Dear Seniors,
One of our factory workers committed suicide at his home due to family problems. He died in the hospital with severe burn injuries. His relatives, along with some political figures, came to the factory and demanded Rs. 50,000 for funeral expenses. However, we only paid Rs. 10,000. Now, they are insisting that we make a fixed deposit of Rs. 2 lakhs per head for his two kids and secure a job for his wife. We have been deducting EPF and ESIC since July 2012 for him. I personally want to assist his family. What are the best actions that can be taken? Is there a legal or statutory way to address this situation?
Waiting for your reply.
Thanks.
From India, Chennai
One of our factory workers committed suicide at his home due to family problems. He died in the hospital with severe burn injuries. His relatives, along with some political figures, came to the factory and demanded Rs. 50,000 for funeral expenses. However, we only paid Rs. 10,000. Now, they are insisting that we make a fixed deposit of Rs. 2 lakhs per head for his two kids and secure a job for his wife. We have been deducting EPF and ESIC since July 2012 for him. I personally want to assist his family. What are the best actions that can be taken? Is there a legal or statutory way to address this situation?
Waiting for your reply.
Thanks.
From India, Chennai
How company is responsible for the suicide committed at his home? His terminal benefits will be given to his legal heirs. Pon
From India, Lucknow
From India, Lucknow
Company is responsible for the treatment of a person if things are happen within a company and in his/her job timings otherwise company is not responsible for bear any thing. Rashmi
From India, Indore
From India, Indore
The only relationship between the company and the person who committed suicide is the employer-employee relationship. Since the suicide occurred at his home, the company is not responsible to pay for any compensation except his terminal benefits, PF dues, gratuity amount if any, and any additional payment the company wishes to make (purely on compassionate grounds).
The company should also inform the local authorities of Law & Order, as he was working as a factory worker, about his suicide.
Thanks, R K Nair
From India, Aizawl
The company should also inform the local authorities of Law & Order, as he was working as a factory worker, about his suicide.
Thanks, R K Nair
From India, Aizawl
Dear Stephen,
HR is not always about how to implement the rules; it's also about how you see the human in Human Resources.
The most you can do, if the workers really want to help the worker, is to take contributions from the workers, add the company's contribution to the same, and then make that a deposit in the bank. The interest earned can be utilized by the family. Also, the Provident Fund (PF) and Gratuity amount that will be received should not be handed over to the family; instead, make a fixed deposit in the children's names and then hand over the passbook to the family. This is a completely out-of-the-book suggestion that I am providing. This is only on humanitarian grounds that you would be making this gesture, ensuring that everyone knows about it.
Regarding giving his wife a job, make it clear that only if she is qualified for any job and there is a vacancy will she be absorbed. Make no promises in that regard. Also, if you have any contract labor agency, then if she does not meet your criteria, she can be shifted to those roles again on humanitarian grounds only.
I hope this is of some help to you.
From India, Mumbai
HR is not always about how to implement the rules; it's also about how you see the human in Human Resources.
The most you can do, if the workers really want to help the worker, is to take contributions from the workers, add the company's contribution to the same, and then make that a deposit in the bank. The interest earned can be utilized by the family. Also, the Provident Fund (PF) and Gratuity amount that will be received should not be handed over to the family; instead, make a fixed deposit in the children's names and then hand over the passbook to the family. This is a completely out-of-the-book suggestion that I am providing. This is only on humanitarian grounds that you would be making this gesture, ensuring that everyone knows about it.
Regarding giving his wife a job, make it clear that only if she is qualified for any job and there is a vacancy will she be absorbed. Make no promises in that regard. Also, if you have any contract labor agency, then if she does not meet your criteria, she can be shifted to those roles again on humanitarian grounds only.
I hope this is of some help to you.
From India, Mumbai
Dear Stephen,
As Ashutosh's suggestion is just based on humanitarian grounds, you cannot consider it a right towards employment. If you wish to assist the employee, you can disburse his gratuity immediately as that is within your control. You can then make a fixed deposit of this amount. Simultaneously, you can proceed with EPF and ESIC as there are provisions for widows with children. (Please check whether it is applicable in cases of suicide.)
Regards,
Santosh Khamitkar
From India, Pune
As Ashutosh's suggestion is just based on humanitarian grounds, you cannot consider it a right towards employment. If you wish to assist the employee, you can disburse his gratuity immediately as that is within your control. You can then make a fixed deposit of this amount. Simultaneously, you can proceed with EPF and ESIC as there are provisions for widows with children. (Please check whether it is applicable in cases of suicide.)
Regards,
Santosh Khamitkar
From India, Pune
Sir,
As per the provisions of the ESI Act, 1948, reimbursement of Funeral Expenses up to a maximum of Rs. 10,000 (Rs. ten thousand only) is payable - Rule 59 of ESI (Central) Rules, 1952. No other benefits are payable to the dependants of the deceased insured person.
From India, Noida
As per the provisions of the ESI Act, 1948, reimbursement of Funeral Expenses up to a maximum of Rs. 10,000 (Rs. ten thousand only) is payable - Rule 59 of ESI (Central) Rules, 1952. No other benefits are payable to the dependants of the deceased insured person.
From India, Noida
Hello members,
I wish to add one more suggestion in this regard. The EPS 95 scheme is applicable to the deceased employee's family. It can be processed to benefit the family members, in addition to the ESIC benefit.
From India, Visakhapatnam
I wish to add one more suggestion in this regard. The EPS 95 scheme is applicable to the deceased employee's family. It can be processed to benefit the family members, in addition to the ESIC benefit.
From India, Visakhapatnam
Nothing to worry. First of all, no one should panic. The next of kin (NOK) will be entitled to benefits accrued through company policies, statutory provisions, and ex gratia if the company considers it. Due to the recent events, relatives are emotionally charged, but these emotions will subside with time. The company should have a lawyer present to ensure their responses do not imply any abetment to suicide, which is a criminal offense. Furthermore, the company should cooperate with the police.
Dear,
The company is responsible if the accident or incident occurs in or on the way to the factory. In this case, neither of the situations is applicable. Although the company is deducting ESIC, the treatment part of the insured person (i.e. IP) can be affected by ESIC. ESIC can also provide funeral assistance for the insured person.
As per the law, there is no obligation to provide compulsory compensation to the individual. If the management and other workers are willing to give some part voluntarily.
With best regards,
Aniruddha Kale
The company is responsible if the accident or incident occurs in or on the way to the factory. In this case, neither of the situations is applicable. Although the company is deducting ESIC, the treatment part of the insured person (i.e. IP) can be affected by ESIC. ESIC can also provide funeral assistance for the insured person.
As per the law, there is no obligation to provide compulsory compensation to the individual. If the management and other workers are willing to give some part voluntarily.
With best regards,
Aniruddha Kale
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