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Tax4india ›› Indian Law ›› Labour Law ›› Workmen's Compensation law ›› Employer's liability for compensation

Employer's liability for compensation

The employer of any establishment covered under this Act, is required to compensate an employee :

  1. 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, or (iv) temporary disablement whether total or partial, or
  2. Who has contracted an occupational disease.

However The Employer Shall Not Br Liable

  1. In respect of any injury which does not result in the total or partial disablement of the workmen for a period exceeding three days;
  2. In respect of any injury not resulting in death, caused by an accident which is directly attributable to-
    1. the workmen having been at the time thereof under the influence or drugs, or
    2. the willful disobedience of the workman to an order expressly given, or to a rule expressly framed, for the purpose of securing the safety of workmen, or
    3. the willful removal or disregard by the workmen of any safeguard or other device which he knew to have been provided for the purpose of securing the safety of workmen.
    4. The burden of proving intentional disobedience on the part of the employee shall lie upon the employer.
    5. when the employee has contacted a disease which is not directly attributable to a specific injury caused by the accident or to the occupation; or
    6. the employee has filed a suit for damages against the employer or any other person, in a Civil Court.

Contracting Out

Any contract or agreement which makes the workman give up or reduce his right to compensation from the employer is null and void insofar as it aims at reducing or removing the liability of the employer to pay compensation under the Act.

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