I understand you mean to get the schedule of age and factor to calculate the compensation payable in the event of death or total permanent disablement during the course of employment. The attachment may help you to find out the amount. Please remember that you are not expected to pay the amount of compensation directly to the dependents but it should be paid through the appropriate authority/ the Commissioner for Workmen Compensation.
From India, Kannur
4242From India, Kannur
Sir, I would like to know the basis of calculation of factors mentioned in Schedule IV
From India, Jammu
From India, Jammu
The schedule gives you the age and the compensation factor. Suppose the age of the deceased employee was 28 and he was paid a salary of Rs 30000 per month. Whatever be the salary, for computing compensation, we take it as Rs 15000 only. Now, the compensation is 50% of wages multiplied by the factor corresponding to age. The compensation factor corresponding to age 28 is 211.79. Therefore, the amount of compensation is 15000X 50% or 7500X 211.79 or Rs 15,88,425.
If the employee is paid less than the statutory minimum wages, say, Rs 6000 only as against a minimum wages of, say, 14000, then the statutory minimum wages Rs 14000 will be taken for calculating compensation. Continuing this salary, the compensation for another worker aged, say, 55 years would be 14000X 50%=7000X 135.56 Or Rs 948920.
From India, Kannur
If the employee is paid less than the statutory minimum wages, say, Rs 6000 only as against a minimum wages of, say, 14000, then the statutory minimum wages Rs 14000 will be taken for calculating compensation. Continuing this salary, the compensation for another worker aged, say, 55 years would be 14000X 50%=7000X 135.56 Or Rs 948920.
From India, Kannur
Sir, I need your good self to put some light on the following:
suppose a deceased person was 23
wages were 8000/PM
Factor as per schedule IV = 219.95
compensation 50%
=4000*219.95=879800
actual compensation Rs.1,20,000.00
or Rs.8,79,800 which ever is more
plus 5000 funeral expenses.
My question how we got the factor of 219.95-Please elaborate
From India, Jammu
suppose a deceased person was 23
wages were 8000/PM
Factor as per schedule IV = 219.95
compensation 50%
=4000*219.95=879800
actual compensation Rs.1,20,000.00
or Rs.8,79,800 which ever is more
plus 5000 funeral expenses.
My question how we got the factor of 219.95-Please elaborate
From India, Jammu
Factor was first fixed when the Act was introduced in 1921! It is part of the Act itself. Since then there have been amendments to the Act with regard to the wages but no change has been made to the factor decided by the British. It is interesting that much discussed Labour Codes also did not touch the age and compensation factor designed by the legislators of British India. Therefor, these factors are not going to change even though there could be some modifications of salary, like it was Rs 8000 earlier and it was brought to Rs 15000 and in future it may go to 20000 or 25000 depending upon inflation and salary hikes.
From India, Kannur
From India, Kannur
That is the point sir, A poor laborer giving life to project of national interest and still relying of the British India legislators design. The new factors must be legislated in the parliament.
From India, Jammu
From India, Jammu
The Britishers could foresee and make a schedule of factors but the Indians cannot even make a change in it because we do not know how the factors are arrived at and if we change it what would be the impact. But one thing is there. If you remove the wages capping, ie, 15000 limit, and start computing the compensation on actual salary, then the compensation would be substantially fair. In all our legislation relating to labor, there will be a capping of wages, let it be ESI, or PF, we need that the benefit be restricted to a certain amount. That is India. I cannot comment on that.
From India, Kannur
From India, Kannur
Community Support and Knowledge-base on business, career and organisational prospects and issues - Register and Log In to CiteHR and post your query, download formats and be part of a fostered community of professionals.
Latest Hand book on FBT Sep.2008.pdf
Latest gujarat 6 pay modified.xls