Subject to the provisions of the Workmen’s Compensation Act 1923, the amount of compensation payable by the employer shall be calculated as follows:
- Where the injury results in death of a workman:
- An amount equal to 50% of the of the monthly wages of the deceased workman multiplied by the relevant factor.
OR
- An amount of Rs. 80,000, whichever is more
- When the injury results in permanent total disablement of a workman:
- . An amount equal to 60% of the of the monthly wages of the deceased workman multiplied by the relevant factor.
OR
- .An amount of Rs. 90,000, whichever is more
Notes for clause (A) and (B):
When the injury results in death of a workman, the employer would also have to deposit a sum of Rs. 1000 with the commissioner apart from the compensation as specified in clause ‘A’ above. Such payment would be made to the eldest surviving dependant of the deceased for the expenses of the funeral. If the deceased workman did not have any dependant or did not stay with the dependant at the time of his death, then the amount shall be given to the person who has actually incurred the cost of funeral.
For the purpose of clauses ‘A’ and ‘B’ above, the term ‘relevant factor’ in relation to a workman means the factor that is specified in schedule IV, 2nd column against the entry of 1st column of that schedule. The 1st column specifies the number of years, i.e. the number of completed years of the age of the workman on his last birthday just preceding the date on which the compensation fell due.
If the monthly wages of a workman exceeds Rs. 2000, then for the purpose of clauses ‘A’ and ‘B’ above, the monthly wages shall be deemed to be Rs. 2000 only.
- Where the injury results in permanent partial disablement of a workman:
- In case the injury is specified in Part 2 of Schedule I, the percentage of compensation as would have been paid in case of permanent total disablement which is specified as the percentage of the loss of earning capacity caused by that injury.
- In case the injury is not specified in Schedule I, the percentage of compensation as would have been paid in case of permanent total disablement as is proportionate to the loss of earning capacity caused by that injury.
Notes for clause (C):
Where more than one injury is caused by the same accident, the amount of compensation shall be aggregated. However, this amount should not exceed the amount which would have been payable in case the injury had resulted in permanent total disablement.
In assessing the loss of earning capacity in case of sub-clause ‘b’ of clause ‘C’ above, the qualified medical practitioner shall have due regard to the percentage of loss of earning capacity caused by the different injuries.
- Where the injury results in temporary disablement (partial or total) of a workman:
- A half-monthly installment equal to 25% of the monthly wages of a workman, for the period of disablement or 5 years, whichever is shorter.
