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Workmen’s compensation act 1923


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Workmen’s compensation act 1923

  1. 1. WORKMEN’S COMPENSATION ACT 1923 By Manisha vaghela 1
  2. 2. INTRODUCTION• A beginning of social security in INDIA was the passing of the Workman’s Compensation Act 1923. In 1921, the government formulated some proposals for the grant for compensation and circulated them for opinion. The proposals received general support. As a result, the workman’s Compensation Act was passed in March 1923 and was put into force on July 1, 1924. subsequently, there were a number of amendments to the act.BY:MANISHA VAGHELA 2
  3. 3. partial disablement, occupational disease, employer as state in workmen compensation act 1923.DISABLEMENT: Disablement means loss of capacity to work or perform. In case of a workman, loss of capacity results into reduction in earning capacity. The compensation is, accordingly, given to a workman to compensate his loss of earning capacity. The act recognizes two types of disablement. BY:MANISHA VAGHELA 3
  4. 4. • Two types of disablement.• 1. Partial Disablement• 2. Total Disablement• 1. Partial Disablement:As per the section 2(g) “ Partial Disablement” means:(a) Where the disablement is of temporary nature, such disablement as reduced the earning capacity of a workman in employment in which he was engaged at the time of the accident resulting in the disablement, and BY:MANISHA VAGHELA 4
  5. 5. (b) Where the disablement is of a permanent nature, such disablement as reduces his earning capacity in every employment which he was capable of undertaking at that time. Partial disablement provided that every injury specified in part II of schedule I shall be deemed to result in permanent partial disablement.• 2. Occupational Diseases: Section 3(2) provides that if a workman employed in any employment is engaged in an occupational, where he is exposed to certain specified diseases, inherent to the said occupational, the employer shall be liable to pay compensation. BY:MANISHA VAGHELA 5
  6. 6. • 3. Employer: Section 2(e) defines “Employer” to include any body of persons whether incorporated or not and any managing agent of an employer and the legal representative of deceased employer and when the services of a workman are temporarily lent or let on hire to another person by the with whom the workman has entered into a contract of service or apprenticeship means such other person while the workman is working for him. a contractor shall be included in the definition of employer, similarly, a General Manager of Railway is an employee. BY:MANISHA VAGHELA 6
  7. 7. employees liability for compensation under workmen compensation act 1923 .Section 3 makes an employer liable to pay compensation to a workman in two condition:-1. For any personal injury caused to him by accident; &2. For any occupational diseases contracted by him. BY:MANISHA VAGHELA 7
  8. 8. • 1. Personal Injury Caused by Accident: section 3(1) provides that if personal injury is caused to a workman by accident arising out of and on the course of his employment his employer shall be liable to pay compensation. Thus, the following conditions need to be fulfilled to render an employer liable to pay compensation: –(a) The workman should have been caused personal injury,(b) Such personal injury should have been caused by an accident, and(c) The accident should have taken place out of and in the course of employment. BY:MANISHA VAGHELA 8
  9. 9. • What is Personal Injury? INJURY means damaged caused to a workman by the result of some accident . An employer is made liable to pay compensation to a workman for an injury. The injury must be physical or mental injury or even psychological & physiological injury. It is also essential that the injury must be ‘personal’ . An injury caused to someone accompanying the workman or injury to the belongings of the workman shall not be covered under the expression ‘personal injury’. BY:MANISHA VAGHELA 9
  10. 10. Continue………..• Thus, where a workman, in the course of his duties, had to frequently enter into a heated room and from there to a cool room and in this movement he contracted pneumonia and died, the death was held to be a personal injury.BY:MANISHA VAGHELA 10
  11. 11. accident arising out of end in he course of employment.The expression ‘out of employment’ implies a causal connection between the accident and the employment. Employment should be the distinctive and the proximate cause of the personal injury, whether physical or mental. A cause remote to the employment cannot make the employer liable to compensation. BY:MANISHA VAGHELA 11
  12. 12. • In Dennis v Shile, it was laid down that “when a man runs a risk incidental to his employment and is thereby injured, then the injury arises out of employment”.• Thus, in order to prove that injury arose “out of employment” two conditions must be fulfilled:• 1. Injury must have resulted from some risk incidental to the duties of the inherent in the nature or condition of employment, and BY:MANISHA VAGHELA 12
  13. 13. • 2. At the time of injury worker must have been engaged in the business of the employer and must not be doing something for his personal advantages or benefit. If a worker does something, which from its nature, is out side the scope of his employment, he takes upon himself an added risk and is not entitled to compensation. BY:MANISHA VAGHELA 13
  14. 14. SUMMARY• The act applies to railways and persons employed in factories, mines, plantations, mechanically propelled vehicles, construction work, and certain other hazardous occupations. There is no wage limit for covered under the act. The act, however, is not applicable to the person who are covered under the Employees’ State Insurance act, 1948(ESI). It is administration by the respective state governments/union territory administration.BY:MANISHA VAGHELA 14
  15. 15. Continue…………• The state governments are required to appoint commissioners for (a) settlement of disputed claims; (b) disposal of cases of injuries involving death; & (c) revision of periodical payments. The compensation payable to the employee or to his dependants cannot be assigned, attached or charged.BY:MANISHA VAGHELA 15
  16. 16. Bibliographyô (1) Industrial Relations & Labour Law, 1st edition – 2010 By A.M.SARMA Himalaya publishing houseô (2) Bharats’ Industrial & Labour Law DR. SANJEEV KUMAR Forward by D.C. JAIN (Past president of the institute of company secretaries of India ) BY:MANISHA VAGHELA 16