This presentation was prepared by Anusha Matam at the end of her internship during June-July 2015 at Hyderabad Urban Lab (HUL). Anusha is a planner. Having just completed her B.Plan from School of Planning and Architecture, Bhopal she came to HUL for an internship and took on a study of the living conditions and housing needs of construction workers. As part of the study she interviewed workers, builders and contractors in Hyderabad and went through various laws and guidelines relating to housing for contracted workers. This slideshow is a presentation of her study findings and inferences.

1. The Uninhabitable Conditions of Habitat
Builders
Internship Report by Anusha Matam
Hyderabad Urban Lab (HUL)
July, 2015

2. Introduction
The construction industry is a major source of employment
worldwide. Also it is noted that, in India, construction industry is
the second largest employer after agriculture.
Also, informal/unorganized sector covers 92% of the total work
force in India. About 50% of the construction industrial workers
belong to informal/ unorganized sector.
Construction workers are observed to be the most vulnerable
and disadvantaged group of the construction industry, as they
fall in the lower most order of the hierarchy of the industry.
Referring to these issues, the study has been initiated to
understand the problems faced by workers in the construction
industry.

3. Stakeholders in the Construction
Industry
There are various stakeholders who are involved in this construction
industry. They start from client, architect, engineer, project manager,
builder, contractor, workers etc.
Client Builder Contractor Workers
Here, It is important to notice that direct employer-employee
relationship that exists between the contractor/sub-contractor and
the workers.

4. Contractors
A contractor is a person who is responsible for supplying material,
labour, equipment, engineering vehicles, tools and services
necessary for the construction of the project.
Types of Contractors
Category A contractor: These are
the contractors who undertake
large projects i.e., above Rs. 100
crore. Such contractors comprise
of both government recognized
and unrecognized contractors.
Category B contractor: These are
the contractors who undertake
medium scale projects i.e., from
Rs. 1 crore to Rs.100 crore. These
contractors also comprise of both
government recognized and
unrecognized contractors.
Category C contractor: These are the contractors who have the least
amount of experience and capacity to undertake projects. They are
typically small and mid-sized contractors who employ group of 10-100
labours. They are usually the subcontractors who spin off from/ work
under bigger contractors in categories A and B.

5. Workers
They are categorized on two basis i.e., one, on the basis of type of
work and the other, on the basis of time period of work –
Based on the Type of Work
Skilled Labour: These are the
workers who have specialized
training or a learned skill to perform
a set of works. They are masons,
painters, plasterers, electricians etc.
Unskilled Labour: They are the
labourers who do not have any
special training or skills. They are
typically involved in works like
manually carrying heavy loads of
brick, cement, stone etc. from an
unloaded heap to main construction
point.
Based on the time period of
work
Casual Labour: Casual Labour
are those who work on a day to
day basis and receive wages on a
daily basis. These casual labour
visit the construction site on daily
basis, and return to their
respective houses
Contract Labour: Contract
labour are those who are hired
on contract basis for a specific
period of time, generally until
the completion of a project. They
are completely dependent on a
contractor for accommodation
and other related basic facilities.

6. Problem Statement
Amongst casual labours and contract labours, contract labours are
more vulnerable in certain ways. They are mostly migrants, who are
compelled to work until the completion of project and are completely
dependent upon contractors/sub-contractors for all their basic needs.
Though, both these kind of labours face equal problem in terms of
receiving sufficient amount of wages and struggle for financial
security, the contract labour face additional sets of problems in terms
of receiving basic facilities and amenities.
Therefore, the main aim of the study is to -
‘Understand how to improve the living conditions of contract
labours in construction industry’.

7. Existing Scenario

8. According to the Law
i. The Contract Labour (Regulation and Abolition) Act, 1970
The objective of this act is to act to regulate the employment of
contract labour in certain establishments and to provide for its
abolition in certain circumstances and for matters connected
therewith. It is applicable to every establishment in which twenty
or more workmen are employed or were employed on any day of the
preceding twelve months as contract labour.
This chapter includes, provision of canteens, restrooms, first aid
facilities and explains the liability of principal employer in
providing all these facilities. It also includes responsibility of
payment of wages to the workers by the contractor.

9. ii. The Contract Labour (Regulation and Abolition) Central Rules, 1971
In exercise of the powers conferred by the Contract Labour (Regulation
and Abolition) Act, 1970 the Central Government makes the following
rules, the as required by each chapter.
The standards provided for the facilities are rest rooms, canteens,
latrine and urinals, washing facilities, and first – aid facilities.
iii. The Building and Other Construction Workers (Regulation of
Employment and Conditions of Service) Cess Act, 1996.
It is also referred as BOCW Act, 1996 which is a new act over the contract
labour (Regulation and Abolition) Act 1970, that has been passed in the
year 1996. BOCW Act, 1996 is the act which is being enforced currently.
This act has two part -
The Building and Other
Construction Workers (Regulation
and Conditions of Service) Act, 1996
The Building and Other
Construction Workers Welfare
Cess Act, 1996

10. iv. International Labour Organization (ILO)
ILO is a United Nation organization formed in the year 1919 which
deals with labour issues, particularly international labour standards,
social protection, and work opportunities for all. The main objective to
promote rights at work, encourage decent employment opportunities,
enhance social protection and strengthen dialogue on work-related
issues. It is an organization consisting 186 states across the world.
India is also a part of it.

11. Existing Living Conditions of Contract Labour
i. Primary Survey

14. ii. Secondary Source
‘Indian Journal of occupational and environmental medicine’ stating
‘Construction Industry: More needs to be done’. The article highlights
that, “Construction workers are exposed to a wide variety of health
hazards at work. The exposure differs from job to job. The work-related
diseases form 5% to 20% of the work force. There also few Psycho-social
hazards faced by these workers. There is no recreational facilities, lack
of access to education for children, poor sanitary facilities and lack of
safe drinking water. These features of construction work, as well as
heavy workload, possibility of work place violence or community
violence and limited social support are the factors associated with
increase stress in the work force”.
An article published online on Deshkal Society about the construction
workers living conditions highlights the following points – “Being part of
unorganized sector of laborers, they lose in bargaining for fair wages.
They are not paid minimum wages; even the agreed wages are not paid
on time. Moreover, their working time and hours are not well regulated.
They do not get overtime rates for excess work. Apart from these, there
is no recreational facilities, no availability of drinking water, toilets,
canteens etc.”

15. A qualitative research study had been conducted in Pune in 2006, on
‘Problems of Construction Labours’. 82 construction sites of Pune were
visited and a detailed study about the worker’s living conditions living
on-site had been conducted. The following were the findings:
 66.7% of construction companies consist of 100-200 labourers.
 A majority percentage of labourers (66.0%) are living in self-
constructed temporary sheds nearby construction sites.
 71.7% of temporary shelters do not have any electricity provision.
 73.8% of construction sites do not have any toilet facility or toilets
having substandard quality.
 Only 20.4 % of construction sites have provision of drinking water
facility.
 72.2% of the companies do not pay medical cost incurred by the
labourers.
 79.7% of construction companies are not making provision of 'Crèches'
to the labourers' children.
 74.2% of construction labourers' children are illiterate. They are either
at home or wandering here and there in the site when their family
members engaged in work.

16. An article published by Hindu on May 5th, 2012 says that, ‘Construction
Workers are unaware of their Rights’. It says that, “Five years since the
board has been set up, just 10,082 labourers availed the welfare benefits
while 14.89 lakh workers were registered. This, while Rs. 789 crore is
lying with the Welfare Board for their benefit”.
According to a review conducted by International Labour Organization
in 2001, in many developing countries, where the supply of labour
(particularly unskilled labour) is far in excess of the number of jobs,
earnings for the majority of construction workers are around the level of
the minimum wage or below.

17. Lack of good Housing, physical
infrastructure & social benefits
Low wages and lack of financial security,
Lack of strong vigilance & enforcement of
law and
Lack of awareness amongst workers about
their rights.
Learnings

18. Approach to the Problem
‘Lack of good Housing, physical
infrastructure & social
infrastructure’
The delivery mechanisms of
facilities
Identifying delivery mechanisms for providing – “Housing,
Physical infrastructure and social infrastructure”, that are
already present in the market,

19. Delivery Mechanisms – Housing,
Physical Infrastructure and Social
Infrastructure

20. Interviews
To identify the delivery mechanism of each facility provided to the
contract labourers, interviews have been conducted with the higher
order stakeholders of the construction industry (majorly contractors
and builders). A total of 7 interviews have been conducted, in which 2
are builders, 4 are contractors and 1 is a civil engineer. All these
individuals take up projects mostly in and around Hyderabad district.

21. Delivery Mechanisms
Housing
i. Building construction in the City
On-site:
• The construction workers first build temporary shelters around
the construction site and then, once the ground floor of the
building is ready, they make shelter under the building.
Materials used are Plastic yellow/blue colored sheets and
Bamboo sticks.
• Sometimes, permanent structures are built as shelter to the
workers, and once the project comes to end, these structures are
dismantled. The materials used are, corrugated GI sheets for
roof, brick and cement for walls, and cement flooring.
Off-site:
Generally, when the contractor/sub-contractor owns a nearby
building or sometimes takes the building on rent, and provides
shelter for the workers there.

22. ii. Service projects in the City
These projects are basically construction of roads, flyovers, laying of
pipelines, sewage lines etc. in the city. In these cases, shelter for
workers is generally provided off-site. A residential colony is chosen and
workers reside in those colonies until the completion of project.
Since the off-site housing is far from the construction site, workers are
provided with transportation facility to reach the construction site.
Generally a DCM vehicle or a small truck/lorry is provided for workers
to reach the site in the morning and are returned to the shelter in
similar away in the evening after the completion of work for the day.

23. iii. Construction project outside the city
Construction projects outside the city are generally irrigation projects,
construction of dams, canals etc. In projects like these, housing for
workers is provided on-site itself.
• Materials used for shelter are generally plastic blue/yellow sheets and
bamboo sticks to hold the structure.
• Sometimes, permanent structures are built and are later dismantled
after the completion of project. Materials used in these are – brick &
cement walls, GI sheets or palm leaves roof, and mud flooring.
• Also, in recent times, a new material called plastic fiber is in the
market for temporary shelters. They are easily assembled and dis-
mantled based on the requirement.

24. Sanitation Facility
It is observed that, most of the construction sites lack the facility of
sanitation for workers, irrespective of construction site’s location, or type
of project, etc.
However, one mechanism has been identified for on-site construction sites
– Permanent toilet structures are built and are later dis-mantled after the
completion of project.
Whereas, for off-site construction sites, sanitation facilities are sometimes
provided in the buildings themselves.
Drinking Water Facility
Water from bore well/bore pump that is dug for construction purpose, is
used for drinking water purpose. However, if the water is found to be
not potable, water cans from the market are brought and are provided
for drinking water for the workers.

25. Electricity Facility
The electricity connection from the site is extended to the shelters and a
separate meter is set up for electricity used by the construction workers.
Cooking Facility/Food Facility
It depends on the status of the worker and the location of the
construction site
i. Building construction in the City
• In case, the worker is living with their family, food is cooked by
themselves and they are not dependent on the contractor/sub-
contractor.
• Whereas, if the worker is not living with their family, meals are
provided by the contractor/sub-contractor. These are counted in wages
and are paid comparatively less than the worker who lives with their
family.
ii. Construction Project outside the city
In these cases, a cook is hired by the contractor for cooking all the meals
in a day for the labourers.

26. Recreational Facilities
There is no special provision of recreational facilities for the workers.
However, Sunday is compulsorily a holiday for relaxation from work and
sometimes, in few cases, a Television is provided as a recreational facility
to the workers.
Creches/Educational Facilities
It is noted that, amongst all the interviews conducted, none of the
construction company provides any crèche facility or educational facilities
to the worker’s children.
Health Facilities
Also, when the construction site is outside the city, the doctor from the
nearby village/town/city is called to visit the construction site at regular
intervals for medical check-up of all the construction workers.
The contractor generally takes responsibility of workers health issues
only when any injury takes place or only when health is affected, during
the process of working in the construction site. They are provided with
Employees’ State Insurance (ESI) cards, which provides medical aid to
the workers.

27. Way Forward
This study mainly aims at improving the living conditions of contract
labourers of construction industry. Focusing on this aim, an attempt has
been made to identify all the existing delivery mechanisms that are
present in the market to deliver the basic facilities to the contract
labourers when working in a construction project. There are few delivery
mechanisms that have been identified. However, further study needs to
be conducted in identifying various other delivery mechanisms.
Along with this identification, it is important to understand how it is
practically functioning, for which, on-ground study by visiting the
construction site is to be done. The study should be conducted involving
contract workers asking about their opinion on these delivery
mechanisms. On the basis of common consent between
marketer/contractor/facility provider and facility receiver/worker, few
suitable alternatives can be worked out.
Apart from these, in the later stage of study, the other three broad
problems should also be studied, as all these are interlinked and inter-
dependent.

28. Thank You