Hi, I would like to know if an accident happended in the company cab while returning from office is covered under wokers compensation act.
From Singapore
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From Singapore
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Travelling in a company-provided vehicle is a part of the employment contract. It is therefore implied that the employee is on employment when the accident takes place, and as such, compensation as per the Workmen's Compensation Act is applicable in such cases.
By a recent amendment to the ESI Act, an accident happening while the employee is undertaking their journey to the office or from the office to their residence will be treated as an accident while on duty, provided that the time and route where the accident takes place align with the employee's routine route and time.
Regards,
Madhu.T.K
From India, Kannur
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4526By a recent amendment to the ESI Act, an accident happening while the employee is undertaking their journey to the office or from the office to their residence will be treated as an accident while on duty, provided that the time and route where the accident takes place align with the employee's routine route and time.
Regards,
Madhu.T.K
From India, Kannur
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The employee has brought a claim of around Rs 2 crores for his injuries. Is there any limit imposed on the claim for certain permanent scheduled and unscheduled injuries.
Few of the injuries in the claim are listed below:
1. Partial injury to the eye
2. Slight impairment to speech
3. Mild memory disorder
4. Scar on the face
Social embarrassment and consequential losses are also included in the claim. Or is the compensation only limited to his loss of earning capacity.
From Singapore
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Few of the injuries in the claim are listed below:
1. Partial injury to the eye
2. Slight impairment to speech
3. Mild memory disorder
4. Scar on the face
Social embarrassment and consequential losses are also included in the claim. Or is the compensation only limited to his loss of earning capacity.
From Singapore
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The earlier provision of ESI was restricted to injuries arising out of accidents while the employee is traveling in connection with his employment, such as going to the bank to withdraw or deposit company money, filing returns, etc. However, injuries arising out of accidents while commuting to the office or back to his residence were not considered as injuries arising out of employment. Certainly, years back such a provision had existed which has been reintroduced now.
Compensation under the Workmen's Compensation Act is restricted to a sum calculated considering the loss of earning capacity, and there is a cap to the amount as well. A claim of Rs 2 crores may be entertained by raising the same through MACT (Motor Vehicles Claim Tribunal) and not through Workmen's Compensation.
Regards,
Madhu.T.K
From India, Kannur
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Compensation under the Workmen's Compensation Act is restricted to a sum calculated considering the loss of earning capacity, and there is a cap to the amount as well. A claim of Rs 2 crores may be entertained by raising the same through MACT (Motor Vehicles Claim Tribunal) and not through Workmen's Compensation.
Regards,
Madhu.T.K
From India, Kannur
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From what I read, the employee is trying to exploit the situation (very common in the USA). As others have pointed out, the company is liable. You may have to hire a good lawyer to handle the claim in a labor court. I suggest the following preventive measures not only for your company but other companies too:
1. Employees should use the company cab/vehicle only for official purposes. Hitching a ride for personal work should not be permitted.
2. Cover all employees under the PAI (personal accident insurance). The premium is typically around Rs 250 per employee and covers accidents outside premises while coming to and going back from work.
3. Ensure that all contracted vehicles used for company purposes are registered, and the drivers are covered under ESI.
4. Prevent/avoid road travel for all employees after dark.
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1. Employees should use the company cab/vehicle only for official purposes. Hitching a ride for personal work should not be permitted.
2. Cover all employees under the PAI (personal accident insurance). The premium is typically around Rs 250 per employee and covers accidents outside premises while coming to and going back from work.
3. Ensure that all contracted vehicles used for company purposes are registered, and the drivers are covered under ESI.
4. Prevent/avoid road travel for all employees after dark.
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Hi,
Please see the clarifications.
a) In the Indian judicial history, for a motor vehicle accident resulting in the death of an individual, there are no citations available for having granted compensation to the tune of 2 crores.
b) Since the accident has happened in the cab provided by the company, it is considered as "Accident while in the course of employment."
c) However, the claim can be made not directly on the company in any case, as these will be covered by the motor vehicle insurance. Apart from WC, the company has no legal binding to pay any other compensation, whatever case the employee makes.
d) Also, there are instances where courts have restricted claiming/combining of insurance/compensation from more than one insurance agency. In these cases, compensations have been limited to the highest available amount from a specific policy.
e) If the company has continued to provide employment to the person with the same salary, then the claim based on the loss of earning capacity becomes weak. However, he/she may claim that due to the accident, his capacity to perform the job is affected, which does not stand in the eyes of the law since his employment continues.
Kind regards,
Dayanand L Guddin
Advisor HR
BOBST INDIA
PUNE
From Singapore, Singapore
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Please see the clarifications.
a) In the Indian judicial history, for a motor vehicle accident resulting in the death of an individual, there are no citations available for having granted compensation to the tune of 2 crores.
b) Since the accident has happened in the cab provided by the company, it is considered as "Accident while in the course of employment."
c) However, the claim can be made not directly on the company in any case, as these will be covered by the motor vehicle insurance. Apart from WC, the company has no legal binding to pay any other compensation, whatever case the employee makes.
d) Also, there are instances where courts have restricted claiming/combining of insurance/compensation from more than one insurance agency. In these cases, compensations have been limited to the highest available amount from a specific policy.
e) If the company has continued to provide employment to the person with the same salary, then the claim based on the loss of earning capacity becomes weak. However, he/she may claim that due to the accident, his capacity to perform the job is affected, which does not stand in the eyes of the law since his employment continues.
Kind regards,
Dayanand L Guddin
Advisor HR
BOBST INDIA
PUNE
From Singapore, Singapore
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SC - Compensation payable on date of accident 31.7.2012.pdf