How Do You Accurately Calculate Workers' Compensation for Injured Employees?

Steps to Calculate Workers' Compensation

To calculate the amount of workers' compensation, you typically follow these steps:

1. Determine the employee's average weekly wage.
2. Identify the percentage of the employee's wage that will be paid out as compensation.
3. Multiply the average weekly wage by the percentage to calculate the weekly compensation amount.
4. Consider any additional factors that may impact the final compensation amount, such as the extent of the injury or the duration of disability.

If you need further assistance or have specific details to provide, feel free to share more information for a more accurate calculation.

My query is that if an employee is registered under the ESI Act but unfortunately got injured during employment, how should the employer show sympathy? The employee is receiving treatment through ESI, so in this case, is he entitled to workmen's compensation? How does workmen's compensation apply in this scenario? Please advise.

I don't think that the compensation act will be applicable for an employer who is registered under the ESIC.

Regards,
Praveen

Conditions of the Workmen's Compensation Act

Can you tell me what the conditions of the Workmen's Compensation Act are? Should employees have compensation of more than ₹15,000? Please tell me more about this.

Mr. Praven is right. In terms of Sec. 61 of the ESI Act, if an employee is insured under the ESI Act, he is not entitled to similar benefits under any other Act.

Under the Employees' Compensation Act, the wage limit is only for the purpose of computing compensation under Sec. 4 of the Emp. Comp. Act.

Regards,
B. Saikumar
HR & Labour Law Consultant
Mumbai
[Phone Number Removed For Privacy Reasons]

We are in the ESI coverage area. Our vendor is covered by workers' compensation (WC). If the same vendor provides labor services within our premises, will ESI be applicable or not?

Let me ask you one more question in this context. If an employee is covered under a Group Medical insurance policy and something happens to him at work, does Workmen's Compensation apply to him, or is only Group Medical insurance applicable? I am specifically referring to the software industry.

Thanks,
Raam

Understanding the Work Compensation Act

The Work Compensation Act applies to all employees, regardless of whether they are covered under ESIC or not. The WCA serves as a form of social security for every employee, whether they are a CEO, officer, manager, or workman.

Please ensure a proper understanding of this important information.

Thank you.

If anybody is covered under the ESIC Scheme, then the compensation liability should be shifted to ESIC rather than to the employer.

Regards,
Sumit