Is Our Senior Official Eligible for Compensation After Losing a Leg on Duty?

Eligibility for Workmen/Employee Compensation Benefits

Our company is in the service industry dealing with insurance products. One of our senior officials lost his leg in an accident while on duty. We are not covered under the ESI Act. His salary is above Rs. 1 Lakh per month. Is he eligible for workmen/employee compensation benefits? Please advise.

Warm regards,
Chaitanya Sahoo

Going by the status and nature of work, I am afraid he will be covered under the Employees' Compensation Act 1923. You need to devise such a policy to cover senior employees and executives. It covers clerks, drivers, mechanics, welders, and persons employed in similar capacities.

Regards,
B. Saikumar
HR & Labour Law Advisor
Mumbai

Roads and Buildings are covered under the Central Minimum Wage Act. If the area of work is covered under ESIC, then ESIC is applicable. If not, then you have to take a WC policy (Workmen Compensation), which acts as insurance for the employee.

Regarding PF

PF will be calculated at 12% on basic for Employee Contribution and 12% on basic for Employer contribution. ESIC will be 4.75% on Gross. 1.75% of the gross will be deducted from the gross as Employee Contribution.

Regarding Labour Companies

What exactly do you want to know?

Regards