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Code on Social Security, 2020 · 8

Section 108: Building and other construction workers’ welfare fund and its applications

Reviewed by Finin2min Editorial Desk · Last reviewed 30 August 2026

Section 108 — Governs building and other construction workers’ welfare fund and its applications and the rights, duties, powers or procedure expressly stated in this section. Key operative text: (1) There shall be constituted by a Building Workers' Welfare Board a fund to be called the Building and Other Construction Workers' Welfare Fund and there shall be credited thereto— (a) the amount of any cess levied under…

Full official textSource checked: 20 August 20262 direct Central Rule link(s)

Current-law status

The Code was commenced in stages: section 142 had earlier commencement, S.O. 5319(E) brought the specified provisions into force from 21 November 2025, and later commencement instruments must be read with the current India Code footnotes for the remaining clauses.

Primary sources

Provision / India Code ↗ · Official Act PDF ↗ · 2026 Central Rules ↗

Finin2min analysis — what the section actually does

Operative clauses

(1) There shall be constituted by a Building Workers' Welfare Board a fund to be called the Building and Other Construction Workers' Welfare Fund and there shall be credited thereto— (a) the amount of any cess levied under sub-section (1) of section 100;
(b) any grants and loans made to the Building Workers' Welfare Board by the Central Government; and (c) all sums received by the Building Workers' Welfare Board from such other sources as may be decided by the Central Government.
(2) The Building and Other Construction Workers' Welfare Fund shall be applied for meeting— (a) expenses of the Building Workers' Welfare Board in the discharge of its functions under sub-section (6) of section 7;
(3) No Building Workers' Welfare Board shall, in any financial year, incur expenses towards salaries, allowances and other remuneration to its members, officers and other employees and for meeting the other administrative expenses exceeding five per cent. of its total expenses during that financial year.

Provisos, explanations & qualifications

No proviso/explanation was separately extracted from this section text.

Thresholds and timelines in the text

(3) No Building Workers' Welfare Board shall, in any financial year, incur expenses towards salaries, allowances and other remuneration to its members, officers and other employees and for meeting the other administrative expenses exceeding five per cent. of its total expenses during that financial year.

Actors expressly appearing in the text

Employee / worker, Worker, Central Government

Full statutory text — Section 108

Official English text transcribed from the current India Code consolidation; page headers/line breaks are normalised for web reading. The Gazette/India Code PDF remains authoritative for typography, amendment footnotes and schedules.

108. Building and Other Construction Workers’ Welfare Fund and its application.—(1) There
shall be constituted by a Building Workers' Welfare Board a fund to be called the Building and Other
Construction Workers' Welfare Fund and there shall be credited thereto—
          (a) the amount of any cess levied under sub-section (1) of section 100;
          (b) any grants and loans made to the Building Workers' Welfare Board by the Central Government;
    and
        (c) all sums received by the Building Workers' Welfare Board from such other sources as may be
    decided by the Central Government.
    (2) The Building and Other Construction Workers' Welfare Fund shall be applied for meeting—
        (a) expenses of the Building Workers' Welfare Board in the discharge of its functions under
    sub-section (6) of section 7;
        (b) salaries, allowances and other remuneration of the members, officers and other employees of
    the Building Workers' Welfare Board; and

        (c) expenses on objects and for purposes authorised by this Code.
    (3) No Building Workers' Welfare Board shall, in any financial year, incur expenses towards salaries,
allowances and other remuneration to its members, officers and other employees and for meeting the other
administrative expenses exceeding five per cent. of its total expenses during that financial year.
                                                CHAPTER IX
                   SOCIAL SECURITY FOR UNORGANISED WORKERS, GIG WORKERS AND
                                              PLATFORM WORKERS

How to apply this provision

Primary statutory test — (1) There shall be constituted by a Building Workers' Welfare Board a fund to be called the Building and Other Construction Workers' Welfare Fund and there shall be credited thereto— (a) the amount of any cess levied under sub-section (1) of section 100;
Additional operative limb — (b) any grants and loans made to the Building Workers' Welfare Board by the Central Government; and (c) all sums received by the Building Workers' Welfare Board from such other sources as may be decided by the Central Government.
Numerical or timing control — (3) No Building Workers' Welfare Board shall, in any financial year, incur expenses towards salaries, allowances and other remuneration to its members, officers and other employees and for meeting the other administrative expenses exceeding five per cent. of its total expenses during that financial year.
Central Rule mapping — 46, 47. Read the mapped provision together with this text rather than treating the concordance as a substitute for it.
Evidence file — retain facts and records proving the role/status of: Employee / worker, Worker, Central Government.

Why this is section-specific: the operative-clause, exception, threshold and cross-reference panels above are extracted from Section 108 itself rather than a generic “trigger/control/evidence” template.

Rules, forms and cross-references

Direct 2026 Central Rule mapping

Rule 46 Rule 47

Forms mapped

No prescribed form is directly mapped in the current concordance.

Other sections cited in this text

Section 100 Section 7

Related Labour Hub resources

EPFO Schemes ESIC Gratuity hub

A direct concordance is not exhaustive. Central/State jurisdiction, schemes, authority appointments, saved instruments and later notifications may change the practical route without changing the section wording.

Worked example

When an event triggers building and other construction workers’ welfare fund and its applications, record the trigger date, competent authority, prescribed rule/form, filing or decision step, service/acknowledgement and final outcome. A statutory point to test is: “(3) No Building Workers' Welfare Board shall, in any financial year, incur expenses towards salaries, allowances and other remuneration to its members, officers and other employees and for meeting the other administrative expenses exceeding five per cent. of its total expenses du” Read the mapped Central Rule(s) 46, 47.

Illustration only; it is not statutory text or a substitute for applying the actual facts, jurisdiction, current rule/scheme and official instrument.

Q&A — Section 108

What does Section 108 of the Social Security Code cover?

What is the main legal requirement or power in Section 108?

The first operative clause identified from the official text is: “(1) There shall be constituted by a Building Workers' Welfare Board a fund to be called the Building and Other Construction Workers' Welfare Fund and there shall be credited thereto— (a) the amount of any cess levied under sub-section (1) of section 100;” Read it with the remaining subsections and any proviso below.

Does Section 108 contain a proviso or explanation?

No standalone proviso or explanation was extracted from this section text. Check the full text below for clause-level qualifications.

What time limit, percentage or amount appears in Section 108?

The provision contains this numerical/time expression: “(3) No Building Workers' Welfare Board shall, in any financial year, incur expenses towards salaries, allowances and other remuneration to its members, officers and other employees and for meeting the other administrative expenses exceeding five per cent. of its total expenses during that financial year.” Apply it only in the clause and context in which it appears.

Which 2026 Central Rules are linked to Section 108?

The current concordance maps Section 108 to Central Rule(s) 46, 47.

Is Section 108 currently operative?

Source & verification trail

Act: Code on Social Security, 2020 — official India Code PDF ↗

Central Rules: Social Security (Central) Rules, 2026 — G.S.R. 344(E), 8 May 2026 ↗

Official library: Ministry of Labour & Employment — Labour Codes ↗

Source check: 20 August 2026. Individual professional interpretation should be re-reviewed when the section, rules, notification, scheme, State overlay or controlling judgment changes.

Reliance note: This page is an educational legal-reference layer. Verify the current official text, the applicable Central/State rules, notifications, schemes and judicial decisions before acting on a live matter.