Navigating Employee Compensation: Which Act Offers the Best Support After a Workplace Accident?

Dear Team, Recently, one of our company employees met with an accident involving a vehicle on the working premises at the sites. His one leg was amputated, and the other leg is damaged. At this time, under which act can the employee receive maximum benefits, i.e., the Motor Transport Act or the Employee's Compensation Act? Kindly confirm the methodology of the process.

Regards,
Lingaraju N
[Phone Number Removed For Privacy Reasons]

Determining the Applicable Act for Employee Compensation

If the employee is covered under the ESI Act, then his claim needs to be processed under the ESI Act. If he is not covered under the ESI Act, then the Employees' Compensation Act is applicable. To determine this, you need to verify whether your company is covered by the Schedule appended to the Act.

I do not think that the Motor Transport Workers Act has any relevance in this context as it does not seem to provide compensation for accident cases.

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

Process for Claiming Compensation under WC Policy

First of all, you have to send intimation to the concerned insurance company where you have taken the WC policy. After that, you have to submit all medical bills along with the fitness certificate of the injured employee and a Xerox copy of the muster roll for reimbursement of medical expenditure as well as his wages for medical leave.

Regards,
Alim Khan
[Phone Number Removed For Privacy Reasons]

It sounds like a case of disability. Most of the time, insurance companies don't tell you about the exceptional cases in which a person becomes disabled. Then, the insurance company or the employer has to continue paying them some disability allowance throughout their life.

Please don't hesitate to ask about it with various insurance companies and your friends because the condition you describe indicates that the person may not be able to return to work easily.

The insurance company might say that they don't cover certain aspects, but then I would suggest consulting with lawyers as they can help you claim a substantial disability amount. This can be helpful in taking care of the family and medical expenses. The calculation involves considering the salary the individual was receiving.

Best of luck and wishing him an early recovery from my side.

Warm regards,
Alok

Mr. Alim Khan is right about the documents. An insurance surveyor will visit your site to check all the documents and will collect the Panchnama, mustrol copy before 3 months, and after 3 months from the date of the accident. Age proof and wage proof are crucial as these two things will decide the workers' compensation.

Regards,
Ajay