Sub:business law WORKMEN’S COMPENSATION ACT,1923 Presented by: chakrapani 1
WORKMEN’S COMPENSATION ACT,1923 Object:-The objective of this Act is that in the case of an employment injurycompensation be provided to the injured workman and in case of his death to his dependants. It is one of the important social security legislations(law). It aims at providing financial protection to workmen and their dependents. In case of accidental injury by means of payment of compensation by the employers.
WORKMEN ENTITLED TO COMPENSATION:- Who are the qualified persons: Workers employed in any capacity specified in Schedule II of the Act which includes Factories, Mines, Plantations, Mechanically Vehicles, Construction Work and specified categories of Railway Servants. The Act except the States of Arunachal Pradesh, Mizoram, Nagaland, Sikkim, Daman & Diu and Lakshadweep
EMPLOYER LIABLE FOR COMPENSATION :- The employer of any establishment covered under this Act Who has suffered an accident arising out of and in the course of his employment, resulting into (i) death, (ii) permanent total disablement, (iii) permanent partial disablement. Who has contracted an occupational disease
WHAT IS DISABLEMENT:- Disablement is the loss of the earning capacity resulting from injury Disablement’s can be classified as (a) Total, and (b) Partial. It can further be classified into (i) Permanent(ii) Temporary Disablement Total disablement:- it is considered to be permanent if a workman, as a result of an accident, suffers from the injury Partial disablement:- reduces the earning capacity of a workman in the employment in which he was engaged at the time of the accident
THE EMPLOYER SHALL NOT BE LIABLE:- Injury which does not result in the total or partial disablement of the workmen for a period exceeding three days injury not resulting in death, caused by an accident which is directly attributable to- under the influence or drugs a disease which is not directly attributable to a specific injury caused by the accident or to the occupation
COMMISSIONERS:- Appointment of Commissioners:- The State Government may by notification in the Official Gazette appoint any person to be a Commissioner for Workmen's Compensation. Claim:-Upon the failure of an employer to give compensation, an application form is made to the Commissioner. Appeal:-An appeal lie to the High Court against the orders of the Commissioner with regard to award imposing interest or penalty distribution of compensation.
ACCIDENT ARISING OUT OF AND IN THECOURSE OF EMPLOYMENT:- It means whether the workmen is injured in the organization or out side of the organization. At the time of injury workman must have been engaged in the business of the employer and must not be doing something for his personal benefit. That accident occurred at the place where he as performing his duties. Injury must have resulted from some risk incidental to the duties of the service.
CALCULATION OF COMPENSATION:- In case of death:- 50% of the monthly wages X Relevant Factor or 50,000 And Rs. 1000 for funeral expenses. In case of total permanent disablement:- 60% of the monthly wages X Relevant Factor or 60,000. In case of temporary disablement : - A half-monthly instalment equal to 25% of the monthly wages, for the period of disablement or 5 years.
Compensation:- the min amount of compensation fixed i.e Rs.80, 000 in the case of death&90,000 in case of permanent total disablement . In max amount of it payable is Rs. 4.56lac in the case of death and Rs. 5.48 lakh in the case of permanent total disablement. For medical expenses additional Rs.25,000.