Hyderabad: Labour, Mines and Geology Minister G. Vivek Venkatswamy on Thursday announced major labour department reforms following allegations of fraudulent compensation claims. The government ordered scrutiny of welfare claims dating back to 2018 and initiated a comprehensive vigilance inquiry.
Addressing the media at the Secretariat, Vivek said the government had begun examining compensation claims under the Telangana Building and Other Construction Workers Welfare Board. The review followed allegations that individuals had used bogus documents and fake death certificates to fraudulently obtain welfare funds.
The Minister said the government intended to strengthen accountability and transparency in the administration of workers’ welfare schemes. He also warned that officials found guilty of irregularities would face action regardless of their rank or position.
“A robust mechanism will be put in place to ensure that every rupee meant for workers’ welfare is utilized properly,” Vivek said.
Labour department reforms follow preliminary inquiry
The Minister said a preliminary investigation led by the Joint Labour Commissioner had already resulted in the suspension of two officials. Following the initial findings, the government ordered a comprehensive inquiry by the Vigilance department. Vivek said officials expected the final investigation report within one to two months.
He maintained that the government would not spare any official found responsible for wrongdoing, irrespective of seniority or position. The Minister also emphasised the need for stronger safeguards in the processing and settlement of compensation claims. Accordingly, the government began reviewing past claims to identify possible irregularities in the use of welfare funds.
Labour department reforms to streamline claim settlements
Vivek further announced administrative changes aimed at improving transparency in the Labour department. As part of these measures, the government planned to streamline claim settlement procedures under the Telangana Building and Other Construction Workers Welfare Board.
Additionally, the Minister said officials who had served in the same office for several years would face transfers shortly. He explained that the proposed transfers formed part of the government’s efforts to ensure transparency in departmental administration. The Minister reiterated that the government would strengthen oversight of welfare funds and improve accountability in compensation claim settlements.