TN Hikes Accident Compensation for Construction Workers to ₹8 Lakh

In a big relief for Tamil Nadu’s construction workers, the state government has increased compensation for accidental death at the workplace from ₹5 lakh to ₹8 lakh. The action is intended to improve social security for the lakhs of workers registered under the Tamil Nadu Construction Workers Welfare Board.

Labour Welfare Minister C.V. Ganesan announced this during the recent Assembly session, and the government order has now formalised the decision. The enhanced compensation will be given to the legal heirs or nominees of employees who die as a result of industrial accidents.

The Construction Workers Welfare Board set up in 1994, has been instrumental in providing a social safety net to construction labourers. At inception, the death compensation stood at ₹50,000, later increased to ₹1 lakh during an earlier DMK tenure, and subsequently to ₹5 lakh.

The Board now offers a variety of welfare facilities such as encouragement of education, marriage, maternity, spectacles, pensions, natural and accidental death, disability, and housing relief. The most recent compensation increase has been viewed as an important improvement in worker welfare.

The increased allowance is coming in an era when the safety of jobs continues to be the priority concern in the construction sector, especially considering the growing infrastructure projects in Tamil Nadu. The increase indicates the government’s awareness of both the everyday dangers construction workers put themselves through and the need to offer more financial support to their families when they are in need.

Labour unions have appreciated the step but still insist on firm enforcement of safety standards on sites.

The increase will provide additional peace of mind to workers and their families, many of which live on daily wages alone. It also complements the government’s larger effort to promote labour welfare in the context of fast-paced urbanisation and spurring construction activity in the state.