If a factory/company allows an NGO to enter the factory to perform gardening work, grow vegetables, and donate them to the needy (similar to CSR) alongside the factory workers (on a voluntary basis), and an accident occurs to any person during this process, whether from the NGO or the company, the company has an agreement with the NGO and an undertaking from their workers stating that the company holds no responsibility in any manner for any type of accident or injury.
The question arises: What is the responsibility of the company?
From India, Gurgaon
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The question arises: What is the responsibility of the company?
From India, Gurgaon
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Liability in Case of Casualty or Accident
Company officials or authorized persons may face undue trouble in the event of a casualty, death, or accident involving a worker from the NGO. Despite having a valid agreement, the occupier or factory manager could be subject to interrogation and face various irrelevant problems and inquiries by the investigating officer. If any cause or action of the factory operation leads to the casualty of an NGO worker, the factory management would be vicariously liable.
Insurance and Safety Measures
Lastly, ensure that all personnel of the NGO are covered by insurance or ESI. They must be properly accounted for upon entering or exiting the premises.
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68Company officials or authorized persons may face undue trouble in the event of a casualty, death, or accident involving a worker from the NGO. Despite having a valid agreement, the occupier or factory manager could be subject to interrogation and face various irrelevant problems and inquiries by the investigating officer. If any cause or action of the factory operation leads to the casualty of an NGO worker, the factory management would be vicariously liable.
Insurance and Safety Measures
Lastly, ensure that all personnel of the NGO are covered by insurance or ESI. They must be properly accounted for upon entering or exiting the premises.
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Before concluding on the above, we have to go through the definition of "employees" as defined in section 2(9) and "wages" in section 2(22) of the ESIC Act.
As narrated by Sh. Deep Chand Advocate, the work is being done by an NGO without remuneration on a volunteer basis but within the factory premises, having a valid agreement document. Now, when the volunteer of the NGO does not receive any remuneration from the factory and does not fall within both the above definitions, how does the responsibility for an untoward incident legally lie on the factory?
However, morally, if such an incident happened in the factory, one can be questioned as a witness, but in my opinion, no financial implications can fall on the shoulders of the company under WC.
Regards, P. K. Sharma
From India, Delhi
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As narrated by Sh. Deep Chand Advocate, the work is being done by an NGO without remuneration on a volunteer basis but within the factory premises, having a valid agreement document. Now, when the volunteer of the NGO does not receive any remuneration from the factory and does not fall within both the above definitions, how does the responsibility for an untoward incident legally lie on the factory?
However, morally, if such an incident happened in the factory, one can be questioned as a witness, but in my opinion, no financial implications can fall on the shoulders of the company under WC.
Regards, P. K. Sharma
From India, Delhi
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The definition of a worker in a factory covers every person who is in the factory except the factory manager. So, the safety, compensation, and other regulations apply as much to the NGO worker as to the direct worker. You cannot escape liability. In fact, the fact that these people are not paid, etc., will create further problems. This whole procedure should be stopped.
From India, Mumbai
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From India, Mumbai
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