Employees Compensation Act 1923 - Calculations

Dear friends

While taking calculations under Employees Compensation Policy 1923, In case an Industry fatal accident happened, if the employee getting salary Rs.40000 per month. we can take calculations
as below
=Rs.40000 of 50% * age factor = compensation Value
or = Rs.15000 of 50 %* age factor = Compensation value

whether Maximum wage Ceiling / Minimum wage ceiling is mentioned in Employees Compensation Act, 1923

AG Moorthy

There is a maximum wage limit for deciding compensation payable in the case of death and total permanent disablement. It is Rs 15000. For total permanent disablement, it is 60% of Rs 15000 multiplied by the age factor and not 50%. There is no minimum wages but the minimum compensation for death cases is rs 120000 and for permanent total disablement it is Rs 140000. But for temporary disablement, there is no maximum wages but whatever is the gross wages shall be put for computation of compensation payable.