only if the quality of work done or supplies made
conforms to the specification of that standard and under
the agreement it is permissible to make a final payment, if
the contract is determined, or an on account payment, if
the contract is to run, on a part rate as considered
reasonable should be allowed with due regard to the work
remaining to be done and general terms of the agreement,
after getting the part rate statement approved from the bill
passing authority.
In case of supplies, the payment is not permissible until
the stores have been received, examined and accepted. In
case payment has been permitted on production of
despatch documents etc. the payment should be treated as
advance against the final settlement on receipt,
examination and acceptance of the stores.

MEASUREMENT BOOK

GENERAL INSTRUCTIONS

Each set of measurement (record entry) in


case of a works contract should commence
with following entries:
i) Full name of the work (as given in the
estimate/agreement)
ii) Site of work
iii) Name of the contractor
iv) Agreement number and date
v) Estimate number and date
vi) Date of record entry (measurement)
vii) Reference to last measurement
viii) Stipulated date of commencement of
work
ix) Stipulated date of completion of work
x) Actual date of completion of work (if
completed)

GENERAL INSTRUCTIONS

In case of supply of material, the


measurement should commence
with the entries:
i) Name of supplier
ii) Number and date of supply order
iii) Agreement number
iv) Name of the work and site if supply is
made directly for a work, otherwise on
stock
v) Date of record entry (measurement)
vi) Stipulated date of completion of supply
vii) Actual date of completion (if
completed)

GENERAL INSTRUCTIONS

All MBs of an RE office should be serially numbered


and an account of their issue and receipt back
should be kept in the Register of MBs. All pages of
an MB should be machine numbered and a
certificate of number of pages contained in the MB
should be recorded by the user on its first page.
Instructions given in the fly leaf of MB should be
carefully followed and its index should be regularly
filled in.
Measurement in the MB should be recorded by a
person not below the rank of a Junior Engineer or
Overseer. The measurement should be recorded
directly in the MB in ink and no page or a line
should be left blank. If a page is left blank
inadvertently, it should be crossed under attestation
by the person recording measurement. The entries
should be neat and clean and no eraser should be
used or overwriting done. Correction, if need be,
should be done by cutting the wrong entry and
attesting the cutting by dated initials.

GENERAL INSTRUCTIONS

The contractor should be given advance notice


for being present at the site and measurement
should be taken in his presence and his signature
obtained in the MB in token of having accepted
the measurement.
If the contractor or his authorised representative
does not present himself at the time of
measurement even after service of notice, the
junior engineer concerned should proceed
further with taking and recording measurement.
If the contractor remains present during taking
measurement and raises dispute on any
measurement, the fact should be reported to the
Assistant Engineer/R.E. who will take decision
on disputed measurement.

GENERAL INSTRUCTIONS

Any variation in nomenclature or specifications


of an item of work be clearly mentioned in the
MB while recording measurement so that it may
be taken into consideration while allowing rate
for payment, i.e., reduced rate or part rate.
After recording measurement in MB an abstract
of quantities be prepared adding up to recorded
quantities of each sub-head/item of work, the
previous quantities in the same or other MBs
giving reference of page numbers.
On completion of the abstract, the MB should
be submitted to ARE, who after carrying out his
test check, will enter the words check and Bill
with his dated initials. The Sub Divisional Clerk
will then check the calculation of quantities,
abstract and prepare bill in relevant format and
the MB.
In case of earth work and levelling operations,
measurements be recorded in level books also
which should be numbered and accounted for
like MBs.

Q 48)

Explain the Principles of


Store Accounting

1. The account of stores are based on the


fundamental principle that the cost of very
article is ultimately debited to the final head of
the account concerned or the particular work
for which it is required.
2. In case of materials, tools and plants, road
metal and other such materials which are
required for a specific work, such a booking is
possible immediately at the time of the
acquisition
3. But in a number of cases, the purchase of
cement, steel, etc., required for general use,
this is not possible
4. When it is not possible to debit the cost to the
proper head of account, the cost debited
temporarily to suspense head of account.
5. In such cases, the cost is debited to the
sequence head, STOCK.
6. When the materials are issued, their cost is
charged to the specific head of account of work

Q 49)

What is meant by Stock? What


are the subheads of stock?

A 49)

Stock: It is a representation of
capital paid or invested into a
business entity by
stockholders
The stock (also capital stock) of
a corporation constitutes
the equity stake of its owners. It
represents the residual assets of
the company that would be due
to stockholders after discharge of
all senior claims such as secured
and unsecured debt.
Stockholders' equity cannot be
withdrawn from the company in
a way that is intended to be
detrimental to the company's
creditors.

Heads of stock
Small Stores: Nails, screws, nuts and bolts,
etc.
Building Materials: Cement, Lime, Bricks, A.C.
Sheets, etc.
Timber: Teak Wood, Deodar, Sheesham
Metal: RS Joist Channel angles, MS bars,
expanded metal, etc.
Fuel: Steam Coal, Soft Coke, etc.
Painters stores: Red oxide paint, lead paint,
etc.
House Fittings: Hinges, Handles, etc.
Miscellaneous Stores: S.W. Pipe, Home Pipe,
Bitumen, etc.
Land Kilns: The cost or hire of land and other
expenditures connecting departmental kilns
Manufacture: The articles which are
manufactured in the department workshop,
are booked under this head
Storage: Rent of Store Godown, maintenance
cost, Salary of security guard

What are the causes of accidents?


How will you prevent accidents in
a construction project?
A 51)

Accidents on a construction
site can be caused by:
1) Loose scaffolding fittings
2) Cave-ins due to
insufficient strength of the
support structure
3) Incorrect handling of
tools, vehicles and
equipment.
4) Mishandling/ignorance of
prescribed safety
measures.

Accidents can be prevented by:

Daily check of Scaffolds


Moving the cables away to a low human traffic
area, so as to avoid electrocution.
Guard rails, safety nets, sufficient elevator
operation training for all onsite crew, and a highly
effective emergency response, is mandatory.
Wearing Helmets
Provision of Guard Rails on upper floors
Safety training on high-speed and sharp motorized
equipment is imperative.
Barricading the work area around hoistweighs and
cranes is necessary
Proper hydration, Work Timings and proper
treatment of the crew is substantial for their focus
Routine Safety Maintenance for checking
explosions
Treading carefully and making colleagues aware of
ones presence to prevent vehicular accidents.

Q 52)

Explain briefly the importance of human


relations and steps to be taken to improve
the human relations in the construction
industry.

A 52)

Importance
Relations:

of

Human

Considering Human Resource


Management (HRM) as a
strategic function rests on the
belief that an organisations
human assets offer it a
sustainable
source
of
competitive advantage.
Corporate
objectives
and
human resource objectives are
linked, rather than in conflict. A
prerequisite of success is
widespread
acceptance
throughout an organisation of
the importance people and their
contribution to corporate goals.

Steps taken to improve the human


relations in construction industry
Labour:
1) The labour can be provided with proper
accommodation, food and other basic amenities.
2) The family can be taken care of by provision of the
basic amenities: clean homes, proper sanitation,
proper food, clean drinking water, insurance, etc.
3) The skilled labour can be given proper supervision
and lessons on how to improve upon the skills.
4) Proper safety precautions while working on the site
can be looked after.
Contractor:
1) Proper scheduling of drawings
supervision
2) Scheduled payments and accounts

and

proper

Q 53)

Describe briefly:

(A) Minimum Wages Act


To provide minimum
wages to the workers
working in organized
sector
To stop exploitation of
the workers
To
empower
the
government to take steps
for fixing minimum
wages and to revising it
in a timely manner
To apply this law on
most of the sections in
organized sector

(B) Minimum Wages Act- Broad Features:


The Act lays down the principles for fixation of:
A minimum time rate of wages
A minimum piece rate
A guaranteed time rate
An overtime rate for different occupations,
localities or classes of work and for adults,
adolescents, children and apprentices
The minimum wages may consist of:
A basic rate of wages and a cost of living of
allowances
A basic rate of wages with or without the cost of
living allowance and the cash value of the
concessions in respect of essential commodities
supplied at concessional rates

(C) Minimum Wages Act- Eleigibility Criteria

Permanent employees
Contract employees
Casual workers
People on probation get fixed pay instead of minimum
wages.
Trainees get stipend and not minimum wages

(D) Minimum Wages Act- Wages

Minimum wages: all remuneration capable of being paid in


money terms for work done if terms of contract were fulfilled
Consist of Basic + Dearness Allowance + House Rent
Allowance
Every 5 years, basic rates of every industry are decided by
Minimum Wages Committee
Dearness Allowance changes every six months and is decided by
Government

(E) Workmens Compensation Act


The Act, aims to provide workmen and/or their
dependents some relief or compensation in case of
accidents arising out of and in the course of
employment and causing either death or disablement
(partial or total) of workmen.
Scope and Coverage:
The Act extends to the whole of India.
It applies to workmen employed in factories, mines,
plantations, transport establishments, construction work,
railways, ships, circuses, & other hazardous occupations
& employments specified in Schedule II to the Act.
The coverage of this act is also to cooks employed in
hotels and restaurants.
The Act does not apply to members of Armed Forces of
the Union & workmen who are covered by the ESI Act,
1948

The amount of compensation payable to a workman


depends on
the nature of injury caused by accident,
the monthly wages of the workman concerned, and
the relevant factor for working out lump sum
equivalent of compensation amount as specified in
Schedule IV.

(F) Death Compensation:


In case of death resulting from injury, the amount of
compensation shall be equal 50% of the monthly wages of
the deceased workman multiplied by the relevant factor. Or
an amount of Rs 80,000/- whichever is more.

Q 54)

List the labour welfare


measures to be adopted at the
construction site

Apprentice Act (1961):


The main purpose of the Act is to provide practical
training to technically qualified persons in various
trades. The objective is promotion of new skilled
manpower. The scheme is also extended to
engineers and diploma holders.

Employee State Insurance Act, 1948:


It is a piece of social welfare legislation enacted
primarily with the object of providing certain
benefits to employees in case of sickness,
maternity and employment injury and also to make
provision for certain others matters incidental
thereto.

Employees Provident Fund and Misc.


Provision Act, 1952
An Act to provide for the institution of provident
funds, pension funds and deposit linked insurance
fund for the employees in the factories and other
establishments.
The Act extends to the whole of India except the
State of Jammu and Kashmir.

The Employment Exchange Act, 1959


The main purpose of the Act is to provide for
the compulsory notification of vacancies to
employment exchanges. The employer is
required on a compulsory basis, to notify to
the
Employment Exchanges all vacancies other
than vacancies in unskilled categories,
temporary vacancies and vacancies proposed
to be filled through promotion and tender to
the Employment Exchanges, return relating to
the staff strengths at regular intervals.
The Act extends to the whole of India.
The factories Act, 1948
Objective of the Act
To ensure adequate safety measures and to
promote the health and welfare of the
workers employed in factories.
To prevent haphazard growth of factories
through the provisions related to the
approval of plans before the creation of a
factory.

Industrial Disputes Act, 1947:


The objective of the Industrial Disputes Act is to
secure industrial peace and harmony by providing
machinery and procedure for the investigation and
settlement of industrial disputes by negotiations.

The Act also lays down:


The provision for payment of compensation to the
Workman on account of closure or lay off or
retrenchment.
The procedure for prior permission of appropriate
Government for laying off or retrenching the workers
or closing down industrial establishments
Unfair labour practices on part of an employer or a
trade union or workers.

Labour Laws Act, 1988:


The main objective of the Act is to exempt establishments
employing a small number of persons from furnishing
returns and maintaining registers under certain labour laws.
This Act relieves the small companies from following
cumbersome paperwork that is required under various
labour laws both at the Central and State level thereby
reducing the compliance requirement under various labour
laws.

Labour Payment of Bonus Act, 1965:


The payment of Bonus Act provides for payment of bonus to
persons employed in certain establishments of the basis of
profits or on the basis of production or productivity and for
matters connected therewith.

Payment of Gratuity Act, 1972:


The Act provides for a scheme for the payment of gratuity
to employees engaged in factories, mines, oilfields,
plantations, ports, railway companies, shops or other
establishments. The Act enforces the payment of
'gratuity', a reward for long service, as a statutory retiral
benefit. Every employee irrespective of his wages is
entitled to receive gratuity if he has rendered continuous
service of 5 years or more than 5 years.

The Workmens Compensation Act:


The Workmens Compensation Act, aims to
provide workmen and/or their dependents some
relief in case of accidents arising out of and in the
course of employment and causing either death or
disablement of workmen.
It provides for payment by certain classes of
employers to their workmen compensation for
injury by accident.

The Trade Unions Act, 1926:


The Trade Unions Act, 1926 provides for
registration of trade unions with a view
to render lawful organisation of labour to
enable collective bargaining. It also
confers on a registered trade union
certain protection and privileges.
The Act extends to the whole of India
and applies to all kinds of unions of
workers and associations of employers,
which aim at regularising labour
management relations.
A Trade Union is a combination whether
temporary or permanent, formed for
regulating the relations not only
between workmen and employers but
also between workmen and workmen or
between employers and employers.

The Shops and Establishment Act:


The Shops and Establishment Act is a state legislation
and each state has framed its own Act and Rules for
the Act.
The object of this Act is to provide statutory
obligation and rights to employees and employers in
the unauthorized sector of employment, i.e., shops
and establishments.
This Act is applicable to all persons employed in an
establishment with or without wages, except the
members of the employers family.

This Act lays down the following rules:

Working hours per day and week.


Guidelines for spread-over, rest interval, opening and
closing hours, closed days, national and religious
holidays, overtime work.
Employment of children, young persons and women.
Rules for annual leave, maternity leave, sickness and
casual leave, etc.
Rules for employment and termination of service.

The Payment of Wages Act, 1936:


The Act will apply to persons employed
in any factory or employed (otherwise
than in a factory) upon any railway by a
railway administration or, either directly
or through a sub-contractor, by a person
fulfilling a contract with a railway
administration, and to persons employed
in an industrial or other establishment.

The Minimum Wages Act, 1948:


The Act lays down the principles for fixation of:
A minimum time rate of wages
A minimum piece rate
A guaranteed time rate
An overtime rate for different occupations,
localities or classes of work and for adults,
adolescents, children and apprentices

Child labour (Prohibition and


Regulation) Act, 1986 & The
Child Labour (Prohibition and
Regulation) Rules, 1988
The Child Labour (Prohibition & Regulation) Act,
1986 was enacted to prohibit the engagement of
children below the age of fourteen years in
factories, mines and hazardous employments and
to regulate their conditions of work in certain other
employments.
According to the Act, no child shall be employed
or permitted to work in any of the occupations set
forth in Part A of the Schedule or in any workshop
wherein any of the processes set forth in Part B of
the Schedule is carried on, provided that nothing in
this Act shall apply to any workshop wherein any
process is carried on by the occupier with the aid
of his family or to any school established by, or
receiving assistance or recognition from the
Government.

The Child Labour (Prohibition &


Regulation) Act, 1986 was enacted to
prohibit the engagement of children
below the age of fourteen years in
factories,
mines
and
hazardous
employments and to regulate their
conditions of work in certain other
employments.
According to the Act, no child shall be
employed or permitted to work in any of
the occupations set forth in Part A of the
Schedule or in any workshop wherein
any of the processes set forth in Part B of
the Schedule is carried on, provided that
nothing in this Act shall apply to any
workshop wherein any process is carried
on by the occupier with the aid of his
family or to any school established by, or
receiving assistance or recognition from
the Government.

The contract labour


Abolition) Act, 1970:

(Regulation

and

This legislation regulates the employment of


contract labourers in establishments and by
contractors.
The Rules for implementing the provisions of
the Act vary from state to state.

The Maternity Benefit Act, 1961:


The object of the Act is to regulate the
employment of women in certain establishments
for certain periods before and after childbirth
and to provide for maternity benefits and certain
other benefits.

Describe the Status and


Conditions of Construction
Workers in India.

Employee State Insurance Act, 1948:


It is a piece of social welfare legislation enacted primarily with the
object of providing certain benefits to employees in case of sickness,
maternity and employment injury and also to make provision for
certain others matters incidental thereto.

The factories Act, 1948

Objective of the Act


To ensure adequate safety measures and to promote the health
and welfare of the workers employed in factories.
To prevent haphazard growth of factories through the provisions
related to the approval of plans before the creation of a factory.
The contract labour (Regulation and Abolition) Act, 1970:

This legislation regulates the employment of contract labourers in


establishments and by contractors.
The Rules for implementing the provisions of the Act vary from state
to state.

The Maternity Benefit Act, 1961:

The object of the Act is to regulate the employment of women in


certain establishments for certain periods before and after childbirth
and to provide for maternity benefits and certain other benefits.

Q 56)

Describe the provisions of


Labour Act with reference to
health, safety and welfare.

1) Fatal accidents Act, 1855


2)
Workmens
compensation
Act,
1923(amended 4times in 1933,1959, 1962,
1995)
3) Trade Union Act, 1926
4) Children Pledging of Labour Act,1933
5) Payment of Wages Act, 1936 (amended 12
times
in
1937
twice,1940,1951.1957,1960,1964,1971,197
4,1976,1977,1982)
6) Employers Liability Act,1938 (amended
3times,in 1951 twice and 1970)
7) Weekly holidays Act 1942 (amended 2
times in 1970, 1986)
8) Industrial Disputes Act, 1947
9)
Employees
State
Insurance
Act,1948
(amended
6times
in
1951,1966,1970,1975,1984,1989)

11) Minimum Wages Act,1948 (amended 8 times in


1950,1951,1954,1957,1961,1970,1986)
12) Factories Act ,1948
13) Mines Act, 1952
14) Employees Provident Fund and Miscellaneous
Provisions Act, 1952 (amended 14 times in
1953,1956,1957,1958,1960,1962,1963,1965,1971
,1973,1976,1988,1996,1998)
15) Collection of Statistics Act, 1953
16) Apprentices Act ,1961 (amended 4 times in
1964,1968,1973,1986)
17) Maternity Benefit Act, 1961 (amended 6 times in
1970,1972,1973,1976,1988,1995)
18) Employment Exchanges( Compulsory Notification
of Vacancies) Act,1959 ,(amended once in1986)
19) Motor Transport Workers Act,1961
20) Personal Injuries (Compensation Insurance ) Act
,1970

21) Payment of Bonus Act,1965 (amended 3times in


1976,1980,1995)
22) Contract Labour(Regulation and Abolition) Act,
1970 (amended once in 1986)
23) Payment of Gratuity Act,1972 amended 5times in
1984 twice,1987,1994,1999)
24) Bonded Labour System (abolition) Act,1976
(amended once in 1985)
25) Equal Renumeration Act, 1976 (Amended once in
1987)
26) Interstate Migrant Workmen (Regulation of
employment and conditions of Service) Act, 1979
27) Child Labour (Prohibition and regulation)Act,
1996
28) Building and other construction workers
(Regulation of Employment and conditions of
service ) Act,1996
29) Building and other Construction Workers
Welfare Cess Act, 1996

Q 57)

Write short notes on:


Legislation
Industry:

in

Construction

Review/ Updation of labour law is


a continuous process and changes
are effected in labour laws from
time to time by the Government in
order to bring them in tune with
the emerging needs of the
economy znd after detailed
discussion with stakeholders.

Legislation in Construction Industry:


The following Acts were amended recently:
The Employees Compensation Act, 1923 (earlier
called the Workmens Compensation Act, 1923)amended on 18.01.2010
The Payment of Gratuity Act, 1972 was amended
through notification dated 31.12.2009
The Employees State Insurance Act, 1948 was
amended in 01.06.2010
The Plantations Labour Act, 1951 was amended
w.e.f 01.06.2010
The Industrial Disputes Act, 1947 was amended
w.e.f. 15.09.2010
The scope of Sales Promotion Employees
(Conditions of Service) Act, 1976, was expanded
with effect from 01.02.2011

New Bills Introduced:


The Labour Laws ( Exemption from furnishing
Returns and maintaining registers by certain
establishments Amendment Bills, 2011 was
introduced in Rajya Sabha on 23.03.2011
The mines Act 1952 Amendment Bill was introduced
in Rajya Sabha on 23.03.2011

Welfare Measures for Construction Workers

The following statutory provisions are in force to take care for the needs of
the workers e.g., Employees State Insurance Act, 1948 formed to provide
employees medical benefits, sickness benefits, accident benefits, etc. on a
contributory basis which hardly reaches the victims in time. The
Workmens Compensation Act 1923, to provide for the compensation
during injuries/disablement etc., caused during work in the premises. The
process needs to be cleared of obstacles so that the compensation reaches in
time. Contract Labour (Regulation & Abolition) Act, 1970 framed to
provide just and humane conditions of work for contract labour and to put
them
at
par
with
regular
employees.
The Minimum Wages Act, 1948 to provide for minimum statutory wages in
scheduled employments with a view to obviate the chances of exploitation
of labour. Payment of Gratuity Act, 1972 it is a financial incentive in token
of recognition of long years of service rendered by an employee, but this is
not in practice as in the case of construction industry. Employees Provident
Fund Act, 1952 to provide for institution of a fund where employer and
employee contribute an equal amount. It extends to all establishments
employing ten or more persons and covers all employees under the purview
of the act. But this kind of fund is hardly instituted for the benefit of
construction workers.
The legislations that are into force were brought with a view to avoid
labour discontent and zero down the areas of conflict. Governments policy
is to ensure that the intended benefits and advantages reach the construction
workers at the earliest and in full measure. The difficulties experienced by
these acts will come forth once their enforcement in various states gains
momentum and subsequent corrective measures would be taken so as to
make them more responsive to the welfare needs of the construction
workers.

The Building and Other Construction Workers Welfare Boards


As per Section 18 of the Building and Other Construction Workers
(Regulation of Employment and Conditions of Service) Act, 1996,
every State Government is required to constitute State Building &
Other Construction Workers Welfare Board. The Board is
mandated
to
carryout
the
following
functions:
(a)Provide immediate assistance to a beneficiary in case of
accident.
(b)Make payment of pension to the beneficiaries who
have
Completed
the
age
of
sixty
years
(c)Sanction loans and advances to the beneficiary for construction
of
a
houses.
(d)Paypremia for Group Insurance Scheme of the beneficiaries.
(e)Give financial assistance for the education of children
(f)Meet medical expenses for treatment of major ailments
(g)Make payment of maternity benefit to the female beneficiaries;
(h)Make provisions and improvement of such other
welfare measuresand facilities as may be prescribed.

The Building and other Construction Workers (RECS)


Central Rules, 1998.
In order to carry out the provisions of the Building and
other Construction Workers (Regulation of Employment
and Conditions of Service) Act, 1996 and The Building
and other Construction Workers Welfare Cess Act, 1996,
the Building and other Construction Workers (Regulation
of Employment and Conditions of Service) Central Rules,
1998 were framed by the Government. The Rules came
into force on 19.11.1998. The rules apply to building and
other construction work relating to any establishment in
which appropriate government is the Central
Government. The Central Rules defines and stipulates the
following:
I. Responsibilities and duties of employers, Architects,
Project Engineers and Designers, Building workers etc.
II. Constitution of Central Advisory Committee;
III. Registration of Establishments
IV. Procedure for Appeal, payment of fees etc.
V. Safety and Health measures etc.

Explain the necessity of planning for


resources allocation in construction
projects.
It means to allocate all available resources to
their appropriate uses for achieving the goals
in the near future.

Needs:
1. It allows for identification, prioritization, and
exploitation of opportunities.
2. It provides an objective view of management
problems.
3. It represents a framework for improved coordination
and control of activities.
4. It minimizes the effects of adverse conditions and
changes.
5. It allows major decisions to better support established
objectives.
6. It allows more effective allocation of time and
resources to identified opportunities.
7. It allows fewer resources and less time to be devoted
to correcting erroneous or ad hoc decisions.

8. It creates a framework for internal


communication among personnel.
9. It helps integrate the behavior of individuals
into a total effort.
10. It provides a basis for clarifying individual
responsibilities.
11. It encourages forward thinking.
12. It provides a cooperative, integrated, and
enthusiastic approach to tackling problems and
opportunities.
13. It encourages a favorable attitude toward
change.
14. It gives a degree of discipline and formality to
the management of a business

Qn. 59

State Difference between Tender


and Agreement

The term 'tender' formally means an invitation to trade


under the terms on offer. 'Contract' refers to any agreement
entered into between or on behalf of the buyer and another
party for the execution of any work for the supply of goods,
works or services.

What are the principles involved in


the supervision of Concrete
Construction? Prepare a checklist for
the same
Making a concept
Study and Evaluation
Site analysis and survey
Finding a Contractor
Sending
Plans
to
Municipal Corporation

Marking
Clients Requirements
Structure Planning
Arrangement
of
Materials/ Equipments
Labour

Excavation
Ramming
Foundations

Making of Walls

Sil Level
Procurement and Fixing

Conduit Fixing
Lintel
Door Fixing
Shuttering
Covering
Laying of Wooden
Planks
Reinforcements

Slab Placing and Concreting


Removal of Shuttering
Construction of Next Floor