Construction Glossary
Definitions of key construction, labour, and payroll terms for Indian contractors.
Understand terms used across our tools and guides.
Labour & Workers
P/A/HD
Attendance codes: P = Present (full day), A = Absent, HD = Half-day. Used in muster rolls and attendance sheets to record daily worker status.
Unskilled Worker
Construction worker performing basic tasks like loading, mixing, cleaning. Paid at the lowest minimum wage tier. Examples: helpers, mazdoors.
Skilled Worker
Worker with trade skills like masonry, carpentry, plumbing, electrical. Paid at higher minimum wage. Examples: mason, carpenter, fitter.
Payroll & Wages
PF (Provident Fund)
Employee retirement savings scheme. Employee contributes 12% of Basic+DA, employer matches 12%. Wage ceiling for deduction is ₹15,000. Applies to establishments with 20+ employees.
ESI (Employee State Insurance)
Social security scheme for employees. Total 4% (0.75% employee + 3.25% employer) on gross salary. Applies when salary ≤ ₹21,000 and establishment has 10+ employees.
Daily Wage
Wage paid per day of work, common in construction. Must be at least the state minimum wage. Calculated as: (Daily Rate × Attendance) + OT − Advances − Deductions.
VDA (Variable Dearness Allowance)
Component of minimum wage linked to inflation. Updated periodically (often bi-annually) by central and state governments. Added to basic wage to determine total minimum wage.
Overtime (OT)
Work beyond standard hours (usually 8/day). In India, OT pay = (Daily Wage ÷ 8) × OT Hours × Multiplier. Most states require 2× (double) wage for overtime.
Compliance & Legal
Muster Roll
A daily register of workers employed at a construction site, recording names, attendance (P/A/HD/OT), and wages. Required under BOCW Act for compliance.
BOCW
Building and Other Construction Workers (Regulation of Employment and Conditions of Service) Act, 1996. Central law governing welfare, safety, and employment conditions of construction workers in India.
Construction
DPR (Daily Progress Report)
Report of work completed each day on a construction site. Includes tasks, materials used, labour count, and photos. Shared with clients for transparency.
BOQ (Bill of Quantities)
Document listing materials, quantities, and rates for a construction project. Used for tendering, estimation, and billing.