State plans cess on hotel owners
The State Labour department is planning to impose a cess on hotel owners in the State from the coming financial year to extend social security benefits to the unorganised workers.
Disclosing this to reporters on Wednesday, Labour Minister B N Bache Gowda said the revenue collected through the cess would be used for the welfare of over 2 lakh housekeeping and restaurant services workers in the State.
The decision to this effect was taken at the first meeting of Karnataka State Unorganised Workers Social Security Board.
The Minister said the Board is yet to work out details like the percentage of cess to be imposed and on the category of hotels. “We will place the proposal before the Chief Minister. If he okays, we will go ahead with it,” he added.
The Board has identified 3.19 lakh tailors and dress makers, 33,000 launderers and pressers, 1 lakh transport labourers, 1 lakh car and taxi drivers, besides those working in hotels as unorganised workers in the State.
Bache Gowda said the Government is already collecting 1 per cent cess from all kinds of constructions worth above Rs 10 lakh for social security purposes.
