EPFO Provident Fund: A New Chapter for Construction Workers

The EPFO's provident fund scheme offers stronger protection to construction workers compared to the Building and Other Construction Workers (BOCW) Act, according to a ruling by the regional provident fund commissioner, Uttam Prakash. The decision addresses ambiguities between national legislations, potentially redefining labor welfare in India.

The Employees' Provident Fund Organisation's (EPFO) provident fund scheme has been judged to offer superior protection for construction workers compared to the Building and Other Construction Workers (BOCW) Act, as per a ruling from the regional provident fund commissioner, Uttam Prakash, in response to a Kerala High Court directive.

This ruling stems from a court case filed by Veegaland Homes Pvt. Ltd, questioning which law, the EPF Act or the BOCW Act, provides more beneficial coverage to construction workers. The commissioner concluded that the EPF scheme offers lifetime pension, extensive death and disability benefits, and significant portability of benefits across states, among other advantages.

While the EPF Act operates nationally, the BOCW Act is enforced by state welfare boards leading to varied benefit delivery. The ruling is poised to influence India's labor welfare landscape significantly, reinforcing the need for streamlined and enforceable benefits for construction workers.

(With inputs from agencies.)