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    LABOUR LAWS

Workmen's Compensation Act, 1923

  • Applicability
    Employer includes any person whether incorporated or not and any agent of employer and when services are temporarily lent or let on hire to another person, then means such other person.




  • Eligibility
    Any workman who is injured by accident arising out of and in the course of his employment in specified list of employment contracts any disease specified therein as an occupational disease peculiar to that occupation.




  • Benefits: Amount of compensation shall be payable by the employer
    i)  Where death results from injury 40% of monthly wages x relevant factor or Rs. 20,000/- whichever is more.
    ii) Where permanent total disablement results from the injury 50% of monthly wages x relevant factor or Rs. 24,000/- whichever is more (relevant factor depends upon the age of a workman)
    iii)Where permanent, partial disablement or temporary disablement results from injury as per prescribed schedule.



  • Penal Provisions
    Any contract by a worker waiving his right to be compensated under this Act is null and void. Compensation should be paid early–delay beyond 1 month attract interest @ 6% p.a. and penalty of up to 50% of the compensation. Certain other offenses attract fine up to RS 5,000.
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