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Supreme Court directs NCR states to compensate the construction workers affected by closure of activities due to GRAP measures

The Supreme Court has ordered the NCR states to  compensate the construction workers affected by the closure of activities due to Graded Response Action Plan (GRAP) measures in Delhi-NCR.

The Bench of Justice Abhay Oka and Justice Ujjal Bhuyan on Friday observed that compensation should be paid in accordance with its earlier order dated November 24, 2021, mandating the payment of wages to affected workers using funds collected as labour cess.

It further said that compensation must be paid even if no specific court order was issued in the future, adding that whenever construction activities were halted in future due to GRAP measures, affected workers should receive subsistence payments as per the Court’s directions.

During the course of proceedings on February 28, the top court of the country reviewed the status of compensation payments in Delhi NCR. 

The State of Haryana apprised the Bench that the last phase of compensation payments was underway.

The first and second phases of GRAP 4, compensation had been paid to 2,68,759 and 2,24,881 workers, respectively. Additionally, the process of paying compensation to around 95,000 workers for the January 2025 GRAP 4 period was ongoing. 

The Bench observed that no further direction was needed for Haryana at this stage.

The Delhi government submitted an affidavit stating that compensation had been paid to 93,272 workers. The verification process for the remaining registered workers was in progress. The Bench allowed the unions of affected workers to submit details to aid verification and disbursement. The Delhi government was directed to file an updated affidavit by the end of March 2025, detailing the payments made.

Noting that compensation had been paid to 3,197 workers in Rajasthan, the Bench observed that no further direction was required.

The State of Uttar Pradesh apprised the Court that compensation had been disbursed to 4,88,246;  4,84,157 and 691 workers affected during phases 1, 2, and 3 of GRAP, respectively. No additional direction was needed for Uttar Pradesh at this stage, the Court observed.

The top court of the country further addressed the scope of activities permitted under GRAP. 

On November 24, 2021, the Court had banned  construction activities in NCR, while allowing non-polluting tasks such as plumbing, interior decoration, electrical work and carpentry. It further ordered the States to use labour cess funds to provide subsistence to construction workers and pay wages under the Minimum Wages Act during periods of prohibition.

The Counsel appearing for the National Campaign Committee-Construction Labour on Friday contended that non-polluting construction activities should continue even during GRAP 3 and GRAP 4 restrictions. 

The Bench declined to issue such an order, stating that the GRAP guidelines already specified permissible activities.

Amicus Curiae Aparajita Singh apprised the Apex Court that several authorities had failed to submit affidavits as directed on January 20, 2025. She suggested the Commission for Air Quality Management (CAQM) to be tasked with collecting and compiling the affidavits for the court’s review.

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