Is There a Cap on Death Compensation Under the Employee Compensation Act? Seeking Guidance

RAMU-HR
Respected seniors,

My query is regarding death compensation amount. Is there any maximum limit for death compensation under the Employee Compensation Act? In one of the cases, we calculated the death benefit amount to be Rs. 854,280 (Rs. 8,000 * 50% * factor 213.57 = 854,280) plus funeral expenses of Rs. 5,000.

Apart from that, is there any maximum limit for death compensation?

Kindly advise me on this issue.

Regards,
Ramu
kesavapanda
No, there is no such maximum limit since it is based on age factors. However, you can logically fix an upper limit by calculating the factors at the lowest age, which is 16, and multiplying it by the ceiling wage at Rs. 8000/-, and then dividing the product by half. Thus, you can arrive at the maximum to a tune of Rs. 914160/-.

Further, the component of funeral expenses cannot be considered as a component of Compensation.

Email: kesavapanda@gmail.com
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