Working from Home is a new arrangement. Therefore, we are unable to give an advise in the backdrop of any verdict from the Court. But as the place from where the employee is working is expected to be a workplace, an accident caused in connection with the work shall come under the scope of accident while and during the course of employment. In case, the employee was under pressure of work, that you had tortured him mentally, and that torture could be the reason for his collapse, then also it will come under the scope of accident attracting compensation. Obviously, if he was covered by ESI, compensation payable would be paid by the ESI Corporation. On the other hand, if he was not an ESI covered employee, then the compensation as per Employees Compensation Act should be borned by the employer.
BUT all employees will not come under the purview of Employees Compensation Act. Since yours is not a factory or plantation (a factory or plantation cannot work from home) it is presumed that your establishment is a shop or commercial establishment. In respect of such establishments, the employees who are employed in an activity listed in schedule II of the Act. Clerical persons, IT Engineers etc are not employees for this purpose. Please refer to the schedule II of the Act.