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COMPENSATION
KIT ECA-3
Accident Resulting in Death of
An Employee at the Workplace
2 File the fatal incident report in the notice book Keep in notice book folder.
under the ECA.
Note: In case of a notice received from local authority for proceedings initiated by employee
claiming misrepresentation of record, the appearances and pleadings have to be made before the
commissioner. It is recommended that any appearances made before the Commissioner be through
an Advocate or a Legal Practitioner.
3
COMPENSATION
KIT ECA-3
GUIDELINES FOR THE FATAL ACCIDENT REPORT
The report of fatal accident shall be filed with the commissioner within 7 days from the date
of the accident, in the format of Form EE. The details required in the form are preliminary in
nature and do not prejudice the employer. Subsequent inquiry report or memorandum may
visit the incident in greater detail.
The details required in the report of fatal accident are:
1. The name of employee and address of his residence.
2. The date of accident and details of the workplace premises.
3. The time of the accident and place where it occurred.
4. The manner in which the deceased employee was employed at the time – that is whether
contractual or full time, etc.
5. Cause of the accident.
6. Other relevant details concerning the accident at the time.
The report may be copied to the contractor who may be the immediate employer of the
deceased employee.
To
................................................
Sir,
1. I have the honour to submit the following report of an accident which occurred
on....................... (dated), at..................................................................................................
(here enter details of premises) ............................................................................................
..........................................................................................................................................
and which resulted in the death of the workman/workmen of whose particulars are given
in the statement annexed.
STATEMENT
CALCULATION OF COMPENSATION
The compensation shall be calculable factoring the monthly wages and the extent of liability
employer is admitting.
Monthly wages will be determined as per any of the following methods:
a. Where service has been rendered continuously for more than 12 months preceding
the accident, the monthly wage shall be 1/12 of the total amount paid as wages in the
preceding 12 months.
b. Where service has been rendered for less than a month preceding the date of accident,
the monthly wages will be either that paid by the employer to another employee doing
the same work or that which is paid to a person for performing the work in that location,
in that order.
c. In other circumstances, the monthly wage will be equal to
Note: Continuous time period implies any time period without any interruption/absence from work
exceeding 14 days.
The calculation of compensation shall be an amount equal to 50 per cent of the monthly
wages of the deceased employee multiplied by the relevant factor in the schedule under ECA
or an amount of Rs. 1,20,000, whichever is more in amount.
Interim compensation may be paid by the employer to a known dependant. The maximum
refund allowed from compensation amount eventually deposited with the commissioner is
upto 3 months of wages within the actual entitlement of the dependant being paid to the
compensation.
Note: Payments made towards the funeral expenses of the deceased employee, whether directly or as
reimbursements, shall not be adjusted or counted as the amount of compensation paid.
The Schedule IV of the ECA titled ‘Factors for working out lump sum equivalent of compensation
amount in case of permanent disablement and death’ is relevant for the calculation of
compensation amount.
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Name..........................................................................................................................................
Father’s Name............................................................................................................................
(Husband’s name in case of married woman and window).
Caste..................................................................................................................................................
Local address..............................................................................................................................
....................................................................................................................................................
Permanent address......................................................................................................................
2. The said workman had, prior to the date of his/her death received the following payments,
namely:
Rs. ................................... on....................... Rs. .................................... on.........................
Rs. ................................... on....................... Rs. .................................... on.........................
Rs. ................................... on....................... Rs. .................................... on.........................
4. *I do not desire to be made a party to the proceedings for distribution of the aforesaid
compensation.
Dated.............................. 20................
*An employer desiring to be made a party to the proceeding should strike out the words “do not”.
6B
Schedule IV
Factors for working put lump sum equivalent of compensation amount
in case of permanent disablement and death
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
6C