1

Government of Karnataka

DEPARTMENT OF LABOUR

ANNUAL REPORT FOR THE

YEAR 2016
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DEPARTMENT OF LABOUR

ANNUAL REPORT FOR THE YEAR 2016

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INDEX

SL. PARTICULARS PAGE

NO. NO.

1 Labour Department. 5-71

2 Employees State Insurance Scheme 73-81

(M) Services.

3 Department of Factories, Boilers, 83-109

Industrial Safety and Health.
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ORGANISATIONAL CHART OF THE DEPATMENT

Hon’ble Minister For Labour

Additional Chief Secretary To Government, Labour Department

Commissioner Of Labour in Karnataka

Additional Labour Commissioner

Additional Labour
(Administration and Accounts)
Commissioner (Industrial Joint Labour Commissioner,
Relations) (Minimum Wages)

Deputy Labour Commissioner (Publicity & Statistics)

Field Officers

Deputy Labour Deputy Labour

Deputy Labour Deputy Labour
Commissioner,Region-1, Commissioner,
Commissioner,Region-2, Bangalore Commissioner, Hassan
Bangalore Belagavi

Division Level 12 Assistant Labour Commissioners and

04 Assistant Labour Commissioners on Deputation

42 Labour Officers and 04 Labour Officers on Deputation

83Senior Labour Inspectors Notified & Plantation 164 Labour Inspectors

area (City Corporation Area) (Other Area)
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GOVERNMENT OF KARNATAKA :DEPARTMENT OF

LABOUR
ANNUAL REPORT - 2016
Genesis of the Department:

The Department of Labour in Karnataka was established in the year 1935,

and is set for its centenary celebrations in the year 2035. The Department is
instrumental in resolving industrial disputes arising between employers and
employees through tripartite conciliation mechanism, thereby fostering
harmonious relationship between them and ensure optimum productivity. The
Department of Labour, being a very important wing of the Government
contributes to the economic progress of the State.

Constitutional Provisions on Labour

Jurisdiction:- Under the Constitution of India, Labour is a subject in the
Concurrent List where both the Central and State Governments are competent to
enact legislation, subject to certain matters being reserved for the Centre.
Jurisdiction relating to Labour: Constitutional Status

Union List Concurrent List

Entry No. 55 Regulation of labour and safety in mines and oil fields
Entry No. 22 Trade Unions; industrial and labour disputes.
Entry No. 61 Industrial disputes concerning Union employees
Entry No. 23 Social Security and insurance, employment and unemployment.
Entry No. 65 Union agencies and institutions for "Vocational ...training..."
Entry No. 24 Welfare of labour including conditions of work, provident funds, employers
"invalidity and old age pension and maternity

Vision of the Department:-

“Making Karnataka as a model state for global investment and sustainable

industrial production based on the twin principles of decent quality employment
generation and inclusive all-round development of working class by designing and
implementing feasible creative approaches and pragmatic operational strategies”.
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Mission of the Department:-

“To evolve model frameworks in respect of Labour Legislation, Policies,

Action Plans, Schemes and Programmes by involving all the parties vitally
concerned and implementing the same using advanced technologies so as to
achieve efficiency and effectiveness in reaching the target group and thereby
ensuring Karnataka’s competitiveness in the domestic and global market as a
preferred destination for investment and decent quality employment generation”.

Aim of the Department:-

“To evolve and implement progressive reform measures, which usher in the
inclusive development of productive partners namely employees and employers
and to achieve peaceful, symbiotic and harmonious industrial relations in the State
by creating congenial atmosphere for socio -economic development through pro-
active labour administration”.

Objectives of the Department:-

1. To implement the labour laws for ensuring decent and qualitative living and
working standards for employees.
2. To strive to ensure labour market security, employment security, income
security and socio-economic security for the working population both in
organized and unorganized sectors of economy.
3. To create conducive and enabling eco-system for rapid generation of decent
employment through attraction of large scale private and public investment
in the five year span 2015-2020.
4. To foster symbiotic relationship between the workers and employers and
minimization of adversarial labour relations in the state.
5. To declare Karnataka as a “child labour – free” state by 2020, with the
active support of all the Department’s civil society.
6. To strengthen, modernize and energize labour administration by re-
structuring of the Department and equip it with requisite infrastructure,
intellectual resources, advanced technologies and by providing life-long
continuing education to the officials and functionaries.
7. To rehabilitate distressed and displaced workers in sick units and closed
industries through re-training, skill development and entrepreneurship.
8. To create decent and enabling environment in workplaces for women
workers by putting in place systems, which are sensitive and cater to special
needs of women workers.
9. To evaluate functioning of the Department by involving professional
organizations like National Productivity Council.
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10. To strengthen the culture of Research and Development (R&D) in the

Department by involving reputed Academic Bodies and Professional
Research Institutes.
11. To design and implement schemes and programmes aimed at continuously
raising the quality of life of the unorganized workforce, by putting in place
basic lifeline social security as well as consolidating social security made
available by different Ministries and Departments as well as society at large.
12. To strengthen the service-delivery mechanisms in the Department of Labour
by creating on-line and time-bound systems for issuance of approvals under
various labour laws.
13. To document success stories concerning the working of tri-partite social
partners and replicate the same with appropriate local adaptations.
14. To review the working of labour legislations, rules and subordinate
notifications and to identify the bottlenecks, problem areas, and recommend
feasible amendments and changes for their improvement.
15. To design measures and programmes for improving safety, security, health,
welfare and environment standards for all workers at workplaces.
16. To design schemes and programmes and thereby create enabling eco-system
for the meaningful implementation of Labour Standards of the International
Labour Organization (ILO) in the State.
17. To evolve a Protocol and implement the same for protecting the inter-state
and intra-state migrant labour against exploitation, discrimination and
safeguard their rights and interests.
18. To strengthen the statutory Boards created for the welfare of organized and
un-organized workers towards unified and beneficial management of their
funds, keeping in view long-term sustainable social security needs of the
vulnerable groups, in the State.
19. To evolve mechanisms for continuous social dialogue involving tripartite
social partners and others vitally concerned with the issues at different
levels so as to make Karnataka a hub of democratic consultation and broad
consensus based labour administration.
20. To evolve and experiment non-statutory models of alterative schemes and
programmes, based on voluntary co-operation of multi-partite social
partners for the betterment of the working class.
21. To study the status of socially disadvantaged and marginalized section of
the labour force and evolve ways and means for their assimilation in
mainstream of the labour market by involving social partners, by effective
use of social dialogue and the Apprentices Act, 1961
22. To work-out Guidelines and Standard Operating Procedures (SOPs) with a
view of achieving transparency in employer employee relationship and
motivate officials and organisations to work with mutual cooperation.
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23. To make Karnataka as a preferred destination of domestic and foreign

investment hub of talented, skilled, productive and meritocratic pool of
human capital.
I. Functions of the Department:-
The major functions of the State Labour Department are as follows;
I. Enforcement of Labour Laws:- The Labour Department in the State of
Karnataka is administrating and enforcing various Central and state
enacted Labour Laws through its enforcement machinery. Important
enactments administered by the State Department of labour are as
follows;
1. The Payment of Wages Act, 1936
2. The Payment of Gratuity Act, 1972
3. The Minimum Wages Act, 1948
4. The Payment of Bonus Act, 1965
5. The Equal Remuneration Act, 1976
6. The Child and Adolescent (Prohibition & Regulation) Act, 1986
7. The Contract Labour (Regulation & Abolition ) Act, 1970
8. The Inter-State Migrant Workmen ( Regulation of Employment & Conditions
of Service ) Act, 1976
9. The Building and Other Construction Workers Act, 1996
10. The Building and Other Construction Workers Cess Act, 1996
11. The Karnataka Industrial Establishments (National & Festival Holidays) Act,
1963
12. The Karnataka Shops and Commercial Establishments Act, 1961
13. The Maternity Benefit Act, 1961
14. The Working Journalists and Other Newspaper Employees (Conditions of
Service) and Misc Provisions Act, 1955
15. The Plantations Labour Act, 1951
16. The Industrial disputes Act, 1947
17. The Trade Unions Act, 1926
18. The Karnataka Labour Welfare Fund Act, 1965
19. The Karnataka Payment of Subsistence Allowance Act, 1988
20. The Motor Transport Workers Act, 1961
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21. The Cine-Workers & Cinema theatre Worker (Regulation of Employment)

Act, 1981
22. The Sales Promotion Employees (Condition of Service) Act, 1976
23. The Industrial Employment (Standing Orders)Act, 1946
24. The Beedi & Cigar Workers (Conditions of Employment)Act, 1966
25. The Unorganised Workers Social Security Act, 2008
II. Maintenance of Industrial Peace and Harmony:- Industrial peace and
harmony is one of the main pre-requisites to the smooth development of
economy of a state. The Labour Department headed by the Labour
Commissioner is charged with the responsibility of maintaining peace
and harmony through its industrial relations machinery.

III. Registration of Trade Unions:- The Trade Unions Act, 1926 provides
for registration and regulation of trade unions of workers and
employers. The Department registers trade unions under the aforesaid
Act. For this purpose the Labour Commissioner and the Assistant Labour
Commissioner have been notified/appointed as Registrar and Deputy
Registrar of Trade Unions respectively.

IV. Administration of Labour Welfare Schemes:- In the sphere of labour

welfare, the Labour Department makes efforts to provide such services,
facilities and amenities to working class that enable them to work in
healthy and congenial and safe environment. Labour welfare includes
both statutory and non-statutory measures

V. Social Security Measures:- Labour Department is extending social

security measures for un organized workers and industrial workers
through the Boards
VI. Registration and Licensing of establishments:- Under various
provisions of Labour enactments, the Labour Department is the
registering and issuing licenses for protecting interest of the workers.
VII. Quasi-judicial functions:- Under various Labour Laws, The
Department is entrusted with adjudication of the matters under various
enactments viz: Payment of Gratuity Act, 1972, Payment of Wages Act,
1936,Maternity Benefit Act, 1961, Industrial Employment (Standing
Order) Act, 1946, Minimum Wages Act 1948, and Karnataka Payment
of Subsistence Allowance Act, 1988.
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VIII. Co-ordination with District Administration and Line Departments:-

The authorities of Labour Department assist the district administration in
Karnataka Development Programmes, release and repatriation of child
labour and any other matter of public importance.

IX. Creating awareness among the Workers:- Labour department in

association with Legal Services Authority Employer Associations, NGO
and Other Organizations, organizes awareness programmes to the all
section of workers regularly to bring awareness and enlightenment about
the statutory provisions of various enactments and schemes.

 Administration of the Department:-

1. Head Office:-
The Commissioner of Labour is the head of the Department. The
Commissioner is assisted at the Head Quarters by two Additional Labour
Commissioners, one Joint Labour Commissioner, One Deputy Labour
Commissioner, one Secretary (Minimum Wage Advisory Board), one Gazetted
Manager, One Labour Officer (Industrial Relation) and three Managers.
2. Sub-ordinate Offices:-
 There are
1. 05 Regional Officers in the Cadre of Deputy Labour Commissioner in the
State of Karnataka, of whom, two are at Bangalore and one each at Hassan,
Belgavi and Kalburgi
2. 11 Divisional Offices, each, headed by the Assistant Labour
Commissioner;
3. 41 Sub-Divisional Offices, each headed by the Labour Officers at the Sub-
Division Level;
4. 83 Senior Labour Inspectors are functioning in the City Municipal
Corporations and Plantation Areas of various cities; and
5. 164 Labour Inspectors out of whom17 Labour Inspectors are working as
Office Assistants, 147 Labour Inspectors are functioning at the taluk levels
in the State in various offices across the State.
3. STAFF POSITION:-
Total number of officials [Group - A, B, C & D] in the
Department and their subordinate offices, etc., are indicated in |Tables
1,2,3 and 4.
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Table-1

Staff position of the Department of Labour as on 31-12-2016

Sl Designation Posts Posts Filled Posts
No Sanctioned Vacant
1 2 3 4 5
Group-A
1 Commissioner of Labour 01 01 -
2 Addnl. Labour Commissioner 02 02 -
3 Joint Labour Commissioner 01+03** 00+02** 01+01**
4 Deputy Labour Commissioner 06+01** 06+01** -
5 Asst. Labour Commissioner 12+04** 12+03** 00+01**
6 Gazetted Manager 01 01 -
Total 23+08** 22+06** 01+02**
Group-B
1 Manager 03 03 -
2 Labour Officer 43+3** 40+3** 03
3 Junior Programmer 01 - 01
(Deputation)
Total 47+03** 43+03** 04
Group-C
1 Superintendent 07 06 01
2 Sr. Labour inspector 83 77 06
3 Labour inspector 164 103 61
4 Asst. Statistical Officer 02 - 02
(Deputation)
5 Sub. Editor 01 - 01
6 First Division Assistant 80 57 23
7 Second Division Assistant 84 23 61
8 Stenographer 51 23 28
9 Data Entry Operator 02 - 02
10 Typist 31 06 25
11 Driver 14 03 11
Total 519 298 221
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Group-D
1 Literate Attender 100+06* 38+06* 62
2 Stencil Operator 01 - 01
3 Jamedar 01 - 01
4 Peon 161 59 102
5 Sweeper 01 00 01
6 Watchman 03+03* 00+03* 03
Total 267 97 170
GRAND TOTAL 856+11** 460+09** 396+02**

** Deputation reserved

Table-2
Sanctioned strength, Number of Male / Female working
(As on 31-12-2016)
Sanctioned Working Number of Number of
strength Male Female

856+11** 460+09** 326 143

** Deputation reserved

Table-3
Sanctioned strength, working & Number of SC / ST working
(As on 31-12-2016)
Sanctioned Working Number of SC Number of
strength, ST

856+11** 460+09** 82 32

** Deputation reserved
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Table-4
Number of superannuation / voluntarily retirement / Death
(As on 31-12-2016)

No. of persons No. of voluntary No. of death

Total
superannuation retirement

45 01 02 48

4. Administrative Reforms Initiated by the Department:-

I. E-Karmika Project:-

In 2012-13, 13th Finance Commission has sanctioned a grant of Rs.

249.00 lakh which has been used for developing a software for
computerisation of the process of registration, renewal and amendment
under Karnataka Shops and Commercial Establishments Act, 1961 in
association with Keonics. At present the registration, renewal,
submission of annual returns and amendments under the Act are
rendered through online.
II. ‘Sakala Scheme:-

Under Karnataka Guarantee of Services Act, 2011 for the timely delivery
of services, following 13 Services are brought under Sakala scheme by prescribing
time limit under each service as under;
1. Registration under the Karnataka Shops and Commercial
Establishments Act, 1961.
2. Renewal under Shops and Commercial Establishments Act, 1961
3. Registration of Principal employer, under Contract Labour [R&A]
Act 1970
4. Licence to the Contractor, under the Contract Labour [Regulation &
Abolition, Act, 1971
5. Renewal of licence to the contractor under the Contract
Labour[R&A]Act 1971
6. Registration of establishment under the Building and other
Construction Workers [Regulation of Employment and Conditions
Act, 1996]
7. Registration of Building and other Construction Workers
8. Registration of Plantations under the Plantation Labour Act, 1951
9. Registration under the Trade Union Act, 1926
10. Registration under Motor Transport Workers Act, 1961.
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11. Registration under the Inter-State Migrant Workmen [Regulation of

Employment and Conditions of Service] Act 1979]
12. Licence under the Inter-State Migrant Workmen [Regulation of
Employment and Conditions of Service] Act 1979.
13. Licenses to industrial premises under the Beedi and Cigar workers
[Conditions of Employment]Act 1966.
14.
III. Combined Muster-Roll and Annual Return under Various Labour
Enactments:-

The entrepreneurs of Shops and Commercial Establishments can submit

combined Annual.

Return in Form – U under the following Acts-

1. Karnataka Shops & Commercial Establishments Act 1961
2. Minimum Wages Act, 1948
3. Payment of Wages Act 1936
4. Maternity Benefit Act, 1963
5. Contract Labour Act [R&A] Act 1970

Further employers can maintain combined Muster-Roll in Form – T under

the following Acts-

1. Karnataka Shops & Commercial Establishments Act 1961

2. Minimum Wages Act, 1948
3. Payment of Wages Act 1936
4. Maternity Benefit Act, 1963
5. Contract Labour Act [Regulation & Abolition] Act 1970
6. Inter-State Migrant Workmen [ Regulation of Employment &
Conditions of Service] Act 1979

Department Website has been updated by uploading all the procedures

related to Registrations, Renewal, Licence, Annual Returns etc under each Act.
All the information including the details of the schemes being implemented by
the Department, has been updated.
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IV. Ease of Doing Business Initiatives under Process:-

1. Inspection System:-
Web portal named ‘Karmika Sahayoga’ has been developed by the
Department, for uploading inspection reports immediately after conducting the
inspections under various enactments by the Officers / Inspectors of the
Department. The provision is also made for the Establishments to upload the
compliance report online by obtaining the Kar.L.I.N. [Karnataka Labour
Identification Number].This software has been developed for random selection of
the establishments for inspections. With this Software, Inspection Procedure will
be streamlined. The efforts are made to digitise the information of establishments.
The Department Officers / Inspectors will be trained and empowered to use this
Web Portal.
2. Self Certification Scheme:-
A proposal has been submitted to the Government to notify the Self
Certification Scheme. The establishments which opt for this Scheme may not be
inspected in regular course. The establishments which opt for this Scheme will be
listed out and randomly selected for inspection such inspections shall not exceed
30% of the total establishments. The randomisation shall be made with the help of
the software annually. This Scheme is optional and valid for a period of 5 years.
3. Online Services:-
The Department has entrusted Software development work to NIC for
providing Online Services under the following seven major enactments;
1. The Contract Labour (Regulation and Abolition ) Act, 1970
2. The Trade Unions Act, 1926
3. The Motor Transport Workers Act, 1961
4. The Inter State Migrant Workmen (Regulation of Employment
and Conditions of Service) Act, 1979
5. The Beedi and Cigar Workers (Service Conditions) Act, 1966
6. The Building and Other Construction Workers (Regulation of
Employment and Conditions of Service) Act, 1996
7. The Plantation Labour Act, 1951
4. Karnataka State Labour Policy:-

The Department of Labour has drafted Karnataka State Labour Policy in

pursuance of a declaration in State Annual Budget-2015-16, keeping in mind the
present socio-economic scenario of the state. The draft policy has been submitted
to Government after being circulated amongst the line departments, stakeholders
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viz., trade unions , employer associations and academic institutions to seek

opinion/feedback for finalisation of the same.

Industrial Relations Scenario:-

1. The Industrial Disputes Act, 1947, is the principal act which makes
provision for the investigation and settlement of industrial disputes
through the process of collective bargaining, conciliation, arbitration
and adjudication.
2. The Commissioner of Labour is the State Conciliation Officer under the
Industrial Disputes Act, 1947.
3 Two Additional Labour Commissioners, Joint Labour Commissioner
and Deputy Labour Commissioner (Publicity and Statistics) are notified
as Conciliation Officers under the provisions of the Industrial Disputes
Act, 1947, for the entire State.
4 All other Regional, Divisional, Sub-Divisional Officers, up to the rank
of Labour Officers are notified as Conciliation Officers in their
respective jurisdictions.
5 The Senior Labour Inspectors are also notified as Conciliation Officers
for establishments employing less than 20 workers covered under the
Karnataka Shops and Commercial Establishments Act, 1961, in their
respective jurisdiction in respect of the industrial disputes pertaining to
discharge, termination, retrenchment and dismissal cases.
6 The Department is trying its best to resolve the disputes through timely
and prompt intervention for maintaining industrial peace and harmony
throughout the State.
Major Functions;-
1. Prevention and settlement of Industrial Disputes in the State Sphere;
2. Enforcement of Labour Laws and Rules made there under in the State
Sphere.
3. Implementation of awards of Labour Courts and Industrial Tribunals.
4. Quasi-Judicial functions
5. Intervention in situations of threatened strikes and lockouts with a view to
avert the strikes and lockouts.
6. Implementation of settlements.
7. Enforcement of other provisions in the Industrial Disputes Act, 1947
relating to; (1) Works Committee, (2) Recovery of Dues, (3) Lay off, (4)
Retrenchment, (5) Closure and (6) Unfair Labour Practices.
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IV THE DETAILS OF WORK STOPPAGE IS AS FOLLOWS: -

Stopage of Work Strikes Lockouts Total

[1] [2] [3] [4]
1. No. of strikes / lockouts - - -
2. No. of workers involved - - -
3. No. of Man days lost - - -
V.INDUSTRIAL DISPUTES:

No. of Cases pending as on 01-01-2016 478

2. No. of Cases received during the year: 1307
Total: 1785
(a) Settled: 85
(b) Failed: 1125
(c) Withdrawn: 117
No. of Cases disposed off: 1387
No. of Cases pending as on 31-12-2016 398

VI. Important and Major Settlements under Section 12 (3) r/w 18(3)of
the Industrial Disputes Act, 1947:-

Statement showing the details of settlements under Sec. 12(3) and 18(3) of
IDA 1947 for the period of 01-01-2016 to 31-12-2016.
Sl. Date of
Industries
No. Settlement
1 M/s Tata Coffee Limited, Kushalanagar 06.01.2016
2 M/s Raja Magnetics Limited, Bengaluru 11.01.2016
3 M/s S-Mac Security Services, Bengaluru 11.01.2016
4 M/s Sandar Automac, Mysore 27.01.2016
5 M/s Susmose Het Technologies Limited, Bengaluru 22.01.2016
6 Medreach Limited, Bengaluru 23.01.2016
7 M/s Government Silk Weaving Factory(KSIC), Mysore 27.01.2016
8 M/s Chinmaya Mission Hospital, Bengaluru 06.02.2016
9 M/s Clean Pack Limited, Mandya 06.02.2016
10 M/s MTR Foods Private Limited, Bengaluru 08.02.2016
11 M/s Grandwel Nortan Limited, Bengaluru 05.02.2016
12 M/s Metal Impact Private Limited, Bengaluru 16.02.2016
13 M/s Mandileg India Foods Limited, Bengaluru 18.02.2016
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14 M/s Syniverse Technologies Service India Private Limited, Bengaluru 19.02.2016

15 M/s TVS Motors Co., Limited, Mysore 11.03.2016
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16 M/s GEBE Private Limited, Bengaluru 23.03.2016

17 M/s Yajaki India Private Limited, Bengaluru 01.04.2016
18 M/s Paloma Turning Company Private Limited, Bengaluru 01.04.2016
19 M/s Valseper India Coatings Corporation Private Limited, 01.04.2016
Bengaluru
20 M/s MineTech Technologies Private Limited, Bengaluru 02.04.2016
21 M/s VST Tiller Tractor Limited, Bengaluru 04.04.2016
22 M/s Dovetile Furnitures Private Limited, Bengaluru 01.04.2016
23 M/s Medarich Limited, Bengaluru 04.04.2016
24 Shri Devaraja Aras Academy Of Higher Education And Research, 26.04.2016
Kolar
25 M/s Jenith Textiles, Nanjanagudu, Mysore 30.04.2016
26 M/sMRO-TEK Limited, Bengaluru 03.05.2016
27 M/s West Coast Paper Limited, Dandeli 05.05.2016
28 M/s Jubilant Jenirics Limited, Nanjanagudu, Mysore 20.05.2016
29 M/s Bosch Private Limited, Bengaluru 22.06.2016
30 M/s Vivanth By Taj, Bengaluru 22.06.2016
31 M/s Moog Control (India) Private Limited, Bengaluru 18.06.2016
32 M/s Kirloskar Toyota Textiles Private Limited, Bengaluru 01.07.2016
33 M/s Rangsons Electronics Private Limited, Mysore 05.07.2016
34 M/s Trigno Engineering Private Limited, Bengaluru 25.07.2016
35 M/s Neksatir Automotive(India) Private Limited, Bengaluru 27.07.2016
36 M/s Kirloskar Toyota Auto Parts, Bengaluru 09.08.2016
37 M/s Lake chemicals Private Limited, Bengaluru 12.08.2016
38 M/s Stangen Toyotetno India Private Limited, Ramanagara 17.08.2016
39 M/s S.E Blades Limited, Udupi 04.10.2016
40 M/s NSL Sugars Limited, Mandya 23.12.2016
41 M/s Exide Club India Private Limited, Kolar 23.12.2016
42 Sri Lakshmi Enterprises, Bengaluru 28.12.2016
7. NON-IMPLEMENTATION OF AWARDS:-

No. of cases No. of No of cases No. of cases pending

Total
pending as on cases disposed at the end of the year
01-01-2016 Received during the
during the year
year

223 80 303 144 159

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8. PUBLICATION OF AWARDS:-
 During the year 2016, 1812 Awards of Labour Courts and Industrial
Tribunals have been published under Section 17-A of the Industrial
Disputes Act, 1947.

Committees and Boards working under the Department

Karnataka State Contract Labour Advisory Board
Government of Karnataka has constituted Contract Labour Advisory Board which
advices the department on non-administrative matters.

The Karnataka State Contract Labour Advisory Board is a statutory

tripartite Board with Quasi – judicial functions. The board consists of non official
member with a tenure of 3 years.

The details of the Karnataka State Contract Labour Advisory Board is

as follows:-

Sl.No. Name and Address of the Chairman and Designation

Members
01 Additional Chief Secretary to Government, Chairman
Labour Department
02 Secretary to Government, Public Works Member
Department
03 Commissioner of Labour, Labour Department, Member
Karmika Bhavana, Bannerughatta Road,
Bengaluru
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Representatives of State Public Sector undertakings

04 Managing Director or their representatives, Member
Bengaluru Dairy Milk Union, Dr. M.H.
Marigowda Road, Dairy Circle, Bengaluru – 56-
029

Representatives of Private Sector undertakings

05 Managing Director, Ms/ Prestige Estate Pvt. Ltd., Vice Chairman
The Phalkan House No. 1, Main Guard Cross
06 Road, Bengaluru-01
President / Chief Secretary, Karnataka Employer Member
Association, No. 74, Shankar Arkid, Vani Vilasa
Road, Basavanagudi, Bengaluru
Representatives for Contractors
07 Managing Director, Ms/ Teriar Security Services, Member
N0, 583, Vailikaval, H.B.C.S. Lay-out, 15th Main
Road, Nagaavara, Veeranapalya, Arebic Collecge
Post, Bengaluru - 560045
08 Director, M/s Aranis Business Process, 4115, 19th Member
Main Road, Near Ansal Apartment, H.A.L. 2nd
Stage, Indira Gandhi Nagar, Bengaluru

Worker’s Representatives of Public Sector undertakings

09 Sri H.K. Nagabhushan, H.M.T. Majdur Union, N. Member
458, OTC Road, Cotton Pete, Bengaluru

Worker’s Representatives of Private Sector undertakings

10 President / Chief Secretary, INTUC, No. 14, Member
Queens Road, Cogress Bhavan, Bengaluru
11 President / Chief Secretary, INTUC, Karnataka Member
State Hotel Employees Union, N. 118, 4th Cross,
16th Main, J.C. Nagar, Bengaluru
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Representatives of Contract Labourers

12 Sri Shivananda Kallure, Contract Labour, Ms/ Member
Aranis Business Process, 4115, 19th Main Road,
Near Ansal Apartment, H.A.L. 2nd Stage, Indira
Gandhi Nagar, Bengaluru
13 Sri Ashok, Contract Labour, M/s Shabari Member
Enterprises, No. 20, Main Road, Kodi Circle,
Whitefield, Bengaluru
14 Joint Labour Commissioner (Minimum Wages), Member
Karmika Bhavan, Bengaluru Secretary

FIXATION AND IMPLEMENTATION OF MINIMUM WAGES

The Minimum Wages Act, 1948 has been enacted to further the mandate
contained in Article – 43 of the Indian Constitution which reads as follows;

“The State shall endeavor to secure, by suitable Legislation or economic

organization or in any other way, to all workers, agricultural industrial or
otherwise , a living wage , conditions of working ensuring a decent standard of life
and full enjoyment of leisure and social and cultural opportunities”.

The Minimum Wages Act, 1948 has been brought into force by the Government
of India to prevent exploitation of workers in the various Scheduled Employments
and thereby bring about social and economic welfare of the working class.
According to the provisions of the Act, Central and State Governments fix and
revise Minimum Rates of Wages for the scheduled employments. Action will be
initiated against employers who fail to pay the minimum wages fixed by the state.

In Karnataka 84 Employments have been added to the Schedule under the

Minimum Wages Act of 1948 and Minimum Rates of wages have been fixed for
82 of the 84 Scheduled Employments.
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FIXATION AND REVISION OF MINIMUM WAGES

As per Section 5 of the Minimum Wages Act, 1948, two methods have been
provided for fixation/revision of minimum wages. They are Committee method
and Notification method.

(a) Committee Method: Under this method, committees and sub-committees

are set up by the appropriate Governments to hold enquiries and make
recommendations with regard to fixation and revision of minimum wages,
as the case may be.

(b) Notification method : In this method, Government proposals are published

in the Official Gazette for information of the persons likely to be affected
thereby and specify a date not less than two months from the date of the
notification on which the proposals will be taken into consideration.
Guidelines for fixation and revision of the Minimum Wages
Act
The norms followed for revision of minimum wage rates include those
which were recommended by the Indian Labour Conference in its session
held in 1957.

(i) 3 consumption units for one earner.

(ii) Minimum food requirements of 2700 calories per average Indian
adult.
(iii) Clothing requirements of 72 yards per annum per family.
(iv) Rent corresponding to the minimum area provided for under
Government's Industrial Housing Scheme.
(v) Fuel, lighting and other miscellaneous items of expenditure to
constitute 20% of the total Minimum Wages.
Other parameters,
(vi) "Children education, medical requirement, minimum recreation including
festivals / ceremonies and provision for old age, marriage etc. should
further constitute 25% of the total minimum wage."
 24

The recommendation of Shri V. Shanthappa Committee Report and

the directions given by the Hon’ble Supreme Court of India in 1991 in the
case of Reptakos Brett and Co. V/s Its workmen is also followed in the
revision of Minimum Wages.
The Rates of the above commodities is collected from the Open
markets, Janatha Bazar and Markets in Labour Colonies and in the year
2015-16 the minimum rates of wages for un-skilled workers is fixed that Rs.
10010-00 for Zone-1, Rs. 9750-00 for Zone-II and Rs. 9100-00 for Zone-
II1.

Karnataka State Minimum Wages Board :-

So far, 84 employments have been added to the Schedule of Minimum
Wages Act, 1948. Out of these 84, rates of minimum wages have been fixed for
82 Scheduled Employments and are being revised from time .

 During this Period, the rates of Minimum Wages have been revised for the
following 10 Scheduled Employments.
1. Automobile engineering
2. Printing Industry
3. Wood work including Veneer Industry
4. Oil Mills
5. Foundry (with or without machine shop)
6. Hostels (Vasathi Nivasa)
7. Ice factory and cold storage Industry
8. Ceramics stoneware and potteries works
9. Agarbatthi
10. Security Agency

 The Government has issued draft notifications for revising the rates of
Minimum Wages for the following 26 Scheduled Employments.
1. Urban and Local Bodies & Pattana and gram panchayats
2. Fishing , Fish Curing, Fish peeling & Frog legs exporting
3. Private Safai Karmacharies
4. Domestic Workers
5. Procurement , Processing and Distribution of Milk
6. Manufacturing of liquors/ beverages
7. Plastic, Poly-plastic , Rubber , PVC pipe manufacturing
8. Spun Pipes, Concrete Pipes, Sanitary ware
9. Ayurvedic and Allopathic Medicines
10. Private Finance Corporations and Chit fund .
 25

11. Electronics
12. Laundry
13. Steel Almirahs, tables, chairs, and other steel furniture’s
14. Hotel
15. Club
16. Electroplating
17. Timber Depot
18. Film industry
19. Mini Cement Plant
20. Aerated Water
21. Sales Promotion Representatives in medicines, consumer
items & service
22. Hospital and Nursing Homes
23. Public Motor Transport
24. Construction and Maintenance of Roads
25. Glass and Glass Ware
26. Food Processing
Details of claim petitions received and disposal in the year 2016:
1. No. of claim petitions pending at the beginning of the year 5314

2. No. of claim petitions received 652

3. Total 5966

4. No. of claim petitions disposed 336

5. Pending claim petitions 5630

6. Amount of difference of Minimum Wages amount paid to the 21,02,606-00

applicants. (in Rs.)
No. of Inspections and Prosecution Details for the year 2016

1 No. of Inspections conducted in Agriculture Sector 15576

2 No. of Inspections conducted in Non Agriculture Sector 23294

3 No. of Prosecutions filed 1771

4 No. of cases fined 883

5 Total Amount of fine imposed by Hon’ble Courts Rs. 12,83,806-00

 26

ANNEXURE

Minimum and Maximum Rates of Wages applicable to Scheduled

Employments for the year 2016-17

Sl. Name of the Scheduled Employments Minimum Rates of Wages-

No. 2016-17 in Rs.
Per Day Per Month
Minimum Minimum
Maximum Maximum
1 Employment in Agricultural : 303.98 7903.60
Agricultural Works 303.98 7903.60
2 Aerated water manufacturing Industry. 350.00 425.00 9100.00
11050.00
3 Agarbatthi Industry 329.93 386.87 8578.18
10058.40
4 Arecanut (Supari) 257.25 270.25 6688.60 7026.60
4 Arecanut (Supari) 257.25 270.25 6688.60 7026.60
5 Automobile engineering (including
servicing and repairing works) 365.32 526.32 9498.40
13684.40
6 Bakeries 261.21 286.59 6791.38
7451.51
7 Beedi making 266.44 320.28 6927.70 8327.70
(173.59
1000
beediess)
8 Tabacco Industry : Tabacco Processing 291.98 360.79 7591.55
9380.55
9 Biscuit manufacturing Industry 257.45 276.06 6693.74
7177.63
10 Brass copper and Aluminium utensils 273.98 347.79 7123.60
manufacturing Industry 9042.60
11 Brick Industry 263.76 349.87 6857.73
9096.54
 27

12 Wood work including: Carpentry 263.04 6839.04

industry and saw mill Industry 279.67 7271.42
13 Wood work including: Match 274.72 7142.80
works (Match Box) Industry 299.76 7793.80
14 Wood work including: Plywood 256.11 6659.04
Industry 271.15 7050.08
15 Wood work including: Timber 350.00 9100.00
Depot 515.00 13390.00
16 Wood work including: Veneer 365.32 9498.40
Industry 526.32 13684.40
17 Cardamom malaise and cardamom 241.31 6274.06
garden 279.63 7270.33
18 278.98 7253.60
Cashew Industry 347.99 9047.60
19 Ceramics stoneware and potteries 365.32 9498.40
works 526.32 13684.40
20 Plantation Labour : Cinchona 263.29 6845.60
rubber tea or coffee plantations 318.29 8275.60
(Except Staff/Office Wokers)
21 Plantation Labour : Cinchona 258.29 6715.60
rubber tea or coffee plantations 332.09 8634.62
(Non-staff)
22 264.82 6885.28
Chemical Industry 293.38 7627.97
23 Clubs 350.00 9100.00
515.00 13390.00
24 Coffee curing works 265.68 6907.68
299.60 7789.85
25 Confectionary Industry 273.98 7123.60
343.98 8943.60
26 Cotton Ginning and pressing 271.77 7066.05
manufacturing 284.77 7404.20
 28

27 Construction or Maintenance of 258.87 6730.62

Roads in Building Operations 279.87 7276.62
28 Domestic Workers 350.00 9100.00
435.00 11830.00
29 Electronics Industry 350.00 9100.00
515.00 13390.00
30 Electronics & Electroplating
350.00 9100.00
515.00 13390.00
31 Employment not covered under 278.98 7253.60
any Scheduled Employments 328.98 8553.60
32 Engineering Industry 282.82 7353.50
311.72 8104.64
33 Film Industry 350.00 9100.00
440.00 11440.00
34 Fishing, fish curing, fish peeling 375.00 9750.00
and frog legs exporting 525.00 13650.00
35 Food processing, packing of food 350.00 9100.00
products (including coffee, tea 515.00 13390.00
spices)
36 Forestry and Timbering Industry 293.98 7643.60
323.98 8423.60
37 Foundry (with or without machine 365.32 9498.40
shop) 526.32 13684.40
38 Glass and glassware Industry. 350.00 9100.00
515.00 13390.00
39 Granite stones and marbles 259.74 6753.60
Industry 347.79 9042.60
40 Handloom and power loom 209.73 5452.90
(cotton) Industry 224.50 5836.90
41 Hospitals and Nursing Homes 234.03 6084.70
267.95 6966.70
42 Hostels (Vasathi Nivasa) 365.32 9498.40
526.32 13684.40
 29

43 Hotel Industry 350.00 9100.00

515.00 13390.00
44 Ice factory and cold storage 365.32 9498.40
Industry 526.32 13684.40
45 Khandasari sugar Industry 291.98 7591.55
360.79 9380.55
46 Laundry Industry 350.00 9100.00
515.00 13390.00
47 Manufacture of liquor (breweries) 350.00 9100.00
distilleries including bottling of 515.00 13390.00
liquor Industry.
48 Manufacture of Ayurvedic and 350.00 9100.00
allopathy medicine 515.00 13390.00
49 Mandakki Bhatti 244.67 6361.42
269.67 7011.42
50 Metal rolling and Re-rolling 261.33 6794.47
(ferrous) Industry 349.87 9096.54
51 Metal rolling and Re-rolling (non 253.65 6594.97
ferrous) Industry 349.87 9096.54
52 Mini-cement plant industry 350.00 9100.00
515.00 13390.00
53 Mosaic tiles, flooring tiles or 256.16 6660.07
glazing tiles manufacturing 349.87 9096.54
Industry
54 Oil Mills 365.32 9498.40
526.32 13684.40
55 Petrol and diesel oil pumps 256.65 6672.96
Industry 349.87 9096.54
56 Plastic, Poly Plastic, rubber and 350.00 9100.00
PVC pipes manufacturing industry 515.00 13390.00
57 Printing Industry 365.32 9498.40
526.32 13684.40
 30

58 Private Finance Corporations & 350.00 9100.00

Chit Funds 515.00 13390.00
59 Private Safai Karmachari 490.00 12740.00
540.00 14040.00
60 Procurement, Processing and 350.00 9100.00
distribution of milk 515.00 13390.00
61 Public motor transport 350.00 9100.00
515.00 13390.00
62 Pulp papers, paper, card board, 273.98 7123.60
straw board including news print 328.98 8553.60
63 Rice flour or Dhal Mills 273.98 7123.60
347.80 9042.60
64 Rubber, products (including foam 272.97 7096.90
and coir rubberized products) 295.57 7684.82
Industry
65 Sales Representatives in Medicine 350.00 9100.00
Professionals Consumer Items and 515.00 13390.00
Service
66 Security Agency (Industries where 384.93 10008.40
office staff appointed by such 510.31 13268.40
agency including Security Guards)
67 Sericulture Part-I 296.98 7721.55
316.98 8241.55
68 Sericulture Part-II 266.09 6918.34
341.65 8882.82
69 Shops and commercial 261.98 6811.60
establishments 347.98 9047.60
70 Spinning mills Industry 269.76 7013.87
349.86 9096.54
71 Spun pipes, concrete pipes, 350.00 9100.00
Sanitary fittings, PCCRCS poles 515.00 13390.00
and RCC pipes manufacturing
Industry.
 31

72 Steel Almirahs, tables, chairs, and 350.00 9100.00

other steel furniture industry 515.00 13390.00
73 Stone breaking and stone crushing 252.45 6563.68
298.53 7761.70
74 Tanneries and leather 278.98 7253.60
manufacturing 347.80 9042.60
75 Tailoring Industry 261.97 6811.60
347.98 9047.60
76 Textile (silk) Industry 280.74 7299.24
349.86 9096.36
77 Tile Industry 291.98 7591.55
360.79 9380.55
78 Toddy tapping 253.00 6578.08
271.37 7055.83
79 Urban Local Bodies and Town and 385.00 10010.00
Village Panchayats 562.70 14630.00
80 Co-operative Societies 266.29 6923.60
347.90 9045.60
81 Crystal Cutting, Polishing and 273.29 7105.60
manufacturing of ornaments 347.90 9045.60
82 Cloth Dyeing 278.66 7245.34
348.28 9055.59
Sugar Workers Tripartite Wage Committee

The Government of Karnataka by its Order No. LD 85 LWA 2014 dated :

12-09-2014 has constituted the tripartite committee under the Chairmanship of the
Labour Minister. The representative of the Government, Private and Co-operative
Sugar Factories as well as the representatives of the Sugar Workers Federation are
members of the said Committee.

List of Members
Sl.No. Name of the members and address Designation
1 The Labour Minister Chairman
2 Minister for Sugar Vice Chairman
 32

3 Additional Chief Secretary / Principal Secretary / Member

Secretrary, Labour Department
4 Commissioner, Directorate of Cane Development
(Sugar)
5 Labour Commissioner Member
6 President, South India Sugar Manufacturers Member
Association, Bengaluru
7 President, Karnataka Co-operative Sugar Factories Member
Federation, Bengaluru
8 President, Karnataka Sugar Workers Federation, Member
Bengaluru
9 Additional Labour Commissioner (Admn) Member
Secretary

Implementation of Labour Laws:

The Department enforces 26 Central and State Labour legislation along with
the rules made there under-

1. Legislations on Industrial Relations :

1.1 Industrial Disputes Act - 1947
1.2 Industrial Employment (Standing Orders) Act, 1946
1.3 Trade Unions Act, 1946

2. Legislations on Service Conditions :

2.1 Plantation Labour Act, 1951
2.2 Working Journalists and other News Paper Employees (Conditions of
Services) and miscellaneous Provision Act – 1955
2.3 Karnataka Shops and Commercial Establishment Act – 1961
2.4 Motor Transport Workers Act – 1961
2.5 Karnataka Industrial Establishments (National and Festival Holidays)
Act – 1963.
 33

2.6 Beedi and Cigar Workers (Conditions of Employment) Act – 1966

2.7 Contract Labour (Regulation and Abolition) Act – 1970
2.8 Sales promotions (Workers service conditions) Act - 1976
2.9 Interstate Migrant Workmen (Regulation of Employment and Conditions
of Service)Act – 1979
2.10 Child and Adolescent Labour (Regulation and Abolition) Act, 1986
2.11 Building and other Construction Workers(Regulation of Employment
and service Conditions) Act -1996
2.12 Cine Workers and Cinema Theatre Workers (R & E) Act - 1981
3. Legislations on Wages :
3.1 Payment of Wages Act – 1936
3.2 Minimum Wages Act – 1948
3.3 Payment of Bonus Act -1965
3.4 Equal Remuneration Act -1976
3.5 Working Journalist (Fixation of Rates of Wages) Act – 1958
4. Legislations on Social Security :
4.1 Maternity Benefit Act – 1961
4.2 Payment of Gratuity Act -1972
4.3 Karnataka Payment of Subsistence Allowance Act - 1996
4.4 Unorganised Workers Social Security Act - 2008
4.5 Building and other Construction Workers Cess Act -1996
4.6 Karnataka Labour Welfare Fund Act – 1965
5. Other Labour Legislations :
5.1 Labour Laws (Exemption from Maintenance of Registers and Reports of
Certain Establishments) Act- 1988

Karnataka State Child Labour Eradication Project Society, Bengaluru

Annual Report of 2016-2017
The Central Government by Gazette Notification dated 30.07.2016 has
published the amended Child Labour (Prohibition and Regulation) Act 1986 with
the object of bringing within its scope even adolescent labour and thereby regulate
and prohibit Child And Adolescent Labour. The Juvenile Justice (Care and
Protection) Act of 2015, the Right to Education Act, 2009 and other legislations
which are meant for protection of the rights of the children are also in force
supplementing the Child and Adolescent Labour (Prohibition and Regulation) Act,
1986. The Action Plan is the foundation for effective and harmonious
implementation of the provisions of all the above said legislations.
 34

1. A draft Action Plan for the identification, survey, release and rehabilitation
of the Child and Adolescent labourers has been prepared.

In the year 2001, the State of Karnataka for the first time had prepared an
Action Plan under the Child The Child Labour (Prohibition and Regulation)
Act, 1986 which was considered to be a model for the entire country. The
said Action Plan is revised and a Revised Draft State Child and Adolescent
Labour abolition Action Plan has been prepared.

2. The Central Government has amended the Child Labour (Prohibition and
Regulation) Act, 1986 and by a Gazette Notification dated 30-07-2016 has
published the amended The Child and Adolescent Labour (Prohibition and
Regulation) Act, 1986. Necessary Meetings, Seminars and Workshops have
been conducted about the new Act and Street Plays, Wall Paintings,
Awareness Programmes Announcement through Auto Rickshaws have been
conducted in all the districts under the leadership of the Deputy
Commissioners.
3. Survey of Child and Adolescent labourers under the Chairmanship of
Deputy Commissioners in the Districts.

In order to declare Karnataka State as a “Child Labour Free State”,

the state has to constantly organise various programmes to create awareness
among people, and thereby strive for the total eradication of the child labour
system. A Child labour survey is the basis for identifying the reasons for
engaging the services and related issues of child and adolescent labour, and
the data so obtained will form the basis for evolving a plan of “Child
Labour Free State”. The last such survey was conducted during the year
2011-12. The present survey is being scientifically conducted based on the
previous experience and under the leadership of Deputy Commissioners.

4. Constitution of a task force for the identification, survey, release and

rehabilitation of the Child and Adolescent labourers.

The incidence of child labour is mainly found in rural areas, border areas,
market places, slums, places where manufacturing processes is carried on,
beedi factories, brick kilns and agricultural related activities. Therefore,
there is a necessity for creating awareness at the District, Taluk and Hobli
levels about child labour and the detrimental effects of working at an young
 35

age. The issue of child labour can be effectively addressed only with the
active involvement of the Deputy Commissioner at the District Level and
the Tahsildar at the Taluk level with the active co-operation of the general
public. The Deputy Commissioners and the Tahsildars have to monitor the
progress of the rescue and rehabilitation of the child and adolescent
labourers by regularly holding review meetings and thereby facilitate the
process of rescue and rehabilitation of the child and adolescent labourers.

5. Creation of a Mobile Application containing information about the

problems and remedies of Child And Adolescent Labourers.

The rapid progress in the electronic technology has helped in developing

various useful products. The common man has access to mobile handsets
which is called as mobile computers wherein a number of internet based
applications are available. Therefore, there is a necessity of utilizing the
electronic technology in the eradication of child and adolescent labourers.
Steps have been initiated by the Government of Karnataka for developing
“ Karnataka Child and Adolescent Labour Mobile-App” through the e-
governance Department.

6. Developing Child and Adolescent Labour Monitoring Tracking And

Reporting System software replacing the Child Labour Tracking
System (CLTS).

It is very essential to device a system whereby full and complete details of

the child can be maintained so that attention can be given towards the
education and future of child labourers who have been identified, rescued
and rehabilitated. If effective and patient attention is not given to the
released child labourer, there is a chance of the child labourer going back to
the vicious circle of work. Therefore, The Child Labour Tracking System
(CLTS) which was developed in the year 2010 is inadequate to meet the
requirements of the present day situation. There is therefore a need for
upgrading the software to Child And Adolescent Labour Monitoring and
Tracking and Reporting System to be in tune with the changing
circumstances. It is therefore necessary to have access to advanced and
 36

modern technology in this regard. Action is being taken to develop the

required technology in association with The National Informatics Centre.

7. Organizing Information, Education and Communication (IEC)

activities about Child and Adolescent Labour (Prohibition and
Regulation) Act.

There is a need for sensitizing the society about the problems and remedies
of the system of Child and Adolescent Labour. The traditional media of
street plays, folk programmes, child plays, wall paintings; drum beatings as
well as the modern electronic and print media like newspapers, periodicals,
radio/community radio, television channels, short films in cinema theatres
have to be utilized to create awareness in the nook and corner of the State,
under the leadership of Deputy Commissioners.

8. Printing and publishing of literature about The Child and Adolescent

Labour (Prohibition and Regulation) Act 1986 in the form of booklets.

After the publication of the amended, The Child and Adolescent Labour
(Prohibition and Regulation) Act 1986 by Gazette Notification dated : 30-
07-2016 the Central Government has also framed the draft rules under the
Act. The provisions of the Act and Rules have to be printed and published
in the form of booklets.

9. Reforming the functioning of the Child and Adolescent Labour Schools.

The National Child Labour Plan (NCLP) and the State Child Labour Plan
(SCLP) are being implemented in the State. The children who are released
under The Child and Adolescent Labour (Prohibition and Regulation) Act
1986 have to be brought into the mainstream education system. The
National Council of Educational Research and Training (NCERT). New
Delhi has published a document entitled “Special Training of Out of School
Children Admitted in Age Appropriate Classes under ‘RTE Act’ 2009
Guidelines”. The revised NCLP guidelines have also been published by the
Ministry of Labour and Employment of the Central Government in April
2016. Both these documents guide the special education of such children.
 37

There is a need for reforming the functioning of the Child Labour Schools
and revising its basic infrastructure, boarding facilities, staff, teaching
methods, syllabus, co-curricular activities, examination pattern and text
books with the participation of the officers of the Education Department,
Directorate of State Education Research and Training, Education Experts
from Universities and Colleges and experts in the field and child labour
education. The co-operation of Women and Child Development Department
is also necessary. The best practices tried and tested by the NGOs have also
to be adopted wherever suitable.

The Directorate of State Education Research and Training has received the
financial resources from the Society and is preparing the report in this
regard.

10. The World Day against Child Labour is being observed according to the
Declaration of International Labour Organization every year wherein
programmes are conducted involving Hon’ble Chief Minister, The Labour
Minister, District In-charge Ministers, MP’s/MLA’s, Elected
Representatives of Local Bodies, Government Officers, Judicial Officers,
the Media, Representatives of Trade Unions, Members of NGO’s,
Employers Representatives, Students, Representatives of Educational
Institutions at the State Level Jathas, Stage Programmes, Cultural
Programmes from released Child Labourers are also organized. Programmes
are organised on 12-06-2016 at the State and District level.

11. Action is being taken to bring the District Child Labour Project Societies
being implemented in 13 Districts by the State Child Labour Project under
National Child Labour Project.

12. Complaints about the employment of Child and Adolescent Labour are
received through the Helpline No.1098 and suitable action is taken.
Complaints are also received at the State Level in Bangalore through the
Helpline No. 080-22453549 and suitable action is taken.
 38

In the current year - upto the end of December 2016, 22,733

inspections have been conducted, 2905 child labourers have been identified,
139 employers have been prosecuted. A sum of Rs.2,17,000/- has been
imposed as fine by various Courts.

Achievements of the Labour Department for the year 2016

(1) Under the Minimum Wages Act1948, in 366 cases Rs. 21,02,606-00 have been
disbursed to the applicants.
(2) Under the Payment of Gratuity Act 1972, in 1299 cases Rs. 5,19,47,749-00
have been disbursed to the applicants.
(3) Under Building and other Construction Workers Act 1996, 1,17,497workers
have been registered as beneficiaries.
(4) Under the Building and other Construction Workers Welfare Cess Act,
1996, Rs, 710.81 Crore has been levied as cess.
(5) Under the Building and other Construction Workers Act 648 establishments
have been registered.
(6) 1550 Child Labour have been rehabilitated under NCLP and SCLP plan.
(7) Prosecution has been launched against 139 employers and a penalty of Rs.
2,17,000-00 has been imposed in 18 cases.
(8) 50,666 unorganised workers have been registered as beneficiaries under
NPS- lite Swawalamban Scheme.
(9) 20,683Commmercial vehicle Drivers have been registered as beneficiaries
under Karnataka State Private Commercial Vehicle Drivers Accident
Reliefs Scheme.

THE PAYMENT OF GRATUITY ACT-1972:

1 No of Applications pending as on 01-01-2016 5174

2 No of Applications received during the year 2057

3 Total 7231

4 No of application disposed during the year 1299

5 No of applications pending as on 31-12-2016 5932

6 Gratuity amount paid Rs. 5,19,47,749/-

 39

Fine Imposed
Sl. No of No of No of
Labour Laws
No. Inspection Prosecution convictions
(in Rs)

1 The Karnataka Shops & 27713 1985 1375 212986

Commercial Establishment Act 1961

2 The Maternity Benefit Act, 1963 117 3 3 6000

3 Minimum Wages Act 1948 29946 1435 1035 1460544

4 The Payment of wages Act, 1936 11456 975 658 1320513

5 The Plantation Labour Act 1951 237 - - -

6 The Payment of Gratuity Act,1972 2761 13 4 55000

7 The Motor Transport workers Act, 128 5 7 1570

1961

8 The Karnataka Industrial 619 15 - -

Establishment(National & festival
Holidays) Act, 1963

9 The Karnataka Labour welfare 8750 6 - -

Fund Act 1965

10 The Payment of Bonus Act,1965 440 2 1 1506

11 The Beedi & Cigar Workers 136 5 - -

(Conditions of Employments)Act
1966

12 The Equal Remuneration Act,1976 6338 939 258 1480250

13 The Inter- state Migrant Workmen 170 11 4 70000

(Regulation of Employment and
Conditions of Service) Act 1979

14 The Contract Labour (Regulation & 1309 99 33 290850

Abolition)Act,1970

15 The child Labour (Prohibition & 20913 139 46 408000

Regulation) Act, 1986

16 The Agriculture Unit (MW) 15576 - - -

17 The Trade Union Act, 1926 95 - - -

18 Industrial Employment (Standing - - - -

Orders) Act 1946
 40

19 KS&CE Act (Sec-24) 7833 77 4 40000

Total 134597
5709 3428 7264099

TRADE UNIONS ACT,1926

1 No of Registered Trade Unions as on 01-01-2016 4435

2 No of Trade Unions Registered up to 31-12-2016 132
3 Total 4567
4 No of Trade Unions Registration Cancelled -
5 No of Trade Unions left on the live Register as on 4567
31-12-2016
6 Revenue collected (fees Collected) (in Rs) 1310

INDUSTRIAL EMPLOYMENT (STANDING ORDERS) ACT, 1946

1 No of Standing orders pending for 125

certification as on 01-01-2016

2 No of Standing order received for 108

certification during the year(from 1-1-2016
to 31-12-2016)

3 Total 233

4 No of Standing order certified 117

5 No of Standing order pending for 116

certification as on 31-12-2016

Enforcement Statistics (under Various Labour laws)

No of Inspections/Prosecutions/convictions
It can be seen that the Department has made considerable progess
under the Karnataka Shops and Commercial Establishment Act, 1961, The
Minimum Wages Act, 1948, The Payment of Wages Act, 1936 and Equal
Remuneration Act, 1976and the Child and Adolescent Labour (Prohibition
and Regulation) Act – 1986. Substantial number of prosecutions have been
filed under the said Act and fine imposed on the delinquent employers.
 41

THE CONTRACT LABOUR (REGULATION & ABOLITION) ACT,

1970 AND RULES
1 No of Registered Principal Employers as on 01-01-2016 8377

2 No of Establishments registered as Principal Employer 824

during the year 2016

3 Total 9201

4 No of Licenses issued to the contractors as on 31-12-2016 16193

5 No of Licenses issued during the year 2016: 1957

6 Total 18150

Karnataka State Child Labour Eradication Project Society, Bengaluru

[[

With the object of eradicating the practice of Child Labour, Child and
Adolescent Labour (Prohibition and Abolition) Act, 1996 and Section 24 of the
Karnataka Shops and Commercial Establishment Act is implemented wherein
the employment of children is prohibited.
The State Government has formulated an Action Plan in 2001 for declaring
Karnataka as “Child Labour Free State” by indentifying and rehabilitating the
Child Labourers. Apart from the Officers of the Labour Department the
following officers of 11 departments have also been Notified as Inspectors under
Section 17 of the Child and Adolescent Labour (Prohibition and Abolition) Act,
1996
Details of Departments :
1) Revenue Department
2) Factories and Boilers Department
3) Rural Development and Panchayat Raj Department
4) Education Department
5) Women and Child Development Department
6) Social Welfare Department
7) Sericulture Department
8) Agriculture Department
9) Urban Development Department
10) Backward Class and Minority Department
11) Industries and Commerce Department.
 42

In the current year - upto the end of December 2016, 20,913

inspections have been conducted, 2905 child labourers have been identified,
139 employers have been prosecuted. A sum of Rs.4,08,000 has been
imposed as fine in 18 cases by various Courts.

INFORMATION ABOUT REHABILITATION:-

Sl. Name of the Project Sanctioned Special Child Child Labourers admitted in
Schools Labour Training the Special Child Labour
No Centre Training Centre functioning
functioning upto upto March 2017
March 2017

1) National Child Labour 399 37 1495

Project (NCLP)

2) State Child Labour -- 02 55

Project (SCLP)

Total : 399 39 1550

In order to create awareness among the general public, programmes

are being regularly conducted. Every year, June 12th is observed as World
Day against Child Labour.

Complaints about the employment of Child and Adolescent Labour are

received through the Helpline No.1098 and suitable action is taken.
Complaints are also received at the State Level in Bangalore through the
Helpline No. 080-22453549 and suitable action is taken.

XVII. General Administration :-

 The Department is constantly endeavourins to find remedies and solutions to

the comples problems that arise due to the changes economic relations in the
Labour Market.
 The department is closely monitoring and watching the industrial relations
within the state.
 The department has been largely successful in maintaining industrial peace
and harmony.
 The department has paid greater attention to the implementation of Labour
Laws and has been successful in the effective implementation of Labour Laws.
 43

SOCIAL SECURITY FOR WORKERS IN ORGANISED AND

UNORGANISED SECTORS OF ECONOMY
1. Karnataka Labour Welfare Board, Bangalore;-
The Karnataka Labour Welfare Board is a autonomous institution of the
Government of Karnataka. The Labour Welfare Fund Act of 1965 and
Karnataka Labour Welfare Fund Rules of 1968 has been passed the
constituting the Labour Welfare Fund which facilitates the activities of the
Board and helps the welfare of the working class.
 All Registered factories and other establishments employing 50 and
more employees are required to contribute Rs. 6-00 from each
employee deducted out of the salary payable for the month of
December of each calendar year and with a Matching Contribution
from the employer at the rate of Rs. 18-00 has to be remitted and remit
under Section 7 of the act by account payee / Demand Draft within the
prescribed period along with form D to the Welfare Commissioner,
Karnataka Labour Welfare Board, Bengaluru. The contribution so
remitted is part of the Fund created by the Board.
According to Section 4 of the Labour Welfare Fund Act 1965 and the
Karnataka Labour Welfare Fund Rules 1865, the Government may
constitute the Board consisting of the following representatives / members

Members
1) Employer Representatives - 4
2) Employees Representatives - 4
3) Independent Members - 4
4) Independent Women Representatives - 2
The 13th Board has been constituted by Government Notification No.
KAA E 44 LET 2013, Benagluru, Dated : 12-12-2016 consisting of the
following members

Independent Members
1) The Hon’ble Labour Minister and Chairman,
Karnataka Labour Welfare Board, Bengaluru
2) Additional Chief Secretary and Principal Secretary to
Govt. Finance Department, Vikasa Soudha, Bengaluru.
 44

3) Additional Chief Secretary, Labour Department

Vikasa Soudha, Bengaluru
4) The Labour Commissioner, Karmika Bhavana,
Bannerughatta Road, Bengaluru.
Employers Representatives :-
1. Federation of Karnataka Chamber of Commerce, KG Road, Bengaluru –
Representative (Bengaluru Region)
2. Greater Mysore, Chamber of Commerce and Industries (BBCA) -Representative
(Mysore Region)
3. Karnataka Small Scale Industries (KASSIA) -Representative (Kalburagi Region)
4. Karnataka Textile Mills Association, Bengaluru - Representative (Belagavi Region)
Employees Representatives :
1. All India Trade Union Congress, No. 3 Vinayaka Building, Sampige Road,
Malleshwaram, Bengaluru – Representative (Bengaluru Region)
2. Centre for Indian Trade Union Karnataka State Committee, No. 20/1 V.G.
Gopal Building, Lal Bagh, Minerva Circle, Bengaluru – Representative (Mysore
Region)
3. Indian Trade Union Congress, No. 26/1 , 11th Crosss 8th main, Malleshwaram,
Bengaluru – Representative (Kalburgi Region)
4. Bharathiya Mazdoor Sangha, Subedar Chatram Road, Bengaluru - Representative
(Belagavi Region)

Women Members :-
1. Smt. M.S. Manjula D/o Late Shantananda. M.N. No. 26, Ist Cross, Rajyothsva
Nagar, Ward No. 14, Bellary
2. Smt. Nalini Raghu, Bo. 204, Aryan Basil, V. Nagenahally Main Road, Guddehally
R.T.Nagara, Bengaluru.

The Hon’ble Labour Minister is the Chairman and the Welfare

Commissioner is the Chief Executive Officer of the Board.
The 13th Board has been constituted by Government Notification No.
Kaa yi 44 LET 2013, Benagluru, Dated : 12-12-2016 consisting of the
following members
In the year 2015-16 and 2016-17 the 84th and 85th meeting of the
Board has been held on 29-02-2016 and 09-03-2016 respectively.
 45

The Rates of scholarship rates have been enhanced as per 78th Board
Meeting decision:
(from 01-01-2016 to 31-12-2016)
Scholarship Amount
Sl.No. Standard
in Rs.

1 High School (8th to 10th Standard) 1,500

2 PUC I & II, TCH (D.ed), Diploma 2,000

3 Degree Courses 2,200

4 Master Degree Courses 3,000

5 Technical and Medical 5,000

Karnataka Labour Welfare Fund Rules, 1965 by way of Contribution and

Resources for the year 2016 .
(from 01-01-2016 to 31-12-2016)
Sl.
Details 2016 (Rs.)
No.
1 a)Employee 2,08,71,318
Contribution 4,17,42,636
b) Employer 6,26,13,954
2 Contribution
Govt. Matching 2,25,00,000
Contribution
Total Rs. 8,51,13,954

Details of Unpaid Accumulations

2016
Sl.No. Details
Rs.

1 Income (UCA) Amount from

3,61,93,674
establishments.
2 Refund to the workers 32,062
 46

Welfare Programmes:
2016
Sl. (from 01-01-16 to
Details
No. 31-12-156
Rs.
Education Assistance to Children of the 1,10,65,400
1
workers (5199)
11,25,000
2 Financial assistance for funeral
(225)
49,250
3. Medical Assistance to the Labourers
(071)
80,000
4. Financial Assistance for annual Sports activity
(2 org.) (650)
20,000
5. Financial Assistance for the medical camps.
(1 org.) 544
6. Development of Board Property -
7. Calendar and Publicity 98,980
Total Rs. 1,24,38,630

Details of the Board Income for 2016 (from 01-01-2016 to 31-12-2016)

Sl. Particulars Income Total

No. in Rs. In Rs.
A)Contribution from 6,26,13,954
Employees &Employers
1 8,66,13,954
B) Matching Contribution 2,40,00,000

C) Grant-in-aid 11,00,000
Rental Amount received from the
2 Board Buildings and Samudaya 45,33,237 45,33,237
Bhavana
Interest on FD’s and
3. 3,22,95,945 3,22,95,945
Gen. SB Account
4. G.I.S. Contributions 30,800 30,800

5. Miscellaneous 9,07,769 9,07,769

Total Rs. 12,54,81,705 12,54,81,705

 47

Details of Expenditure for the year 2016

(from 01-01-2016 to 31-12-2016)
Expenditure in
Total
Sl.No. Particulars in Rs.
In Rs.

Details of Expenditure for the year 2016

(from 01-01-2016 to 31-12-2016)

Expenditure in
Total
Sl.No. Particulars in Rs.
In Rs.

1 Salaries
1) Staff Salaries 2,48,39,886
2,98,41,880
2) Pensions
50,01,994

2 Welfare Schemes: 1,23,39,650 1,23,39,650

3 General expenses 61,19,715 61,19,715

Board’s maintenance and

4. 6,90,101
machine repairs cost 6,90,101
5. Development of Board’s
property: 12,90,420 12,90,420

Total
5,02,81,766 5,02,81,766

Karnataka Labour Welfare Board Pension Fund

The Pension Fund Scheme was introduced as per the G.O. No. Ka E – 349 – LET - 2000
Bangalore, dated: 27-06-2001 as resolved in the 55th Board’s meeting held on 31-03-2000.

There are 42 members (ie., 32 pension holders & 10 family pensioners) who are being paid
pension for the year 2016.

Karnataka Labour Welfare Board Staff Pension Fund 2016

(from 01-01-2016 to 31-12-2016) Income statement:

Sl.
Income Rs.
No.

1. Pension contribution from the staff @ 6,20,748 +

8.33# to the fund for the year 2016
6,58,365
Total 12,79,113
 48

Statement of expenditure for the year 2016

(from 01-01-2016 to 31-12-2016
Sl.No. Income SBI bank Total In Rs.

1. Pension, Family 50,01,994 50,01,994

Pension and D.A.

Statement of Fixed Deposit for the year 2016

(from 01-01-2016 to 31-12-2016

Details Fixed Deposit Total Fixed Deposit

Amount Amount

Amount Deposited in 55.00 Crores 55.00 Crores

Fixed Deposit for the
year 2016

Progress of 2016
(1) A sum of Rs. 98,980-00 has been spent on awareness to workers through the
calendars of the Board
(2) The Ground Floor of the Office of the Board in Yashawanthpur has been
rented to State Bank of India, Mattikere Branch and the 1st Floor has been
rented to Central Labour Education Board. The Board on a monthly rent of
Rs. 2,13,035-00,has earned rent of Rs. 25,56,420-00 in the year 2016.
(3) The Community Hall constructed in Peenya, Bengaluru is offered on
concessional rent to the workers for marriage and other occasions. In the year
2016 the board has earned a rent of Rs. 6,15,200-00,from the Community
Hall and also a rent of Rs. 7,73,316-00 from the 1st and 2nd floor of the
building totalling to Rs. 13,88,516-00.
(4) The Community Hall constructed in Bapujinagar, Bengaluru is offered on
concessional rent to the workers for marriage and other occasion. In the year
2016 the board has earned a rent of Rs. 3,33,000-00.
(5) The 1st floor of the building constructed at Bijapur has been given on rent to
Deputy Director, State Accounts Department and the 2 nd floor has been rented
to the Labour Officers, Sub Division 1 and 2, Bijapur. In the year 2016 the
board has earned a rent of Rs. 2,22,791-00. No functions so far have been
organised in the community hall of the building.
(6) A sum of Rs. 12,500-00 has accrued from the construction of temporary sheds
by Hindustan Steel Construction Ltd., in the site belonging to the Board in
Bagalkote.
(7) The Community Hall and office complex constructed in the settlement area of
the Gadag - Betageri Town Muncipal Area is yet to be inaugurated.
 49

(8) As per the resolution by the Board, with a view to directly give the benefit to
the workers and their dependants the welfare benefits are directly credited to
the Bank Accounts of the Workers or their dependents through RTGS.
(9) The building owned by the Board in Davanagere is rented to Sri
Basaveshwara Marketing Company from which the Board has received a rent
of Rs. 20,000-00.

The Karnataka Labour Welfare Board functions according to the suggestions

and directions of the Government of the Karnataka.

Achievements of the Board in 2016

1. A fully computerised Software has been installed for the purpose of
consolidating the subscriptions received from the workers and the employers.

2. For the period from January 2016 to December 2016, contributions to the tune
of Rs. 6,26,13,954-00 has been received from 14,200 Establishments includings
13500 Factories and Shops and Commercial Establishments.

3. Information is being given to the public through the Right to Information Act
2005. Further the information regarding Karnataka Labour Welfare Board has
been hosted on the following Websites :

(A) website address: www.klwb-kar.comand

(B) e-mail address : welfare commissioner123@ gmail.com

4. Accounts have been opened in the names of the workers in S..B.I Branch,
Mattikere Branch, for facilitating crediting of various benefits through RTGS
directly to their Accounts.

5. The Board is an autonomous body and has been successful in reaching its
programmes to the workers and their dependants.

The Board is making effective efforts to implement its schemes and

programmes from the subscription received and the grants sanctioned by the
Government. The Board, keeping in mind its vision and principles, is striving for
the welfare of the work force and provide them social security in the society.
 50

1. Karnataka State Unorganised Workers Social Security Board

It is estimated that more than 92% of the working population of the country
belong to the unorganised sector, economy. To improve the living conditions of these
unorganised workers by providing social security, the Government of India has enacted
the Unorganised Workers’ Social Security Act, 2008. The State Government has
framed the Unorganized Workers Social Security (Karnataka) Rules, 2009 and
constituted the Karnataka State Unorganized Workers’ Social Security Board, on 05-10-
2009.
The Board is headed by the Hon’ble Minister of Labour, Government of
Karnataka and the Secretary to Government, Department of Labour has Member
Secretary and the following 28 persons are it's members:-
i. Representatives of unorganized sector workers- Seven (7),
ii. Representatives of Employers of Unorganised Sector Workers-Seven (7),
iii. Sitting members of Legislative Assembly-Two (2),
iv. Eminent persons from civil society-Five(5),
v. Representing State Government Departments- Seven (7).

The State Government has identified following 43 categories of unorganized

workers for extending social security benefits.
1) Tailors
2) Washermen
3) Head load Workers
4) Hotel Workers
5) Auto, Taxi, Private Bus and Lorry Drivers and Conductors
6) Auto Mobile workshop workers
7) Domestic Workers.
8) Labourers involved in Agriculture/ Horticulture and Animal
rearing
9) Workers involved in Coir work
10) Home based Weavers
11) Fishermen
12) Potters
13) Cobblers
14) Barbers
15) Butchers
16) Blacksmiths
17) Goldsmiths.
 51

18) Home based Beedi workers

19) Home based Agarbatti workers
20) Sculptors/Craftsmen
21) Small Artists
22) Workers involved in Bamboo work
23) Workers involved in Oil processing /Food processing
24) Workers involved in timber work
25) Sericulture workers
26) Cotton ginning and Processing workers
27) Workers working in Printing press
28) Workers involved in stone crushing
29) Workers working in Tanneries
30) Workers working in all types of mills
31) Street vendors
32) Drivers/ Conductors/Helpers/Cleaners Cart pullers /Rickshaw
wallas/Tanga Wallas
33) Workers involved in all kinds of repair work and waste disposal
34) Rag pickers
35) Workers involved in Cooking/ Cleaning in marriage halls/ Mid
day meal labourers and assistants
36) Sanitary workers
37) Workers involved in Office cleaning on contract basis
38) Security Guards/ Watchmen working on contract basis
39) Porters
40) Tourist Guides
41) Mandakki Batti workers
42) Photo Graphers
43) Other Categories.(The workers covered under Sec2(m) & 2(l) of
unorganized workers Social Security Act,2008)

Social Security Schemes:-

The Board is implementing the following Social security Schemes for unorganised
sector workers viz.,

1) NPS Lite – Swavalamban Scheme

2) Karnataka State Private Commercial Vehicle Drivers Accident Benefit
Scheme
3) Life Saviour Scheme
 52

a) NPS Lite – Swavalamban Scheme:-

Under the control and guidance of Pension Fund Regulatory Authority (PFRDA),
New Delhi, the Karnataka State Government is implementing the Central Government’s
NPS-Lite Swavalamban Scheme from 2010-11, to identified 43 categories of
unorganised workers. The Board has registered 50,666 subscribers till 31-03-2015 and
State Government has released Rs.234.45 lakhs of matching contribution and the same
has been remitted to the PRAN account of subscribers under the scheme.

Since, the Central Govt. has launched “Atal Pension Yojana” w.e.f. 01-06-
2015, the enrolment of New Subscribers under NPS Lite Swavalamban Scheme has been
stopped w.e.f. 01-04-2015 on the direction of PFRDA vide NSDL email dated 31-03-
2015.

b) Karnataka State Private Commercial Vehicle Drivers Accident benefit

Scheme:-

The drivers of Private Commercial Vehicles such as, the Auto, Taxi, Maxicab,
Lorry and Private Bus face the risk of accidents resulting in either death or permanent
disablement or temporary disablement, due to which the family of the driver, who are
depending on his earnings have to face financial crisis. To safeguard their interest the
state government is implementing the Karnataka State Private Commercial Vehicle
Drivers Accident Benefit Scheme.

The Board has selected M/s Tata AIG General Insurance Company Pvt. ltd., to
provide accidental insurance facility and the beneficiaries can avail the benefits under the
scheme.

 Details of the Scheme:-

1. This Scheme is applicable to the drivers of private commercial vehicle such as,
Auto, Taxi, Maxi cab, Lorry and Bus, possessing driving licence issued in the
State of Karnataka only.
2. Age limit is from 20 to 70 years.
3. Sum assured upto Rs.2,00,000 /- is available.
4. Insurance Benefit is available to both "On-duty and Off-duty" accidents.
5. These drivers shall register themselves with the concerned office of Labour
officer by paying a onetime registration fee of Rs. 25/.
6. The entire premium amount of the registered beneficiary is borne by the State
Government.
 53

 Insurance Facility available:-

 In case of accident resulting in death of the driver the nominee will get Rs
2 Lakh compensation.
 In case of accident resulting in permanent total disablement the beneficiary
will get upto Rs 2 Lakh.
 In case of accident resulting in Temporary Disablement;
 For hospitalization upto 15 days, 25% of sum insured or actual
hospitalization charges restricted to Rs.50,000/- whichever is lower .
 For hospitalization more than 15 days, actual hospitalization expenses or
50% of sum insured upto Rs.1 lakh whichever is lower.
(Proportionate to the disability- upto Rs.1 lakh).

 Registration under the Scheme:

20,683 drivers are registered from 01-01-2016 to 31-12-2016 under the
Scheme.
 Details of Benefits given to Beneficiary/Nominee under the Scheme from 01-
01-2016 to 31-12-2016

Sl. No of Amount of
Description Compensation
No. cases
1 Death 69 Rs. 1,38,00000/-

2 Permanent Disability - -

3 Re-imbursement of Medical 30 Rs.11,85,014/-

Expenditure/ Temporary
Disability
Grand Total 99 Rs.1,49,85,014/-

Financial and Physical Progress for the year 2016

Scheme Financial Physical

Released Expenditure Target Achievement

Budget
Karnataka State Private
Commercial Vehicle 750 208.57 - 20,683
Drivers Accidental
Benefit Scheme
 54

 Karnataka State Private Commercial Transport Workers Accident Benefit Scheme:-

In order to extend the Accident Benefit Scheme to the Conductors and Cleaners along with
the drivers, the existing scheme has been revised and renamed as “Karnataka State Private
Commercial Transport Workers Accident Benefit Scheme”.
(3) Life Saver’s Scheme:-

 The Board is implementing the Accident Life Saviour Scheme. Under this Scheme,
Training in First Aid is being Provided to the drivers registered under the Karnataka
State Private Commercial Vehicle Drivers Accident Benefit Scheme.
 Achievement:-

Till 31-03-2017,2,373 registered drivers have been given the First Aid training
under the Scheme.

2. Karnataka Building & Other Construction Workers Welfare

Board. Bangalore.
Constitution and Objectives of the Board.
Chapter 1:
Constitution of the Board
Government of Karnataka has constituted the Karnataka Building and Other
Construction workers’ Welfare Board on 18-01-2007 (under Section 18(1)).
Objectives of the Board
The Karnataka Board provides for the registration of building and other
construction workers by issuing them identity cards. The objective of the Board is
to give cash benefits as a social security to the registered construction workers
who are the beneficiaries of the Board.
The Board collects 1% cess of the total estimated cost of construction taken
up by the Government or private builders. Cess is also collected by the local
bodies from the applicants who approach them for the plan approvals of their
buildings.
The workers to be registered under the Board as beneficiary have to be
employed in the following building and other construction works
The construction, alteration, repairs, maintenance or demolition of, or in
relation to, buildings, streets, roads, railways, tramways, airfields, irrigation,
drainage, embankment and navigation works, flood control works (including
storm water drainage workers), generation, transmission and distribution of power,
water works (including channels for distribution of water) oil and gas installations,
 55

electric lines, wireless, radio, television, telephone, telegraph and overseas

communications, dams, canals, reservoirs, watercourses, tunnels, bridges,
viaducts, aqueducts, pipelines, towers, cooling towers, transmission towers,
Cutting, breaking and crushing of stone, Cutting and polishing of slabs/tiles,
Woodwork including painting, varnishing etc., Sewerage and plumbing work,
Electrical works including wiring, distribution, panel fixing etc., Installation and
repair of fire fighting systems, Installation and repair of cooling and heating
systems, Installation of lifts, escalators etc., Installation of security gates, devices
etc., Fabrication and installation of iron/metal grills, windows, doors, Construction
of water harvesting structures, Interior work including carpenting, false ceiling,
lighting, plaster of Paris, Cutting, glazing and installation of glass panels, Making
of bricks, roofing tiles etc. not covered under Factories Act, 1948, Installation of
energy efficient equipment like solar panels etc., Installation of modular units for
use in places such as kitchens, Making and installation of pre-fabricated concrete
modules etc., Construction of sports/recreation facilities including swimming
pools, golf course etc., Construction/erection of signage, road furniture, bus
shelters/depots/ stands, signalling systems etc., Construction of rotaries,
installation of fountains etc., Construction of public parks, walking tracks,
landscaping etc. and such other work as may be specified in this behalf by the
appropriate Government, by notification.
Registered Beneficiaries will get the following social Security
financial assistance from the Board
Building and Other Construction Workers Registration details:
 Eligibility: Any Construction Worker between the age group of 18 and 60
years can become a beneficiary of the Board.
 Registering Officers: Concerned Labour Officer/Senior Labour
Inspector/Labour Inspector/Chief Engineers of Bengaluru Metro Rail
Corporation Ltd.,
 Documents required for registration:
(a) Duly filled-in Form No. V (Application)
(b) Duly filled-in Form No. VI (Nomination)
(c) Three (3) Passport size photographs
(d) Employment Certificate from present Employer/Contractor/Registered Trade
Union/Builders’ Associations of India/CREDAI/Contractors’ Association
(e) Proof of Age –school record, birth certificate, driving licence, passport EPIC
Card, Aadhar Card, LIC Insurance Policy or an affidavit regarding age or the
birth certificate issued by the Village Accountant or Revenue Inspector or
Officers of Local Body or by the Registrar of Births & Deaths, Certificate
from a Doctor not below the rank of Assistant Surgeon in Government
 56

Hospital/ESI Hospital/ Hospitals of Local Bodies, or Registered MBBS,

Ayurveda, Unani or Homeopathy qualified Medical, Government or registered
private Dentist with BDS qualification.
 Registration Fee: ` 25/- (one time)
 Subscription and Renewal Fee: ` 150/- for 3 years
Benefits available immediately after Registration:
1. Rs.400 to `6,000/-: Hospitalization Assistance to the beneficiary.
2. Rs.3,00,000/-: Compensation payable to the nominees of the beneficiary on
account of his death due to accident during the course of employment or while
travelling from the place of work to the residence or from the residence to the
place of work or resulting in total permanent disability.
3. Upto Rs.2,00,000/-: Treatment of Major Ailments viz. Heart Operation, Kidney
Transplantation and Cancer, Eye Operation, Paralysis, Orthopedics Operation,
Uterus Operation, Asthma, Miscarriage, Gall Bladder Ailments, Kidney Stone
Removal, Brain Hemorrhage, Ulcer, Dialysis, Kidney Related Surgery, ENT
Treatment & Surgery, Neurosurgery, Vascular Surgery, Esophagus Treatment
& Surgery, Gastrointestinal Surgery, Breast Related Treatment and Surgery,
Hernia Surgery, Appendix Surgery, Treatment of Factures / Dislocation,
General Surgery. (Subject to C.G.H.S. Rates)
4. Disability pension of Rs.1,000/- per month. due to Paralysis, Leprosy, Cancer
and T.B Rs.2,00,000/- ex-gratia based on percentage of disability.
5. Rs.1,00,000/-: Compensation payment to the unregistered beneficiary resulting
in accidental death due to collapse of a building under construction.
Rs.20,000/- compensation payable to the unregistered beneficiary who is
grievously injured due to said type of accident.
6. Rs.4,000/-: Funeral expenses &`50,000/- Ex-gratia to the deceased’s family.
7. Rs.15,000/-: Maternity Assistance per delivery to female beneficiary limited to two
deliveries.
8. Education Assistance: (Limited to 2 children only).
a)
Rs.3,000/-each year for studying 5th, 6th& 7th..
b)
Rs.4,000/-for studying in 8th & 9th.
c)
Rs.6,000/-for studying in S.S.L.C.
d)
Rs. 5,000/- & ` 8,000/-each year Pass in I & II PUC.
e)
Rs. 5,000/- & ` 6,000/-each year studying in ITI & Diploma.
f)
Rs.5,000/- each year studying in General Degree.
g)
Rs.20,000/- each year studying in PG course.
h)
Term fee prescribed by the State Government for the merit seat&Rs.2,000/- P.M as
attendance allowance for studying Medical/Engineering course.
i)
Rs. 20,000/- each year for Ph.D.
 57

9. Rs.50,000/-: Marriage Assistance to the beneficiary or to 2 of his children.

10. Rs.5,000/-: Assistance for purchase of tool/instruments.
11. Pension Rs. 1,000/- per month
12. Assistance for Construction of House.
Target

No. of registered beneficiaries as of now is 11, 05,995 and the target is to raise the
no. of beneficiaries to 12, 65, 995 lakhs.

Jurisdiction of Officers

District Labour Officers are appointed as Registering Authority for

registration of establishments and the same officers are appointed as Cess
Assessing Authority. At present there are 41 Labour Officers working throughout
the State. Senior Labour Inspectors and Labour Inspectors are appointed as the
Beneficiary Registration Authorities and their number is 230.
Laws implemented by the Board

1. Building and Other Construction Workers Welfare Cess Act, 1996 and
Central Rules 1998.
2. Building and Other construction Workers (Regulation of Employment And
Conditions of Service) Act, 1996 and Karnataka Rules, 2006.
Chapter 2:
Performance report of the Board -2016
Details of the Cess Collection
Cess Collection
Year Amount(in Rs)

2016 710,81,41,824

Details of the Registered Beneficiaries

Total No. of registered
Year Beneficiaries

2016 1,17,497
 58

Details of the financial assistance provided to the Beneficiaries in 2016

No. of Amount (Rs.)

Scheme Details
Beneficiaries
Educational 301,195,173
64,467
Assistance
Marriage Assistance 356,380,000
7,177

Accidental Benefit 1595 86,383,419

Major Medical 15,932,767

625
Assistance
Accidental Death 4,390,000
31
Benefit
Maternity 5,886,000
393
Assistance
Medical Assistance 31 82,225

Tools Benefit 1 5,000

Pension Scheme 354 1,9252,000

Disability 606,000
04
Pension Scheme
772,812,584
Total 74,678

Details of the Registered Establishments

Year No of registered establishment

2016 648
 59

A) Name of the scheme and implementing year:

There are no schemes or grants of either the Central or State Government

However the schemes are implemented by the Board to the registered construction
workers for the following benefits:-
1) Hospitalization Assistance 2) Accident Compensation 3) Assistance for
Major Ailment 4) Disability Pensions 5) Ex-gratia disability 6) Maternity
Assistance 7) Educational Assistance 8)Interest free Loan for Tools Purchase
9) Monthly Pension 10) Loan for Construction or purchase of house
11) Funeral Assistance with Ex-gratia.

b)Budget Allocation

No budget is allocated to the Board by the Government.

c) Share of the Central and State Governments for the project: Nil

d) Object of the Programme, Project of plan: Social Security for the

registered Construction workers

e) Estimated result and estimate beneficiaries of the programme, project or

plan (as calculated at the end of the year )

f) Brief summary of the performance and problems for implementation

The, financial assistance as a Social Security measures is meant to assist the
beneficiaries only on the happiness of certain events or contingencies like
ailments, the education of children, maternity, accidents, death etc. Therefore
the amount of cess collected cannot be compared with the amount distributed
to the beneficiaries as financial assistance.

Chapter 3:

Amendment (LED 247 LET 2015, Bengaluru), dated: 09-08-2016 has been
brought to Karnataka Rules 2006, BOCW Act (Copy enclosed)
 60

Chapter 4:

The details of the staff of the board

a) Details of Permanent staff(men)

Sl. No. of Details

Class
No. Staff
Joint Secretary/Joint Labour Commissioner
1 Group A 1 –one post.

2 Group B - -

3 Group C 1 Labour Officer 1 Post (Rule 32)

Details of Permanent staff(women)

Sl. No. of Details

Class
No. Officer
Deputy Labour Commissioner
1 Group A 2 /Deputy Secretary-one post, Special
Officer 1 post

Assistant Labour Commissioner

2 Group B 1 /Assistant Secretary-one post (Rule-
32)

3 Group C 1 Labour Officer-one post (Rule-32)

Details of vacant posts

Sl. No Class No. of Posts Details

1 Group A 1 Account Officer

2 Group B Audit Officer-one

1 post
 61

3 Group C -
-
-

Details of the retired officers/staff in the reporting year

Sl. Details(Retired date)

Class No. of Staff
No
1 - - -

Details of the Out Sourced Staff (Men)

Sl. Details of Jurisdiction

No
No Designation
1 Tally Operator 01 In Board

2 Executives 37 In Board and

Districts

3 Desk Manager 02 In Board

4 Junior Executives 07 In Board and

Districts

5 Data Entry Operator 68 In Board and

Districts

6 Steno - In Board

7 Cess Recovery 02 In Board

Executive
8 Junior Librarian 01 In Board

9 System Admin 01 In Board

10 Security Guard 06 In Board

 62

11 Office Boy 09 In Board

12 Drivers 05 In Board

Details of the Out Sourced Staff (Women)

Sl. Details of Jurisdiction

No
No Designation
1 Tally Operator 02 In Board

2 Executives 15 In Board and

Districts

3 Desk Manager 01 In Board

4 Junior Executives 06 In Board

5 Data Entry Operator 86 In Board and

Districts

6 House Keeping 02 In Board

7 PA 01 In Board

Details of Contract Officers/Staff (men)

Sl.
Details Of Designation No
No.

1 Accounts Officer 1

2 Special Officer(Worked up
1
to July-2016)

3 Civil Engineer (Worked up

2
to May-2106)
 63

Board is availing Retainer ship/ Consultancy services

1 Internal Auditor 2

2 Internal Auditors 1

3 Internal Legal Advisor 1

d) Nil

e) .Administrative measures taken up by the department/ Board

for Improvisation or modernization in 2016.

Action has been taken for implementation of ‘Contributory Pension Cum

Provident Fund Scheme linked with Housing for the benefit of registered
beneficiaries of the Board.

Board has established Sir M. Visvesvaraya National Construction Academy on

14-05-2016 as per Societies Registraion Act,1960. Under the aegis of the
Academy 1987 candidates have undergone skill training in various trades of
construction sector from 1-01-2016 to 31-12-2016.

After the completion of the Suraksha Bhavan building work, Hon’ble Chief
Minister inaugurated it. Board shifted its office to new Building.

For the speedy Registration of Beneficiaries 102 data entry operator have been
appointed in the offices of the Senior/Labour inspector.

Board has introduced KARMIKA Software for the registration of building

and other construction workers and disbursement of claims. Board has provided
Laptops, printers and Data Cards have been provided to Labour Officers,
Senior/Labour inspector’s offices.
 64

Chapter 5:
Details of the parliament questions

Year Lok Sabha Subject

2016 NIL NIL

Details of the Rajya Sabha questions

No. of Subject
Year
question
2016 NIL NIL

Details of the Legislative Council questions

No. of Subject
Year
question
Details of cess and about amount released to the
2016 22 construction workers, No. of registered construction
workers, Skill development centres, amount disbursed
to the construction workers about amount and number
of the beneficiaries, Death benefits for un-organized
workers, Details of the Medical benefits, and details
of Board’s staffs.

Details of the Legislative Assembly questions

No. of Subject
Year
question
Details of Social Security Benefits of the
2016 Construction workers, registration of construction
31 workers, Skill development centres, amount
disbursed to the construction workers about
amount and number of the beneficiaries,
Programmes for un-organized workers, Details of
the ID cards, Medical benefits, and details of
Board’s staff. Cess and Fixed Deposits.
 65

Remarks regarding purchase: Nil.

Utilization of funds and delay in discharging benefits: Nil.

Parawise Remarks regarding audit:- for the last three years and the paras for
compliance as on the reporting date: AG has audited the office Accounts for the
financial years 2013-14. The accounts for the financial year 2011-12,2012-13 and
2013-14 have been audited. Final audit report for the year 2011-12,2012-13 and
2013-14 received by the Board.
The Cases relating to the Board pending before various Courts:
List of Pending Writ Petitions
Sl. Parties: Petitioner v/s Subject matter Stage of the
Writ Petition No
No. Respondents case

WP.No.318/2006 National Campaign Committee Non- Pending for

Supreme Court of implementation hearing
India For Central Legislation for of various
Construction Labour (NCC-CL) provisions of
1 CP.52/2013 V/s Union of India & all the States BOCW Act
Supreme Court of
India

2 96162/2010 Bharathi Airtel Limited v/s Non payment of Pending

Karnataka Building & Other Telephone bill
Small Causes Court Construction worker’s Welfare
Bangalore. Board, Bangalore.

3 35330/2010 Voltas Ltd., V/s Union of India & Deduction of 1% Pending

Secretary, Karnataka Building & cess
High Court of Other Construction worker’s
Karnataka, Welfare Board, Bangalore, and
Bangalore
premier in India Pvt. Ltd., New
Delhi-110 024.
 66

4 34720/2015 M/s Ramky Infrastructure Ltd. V/s Deduction of 1% Pending

The Special Project Engineer & cess
High Court of Others.
Karnataka,
Bangalore

5 43696/2014 Manjushree Tecnopack Ltd V/s Deduction of 1% Pending

Commissioner For Labour & Chief cess
High Court of Inspector & Another
Karnataka,
Bangalore

6 12508/2014 Karnataka State Building & Other Collection of 1% Pending

Construction Workers Welfare Cess
High Court of Union (R) V/s State of Karnataka
Karnataka, represented by Labour Department.
Bangalore

7 57818/2013 Sri K. Gowspeer V/s Labour and Not to withdraw Pending

High Court of Commerce Department of Chief or disburse any
Karnataka, Executive Officer Karnataka & amount collected
Bangalore Building & Other Construction in the association
worker’s Welfare Board, Bangalore to any other
purpose

8 4005/2013 Smt. Shahida Begum V/s For the non- Pending

Karnataka & Building & Other payment of
High Court of Construction worker’s Welfare accidental death
Karnataka, Board, Bangalore benefit
Bangalore

9 9470/2014 Deepak Cables (India) Ltd. V/s Deduction of 1% Pending

Karnataka & Building & Other cess
High Court of Construction worker’s Welfare
Karnataka, Board, Bangalore and others
Bangalore

10 111891/2015 Somshekar V/s KB&OCWWB For the non-

payment of
(Dharwad Bench) accidental death
benefit
 67

11 111892/2015 Rasool V/s KB&OCWWB For the non- Pending

payment of
(Dharwad Bench) major medical
benefit

12 111893/2015 Shivyya V/s KB&OCWWB For the non- Pending

payment of
(Dharwad Bench) marriage
benefit

13 111894/2015 Hulgappa Sidappa Bandivaddar V/s For the non- Pending

KB&OCWWB payment of
(Dharwad Bench) marriage benefit

14 For the non-

payment of
111895/2015 Jyotiba Shivaji Mokashi V/s accidental death Pending
KB&OCWWB benefit
(Dharwad Bench)

15 51777/2015 Smt. Lakshmi Devi V/s For the non- Pending

KB&OCWWB & Another. payment of
High Court of accidental death
Karnataka, benefit
Bangalore

16 202451/2015 Gangappa S/o Lt. Sabanna Myakal For the non- Pending
V/s The state of Karnataka, Senior payment of
( Kalburgi Bench) Labour Inspector, Dvision No.4, accidental death
Circle-37, Karmika Bhavan , benefit
Bangalore-29

Details of the Applications received under Right to Information Act, 2005

Received
Year Answered Rejected Balance
application

2016 131 131 - -

 68

Training programmes for Tripartite Stakeholders

I. Karnataka Labour Institute:-

Karnataka Labour Institute has been established with an intention to

conduct training programmes on the implementation of Central and State Labour
Enactments. This Institute facilitates Residential training programmes for officers,
staff, management and trade union representatives.

Initially, training programmes were conducted in association and with

the available infrastructure at National Law School of India University,
Bengaluru.

Karnataka Labour Institute is conducting programmes on Labour Acts,

recent developments in industrial relations, Various stakeholders, management
representatives, trade unions leaders, officers bearers, non-government
organisations members, citizens forum in contact with department, and also
women and child development department have been identified for the purpose
of training programmes.

Karnataka Labour Institute has been registered under the Karnataka

Registrar of Co-operative Societies Act on 26-2-2009. During the year 2016-17
government has allocated budget of Rs.100.00 lakhs and 16 training programmes
have been conducted. Government has allocated 2 acres out of 7 acres of land
belonging to Karnataka Labour Welfare Board at Peenya, Bagalgunte to the
Institute for Constructions its own buildings. The work of construction of the
Institute building is entrusted to Karnataka Housing Board, and the construction
work of the Building is in progress.

II. Bharata Rathna Late Sir M. Visveshvaraiah National

Construction Accademy

The Karnataka State Building and Other Construction Workers Welfare

Board has proposed to establish a National-level Academy of construction in
Obadenahalli of Doddaballapur Taluk near Bengaluru.
The Academy is to be named after renowned engineer and recipient of Bharat
Ratna Late Sir M Visvesvaraya.
 69

IV. Legal Awareness Programmes

Legal awareness programmes are conducted regularly for empowerment of
all the citizens in general and to the weaker sections of the society in particular.
Various activities are taken up to reach the vulnerable sections of the society viz.,
migrant workers, Women, Industrial Labourers., and so on.
The awareness programmes are conducted throughout the state right from
Hobali level up to state level, joining hands with the local CSO’s, Trade Unions
and State Legal Services Authority. The department is focused on extending
Social Security and Welfare Schemes through Legal Awareness Programmes.

Likewise the department has conducted various Workshops for the

representatives of the industries and other allied associations in order to have
discussions to understand the legal frame work of various labour laws.

Karnataka Labour Journal

During the period from the 1-1-2016 to 31-12-2016 Karnataka Labour Journal
has been published, and Rs.64,450 /- has been collected from sale of this Journal.
Online services:

1. E-Karmika – Under the Karnataka Shops and Commercial Establishment

Act, 1961, registration, renewal, amendment, annual returns, online
services are provided.
A Software has been developed with a view to provide online services
for Registration, Renewal, Amendment and submission of Annual
Returns under 7 Labour Laws. Online services are already being
implemented under the Contract Labour Act, 1976
2. Software under Building & Other Construction Workers Act is
developed and the same is yet to be implemented. Under other 5 Acts the
work of development of software is under progress.
1. Plantation Labour Act
2. Trade Union Act 1926
3. Inter State Migrant Workmen Act.
 70

4. Motor Transport Workers Act

5. Beedi & Cigar Workers Act
With these initiatives by the Department, efficient, transparent,
entrepreneur-friendly environment is being created which helps in implementing
“Ease of Doing Business”
Disposals under Right to Information Act, 2005
 In the year 2016 146 applications have been received under Right to
Information Act 2005. Information has been furnised for 180 applications
including the pending applications of 2015
 No appeals have been filed with the Appelate Authority in Karnataka
Information Commission.
 A sum of Rs. 1,040/- has been collected as fees under the Act.

Budget Performance
FINANCIAL PERFORMANCE
Financing details of the year 2016-17 and 2017-18
PLAN
Rs.
SI in Lakhs 2016-17 2017-18
Head of Account/ Schemes
No Allocation Expenditure Allocation Expenditure
1 2230-01-103-4-00 240.00 240.00 600.00
Labour Welfare Fund
2 2230-01-103-7-00 11.00 11.00 0.00
Labour Welfare Fund Grant
3 2230-01-103-6-01 488.00 488.00 520.00
Child Labour Eradication Action
Plan
4 2230-01-111-0-05 109.00 109.00 1135.00
Karnataka Unorganized Workers
Social Security Board
5 2230-01-277-0-01 100.00 75.00 100.00
Karnataka Labour Institute
6 2230-01-104-0-01 100.00 100.00 100.00
Contribution to Unorganized
Workers New Pension Scheme
7 4250-00-201-0-04 1000.00 1000.00 837.00
Construction of Karmika Bhavan
8 2230-01-103-7-03 850.00 850.00 1750.00
Insurance Scheme for Drivers
 71

9 2230-01-101-0-05 0.00 0.00 500.00

Asha Deepa (New Scheme)
10 2230-01-103-7-04 150.00 150.00 0.00
Single Window Service scheme
11 2230-01-101-0-01 451.00 311.00 0.00
Industrial Relations and
Enforcement of Labour Laws
Total - PLAN SCHEMES 3499.00 3334.00 5542.00

Salary and Office expenditure Heads

1 2230-01-101-0-01 1931.00 1710.00 2769.00
Non-Plan (Administration)
2 2230-01-001-0-01 348.00 325.00 432.00
Non-Plan (Administration)
2279.00 2035.00 3201.00
Total 5778.00 5369.00 8743.00

------***------
 72

DEPARTMENT OF EMPLOYEES STATE INSURANCE

SCHEME (M) SERVICES,

ANNUAL REPORT
FOR THE YEAR 2016.
 73

DEPARTMENT OF EMPLOYEES STATE INSURANCE SCHEME (M) SERVICES,

ANNUAL REPORT FOR THE YEAR 2016-17

The E.S.I. Scheme is a premier social security scheme implemented in

accordance with the E.S.I. Act, 1948 and rules framed there under. The scheme was
inaugurated on February 24th 1952 in the Industrial Town of Kanpur and Delhi. The
Non-Medical services are rendered through E.S.I. Corporation, which is under the
The scheme provides two types of services, namely Medical and Non-Medical.
Medical services are rendered by E.S.I.S. (M) Services, which is under the control
of State Government control of Central Government.

The Scheme made a humble beginning with 12 E.S.I. Dispensaries and one
100 bedded E.S.I. Hospital in Karnataka as on 27.07.1958 at Bangalore, catering to
48,000 beneficiaries with a wage limit of Rs.400/- p.m.

The E.S.I. Act, 1948 envisage the following seven benefits to the Insured
Persons and their families.

1. Medical Benefit.
2. Sickness Benefit.
3. Maternity Benefit.
4. Disablement Benefit.
5. Dependent Benefit.
6. Funeral Benefit.
7. Un-employment allowance (Rajiv Gandhi Shramik Kalyan Yojana)
 74

The details of budget allocation and expenditure under the major head of
account 2210 to the department for the year 2015-2016 is as follows:-

(Rs.in Lakhs)

Sl. Head of
Allocation Expn. Achievement
No. Account

2210-01-102-
1 0-01 (Non- 23125.00 22082.15
Plan)

2210-01-102-
2
0-01 (Plan)
10101.00 9791.13

95.89%

2210-01-102-
3 0-03 (Non- 26.00 12.19
Plan)

33252.00 31885.47
TOTAL
 75

The details of budget allocation and expenditure under the major head of

account 2210 to the department for the year 2016-2017 is as follows:-

(Rs.in Crores)

Sl.
Head of Account Allocation Expn. Achievement
No.

235.62 222.58
2210-01-102-0-01
1
(Non-Plan)

2210-01-102-0-01 103.71 97.83

2
(Plan) 92.32%

2210-01-102-0-03 0.17 0.11

3
(Non-Plan)

347.22 320.58

TOTAL
 76

ORGANISATIONAL SETUP:-

In Karnataka full medical care has been extended to about 30.74 lakhs
Insured Persons and about 153.70 lakhs of their families through a network
of 10 E.S.I. Hospitals (Including ESI C Hospital, Gulbarga, Rajajinagar&
Peenya) 112 full time E.S.I. Dispensaries, 06 I.M.P. system dispensaries and
01Diagnostic Centre.

AGREEMENT:

The State Government entered into an agreement with E.S.I.

Corporation to provide full medical care to Insured Persons and their families
for which E.S.I. Corporation reimburses the 7/8th share of the total expenditure
and the State Government bears 1/8th share subject to ceiling prescribed by
the E.S.I. Corporation on full medical care from time to time.
(Rs. in Lakhs)

Allocation Expenditure
made by
Year Plan/Non Achievements
State
plan Government

2013-14 14841.02 14149.31 95.33

2014-15 16241.26 15137.70 93.20

2015-16 33252.00 31885.47 95.89

2016-17 34722.00 32058.00 92.32

 77

Details of the amount re-imbrues by ESI Corporation for the last 4

years are as follows: -
[Rs. In Lakhs]

Sl. No. Year Amount

1 2013-14 10817.49
2 2014-15 10322.33
3 2015-16 18993.20
4 2016-17 18000.00

GRIEVANCE CELL:-

A Grievance Redressal Machinery is functioning in ESI Hospitals / Dispensaries

and the Directorate of ESIS Medical Services. A State level Grievance Cell is
established in the Directorate consisting of Officials from ESIS Medical Services and
Officials form ESI Corporation.

The Committee meets on the third working Friday of every month to hear
complaints relating to administration of Medical Benefits.

In cases of emergency the patients who are directly admitted to the

Private Hospitals, the Committee recommends to reimburse the Medical
expenses as per the emergency of the situations in the interest of the
beneficiaries.

186 Grievance Cell meeting was successfully completed on March 2017

making Karnataka a foremost state in the country to have successfully
completed such meetings.
 78

RTI Applications:

IMMUNISATION:-
Attention has been given to achieve progress under Family Welfare and
Immunisation programme. The details of progress made during 2016-17 are
as follows:

2016-2017

1 POLIO 11084

BUILDING:-

All the 10 E.S.I. Hospitals, one ESI Diagnostic Centre and 38 E.S.I.
Dispensaries and E.S.I. Directorate are housed in E.S.I. Corporation
building. Further, 554 residential quarters have been allotted to the staff
of the Scheme.

PERCENTAGE OF BED OCCUPANCY (2016-17):

(Excluding ESIC Model Hospital, Rajajinagar, B’lore)

a. E.S.I. Hospital Indiranagar 58.04%

b. 34.95%
E.S.I. Hospital Mysore

c. E.S.I. Hospital Mangalore 16.53%

d. E.S.I. Hospital Davangere 57.66%

e. E.S.I. Hospital Belgaum 53.00%

f. E.S.I. Hospital Hubli 76.00%

g. E.S.I. Hospital Dandeli 38.00%

 79

PHYSICAL ACHIEVEMENTS ( 01-04-2016 TO 31-03-2017)

1. ESI Scheme has been implemented to 26 Districts from 01-05-

2016 and to the remaining 04 Districts from 01-09-2016. The
Scheme has been covered to the entire 30 Districts and the
medical facilities to the beneficiaries have been extended in
collaboration with Health and Family Welfare Department. An
addition of 1.50 lakh insured persons have been covered
under the scheme.
2. KIADB has allocated 5 acres of land in Doddaballapur Industrial
Area for commissioning 100 Bedded ESI Hospital. ESI
Corporation has handed the construction work of the said
building to M/s Uttar Pradesh Rajakiya Nirman Nigam Ltd.
3. 5 Acres of land allotted in Survey No: 95P, 96P, 97P, 98P, 99P
and 100P in Bommasandra industrial area in Iggalur village for
commissioning 100 Bedded ESI Hospital. Joint survey has been
conducted by KIADB, ESIC and ESIS Officials. KIADB has to
allocate and register the said land.
4. Department has appointed 187 Group D, 13 Drivers and 36
Security personnel through Out sourcing.
5. Department has appointed 81 IMO’s on contract basis out of it
42 IMO’s have reported for duty.
6. Department has procured drugs worth of Rs. 92.00 crores
through ESIC Rate contract for continuous supply of medicines
to the Insured persons and their family members.
7. Department has procured and distributed equipments worth of
Rs.1.72 Crores for upgrading the existing facilities.
 80

8. ESI Corporation has enhanced the wage limit of coverable

employees from Rs. 15000/- p.m. to Rs. 21000/-p.m which has
contributed to coverage of extra 1.00 lakh Insured persons.
9. ESI Corporation has conducted an AMNESTY Scheme (SPREE)
for enrolment of Employers and Employees from 20-12-2016 to
31-03-2017 which has contributed to coverage of extra 1.50
lakh Insured persons.
10. Department has conducted 44 Medical Camps, 47 CME
programme and 18 Well baby camps in the year 2016-17.

RTI applications received in ESI Directorate for the year 2016-17 is 219
out of which 206 cases has been resolved.

TARGET FOR 2017-18:

1. ESI Scheme has been extended to all the 30 Districts in the State and as
per the Budget announced made by the Hon’ble Chief Minister it is proposed
to commission 61 New ESI Dispensaries in Newly implemented areas.

2. It is proposed to Up grade 50 Bedded ESI Hospitals Hubli, Davangere and

Belgaum to 100 Bedded ESI Hospitals.

3. It is proposed to commission Super Specialty Department in ESI Hospital

Indiranagar.

4. It is proposed to Commission 06 Bedded ESI Dispensaries in 36 ESI

Dispensaries.

5. It is proposed to commission Laboratory, ECG and X-ray facilities in all

112 ESI Dispensaries.
 81

6. It is proposed to commission AYUSH Departments in all ESI Hospitals.

7. It is proposed to purchase the required Equipments and Furniture’s to all

ESI Hospitals.

8. It is proposed to fill up the vacant posts of 159 Insurance Medical Officers,

173 Technical Posts and 135 Ministerial staffs through KPSC.

9. It is proposed to procure Hi-Tech Ambulance to all ESI Hospitals and 10

ordinary Ambulance to ESI Dispensaries.

10. It is proposed to commission ICU Department & Dialysis Unit

through PPP Module.

------=====------
 82

Department Of Factories, Boilers, Industrial Safety

and Health

ANNUAL REPORT

FOR THE YEAR 2016

 83

Department Of Factories, Boilers, Industrial Safety and Health

Chapter – I

1. VISION AND MISSION OF THE DEPARTMENT

To become a leading organization in providing value added services to protect the

workers and work environment in factories, from Industrial, Occupational Hazards by
disseminating the knowledge & information to all the stake holders. To ensure greater
awareness and participation of all the stakeholders in achieving work safety, better health
and work environment through capacity building measures and knowledge dissemination
programmes.

2. ADMINISTRATIVE SET UP

2.1 HEAD OFFICE

The Department of Factories, Boilers, Industrial Safety and Health is working under
the administrative control of the Additional Chief Secretary to the Government of
Karnataka, Ministry of Labour. The office is situated at the 2nd Floor, of the Karmika
Bhavana, Bannerughatta Road, Bangalore–560 029. The department has two wings viz.,
Factories wing & Boilers wing. The Director of Factories, Boilers, Industrial Safety and
Health is the administrative & statutory head of both the wings. The Director also heads the
supportive activities of Central Safety Monitoring Cell, Pressure Vessels and Plants Safety
Monitoring Cell, Boiler Testing, Training and Examination Cell & Karnataka State Safety
Institute which are working under the supervision of the Joint Directors. The Director is a
PUBLIC AUTHORITY under the Right to Information Act, 2005. The government, vide
government order no. KAE 80 KABASE 2014 Dated: 03.08.2015 as distributed all the staff
equally by re-arranging the staff pattern. The Director is assisted in his day to day work by
14 officers supported by 58 ministerial staff at Head office level. During this year, the
government has upgraded and relocated certain officers at head office and divisional
offices level.

1 Vide government order no. KAE 24 KABASE 2015 Dated: 24.02.2016 the posts of Senior
Assistant Director of Factories, Division-8, Bangalore and Senior Assistant Director of
Factories, Tumkur Division, Tumkur have been upgraded to Deputy Director of
Factories.
2 Vide government order no. KAE 06 KABASE 2012 Dated: 26.02.2016 the post of Joint
Director of Factories (Medical) has been upgraded to Additional Director of Medical.
 84

3 Vide government order no. KAE 08 KABASE 2016 Dated: 29.03.2016 one post of Deputy
Director of Factories has been upgraded to Joint Director of Factories, Bellary.
4 Vide government order no. KAE 10 KABASE 2016 Dated: 16.09.2016 at point 3 the
upgraded post of Joint Director of Factories, Bellary has been reinstated and relocated to
Bangalore.
5 Vide government order no. KAE 10 KABASE 2016 Dated: 16.09.2016 the post and office
of the Senior Assistant Director of Factories, Gulbarga Division, Kalburgi along with staff
has been shifted to Bellary and reinstated has Senior Assistant Director of Factories,
Bellary Division, Bellary.
6 Vide government order no. KAE 10 KABASE 2016 Dated: 16.09.2016 the post of Deputy
Director of Factories, Division-8, Bangalore has been renamed has Deputy Director of
Factories, Division-5, Bangalore.
7 Vide government order no. KAE 10 KABASE 2016 Dated: 16.09.2016 the post of Senior
Assistant Director of Factories, Division-5, Bangalore has been renamed has Senior
Inspector of Factories, Division-8, Bangalore.

The following officers are assisting the Director in Administrative and Constitutional works.

 One Additional Director of Factories and Boilers in the Administrative and

Constitutional subjects.
 One Additional Director of Factories (Medical) and one Occupational health specialist
in the occupational health subjects under the Factories Act, 1948.
 Three Joint Directors in the subjects of Enforcement of Factories Act & allied laws,
Indian Boilers Act & allied statutes, Accounts, Statistics.
 One Administrative Officer in general administration
 One Assistant Director of Boilers, (BTTE Cell) and four Gazetted Managers for
respective subjects.
 Under the Right to Information Act, 2005 one Additional Director of Factories and
Boilers, one Additional Director of Factories (Medical) and three Joint Director are
notified as 1st Appellate Authorities.
 Seven officers in the head office and 38 officers in the divisional offices are notified
as Public Information Officers.
 85

2.2 FIELD OFFICES

There are 38 divisional offices located in various parts of the state. Totally 151
ministerial staff and 41 officers are working in these offices. Ten new Assistant Director of
Factories officers are sanctioned and these offices are yet to be established.

One Joint Director of Factories at Bellary, one Deputy Director of Factories office at
Kalburgi, One Deputy Director of Boilers (Manufacture, Testing, Training & Examination
Cell) at Bangalore have been sanctioned & these offices are established and are
functioning.

The details of field offices located in different places are as listed below: -

No. of Offices
Name of the Office
District
Deputy Director of Factories 05

Senior Assistant Director of Factories 05

02
Bangalore
Senior Assistant Director of Boilers
Assistant Director of Factories 04

Deputy Director of Factories 01

Mysore Assistant Director of Factories 01

Assistant Director of Boilers 01

Senior Assistant Director of Factories 01

Senior Assistant Director of Boilers 01

Hubli
Assistant Director of Factories 01

Deputy Director of Factories 01

Mangalore Senior Assistant Director of Boilers 01

Assistant Director of Factories
01

Joint Director of Factories 01

Bellary
Senior Assistant Director of Factories 01
 86

Deputy Director of Factories 01

Belgaum Deputy Director of Boilers 01

Senior Assistant Director of Factories 01

Deputy Director of Boilers 01

Davanagere
Assistant Director of Factories 01

Deputy Director of Factories 01

Kalburgi
Senior Assistant Director of Boilers 01

Tumkur Deputy Director of Factories 01

Assistant Director of Factories 01

Shimoga
Assistant Director of Boilers 01

Raichur Assistant Director of Factories 01

All the above officers enforce the various statutes under which they are appointed as
Inspectors & also discharge duties as the Public Information Officers under the Right to
Information Act, 2005.

The places New Offices to be established are as below.

No. of Offices
Name of the Office
District
Bangalore Assistant Director of Factories 01

Kolar Assistant Director of Factories 01

Ramanagara Assistant Director of Factories 01

Hassan Assistant Director of Factories 01

Chitradurga Assistant Director of Factories 01

Koppala Assistant Director of Factories 01

Gokak Assistant Director of Factories 01

 87

Gadag Assistant Director of Factories 01

Udupi Assistant Director of Factories 01

Out of total sanctioned strength of 273 various category of posts, as on 31.12.2016,

about 147 posts are vacant (Group “A”-5, Group ‘B’ – 18, Group ‘C’ – 95 and Group ‘D’ –
29) Out of these vacancies, about 90 posts are identified as direct recruitment vacancies
and already request letter has been sent to the Government for sanction and filling of the
said posts. The government has accorded permission for recruitment of 29 group – c posts
and 20 group – D posts through outsourcing. As the Department is facing acute shortage
of staff it is very highly essential to fill up these posts early. Organogram / Organization
chart of the department is enclosed as “Annexure - A”.

3. LEGISLATIONS ENFORCED BY THE DEPARTMENT

1. The Factories Act, 1948

 The Karnataka Factories Rules1969
 The Major Accident Hazard Control (Karnataka) Rules 1994

2. The Payment of Wages act, 1936

 The Karnataka Payment of Wages Rules 1963

3. The Maternity Benefit Act, 1961

 The Karnataka Maternity Benefit Rules 1963.

4. The Child Labour (Prohibition And Regulation) Act, 1986

5. The Environment (Protection )Act, 1986
 The Chemical Accident (Emergency Planning, Preparedness & Response) Rules
1996.
 The Manufacture, Storage and Import of Hazardous Chemical Rules 1989.

6. The Building and other Construction Workers (Regulation of employment and

conditions of service) Act 1996
 The Karnataka Building and other Construction Workers (Regulation of employment
and conditions of service) Rules, 2006. The provisions of the above Act & Rules are
implemented by the Department for the safety & health provisions of Building &
Other Construction Projects above Rs. 25 crores.

7. The Boilers Act 1923.

 The Indian Boiler Regulation, 1950.
 The Karnataka Boilers Rules, 1982.
 Karnataka Boiler Operation Engineers Rules – 2011.
 88

 Karnataka Boiler Attendants Rules – 2011.

 The Karnataka Economizers Rules, 1959.
4. OBJECTIVES OF THE DEPARTMENT IN BRIEF:
 To monitor work environment, ensure workmen safety, health and adequacy of
facilities for their welfare at their work place.
 To monitor the health of the workmen involved in hazardous operations to prevent
occupational diseases.
 To monitor safety system in hazardous process industries to avert possible
emergencies and reduce their consequences.
 To ensure health, safety and environment awareness through education and
training.
 To generate information & compile statistics for policy formulation and fixing of
national indices such as consumer price index.
 To ensure timely payment of earned wages to the workmen employed in registered
factories.
 To ensure maternity benefit to the women workers employed in registered factories.
 To conduct periodical inspections to ensure safe working of boilers as well as
scrutiny of designs, supervision of manufacturing activities, erection and production
of boilers as per IBR.
 Ensure that boilers and other pressure parts are designed and manufactured in
accordance with national and international standards.
 Advise the Boiler users to adopt energy saving techniques to reduce steam
generation cost and product cost.
 Impart training to Boiler operating personnel, in safe and efficient handling of boilers.
 Advice boiler and other pressure parts manufacturers to adopt modern
manufacturing techniques, select suitable creep range material, in the
manufacturing activity to reduce the product cost.
5. MAIN FUNCTIONS OF THE DEPARTMEN:

FACTORY WING:
[

 To approve the location of the factories, building plan and layout taking into account
the activities around the factory and habitation, spacing between machinery,
ventilation etc. respectively
 To register all the factories under the purview of the Act and issue License to engage
in manufacturing activities.
 89

 To oversee the aspect of safety, health and welfare of the workers employed in the
registered factories by periodic inspection on provision of facilities to workers. In
case of any violations in compliance, take legal action in the competent court of law
by filing prosecutions.
 To renew the factory licenses periodically by collecting the prescribed fees.
 To investigate into accidents in registered factories
 To impart training, create awareness, to the management staff and workers in respect
of various legislations enforced by the department by organizing workshops /
seminars.
 To enquire into complaints received from the workers, trade unions and general
public.
 To recognize and authorize the competent persons to conduct tests and examinations
of the dangerous equipments, machinery used in the industries.
 To prescribe methods to be adopted for compulsory disclosure of information about
the hazardous processes.
 To guide the management in preparation of safety policy, onsite emergency plan and
preparedness procedures.
 To assist the district administration in preparation and implementation of
comprehensive off site emergency plan and the district disaster management control
plan.
 To ensure timely payment of earned wages to the workers employed in the factories.
 To identify the unregistered factories and to bring them under the purview.
 To identify the closed and shifted industries and to effect removal of their names form
the list of factories by de-registration process.
 Collection and compilation of half yearly returns and Annual returns and to make
available required statistics to State Govt., Central Govt. and Other service
Organizations.
 Inspection in respect safety & health provisions in building and other construction
projects of Rs. 25 crores and above.
 To organize seminars to the Stake Holders like builders, developers, contractors etc.,
thus creating awareness in respect of implementation of safety & health provisions of
Building and other constructions workers Act 1996, and rules made there under.
 90

BOILER WING:

 To register the boilers/economizers/steam pipelines under the Boiler Act.

 To certify the boilers/economizers/steam pipelines for use in the manufacturing
activity after periodic inspection.
 To advise the managements to get the boilers/economizers/steam pipelines repaired
by repairers approved by the Department & to supervise the repairs for safety during
repairs.
 To investigate into accidents of boilers/economizers/steam pipelines
 To conduct welder examination as prescribed under the Indian Boiler Regulation
1950 & issue certificates to eligible candidates.
 To implement Boiler Operation Engineers /Boiler Attendants Rules, conduct
examinations under said rules & select eligible candidates as Boiler Operation
Engineers /Boiler Attendants.
 To scrutinize & approve the designs & drawings for erection of
boilers/economizers/steam pipelines
 To conduct stage inspection for erection of boilers/economizers/steam pipelines
 To impart training to the Boiler Operation Engineers& Boiler attendants for safe &
efficient operation of Boilers.
Chapter – II

WORKING OF THE DEPARTMENT

1. FACTORY WING

The Department of Factories, Boilers, Industrial Safety and Health is a regulatory

department enforcing various Labour laws related to workplace safety, health and welfare
measures including The Payment of Wages Act and The Maternity Benefit Act. The State
has 16,197 registered factories. There are about 16.23 Lakh workmen working in such
industries. The State also has 1181 hazardous industries out of which 73 are Major Accident
Hazard units.

“SAFETY is considered as a human right; there is a growing awareness of this among

the stakeholders to whom it is due-the working class.” In this direction, the motto of this wing of
the department is to ensure a safe workplace. The aim is to prevent accidents, disasters by
identifying unsafe acts & unsafe conditions in the factories during routine inspections. In order
to achieve the said goals, the department, in addition to the primary function of carrying out
 91

Routine inspections, has changed its focus years by shifting to training the employers and
workmen in safety & health issues, thus creating awareness about safety & health amongst
industrialists, employees.

ACTIVITIES AND ACHIEVEMENTS:-

Targets are fixed for the regular inspections & training programmes. The department
has fixed time limits for delivery of some of the services for the benefit of the citizens &
applications are disposed accordingly. The statistics of the targets achieved for the year 2016 is
enclosed as Annexure “B”.

1.1 THE KARNATAKA STATE SAFETY INSTITUTE:

(ESTABLISHED IN THE YEAR 1985)

Aim
The safety in industrial activity has drawn utmost attention in maintaining certain
safety standards which are not detrimental or injurious to the industrial community. The
dissemination of knowledge in the field of safety and working environment through
effective communication and education is considered as one of the effective tools in
rejuvenating the minds of working personnel. The objective is to propagate awareness
on safety and health to inculcate the safe work procedures for accident free production
activity. The institute was registered under Karnataka Societies Registration Act 1960
as a society vide Reg, no 186/2007-08, dated31-03-2008 in the year 2008 according to
the Govt. order.

Activities

The Institute organizes awareness programmes for workers on the issues of

safety, health and work environment. It conducts training programmes in different
modules on need basis to shop floor, supervisory and management level personnel in
the factory premise itself. Workshops/seminars are also held for the senior officers of
the management of the factory on the subjects of safety, health and personality
development, etc. The safety officers, welfare, personnel and medical officers who are
supposed to safeguard the interest of workers working in the factories are also trained
through this institute on their roles and responsibilities. Further as per the desire of the
factory management, the subjects are selected for the training progremmes.
 92

1.1.1 45th National Safety Day Celebrations

The 45th National Safety Day Celebration was organized through Karnataka State Safety
Institute on 4th March 2016 at Rashtrapathi Kuvempu Kalakshethr of
M/s Bharath Electronic Limited, Bangalore.

The programme started with Safety walk, followed by Safety Flag Hoisting, Safety Oath,
Safety Exhibition, and Distribution of state level Safety Awards at the public function, which
was conducted successfully. In order to create awareness amongst the citizens of Bangalore on
safety, Hoardings were displayed at prominent locations in the city and safety banners were
printed and distributed. The said programme was conducted in association with M/S Bharath

Electronic Limited, Bangalore. National Safety Council Karnataka Chapter and

Management of local factories. About 800 industrial workmen, Industrial Representatives and
Government officials participated in this programme.

Training programmes, Target and Achievements during 2016-17:

Achievements Annual Beneficiaries

Sl Annual
Programmes ( upto Proposed ( upto 31-12-
No Target
31-12-2016) Beneficiaries 2016)
One day Training
1 150 4500 143 4325
Programmes
Special Training
2 8 240 2 202
Programmes
Seminars /
3 2 200 5 265
Workshops
Boiler Operators
4 9 270 1 44
Training programmes
Total 169 5210 151 4836

On the occasion of chemical disaster prevention day numerous programmes

were held successfully across the state and few important programmes were

 On 31-12-2016 a seminar was held at Mysore on the subject “Session on

Industrial / Chemical Disasters - Issues and Challenges” in association with
National Institute of Personal Management, Mysore Chapter and
Confederation of Indian Industries, Mysore where in about 265 participants
participated and benefited. The following are the topics for the above
seminar.
 93

 Process safety management.

 Status of MAH Industries in the state of Karnataka; Issues and
challenges.
 Status of Industries in the District of Mysore; Issues and challenges.
 In view of Industrial Day for Disaster Risk Reduction two days conference on
“Emergency Response and Disaster Management Plan” (ERDMP) to
observe International Day for were held at Bhopal on 13-10-2016 and
14-10-2016. “Prevention of Industrial Disaster – Initiative in Karnataka
State” presentation on the above subject was performed on behalf of the
Department and Institute at the above conference. Further one officer was
deputed for the programme of training of trainers.
 On 09-12-2016 an Mock drill was organized at M/s. Indian Oil Corporation
Limited, LPG Bottling Plant, Devangonthi, Bangalore Rural District to
observe Chemical Accident Prevention Day. Local urban body officers, the
officers of the department of Police, Fire and Emergency Services
Department and representatives of the neighbouring industries were
present. The said programme was organized under the guldens and
presence of Additional Director of Factories and Boilers and Deputy Director
of Factories, Division-2, Bangalore.
 The Deputy Director of Factories, Division-2, Bangalore had organized one
day Safety training programme for the workers of the small scale industries
regarding safety and health subjects in association with WACIA, Whitefield,
Bangalore on 22-11-2016 and about 89 workers of different factories had
participated in said programme.

1.2. PRESSURE VESSEL AND PLANT SAFETY MONITORING CELL:

(ESTABLISHED IN THE YEAR 1995)

Aim:

To oversee the safe working of pressure vessels, lifting machines, lifting tackles, hoists,
pressure plants, power presses, dust extraction systems and other dangerous machinery used
in industrial activity by periodical inspections.

[
 94

Activities:

Competent persons have been recognized to achieve the objectives of this cell. The
eligible persons in accordance with their educational qualifications & experience are recognized
as competent persons to carry out examination of equipment for safety under the Factories Act,
1948.

Competent persons have been recognized to examine the following equipments:

 Lifts, hoists, Lifting machines & lifting tackles-chains & ropes

 Pressure Vessels, pressure plant
 Dangerous machines-Centrifugal machines, power presses
 Dust Extraction Systems
 Driers & Ovens
 Shot Blasting Equipment
 Water Sealed Gas Holders
 Ventilation Systems
 Solvent Extraction Plants

Achievements:

 22 competent persons, 24 institutions and 15 Factories were recognized for the year
2016 and the Annual fees collected through such recognition under the Factories
Act,1948 was Rs. 5,59,500/=
 For continuous supervision of such activities, the department has issued guidelines to
departmental officers. This action of the department has reduced industrial accidents
considerably.

1.3 Building and Other Construction workers ( Regulation of Employment and

Conditions Of Service )Act-1996

With effect from 11-02-2011, the officers of the Department of Factories, Boilers, Industrial
Safety and Health have been notified as Inspector for the provisions of the sections 38,39 and
40 of the Building and Other Construction workers ( Regulation of Employment and Conditions of
Service ) Act-1996 and rules 50 to 251 of the Building and Other Construction Workers
(Regulation of Employment and Conditions Of Service)(Karnataka)Rules 2006 for implementation
of above provisions in building and other construction projects of Rs. 25 crores and above.
 95

Achievements:
 Total 80 inspections carried out during the year 2016 and 18 prosecutions were
launched.
1.4 CENTRAL SAFETY MONITORING CELL :
ESTABLISHED IN THE YEAR 1989.

Aim

To identify the industries involved in hazardous process and to secure the compliance
under chapter IV A of the Factories Act, 1948 and The Chemical Accidents (Emergency
Planning, Preparedness and Response) Rules, 1996 framed under The Environment
(Protection) Act, 1986.

Activities :

The tragedy of Bhopal that occurred on 3rd December of 1984 woke up the whole world
to a greatest industrial tragedy ever heard in the civilized society. The states having chemical
industries, chemical process industries reviewed their system of working and the competency
possessed by them to meet the exigencies that are likely to occur in industrial scenario. This
process required a dedicated agency so that the safety status evaluation of existing industries
and proposed industries could be assessed. The activities of such industries are closely
monitored and new projects are cleared having proper sitting guidelines. The effective
mechanisms to prevent and contain industrial disasters are well-planned and rehearsed for
emergency planning and response. These plans are needed to be generated at the local level,
sub division level, district level and at state level. This emergency preparedness plan and
response are not limited only to the department but involves multiple agencies of the state
which includes the district administration as a whole, the NGO’s, the experts, etc., The central
safety monitoring cell is working in all the areas specified above in a focused way.

1.5 OCCUPATIONAL HEALTH AND HYGIENE:-

The Additional Director of Factories (Medical) and Occupational Health Specialist are
regularly visiting all the hazardous industries to verify whether medical examination of workers
are being carried on and to ensure compliance to relevant provision of Karnataka Factories
Rules. To identify Occupational Diseases and to detect the same at the early stage on priority
at the time of inspections. Addition to the above advising the preventive measures to be taken
to prevent occupational diseases and the personal protective equipments to be used by the
 96

workers. Conduct safety training programmes in association with Karnataka Safety Institute.
As per the directions of Women and Child Committee anaemia survey of female workers of the
garment industries is nearing completion. Further as per the Human Rights Commission the
survey of silicosis caused due to silica dust is in progress.

1.6 OTHER SUPPORTING ACTIVITIES

1.6.1 Prevention of Accidents;-

The performance of the department can be assessed on the basis of the number
of accidents and disasters that occurred in the State. The available statistics with the
department reveals an increase in the industrial activity and in a progressive direction.

The increased industrial activity has resulted in an increase in factory workers

from 14.84 lakhs to 16.23 lakhs. At the time when 14.84 lakhs workers were working
about 120 reportable accidents have occurred. But during the year 2016, although
there is increase in workers but only 85 reportable accidents have occurred.

It is important to note that no Chemical / Industrial disasters have occurred

during the year, all though there are Hazardous and Major Accident Hazard industries
are working in the state. There were no boiler explosions also during 2016 in the State
of Karnataka.

1.6.2 Prosecutions

During the year 2016, the department has launched 117 criminal prosecutions
against the occupiers/managers of the industries after having noticed various violations
of the provisions of law enforced by the department.

In addition 07 prosecutions were launched against the Employers under Building and Other
Construction workers (Regulation of Employment and Conditions of Service) Act-1996.

During the year 2016, total 98 cases are disposed in the different courts and an
amount of Rs. 20,59,500/- has been imposed as fine by various Honorable Courts
across the State.
 97

2. BOILER WING:-

The Boiler wing of the Directorate of Factories, Boilers, Industrial Safety and Health is
saddled, with the duties of promoting safety in industries, prevent boiler explosion and to
protect the life, limb and property of the public as well as personnel working nearby. In
order to ensure safety in using a boiler, the three main aspects viz., in built safety, Safety in
maintenance and Safety in operation, are dealt within the Indian boiler regulations 1950 and
the rules framed by the State Government under the Indian Boiler Act 1923. The statutory
provisions are under constant review by the Central Boilers Board, having regard to
technological advances in the field of manufacture of boilers.

In the state as on 31-12-2016 there are about 4617 boilers, 99 economizers and 3792
Steam lines. In accordance with the new industrial policies of the State Government and also
the new liberalization and globalization policies of the country, the Department is enforcing
legislations effectively without compromising with the Safety of the Boilers and steam lines or
causing hindrance to the production activities.

Further as per the Government policy the department as adopted friendly and guidance
policies to ensure the industries receive the benefit of the Government policies.

ACTIVITIES AND ACHIVEMENTS

Targets are fixed for the regular inspections & training programmes. The department has
fixed time limits for delivery of some of the services for the benefit of the citizens & applications
are disposed accordingly. The statistics of the targets achieved for the year 2016 is enclosed
as Annexure “C”.

2.1 BOILER TESTING, TRAINING AND EXAMINATION CELL

(ESTABLISHED IN THE YEAR 1995)

Aim and Objective:

To conserve fuel and efficient use of steam, the boiler using industries started installing
high pressure boilers. And also to reduce the gap between demand and supply of electric
power, the industries have started installing biomass-fired boilers and co-generation units in the
state. For these high-pressure boilers, the technical skill of the operating personnel, erection
personnel, and pressure parts manufacturers should be of highest order. Hence, to train these
personnel and also verify the design and drawings of these pressure parts, suitability of
 98

materials used, welding techniques to be adopted and welding consumables to be used, a

separate wing called Boilers Testing, Training and Examination Cell was created in the year
1995. This Boiler Testing, Training and Examination Cell has rendered a commendable service
ever since its creation. Every year Boiler Operating Engineers and Boiler Attendant
Examination are being conducted and competency certificates are being issued. The cell is
preparing and publishing hand book in kannada language which is useful to the Boiler
Attendants. The achievements of the Boiler Testing Training and Examination Cell are as
under.

Achievements:

For testing quality of boiler materials manufactured in the State and also the welders
employed for the manufacturing of the boilers, the process of establishing and one boiler
material testing centre is under progress.

To encourage manufacturing of boiler and accessories in the state, continuous guidens is

provided in the field of design to the manufacturer. In the said period 279 boilers are
manufactured by the boiler manufacturers, 76296 valves, 31100 castings and many pressure
parts and accessories are manufactured in the state.

In the said period 168 boilers, 135 steam pipelines and 02 economizers are registered in
the state. Further 83 boilers are inspected at the time of repairs.

The efficiency and steam production of four boilers were increased due to the guidelines
and approval given for change of design of pressure vessels by the department.

As per the Indian Boiler Regulations 1950, during the last four years welder examination
were conducted and 24 certificates were issued for the welders.

To ensure safe working of boiler in Karnataka, 1st Class and 2nd Class Boiler Attendant
Examination were held where 1539 candidates appeared and 1251 passed candidates were
issued with certificates.

3. PLAN SCHEMES IN THE DEPARTMENT ON – GOING SCHEMES:

Working Conditions & Safety Inspector of Factories

Head of Account (2230-01-102-0-01)

The health, safety and welfare of the workers of the factories registered under Factories
Act 1948 are ensured the periodical inspections of the factories, the payment of earned wages
 99

within the stipulated time, Maternity Benefits as per Payment of Wages Act 1936 and Maternity
Benefit act 1931 are also ensured. As per the Indian Boiler Act 1923 and the rules made there
under, the safe working of the boilers and the pressure parts are ensured by inspecting and
certifying.

Physical Financial
Physical Financial
Target Target
Target Fixed Target Fixed
achieved achieved

Working Condition and Safety

1800 142.00 3350 71.45
Inspector of Factories

4. Additional Activities:

4. 1 Usage of Kannada in Administration:-

Department is keen in usage of Kannada in Administration as per directions of

Government. Department is using Kannada totally in its daily administration excluding some
circumstances in correspondence with Courts , Commissions and out of state
correspondence, Right to Information Act, Administrative / Annual Reports etc.

During the calendar year 21838 letters are received and 16484 letters are
dispatched in Head Office out of which 20076 & 16258 are in Kannada respectively.

The Divisional Offices have received 47202 letters & dispatched 36520 letters out of
which 12852 & 35283 are in Kannada respectively.

4.2 Citizen Charter:- Citizen charter is published providing information about activities of the
department, services available to public etc.

4.3 Right to information Act-2005:- Under Right to Information Act-2005 this department has
published list of all public Information Officers. Accordingly two Additional Directors of
Factories and four Joint Directors of Factories are appointed as the First Appellate
Authorities, 45 officers are appointed as Public Information Officers. During this year 179
applications were received and 174 applications were disposed and an amount of Rs.2985/-
was fees realized under this Act.

4.4 Public Grievances Redressal Cell:- Authorities are appointed at district and state level to
receive public grievances. Sri V.H.H.Surendra, Additional Director of Factories (Medical) is
appointed as a Public Grievances redressal Officer and Sri. T.R. Ramesh, Deputy Director of
 100

Factories is appointed to assist the Public Grievances Redressal Officer. As per the circular from
the Government, the above officers are attending Public Grievances Meeting in Deputy
Commissioner’s office on the first & third Saturday of every month.

No applications have been received during the year 2016.

4.5 e-governance:- The Department is actively into e-governance. It has its own web portal e-
surakshate. Presently services have been started on a pilot basis. In the year 2015, from
web portal, link has been established with Khajane-II, there by provision has been made to
pay fees through e-payment. The integration for the web-portal is also under progress. The
department is planning to provide more services to the public and to make the web-portal
more public user friendly.

4.6 Ease of Doing Business:- As per the directions of the Government, the provision has been
made for providing speedy and transparent on-line services of registration of factories and
boilers, issue of licenses, amendment of licenses etc., for the stake holders. Further on-line
payment through Khajane-II has been started, there by the stake holders need not waste their
time for visiting bank, khajane etc.,

4.7 SAKAALA-Guarantee of Services to Citizens Act:-

The Department has been offering the SAKAALA-i.e Guarantee of Services to Citizens
for the time bound delivery of 10 services of the Department since 2012.

In the year 2016 the Department has received 9096 applications under SAKAALA & has
disposed 8980 applications.

5. BUDGETORY INFORMATION:-

As per the provisions of statutes enforced by the department, fee is being levied
for various services (like approval of plans of factory and boilers, registration, renewal
of licenses, boiler inspection, etc.,) rendered. Expenditure is being incurred only for
pay and allowances of officers/staff, as well as for maintenance of various offices. No
developmental schemes / programmes are being implemented by the department.
 101

Following is the details of fee realized for the year 2016

(Rs in Lakhs)

Revenue Achievement
Target
(upto 31-12-
2016)
1. 0230-00-104-0-00
1400.00 1275.69
Fees realized under the Factories Act
2. 0230-00-103-0-00
Fees realized under inspection of 240.00 364.32
Steam Boilers
Total 1640.00 1640.01

Following is the details of expenditure incurred for the year 2016

(Rs in Lakhs)

2016
Expenditure (upto 31-12-2016)
Allotment Expenditure
2230-01-102-0-01 Non-plan 873.00 627.18

2230-01-102-0-01 Plan 142.00 71.45

Total 1077.00 698.63

Address of the website and URL: For further information stake holders may visit departmental
website: www.labour.kar.nic.in & karnataka.gov.in/surakshate/
 102

"Annexure – B"

STATISTICAL INFORMATION
(FROM 01-01-2016 TO 31-12-2016)

FACTORY WING

Particulars Regarding Registered Factories

Sl.No
2016
Details of works
1. 16,197

No. of registered factories

2 No. of workers employed in registered factories 16,23,238

3 No. of factories de-registered during the year 459

4 No. of factories registered during the year 1025

5 No. of hazardous factories 1186

6 No. of on-site emergency plans approved 73

7 No. of major accident hazard units 42

8 Off-site emergency plans prepared by district

19
administration

Approval of Plans
1
26
No. of plans pending at the beginning of the
year
2
1538
No. of plans received during the year
3
1548
No. of plans approved during the year
4
16
No. of plans pending at the end of the year
 103

Inspections

1
7648
No. of factories inspected
2
447
No. of contraventions noticed
3
251
No. of Show Cause notices issued

Prosecutions

1
117
No. of prosecutions launched
2
98
No. of prosecutions ended in convictions
3
20,59,500/-
Amount of fines imposed (in rupees)
4
-
No. of cases withdrawn

Exemptions

1
65(2) -537
No. of Exemption order issued under sec. 65(2)
and 66(1)(b) - 01
66(1)(b) of Factories Act

2
25
No. of Exemptions rejected

Complaints

1 112

No. of complaints/petition received

2 84

No. of complaints/petitions disposed

 104

Accidents

1
482
Total No. of accidents
2
35
No. of fatal accidents occurred during the year
3
45
No. of non-fatal accidents occurred during the
year
4
06
No. of fire accidents reported

Detection of New Factories

1 474

No. of new factories detected

Public Grievance Statistics

1 -

No. of complaints received

2 -

No. of complaints disposed

3 -

No. of complaints pending

Right to Information Act, 2005

1
179
No. of applications received seeking information
2
174
No. of applications disposed giving information
3
-
No. of applications transferred to other
departments
 105

4
05
No. of applications pending
5
2,985/-
Fees collected (in rupees)
6
17
No. of 1 appeals (public authority)
st

7
01
No. of 2nd
appeals (State Information Commission)

"Annexure – C"

STATISTICAL INFORMATION
(FROM 01-01-2015 TO 31-12-2015)

Particulars of Boilers

1
4617
Total number of boilers in the State
2 168

No. of boilers registered

3 3175

No. of boilers inspected

4 3025

No. of boilers certified

5 95

No. of boilers suggested for repairs

6 83

No. of boilers completed repairs

 106

Economizers

1 99

Total number of economizers in the State

2 02

No. of economizers registered

3 25

No. of economizers inspected

4 25

No. of economizer certified

5 -

No. of economizers suggested for repairs

6 -

No. of economizers repairs completed

Steam Pipeline

1 3792

Total number of steam pipelines in the State

2 135

No. of steam pipelines registered

3 2091

No. of steam pipelines inspected

4 17

No. of welders Examination

5 17

No. of welders passed in Examination

6 10

Training
 107

Repairers

1 11

Total number of special class boiler repairers

2 26

Total no. class I boiler repairers

3 07

Total no. class II boiler repairers

4 06

Total no. class III boiler repairers

Examinations

1
-
No. of candidates eligible for Boiler Operation
Engineers examination
2
-
No. of candidates appeared for Boiler Operation
Engineers examination
3 -

No. of successful candidates

4
408
No. of candidates appeared for First Class Boiler
Attendant examination
5
290
No. of successful candidates in First Class Boiler
Attendant examination
6
1502
No. of candidates appeared for Second Class
Boiler Attendant examination
7
961
No. of successful candidates in Second Class
Boiler Attendant examination
 108

8 17

No. of periodical testing of welding electrodes

9 17

No. of periodical testing of filler wires

Manufacture

Sl. No. Particulars Numbers

1. No. of small Industrial Boilers 279

2. No. of Package Boilers 137

3. Water Tube Boilers -

4. No. of Valves 76296

5. Ferrous Casting 31100

6. Forgings -

7. No of Pressure gauges 65

8. No of Thermo well 509

9. No of Super heater coils 644

10. No of Economizer coils 1771

11. No of headers 04

12. No of tubes 2332

13. No of stubs 581

14. No of Bends 583

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15. No of Half Coupling 1200

16. 60

No of pipes
17. 6132

Bed coils
18. -

Hot rolled coils

19. -

C.B.D Tank
20. -

Strainers
21. 800

Nipple
22. 01

Spool piece
23. 04

Miter bends
24. 05

Reducer

Address of the website and URL: For further information stake holders may visit departmental website:
www.labour.kar.nic.in & for Online Services: karnataka.gov.in/surkashte/

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