Dear All,
We pray to God that no accidents should happen in any factories, and no employees should suffer as a result. We hope that no one dies. However, if, unfortunately, somebody dies due to an accident, what should be done?
I have attached an Excel sheet for calculating compensation in that case.
From India, Mumbai
We pray to God that no accidents should happen in any factories, and no employees should suffer as a result. We hope that no one dies. However, if, unfortunately, somebody dies due to an accident, what should be done?
I have attached an Excel sheet for calculating compensation in that case.
From India, Mumbai
Suhas, it is a good initiative. However, please note that the minimum compensation for death cases is Rs. 120,000 and the maximum salary for compensation purposes is Rs. 8,000. Therefore, you should calculate 50% of the maximum salary, which amounts to Rs. 4,000 (i.e., 50% of 8,000).
In your sheet, we end up with amounts less than Rs. 120,000 if we input a salary lower than the minimum and it allows us to input salaries exceeding Rs. 8,000, which should be restricted. Please ensure both caps are applied in your Excel calculations so that HR personnel can use it effectively.
Regards,
Madhu T.K
From India, Kannur
In your sheet, we end up with amounts less than Rs. 120,000 if we input a salary lower than the minimum and it allows us to input salaries exceeding Rs. 8,000, which should be restricted. Please ensure both caps are applied in your Excel calculations so that HR personnel can use it effectively.
Regards,
Madhu T.K
From India, Kannur
Dear Madhu Sir, Thanks for your reply. I have ammended the file as per your valuable suggestions. looking for your veiws for any further modifications.
From India, Mumbai
From India, Mumbai
Dear Suhas,
Kindly cross-check the relevant factor for age 52. It should be Rs. 146.20, but your sheet is showing Rs. 166.29.
Completed years of age on the last birthday of the workman immediately preceding the date on which the compensation fell due:
Age Factor
Not more than 16 ... 228.54
17 ... 227.49
18 ... 226.38
19 ... 225.22
20 ... 224.00
21 ... 222.71
22 ... 221.37
23 ... 219.95
24 ... 218.47
25 ... 216.91
26 ... 215.28
27 ... 213.57
28 ... 211.79
29 ... 209.92
30 ... 207.98
31 ... 205.95
32 ... 203.85
33 ... 201.66
34 ... 199.40
35 ... 197.06
36 ... 194.64
37 ... 192.14
38 ... 189.56
39 ... 186.90
40 ... 184.17
41 ... 181.37
42 ... 178.49
43 ... 175.54
44 ... 172.52
45 ... 169.44
46 ... 166.29
47 ... 163.07
48 ... 159.80
49 ... 156.47
50 ... 153.09
51 ... 149.67
52 ... 146.20
53 ... 142.68
54 ... 139.13
55 ... 135.56
56 ... 131.95
57 ... 128.33
58 ... 124.70
59 ... 121.05
60 ... 117.41
61 ... 113.77
62 ... 110.14
63 ... 106.52
64 ... 102.93
65 or more ... 99.37
Subs. by Act 22 of 1984, sec. 7, for Schedule IV (w.e.f. 1-7-1984).
From India, Kota
Kindly cross-check the relevant factor for age 52. It should be Rs. 146.20, but your sheet is showing Rs. 166.29.
Completed years of age on the last birthday of the workman immediately preceding the date on which the compensation fell due:
Age Factor
Not more than 16 ... 228.54
17 ... 227.49
18 ... 226.38
19 ... 225.22
20 ... 224.00
21 ... 222.71
22 ... 221.37
23 ... 219.95
24 ... 218.47
25 ... 216.91
26 ... 215.28
27 ... 213.57
28 ... 211.79
29 ... 209.92
30 ... 207.98
31 ... 205.95
32 ... 203.85
33 ... 201.66
34 ... 199.40
35 ... 197.06
36 ... 194.64
37 ... 192.14
38 ... 189.56
39 ... 186.90
40 ... 184.17
41 ... 181.37
42 ... 178.49
43 ... 175.54
44 ... 172.52
45 ... 169.44
46 ... 166.29
47 ... 163.07
48 ... 159.80
49 ... 156.47
50 ... 153.09
51 ... 149.67
52 ... 146.20
53 ... 142.68
54 ... 139.13
55 ... 135.56
56 ... 131.95
57 ... 128.33
58 ... 124.70
59 ... 121.05
60 ... 117.41
61 ... 113.77
62 ... 110.14
63 ... 106.52
64 ... 102.93
65 or more ... 99.37
Subs. by Act 22 of 1984, sec. 7, for Schedule IV (w.e.f. 1-7-1984).
From India, Kota
Dear AKKI79, first up all thanks for identifying error with the formula. I have rectified the error. Hope this is correct this time. Waiting for your feedback.
From India, Mumbai
From India, Mumbai
Hi, Dear,
The multiplication factor is based on the loss of anticipated income if the person were alive. This factor is provided in Schedule IV as per Section 4 of the Employee's Compensation Act, 1923. Please read Section 4 of the act.
From India, Mumbai
The multiplication factor is based on the loss of anticipated income if the person were alive. This factor is provided in Schedule IV as per Section 4 of the Employee's Compensation Act, 1923. Please read Section 4 of the act.
From India, Mumbai
Dear All, Compensation calculator for all type of Injuries partial disablement, perment disablement and death. Please give your comments.
From India, Mumbai
From India, Mumbai
Dear all,
I am very new to the calculation of compensation in case of a deceased employee, so please help me learn by answering some of my questions.
As Madhu sir said, the maximum salary for the purpose of compensation is Rs 8000. Therefore, you have to take 50% of the maximum salary, which means the maximum salary factor will be Rs 4000, i.e., 50% of 8000. Then why is the Excel sheet salary component accepting 5000, 6000, 7000, and 8000 as well?
Please clarify.
From India, Ghaziabad
I am very new to the calculation of compensation in case of a deceased employee, so please help me learn by answering some of my questions.
As Madhu sir said, the maximum salary for the purpose of compensation is Rs 8000. Therefore, you have to take 50% of the maximum salary, which means the maximum salary factor will be Rs 4000, i.e., 50% of 8000. Then why is the Excel sheet salary component accepting 5000, 6000, 7000, and 8000 as well?
Please clarify.
From India, Ghaziabad
Dear Excel sheet will accept any figure you enter but it will calculate on the basis of 8,000 as the maximum salary (it will auto consider). You can verify by calculating on a calculator. It will automatically give the result as 120,000 as the minimum compensation.
Try it out. Best of luck.
From India, Mumbai
Try it out. Best of luck.
From India, Mumbai
Dear Madhu Sir,
I apologize for sending this query to this thread; however, it is urgent. I need clarification on OT payments under the factory act:
1. Is it mandatory that OT is payable on the gross amount, including all allowances like Cony Allowance, CCA, Washing Allowance, etc.?
2. Is it mandatory that OT is paid at double the gross amount?
3. If OT is paid at double the gross amount, is it necessary to also pay the night allowance?
Please guide me on these matters.
Regards,
Swarnalata
From India, New Delhi
I apologize for sending this query to this thread; however, it is urgent. I need clarification on OT payments under the factory act:
1. Is it mandatory that OT is payable on the gross amount, including all allowances like Cony Allowance, CCA, Washing Allowance, etc.?
2. Is it mandatory that OT is paid at double the gross amount?
3. If OT is paid at double the gross amount, is it necessary to also pay the night allowance?
Please guide me on these matters.
Regards,
Swarnalata
From India, New Delhi
You have posted in the wrong place; you should have started a separate discussion for this.
Wages mean all-inclusive, but the treatment of it differs from case to case. Allowances, which are flexible in nature, need not be taken into account for the purpose of overtime payment. Therefore, night allowance, which is paid only for the night shifts attended, will not form part of wages for the purpose of overtime calculation (as well as for other purposes like deciding bonus payments, retrenchment, or layoff compensation, workmen's compensation payments, etc). Washing allowance is also an allowance to be excluded for OT calculation. If CCA, HRA, and Conveyance allowance are fixed per month, that should be included.
Regards,
Madhu.T.K
From India, Kannur
Wages mean all-inclusive, but the treatment of it differs from case to case. Allowances, which are flexible in nature, need not be taken into account for the purpose of overtime payment. Therefore, night allowance, which is paid only for the night shifts attended, will not form part of wages for the purpose of overtime calculation (as well as for other purposes like deciding bonus payments, retrenchment, or layoff compensation, workmen's compensation payments, etc). Washing allowance is also an allowance to be excluded for OT calculation. If CCA, HRA, and Conveyance allowance are fixed per month, that should be included.
Regards,
Madhu.T.K
From India, Kannur
Dear Mr. Panwar,
Please go through the discussion, it is mentioned that :-
if monthly wages is more than 8, 000 ( Before May 1st , 2010 it was 4000) then we will calculate the compensation on 8,000 only, means 8000 is the ceiling value for Employee Compensation Act – 1923 (See section 4) .
From India, Kota
Please go through the discussion, it is mentioned that :-
if monthly wages is more than 8, 000 ( Before May 1st , 2010 it was 4000) then we will calculate the compensation on 8,000 only, means 8000 is the ceiling value for Employee Compensation Act – 1923 (See section 4) .
From India, Kota
Maximum salary for the purpose of compensation was Rs. 4000, which was removed without any ceiling on 18-1-2010. However, it was later realized that if the ceiling is eliminated, the compensation could amount to crores. Therefore, on 31-5-2010, it was decided to set the salary at Rs. 8000. This is now the maximum salary upon which the compensation shall be calculated: 50% of Rs. 8000 in case of death and 60% of Rs. 8000 in case of total disablement. Additionally, the amended Act also includes provisions for full reimbursement of medical expenses.
Regards,
Madhu.T.K
From India, Kannur
Regards,
Madhu.T.K
From India, Kannur
Hi!
One of our employees, who was working as a Foreman (Civil) drawing 22,000/- per month, suddenly passed away (due to natural causes).
Please let me know what formalities need to be completed along with the compensation. He was not enrolled in ESI & PF.
Regards,
TM
From India, Pune
One of our employees, who was working as a Foreman (Civil) drawing 22,000/- per month, suddenly passed away (due to natural causes).
Please let me know what formalities need to be completed along with the compensation. He was not enrolled in ESI & PF.
Regards,
TM
From India, Pune
As already stated, compensation depends on wages and age of the employee. Therefore, by simply stating the wage, it is not possible to calculate compensation. Moreover, the schedule is also available, which is self-explanatory.
There is no compensation if the death has occurred not during the course of employment. In the present case, since it is a natural death, there exists no connection with employment; therefore, no compensation is payable to the representatives of the deceased.
Madhu.T.K
From India, Kannur
There is no compensation if the death has occurred not during the course of employment. In the present case, since it is a natural death, there exists no connection with employment; therefore, no compensation is payable to the representatives of the deceased.
Madhu.T.K
From India, Kannur
Dear Shri Madhu Sir,
Thank you very much for your reply.
By the way, I want to make his full and final settlement. He worked with us for 13 years, and now he is not under ESI & PF. Kindly let me know for the final settlement, I may consider Salary for the month, Leave salary, Gratuity, bonus, etc. Any other formalities to be done? Are there any statutory forms for this purpose? Should I take any signatures/thumb impression from the wife/son, etc., of the employee?
Kindly help to avoid any inconvenience/difficulties in the future for our company and/or for me.
Regards,
TM
From India, Pune
Thank you very much for your reply.
By the way, I want to make his full and final settlement. He worked with us for 13 years, and now he is not under ESI & PF. Kindly let me know for the final settlement, I may consider Salary for the month, Leave salary, Gratuity, bonus, etc. Any other formalities to be done? Are there any statutory forms for this purpose? Should I take any signatures/thumb impression from the wife/son, etc., of the employee?
Kindly help to avoid any inconvenience/difficulties in the future for our company and/or for me.
Regards,
TM
From India, Pune
For full and final settlement, there is no legal form, but you can create your own sheet with calculations for leave salary due, salary for the days worked, any additional payments that you would like to grant, etc. The payee should sign the sheet and the voucher to acknowledge receipt of the amount.
Regarding gratuity, it is advisable to collect a signature on Form L, which serves as an intimation of payment of gratuity to the employee or their representative in the case of a deceased employee.
Moreover, ensure that payments are made by cheque only.
Madhu.T.K
From India, Kannur
Regarding gratuity, it is advisable to collect a signature on Form L, which serves as an intimation of payment of gratuity to the employee or their representative in the case of a deceased employee.
Moreover, ensure that payments are made by cheque only.
Madhu.T.K
From India, Kannur
Dear Sir Good Mornig Please advise me that when compensation Act apply With warm Regards Abhishek Singh
From India, Delhi
From India, Delhi
Hi all,
Can anybody please send the compensations for an injured person? How much do we have to pay if he dies or if he is injured? How much amount does the employer have to pay, and what benefits will the employee get?
Thank you.
From India, Karur
Can anybody please send the compensations for an injured person? How much do we have to pay if he dies or if he is injured? How much amount does the employer have to pay, and what benefits will the employee get?
Thank you.
From India, Karur
Read the posts right from the beginning, your query has already been answered and discussed here. Madhu.T.K
From India, Kannur
From India, Kannur
Hi sir can anybody tell about the difference between out of employment and In the course of employment under employees compensation Act
In the course of employment means while on duty in the place where he is expected to perform his duties and includes notional extension. At the same time if a welder is asked to pluck some tender coconut and he climbs up the tree and falls down and something happens to him, no compensation would be payable because plucking coconut is not his duty though he does it following the instructions from his superiors! This accident is not an accident arising out of his employment because he is employed as a welder. Had he suffered some burn injury or eye irritations while he is welding, he would have got compensation because the burn injury or eye irritation is an injury or accident arising out of his employment.
Any kind of disease contracted by employees due to the working environment, generally referred to as occupational diseases as per separate schedules in the Act, will be considered as out of employment. Again, there is a minimum period of six months to establish that the disease is out of employment.
From India, Kannur
Any kind of disease contracted by employees due to the working environment, generally referred to as occupational diseases as per separate schedules in the Act, will be considered as out of employment. Again, there is a minimum period of six months to establish that the disease is out of employment.
From India, Kannur
Didn’t you see the post of Akhil Kumar Gupta. Please see that.The age and relevant factors are available in that post.
From India, Kannur
From India, Kannur
Dear Suhas Khambeji,
You have shared the Employee Compensation Act calculation sheet, which is a ready reference and useful to HR professionals. So nice of you. I would like to request the password to the unprotected sheet, as per the recent amendment. The salary taken for EC needs to be amended from Rs. 8000/- to Rs. 15000/-. It would be a great help if you could share the password or alternatively, share and upload the sheet with the recent wage ceiling for EC calculation at Rs. 15,000/-
Regards,
Vipul Rana
From India, Thana
You have shared the Employee Compensation Act calculation sheet, which is a ready reference and useful to HR professionals. So nice of you. I would like to request the password to the unprotected sheet, as per the recent amendment. The salary taken for EC needs to be amended from Rs. 8000/- to Rs. 15000/-. It would be a great help if you could share the password or alternatively, share and upload the sheet with the recent wage ceiling for EC calculation at Rs. 15,000/-
Regards,
Vipul Rana
From India, Thana
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