Harsh Kumar Mehta
Consultant In Labour Laws/hr
Labour Laws Consultants
Sr.executive (per & Adm)
Senior Officer - Hr
Manpower Planning And Costing, Recruitment
Sr. Vice President-hr
Asso.prof.(commerce & Management) Pg
Manager - Hr
Hr - Coodrinator - Huntsman Performance Products
28th June 2014 From India, Indore
Since the suicide is committed at his home, company is not responsible to pay for any compensation except
his terminal benefits, PF dues, gratuity amount if any. and also any additional payment the company wishes to
pay (purely on compassionate grounds) .
Company should also inform the local authorities of Law & Order, as he was working as a factory worker, about
R K Nair
28th June 2014 From India, Aizawl
HR is not always about how to implement the rules, its also how you see the Human in Human Resource.
What the most you can do is, if the workers really want to help the worker, is take contribution from the workers, add the co. contribution to the same and then make that a deposit in the bank, whereby the interest earned can be utilized by the family. Also the PF and the Gratuity amount that will be received, do not hand over to the family, but make a fixed deposit on the childrens name and then hand over the pass book to the family. This is completely out of the book suggestion that i am providing. This is only a humanitarian grounds that you would be doing this gesture and make sure that every one knows about it.
Rest as 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 regards. Also if you do have any contract labor agency, then if she does not fill your criteria then she can be shifted to those role again on humanitarian grounds only.
Hope this is of some help to you.
28th June 2014 From India, Mumbai
As Ashutosh's suggestion is just on the ground of Humanitarian. You can not take this as a RIGHT towards employment. If you want to help the employee then you can disburse his Gratuity immediately since that is in your hand only. You can Make FD of this amount. Simultaneously you can proceed for EPF & ESIC as there are scope for widow having kids.( CHECK whether it is applicable for Suicide Case or not)
28th June 2014 From India, Pune
As per provisions of ESI Act, 1948 reimbursement of Funeral Expenses upto a maximum of Rs. 10000/- (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.
28th June 2014 From India, Noida
First of all no one should panic. NOK (next of kin) will be entitled to benefits accrued by way of company policies, statutory provisions, and ex gratia if company may consider. Due to recency effect relatives are emotionally charged which will go down only with time. Company should keep a lawyer besides them so that their responses do not indicate any abetment to suicide which is criminal offence. Company should otherwise cooperate with police.
29th June 2014
The company is responsible if the accident or incident occure in or on the way of factory. In this case both the cases is not applicable. Although, the company is deducting ESIC, the treatment part of his (i.e. IP. Insured person) can bother by ESIC. ESIC can also provide the funaral assist for the IP.
As per legal, question does not arise to give compulsary compensation to the person. If the management and other workers ready to give some part volantarly.
with best regards.
30th June 2014
Since the worker committed suicide at his residence, the company is not responsible for any addition benefits except to clear his legal dues i.e. earned wages / salary, Leave encasement, Gratuity, interim bonus (as bonus becomes payable within 8 months from the closing of financial year) etc.
The management and co workers if they wish voluntarily on humanitarian grounds, can help financially but it is not a legal right.
The management should extend help in early settlement of ESIC funeral benefit which Rs.10000/- and admissible pension from EPF for his dependent wife and two elder children and settlement of EDLI and EPF contribution.
P K Sharma
30th June 2014 From India, Delhi
I too agree with the suggestions given by Mr. P.K.Sharma in this thread. The employers liability does not arise at all if the death is occur ed at his residence out of working place either may be it a natural or suicide. If you have paid him Rs.10,000/- to meet his funeral expenses as good will and does not attract any provisions of law unless it is any agreement with the workers union. You do not entertain any demand from the deceased family members. At the most you can settle his full and final settlement of account against the services rendered in the organization including, Salary, other allowances, leave salary, Overtime wages, if any.
You can prepare an office order stating the Mr XXXXXX has expired on xxxxxx and his name from the rolls of the Company has been struck off with regret with effect fromxxxxx and display the same on notice board of the establishment and pay his dues whatever is applicable. It is deceased wife responsibility to claim Provident Fund and Pension from EPFO at her interest.
Sr.Executive (Pers, Admin & Ind.Rels) Rtd
Labour Laws Consultant
30th June 2014 From India, Bidar
First Employer can give his pending salary,bonus,leave and gratutity benefit to His nominee. generally employer believes that the nominee declear in ESIC and Pf, should be same person.
So take a letter from his nominee that that person as died on the respective date so kindly give all the pending amount to Me. then pay him/her, (most recommded by cheque).
Then help them for claiming ESIC funereal Charges near about 10000.00
Then help them for PF dept pention etc formality.
No finical burden and practice should come on employer side.
If they are coming with political people, tell them we will full support for all formalities in ESIC and PF.
do not commit any big commitment. otherwise it will become bad practice in your factory/unit.
Thats my View.
30th June 2014 From India, Rajkot
Pl.go thru' the attached notes on 'Law & Procedure' relating to 'Funeral Exp.'under ESIC rules for your ready information and guidance.
For the rest of the things, I don't think you could do everything being suggested, as much would depend on the conditions of the deceased's family, their economic back ground, their immediate requirements, future plans etc. Your role would be limited to arranging the Full & Final settlement of his dues. It is going to be the decision of the widow and other dependents' of the deceased as to how the kitty has to be planned for the future. They must be ever grateful if you could arrange a posting for his wife or children, if they would suit your criterion on compassionate grounds. I feel you should take guidance from the precedences on such occasions and your HR Policy. All possible Care should be taken to avert unscrupulous fellows in the guise of helping the family squander the money & other benefits you are arranging. This is necessary all and sundry from the unions make use of such occasions for their evil designs.
2nd July 2014 From India, Bangalore
Greetings for the day,
Deeply regert for the mishap and my sympathy with the family members. Since we aware of the fact that committing suicide is an offence. But on sympathatic background you simply do that, as employee is covered under ESIC you simply manage funeral allowance from ESIC as earlier sugeested by various contributory members including Mr. Sharma OF APEX management simply forwarding the medical reports to ESIC branch office & as far as compensation is concern EPF will provide social security benefit to the family members through EPS & medical facility form ESIC as far as compensation is concern no need to worry , you are not liable to pay a single penny.
Thanks & Regards,
Sumit Kumar Saxena
6th July 2014 From India, Ghaziabad
10th July 2014 From India, Jamshedpur
It is good to see that every one is giving their well experience suggestion is countable in every aspects, But when you are dealing the death case weather he was died while working or at home, the first sympathy goes to decease family future well being and their benefits and labour/worker and local leaders, union forced to management to contribute something to help decease family livelihood.
First you may talk to District Authority for appointment of Arbitrator on this case and put all relevant document in front of him (Statutory Document ) and feel free to wait for decision of Arbitrator and convey the same.
Because, it is a matter of work family and where workers/Labour may feel that what decision come is true and correct for smooth function of production and work environment.
Why i suggested for one arbitrator that Both Employer & labour contribution equal for prosperity of the organisation and if labour consider that the management only utilizing them the organisation will not prosper and may suffer loss.
May go with arbitrator decision it will help you for harmony at your work place.
15th July 2014 From India