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Legal Liability and Compensation in Case of Workplace Accident

I am working in a manufacturing company. In our manufacturing unit, construction is ongoing while working. One laborer in a contractor role unfortunately met with an accident and died. In such a situation, is our company legally liable for any compensation? If yes, what compensation do we have to pay under which act? We are also covered by ESIC, so can our company claim any benefits under the ESIC?

Seniors, please respond urgently.

Regards,
Priyanka

From India, Delhi
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Compensation Under Workmen's Compensation Act

The compensation is to be paid under the Workmen's Compensation Act. The amount of compensation will depend on the worker's age at the time of death and the last salary drawn (with a ceiling of Rs. 4000). The formula is as follows: 50% of wages (subject to a maximum wage of Rs. 4000) multiplied by the factor provided in the Act corresponding to the worker's age. This amount must be deposited in the Labour Court within 30 days of the accident.

The same amount may be indemnified from the contractor under section 12(2) or from the insurance company from whom the WC policy has been taken. Notice of the accident is to be given to the WC commissioner in Form EE as soon as possible. The amount is to be deposited along with Form A. It is advised to deposit the amount through an advocate in the labor court, making the dependents of the worker, the contractor, and the Insurance Company parties to the case.

Regards,
Rajendra Bhavsar
[Phone Number Removed For Privacy Reasons]

From India, Mumbai
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ESI Act and Compensation Liability

When the ESI Act is applicable and if the worker is covered under the ESI scheme, then intimation is to be given to the ESI Corporation. The amount of pension/compensation will be paid by ESIC to his legal heirs/dependents. No amount is to be deposited anywhere. It will be the total liability of ESIC.

Regards,
Rajendra Bhavsar

From India, Mumbai
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Dear Rajendra, Thankx gor your revert. The worker is not covered under the ESIC. His age is approx 25 yrs. So how to calculate the workmen compensation. Regards, Priyanka
From India, Delhi
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