UNIT – II The Act introduces a no-fault liability system, emphasizing

WORKMEN'S COMPENSATION ACT, 1923 that compensation is payable irrespective of whether the
employer or the employee is at fault. This departure from the
OVERVIEW OF THE WORKMEN'S COMPENSATION ACT,
traditional fault-based approach was a progressive step,
1923:
aiming to expedite the compensation process and relieve
The Workmen's Compensation Act of 1923 is a crucial piece
workers of the burden of proving negligence.
of legislation that addresses the rights and compensation
entitlements of workers who sustain injuries or contract
The Act outlines the obligations of employers to provide
diseases arising out of and in the course of their employment.
compensation for injuries or death resulting from accidents
The primary objective of the Act is to provide a statutory
at the workplace, occupational diseases, or specific
framework for the speedy and fair settlement of
occupational injuries. It establishes a compensation scale
compensation claims, ensuring financial protection for
based on the nature and severity of the injury, ensuring that
workers and their dependents in case of work-related injuries
workers receive adequate financial support for medical
or fatalities.
expenses, loss of wages, and rehabilitation.

Introduction:
Over the years, the Act has undergone amendments to
The Workmen's Compensation Act, 1923, marks a significant
address emerging challenges in the contemporary work
milestone in the evolution of labor laws in India. Enacted
landscape. These amendments have expanded the scope of
during the colonial era, the legislation reflects a recognition
coverage, enhanced compensation amounts, and adapted the
of the need to protect the interests of the working class and
legislation to evolving labor market dynamics.
ensure a just and equitable compensation mechanism for
occupational injuries and diseases. The Act applies to a wide
In conclusion, the Workmen's Compensation Act, 1923,
spectrum of industries and occupations, encompassing
stands as a cornerstone in the legal framework safeguarding
manual labor, hazardous work environments, and
the rights of workers in India. It underscores the societal
employment scenarios where the risk of accidents or
commitment to protect the well-being of those contributing
illnesses is inherent.
to the economic fabric of the nation, recognizing the

1
inherent risks associated with certain forms of employment 4. Quick and Simplified Compensation Process:
and providing a safety net for those affected. - The Act establishes a streamlined process for the
settlement of compensation claims, ensuring that injured
workers receive timely financial assistance. This not only
IMPORTANCE OF WORKMEN'S COMPENSATION ACT, 1923 helps workers but also contributes to the efficient
The Workmen's Compensation Act, 1923, holds significant functioning of the labor market.
importance in the realm of labor laws and industrial relations, 5. Social Welfare and Human Dignity:
serving several crucial purposes that contribute to the well- - The Act reflects a commitment to social welfare and
being of workers and the overall functioning of the workforce. human dignity by recognizing the inherent risks associated
Here are key points highlighting the importance of the Act: with certain occupations. It acknowledges the value of the
1. Financial Protection for Workers: workforce and aims to protect workers from exploitation and
- The Act ensures that workers and their dependents vulnerability.
receive financial protection in the form of compensation in 6. Scope of Coverage:
case of work-related injuries, disabilities, or fatalities. This - The Act covers a wide range of industries and occupations,
support is crucial for maintaining the economic stability of including hazardous work environments. This expansive
affected families. coverage ensures that workers in various sectors receive
2. No-Fault Liability: protection, regardless of the nature of their employment.
- The introduction of a no-fault liability system is pivotal. . Equitable Compensation Structure:
It eliminates the need for workers to prove employer - The Act establishes a fair and equitable compensation
negligence, expediting the compensation process and structure, taking into account the nature and severity of
reducing the burden on the legal system. injuries. This ensures that compensation amounts are
3. Promotion of Occupational Safety: reasonable and commensurate with the impact of the injury
- By holding employers financially responsible for on the worker.
compensating workers in case of accidents or illnesses, the 8. Prevention of Litigation:
Act encourages employers to prioritize occupational safety. - By providing a clear legal framework for compensation,
This promotes a safer work environment and reduces the the Act helps in preventing prolonged litigation and legal
incidence of workplace accidents. disputes. This benefits both employers and workers,

2
promoting a more efficient resolution of compensation 1. Compulsory Employer Liability:
claims. - The Act establishes the principle of compulsory liability
9. Rehabilitation Support: on the part of the employer to compensate workers for
- The Act recognizes the importance of rehabilitation by injuries or death arising out of and in the course of
providing financial assistance for medical treatment, employment.
vocational training, and other forms of support. This 2. No-Fault Compensation System:
contributes to the physical and economic rehabilitation of - The Act adopts a no-fault liability system, meaning that
injured workers. compensation is provided irrespective of whether the
10. Labor Market Stability: employer or the employee is at fault. This expedites the
- By establishing a mechanism for addressing workplace compensation process and eliminates the need for workers to
injuries and providing compensation, the Act contributes to prove negligence.
the stability of the labor market. Workers feel more secure, 3. Scope of Coverage:
and employers are incentivized to maintain safe working - The Act applies to a wide range of industries, including
conditions. hazardous occupations, manual labor, and scenarios where
the risk of accidents or occupational diseases is inherent.
In conclusion, the Workmen's Compensation Act, 1923, plays 4. Definition of Workmen:
a crucial role in balancing the interests of employers and - The Act defines the term "workmen" broadly to include
workers, promoting occupational safety, and upholding the individuals engaged in various occupations, with specific
principles of social justice and human dignity within the criteria to determine eligibility for compensation.
context of the industrial workforce. 5. Compensable Injuries:
- The Act covers a range of compensable injuries, including
FEATURES OF THE WORKMEN'S COMPENSATION ACT, 1923 accidents, occupational diseases, and specific injuries listed
The Workmen's Compensation Act, 1923, encompasses in the Schedule of the Act.
several features designed to address the needs of workers who 6. Compensation Scale:
suffer injuries or contract diseases in the course of their - The Act establishes a compensation scale based on the
employment. Here are the key features of the Act: nature and severity of the injury. The amount of

3
compensation varies depending on the type of injury and the 2. Appeals:
earning capacity of the worker. - The Act provides a mechanism for appeals, allowing
7. Employer’s Defenses: parties dissatisfied with the Commissioner's decision to seek
- The Act provides limited defenses for employers. If the redress in higher courts.
injury is a result of the worker's willful disobedience of safety 13. Periodic Review and Amendments:
rules or intoxication, the employer may be exempt from - The Act allows for periodic reviews and amendments to
liability. ensure that compensation rates and coverage remain
8. Notice of Injury: relevant and aligned with the changing economic and
- The Act requires the injured worker or their industrial landscape.
representative to give notice of the injury to the employer
within a specified time frame. Failure to provide timely IMPORTANT DEFINITIONS UNDER THE WORKMEN'S
notice may affect the worker's right to compensation. COMPENSATION ACT, 1923
9. Medical Expenses: The Workmen's Compensation Act, 1923, includes several
- Employers are generally liable for the medical expenses key definitions that are essential for interpreting and
incurred by the injured worker. This includes the cost of applying the provisions of the Act. These definitions help in
medical treatment, hospitalization, and rehabilitation. determining the scope of coverage, eligibility for
10. Fatal Accidents and Dependency: compensation, and other crucial aspects. Here are some
- In case of fatal accidents, the Act provides compensation important definitions under the Act:
to dependents of the deceased workman. Dependents may 1. Workman:
include a spouse, children, parents, and other family - The Act defines a "workman" as any person who is
members. employed for hire or reward under a contract of service,
11. Compensation Commissioner: whether express or implied. This definition includes manual
- The Act establishes the role of a Commissioner for laborers, skilled workers, and employees engaged in various
Workmen's Compensation who oversees the adjudication of occupations.
compensation claims. The Commissioner has the authority 2. Injury:
to determine the amount of compensation and resolve - "Injury" under the Act refers to a personal injury caused
disputes. by an accident arising out of and in the course of

4
employment. This includes injuries caused by occupational 7. Wages:
diseases, accidents, or any specified injuries listed in the - "Wages" refer to the remuneration that a workman
Schedule of the Act. receives, including allowances and benefits, but excluding
3. Accident: bonuses, contributions to pension or provident funds,
- An "accident" is defined as an unexpected or unforeseen traveling allowances, and the value of housing or other
event occurring during the course of employment resulting amenities provided by the employer.
in an injury to the workman. The Act recognizes both sudden 8. Employer:
and identifiable accidents as well as those that may develop - The term "employer" includes any person or body of
over time due to continuous exposure. persons, whether incorporated or not, and any managing
4. Occupational Disease: agent of an employer. It covers entities or individuals
- The Act includes an expansive definition of "occupational responsible for employing workmen under contracts of
disease," covering diseases arising out of and in the course of service.
employment. This may include illnesses resulting from 9. Commissioner for Workmen's Compensation:
exposure to hazardous substances or conditions inherent in - The Act establishes the role of a "Commissioner for
certain occupations. Workmen's Compensation," who is appointed by the
5. Disablement: appropriate government. The Commissioner is responsible
- "Disablement" is defined as the loss of earning capacity for adjudicating compensation claims, determining the
due to an injury resulting from an accident or occupational amount of compensation, and resolving disputes.
disease. The degree of disablement is a crucial factor in 10. Scheduled Injury:
determining the compensation payable to the workman. - The Schedule to the Act lists specific injuries that are
6. Dependents: deemed to be caused by employment when they result from
- The Act specifies who constitutes "dependents" in case of an accident. The presence of a scheduled injury affects the
a fatal accident. Dependents include a spouse, children, compensation payable to the injured workman.
parents, and other family members who were wholly or 11. Partial Disablement:
partially dependent on the earnings of the deceased - The Act distinguishes between "total disablement" and
workman. "partial disablement." Partial disablement refers to a

5
condition where the workman is partially incapacitated due 2. Work-Related Injuries:
to the injury but is still capable of earning some wages. - The primary focus of the Act is on injuries sustained by
12. Total Disablement: workmen during the course of their employment. These
- "Total disablement" occurs when the workman is injuries can result from accidents that occur suddenly and
completely incapacitated and is unable to earn any wages as unexpectedly while the worker is engaged in work-related
a result of the injury. The degree of disablement is a key activities.
factor in determining the compensation amount. 3. Occupational Diseases:
- The Act recognizes and covers occupational diseases that
SCOPE AND COVERAGE OF THE WORKMEN'S may develop due to exposure to specific hazards or
COMPENSATION ACT, 1923 conditions inherent in certain occupations. It acknowledges
The Workmen's Compensation Act, 1923, is a landmark the long-term health risks associated with particular types of
legislation in India designed to provide financial protection work.
to workers who sustain injuries or contract diseases arising
out of and in the course of their employment. The scope and Coverage:
coverage of the Act are pivotal aspects that outline the The Act extends its coverage to various entities,
breadth and applicability of its provisions. circumstances, and categories of individuals:
1. Employed Individuals:
Scope: - The Act covers any person employed for hire or reward
The Act has a wide-ranging scope, covering various aspects under a contract of service, whether expressed or implied.
related to work-related injuries, diseases, and compensation. This includes a wide range of workers, from those in
It applies to: traditional employment relationships to those engaged on a
1. Diverse Industries and Occupations: contractual or temporary basis.
- The Act is not limited to specific industries or types of 2. Hazardous Occupations:
employment. It encompasses a broad spectrum of - It explicitly includes individuals engaged in hazardous
occupations, including manual and non-manual labor, skilled occupations. Hazardous occupations are those that pose
and unskilled workers, and those engaged in hazardous as inherent risks to the health and safety of workers, and the
well as non-hazardous activities.

6
Act ensures that employees in such settings are adequately WORKMEN'S COMPENSATION ACT, 1923: PERSONAL INJURY
protected. BY ACCIDENT
3. Specific Categories of Employees: The Workmen's Compensation Act, 1923, addresses the
- The Act identifies specific categories of employees, compensation rights of workers who suffer personal injuries
ensuring that certain groups, such as those working with due to accidents arising out of and in the course of their
dangerous machinery or in environments with potential employment. The section related to "Personal Injury by
risks, are explicitly covered. Accident" is fundamental to the Act and outlines the
4. Scheduled Injuries: parameters for qualifying injuries and the ensuing
- The Act includes a Schedule listing specific injuries, and compensation process.
if a workman suffers from any of these scheduled injuries, Key Aspects:
they are entitled to compensation. The Schedule serves as a 1. Defining Personal Injury:
guide for determining the compensability of certain injuries. - The Act considers a "personal injury" as any harm or
5. Geographical Applicability: damage to the body, mind, or health of a workman. It
- The Act applies across the country, ensuring uniformity encompasses both physical and mental injuries resulting
in the compensation framework for work-related injuries and from accidents in the workplace.
diseases irrespective of the geographical location or 2. Accidents Arising Out of Employment:
jurisdiction. - For an injury to be compensable, it must arise out of and
in the course of employment. This means the injury should
In summary, the Workmen's Compensation Act, 1923, has a have a direct connection to the tasks or responsibilities the
comprehensive scope that spans various industries, worker is engaged in while on the job.
occupations, and types of employment. It addresses a broad 3. Unforeseen Events:
spectrum of work-related injuries and diseases, recognizing - The concept of an "accident" refers to an unexpected or
the diverse nature of employment scenarios. The Act's unforeseen event. It includes incidents that happen suddenly
coverage is designed to provide financial protection to a wide and are not part of the normal course of the work. This could
range of workmen, ensuring that they receive compensation range from a slip and fall to more severe incidents involving
in case of injuries or diseases arising out of their machinery or workplace hazards.
employment.

7
4. Sudden and Identifiable Events: 2. Scope of Employment: The injury or illness must occur
- The Act acknowledges injuries resulting from sudden and while the employee is performing tasks within the scope
identifiable events. This includes incidents that can be of their employment. This includes activities such as
pinpointed to a specific time and cause, making it clear that commuting to and from work in some cases, depending
the injury occurred during the course of employment. on the jurisdiction.
5. Continuous Exposure: 3. No-Fault System: Workers' compensation is generally a
- Importantly, the Act recognizes that personal injuries can no-fault system, meaning that employees are entitled to
also result from continuous exposure to occupational benefits regardless of who was at fault for the injury or
hazards. This is significant for workers whose health may be illness. This eliminates the need for employees to prove
adversely affected over time due to the nature of their work negligence on the part of the employer.
environment. 4. Compensable Benefits: Compensation typically covers
medical expenses, lost wages, rehabilitation, and other
COMPENSABILITY: related costs. The specific benefits provided may vary by
Compensability refers to the eligibility of an injury or illness jurisdiction.
for benefits under the relevant workers' compensation laws. 5. Exclusions: Not all injuries or illnesses are compensable.
It is a crucial concept in ensuring that employees receive Injuries resulting from willful misconduct, intoxication,
necessary support and compensation for work-related or self-inflicted harm may be excluded from coverage.
injuries or illnesses. 6. Notification and Filing Claims: Employees are usually
required to notify their employers promptly of a work-
Key points related to compensability in the Workers' related injury or illness and file a workers' compensation
Compensation Act include:
claim within a specified timeframe.
1. Work-Related Injury or Illness: For an injury or illness to
be compensable, it must arise out of and occur in the DISABLEMENT:
course of employment. This means the injury or illness "Disablement" refers to the condition of being unable to work
must be directly related to the individual's work due to a work-related injury or illness. The concept of
activities. disablement is central to determining the compensation and

8
benefits that an injured or ill worker may be entitled to under attached to the Act, which outlines compensation for
the Workers' Compensation Act. different types of injuries and degrees of disablement.
4. Medical Assessment:
Key points related to Disablement in the Workers' - The assessment of the degree of disablement often
Compensation Act include:
requires a medical examination, and a medical practitioner
1. Total Disablement: determines the extent of the workman's disability.
- Total disablement occurs when the workman is wholly - The medical assessment considers factors such as the loss
incapable of earning any wages in the same employment in of physical or mental function, the impact on overall health,
which they were engaged at the time of the accident or and the resulting limitations on the workman's ability to
contracting the occupational disease. perform work-related tasks.
- In cases of total disablement, the workman is entitled to 5. Review and Appeals:
a specific percentage of their monthly wages as - If there is a dispute regarding the degree of disablement
compensation. The percentage varies based on the nature of and the consequent compensation, the Act allows for reviews
the injury or disease and is outlined in the Act. and appeals. The workman or the employer can seek redress
2. Partial Disablement: by presenting evidence or arguments to contest the initial
- Partial disablement refers to a condition where the assessment.
workman is partially incapacitated and can still engage in
gainful employment, albeit with reduced earning capacity. In essence, the degree of disablement is a pivotal factor in
- The Act recognizes various degrees of partial disablement, the Workmen's Compensation Act, as it directly influences
each associated with a specific percentage of the monthly the amount of compensation awarded to a workman who has
wages. The compensation payable for partial disablement is a suffered a work-related injury or occupational disease. The
proportion of the total compensation for total disablement. Act aims to ensure that the compensation provided aligns
3. Calculation of Compensation: with the actual impact on the workman's ability to earn a
- The calculation of compensation involves considering the livelihood, thus addressing the financial repercussions of
nature and severity of the injury or disease, as well as the work-related health issues.
impact on the workman's ability to earn. The specific Conclusion:
percentages and details are often provided in a schedule

9
In summary, the section on "Personal Injury by Accident" in over time due to prolonged exposure rather than a single
the Workmen's Compensation Act, 1923, establishes the identifiable event.
criteria for compensating workmen who suffer injuries 2. Inherent Occupational Hazards:
directly related to their employment. The focus is on - The Act acknowledges that certain occupations inherently
ensuring that workers receive financial support when they carry risks that may lead to occupational diseases. Examples
experience personal injuries resulting from accidents in the include respiratory conditions in industries dealing with
workplace. The Act strikes a balance between acknowledging hazardous substances or hearing loss in noisy workplaces.
the unforeseen nature of accidents and providing a 3. Covered Diseases:
structured compensation framework for the affected - The Act does not limit the scope of occupational diseases
workmen. but considers a wide range of health conditions that may
result from work-related factors. This includes respiratory
disorders, skin diseases, occupational cancers, and more.
WORKMEN’S COMPENSATION ACT, 1923: OCCUPATIONAL 4. Proof of Causation:
DISEASES ARISING OUT OF AND IN THE COURSE OF - To qualify for compensation, the workman must establish
EMPLOYMENT a direct link between the occupational disease and conditions
Introduction: of employment. Unlike injuries, where accidents are
The Workmen’s Compensation Act, 1923, recognizes the identifiable, proving causation for diseases may require
unique challenges posed by occupational diseases and medical evidence and expert opinions.
establishes provisions to address the rights and 5. Prescribed Diseases:
compensation entitlements of workmen who contract - The Act may have a schedule or list of prescribed diseases,
diseases arising out of and in the course of their employment. providing clarity on compensable diseases and facilitating
the claims process. Workmen suffering from these diseases
Key Aspects: are entitled to compensation without the need for extensive
1. Definition of Occupational Diseases: proof of causation.
- Occupational diseases refer to health conditions resulting 6. Latency Period Consideration:
from exposure to specific hazards or conditions present in - Occupational diseases often have a latency period,
the work environment. These diseases may develop gradually meaning they may not manifest immediately. The Act

10
recognizes this and allows for claims even if the disease ensures that workmen receive due compensation for the
becomes apparent after the workman has left the adverse health effects linked to their employment.
employment.
7. Medical Examination: WORKMEN’S COMPENSATION ACT, 1923: QUANTUM OF
- A medical examination is often a crucial component in COMPENSATION
determining the existence and extent of the occupational The quantum of compensation under the Workmen's
disease. A qualified medical practitioner may assess the Compensation Act, 1923, is a critical aspect that determines
workman's health condition and establish the link to the financial assistance provided to workmen who have
workplace exposures. suffered injuries, disabilities, or death arising out of and in
8. Compensation for Permanent Disability: the course of their employment. The Act establishes a
- Workmen suffering from permanent disabilities resulting structured framework for calculating compensation amounts
from occupational diseases are entitled to compensation. The based on various factors.
degree of disablement, as determined by medical
examination, influences the amount of compensation Key Components:
payable. 1. Nature and Extent of Injury:
9. Periodical Medical Examinations: - The severity and nature of the injury directly influence
- Some industries with potential occupational hazards may the quantum of compensation. More severe injuries, as
be required to conduct periodic medical examinations to classified in the Act or Schedule, typically result in higher
monitor the health of employees. This proactive approach compensation amounts.
aids in early detection of occupational diseases. 2. Total Disablement:
- In cases of total disablement where the workman is wholly
Conclusion: incapacitated and unable to earn any wages, the Act specifies
The inclusion of provisions related to occupational diseases a fixed percentage of the monthly wages as compensation.
in the Workmen’s Compensation Act, 1923, emphasizes the The percentage varies depending on the type of injury.
significance of safeguarding the health of workmen in various 3. Partial Disablement:
employment settings. By addressing the complexities - For partial disablement, where the workman can still
associated with diseases arising from the workplace, the Act engage in gainful employment but with reduced earning

11
capacity, the Act outlines compensation as a proportion of condition or if new information comes to light, the
the compensation for total disablement. compensation may be adjusted accordingly.
4. Scheduled Injuries: 9. Maximum Compensation Limit:
- The Act includes a Schedule listing specific injuries and - The Act sets a maximum limit on the amount of
assigns predetermined compensation amounts for each type compensation payable. This limit is periodically revised to
of injury. This schedule simplifies the process of determining account for economic changes. Compensation cannot exceed
compensation for certain injuries. this prescribed maximum.
5. Compensation for Death:
- In cases of fatal accidents resulting in the death of a Calculations and Formulas:
workman, compensation is provided to the dependents. The 1. Monthly Wages:
quantum of compensation is determined based on a - The compensation is often based on the monthly wages of
percentage of the monthly wages of the deceased workman. the workman. This may include basic wages along with
6. Dependency Criteria: certain allowances, excluding bonuses, contributions to
- The Act considers the dependency of family members on funds, and other non-regular payments.
the earnings of the deceased workman. Spouses, children, 2. Percentage of Disability:
and other dependents may receive compensation based on - The degree of disablement, whether total or partial, is
the degree of dependency, ensuring financial support for expressed as a percentage. This percentage is applied to the
those left behind. monthly wages to calculate the compensation amount.
7. Medical Expenses: 3. Scheduled Injuries:
- Employers are generally liable for the medical expenses - For injuries listed in the Schedule, the Act specifies a
incurred by the injured workman. Compensation may include percentage of the compensation for total disablement. This
reimbursement for medical treatment, hospitalization, and percentage is used to determine the compensation for
rehabilitation expenses. specific injuries.
8. Review and Modification:
- The Act allows for the review and modification of Conclusion:
compensation amounts. If there is a change in the workman's The quantum of compensation under the Workmen's
Compensation Act, 1923, is designed to provide fair and

12
structured financial support to workmen and their of compensation. For example, the spouse and children may
dependents in the event of injuries, disabilities, or fatalities have precedence over other family members.
arising from employment. The Act's provisions ensure that 3. Percentage Distribution:
compensation amounts are calculated with clarity, taking - Compensation is distributed among dependents in the
into account various factors such as the nature of the injury, form of a percentage of the monthly wages of the deceased
degree of disablement, and dependency of family members. workman. The Act specifies the percentages allotted to
different categories of dependents.
4. Marriage and Age Criteria:
WORKMEN’S COMPENSATION ACT, 1923: DISTRIBUTION OF - In cases involving a deceased workman with a spouse, the
COMPENSATION spouse is entitled to a specific percentage of the monthly
The distribution of compensation under the Workmen's wages. If there is more than one dependent, the distribution
Compensation Act, 1923, is a critical aspect aimed at is proportionate, taking into account factors such as age and
ensuring that financial support reaches the rightful marriage.
beneficiaries in cases of work-related injuries, disabilities, or 5. Children's Compensation:
fatalities. The Act provides a structured framework for the - The Act outlines compensation for the children of the
equitable distribution of compensation among the deceased workman. The percentage distribution may vary
dependents of a deceased workman. based on factors such as the age and number of children.
Key Components: 6. Parental Compensation:
1. Dependents Defined: - Parents of the deceased workman may also be entitled to
- Dependents, as per the Act, include individuals who were a share of the compensation. However, the Act often places
wholly or partially dependent on the earnings of the deceased parents in a lower priority compared to the spouse and
workman. This encompasses spouses, children, parents, and children.
other family members who relied on the financial support 7. Maximum Limit:
provided by the deceased. - The Act may impose a maximum limit on the total
2. Hierarchy of Dependents: compensation payable. If the compensation calculated for all
- The Act often establishes a hierarchy among dependents, dependents exceeds this limit, the amounts may be
prioritizing certain categories over others in the distribution

13
proportionately reduced to comply with the prescribed 3. Appeals Process:
maximum. - If any party is dissatisfied with the distribution decision,
8. Order of Precedence: the Act provides provisions for appeals. This appeals process
- The Act establishes an order of precedence for the allows for a fair and transparent resolution of disputes related
distribution of compensation. This order ensures a to the distribution of compensation.
systematic and fair distribution, taking into account the
primary dependents before allocating to secondary or tertiary
dependents. WORKMEN’S COMPENSATION ACT, 1923: NOTICE AND
9. Review and Modification: CLAIM
- If there are changes in the circumstances of the Notice and claim procedures under the Workmen's
dependents or new dependents come into existence, the Act Compensation Act, 1923, play a crucial role in initiating the
allows for the review and modification of the distribution of compensation process for work-related injuries, disabilities,
compensation. or fatalities. These procedures ensure timely communication
between the injured workman or their dependents and the
Practical Considerations: employer, facilitating the fair and efficient resolution of
1. Dependency Proof: compensation claims.
- Dependents may need to provide evidence of their 1. Notice Requirement:
dependency on the deceased workman. This proof may - Purpose:
include financial documents, affidavits, or other supporting - The Act mandates that the injured workman or someone
documentation. acting on their behalf provides notice of the accident or
2. Compensation Commissioner’s Role: occupational disease to the employer. The primary purpose
- The Compensation Commissioner plays a crucial role in is to inform the employer about the occurrence of the event
overseeing the distribution process. The Commissioner and the resulting injury.
ensures that the distribution adheres to the provisions of the - Time Limit:
Act and resolves any disputes that may arise. - Notice should be given as soon as possible after the
occurrence of the accident leading to injury. It is advisable
to provide notice within a specified time frame, often within

14
a few days or weeks from the date of the accident or the - Form and Content:
manifestation of the occupational disease. - The claim should be made in the prescribed form and
- Form and Content: submitted to the Commissioner for Workmen's
- The notice should be in writing and should include Compensation. It should provide comprehensive
details such as the name and address of the injured workman, information, including the particulars of the workman,
the cause and nature of the injury, and the date and time of details of the accident or occupational disease, and the
the accident. It should also state that the injury is due to the amount of compensation sought.
nature of the employment. - Supporting Documents:
- Exceptions: - Along with the claim, supporting documents such as
- In cases where the employer is aware of the injury or medical certificates, witness statements, and any other
disease, or if the Commissioner for Workmen's Compensation relevant evidence should be submitted to substantiate the
is satisfied that notice couldn't be given for a reasonable claim.
cause, the Act allows for exceptions to the notice - Employer’s Response:
requirement. - Upon receiving the claim, the employer has the
opportunity to respond, either accepting or disputing the
2. Claim Procedure: claim. If accepted, the employer may agree to pay the
- Purpose: compensation directly. If disputed, the matter may proceed
- Following the notice, the injured workman or their to adjudication before the Commissioner.
dependents can proceed to file a formal claim for
compensation. This claim outlines the details of the injury, 3. Role of the Commissioner:
the circumstances leading to it, and the compensation - Adjudication:
sought. - The Commissioner for Workmen's Compensation plays
- Time Limit: a crucial role in adjudicating compensation claims. The
- The Act specifies a time limit within which the claim Commissioner reviews the evidence, assesses the merits of
should be filed. It is crucial to adhere to this time limit to the claim, and determines the amount of compensation
avoid potential complications or delays in the processing of payable.
the claim. - Settlements and Disputes:

15
 - The Commissioner may facilitate settlements between 2. Which of the following is covered under the Workmen's
the parties, ensuring a fair resolution. In case of disputes, the Compensation Act, 1923?
Commissioner has the authority to make binding decisions a) Accidental injuries occurring outside the workplace
regarding compensation amounts. b) Illness unrelated to employment
- Appeals: c) Injuries arising out of and in the course of employment
- Both the workman and the employer have the right to d) Intentional self-harm by the employee
appeal the Commissioner's decision if they are dissatisfied. Answer: c) Injuries arising out of and in the course of
The appeal process provides a mechanism for reviewing and employment
potentially revising the compensation decision.
3. What term is used to describe a personal injury resulting
Conclusion: from an unforeseen event at the workplace under the Act?
The notice and claim procedures under the Workmen's a) Occupational hazard
Compensation Act, 1923, establish a structured mechanism b) Personal accident
for communication and resolution in cases of work-related c) Work-related injury
injuries. These procedures aim to ensure that employers are d) Compensable injury
promptly informed, injured workmen or their dependents can Answer: b) Personal accident
assert their rights, and the compensation process is fair,
transparent, and efficient. 4. In the context of the Workmen's Compensation Act, what
refers to diseases arising due to the nature of employment or
MULTIPLE CHOICE QUESTIONS conditions in which the work is carried out?
1. What is the primary purpose of the Workmen's a) Accidental diseases
Compensation Act, 1923?
b) Occupational diseases
a) To regulate working hours in factories
b) To ensure the health and safety of workers c) Contagious diseases
c) To provide compensation for work-related injuries and
d) Chronic diseases
diseases
d) To establish minimum wage standards Answer: b) Occupational diseases
Answer: c) To provide compensation for work-related injuries
and diseases

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5. How is the quantum of compensation determined under 8. When must a claim for compensation be made under the
the Workmen's Compensation Act? Workmen's Compensation Act?
a) Based on the employer's financial status a) Within 3 months from the date of the accident
b) Fixed amount regardless of the injury severity b) Within 6 months from the date of the accident
c) Proportional to the employee's salary c) Within 1 year from the date of the accident
d) Depends on the nature and extent of the injury d) No specific time limit
Answer: d) Depends on the nature and extent of the injury Answer: c) Within 1 year from the date of the accident

6. According to the Act, who is responsible for the 9. Which legislation does the Workmen's Compensation Act,
distribution of compensation in case of a work-related 1923, replace in India?
injury? a) Factories Act, 1948
a) Employee's family b) Mines Act, 1952
b) Employee c) Employee's State Insurance Act, 1948
c) Employer d) Employers' Liability Act, 1938
d) Workmen's Compensation Commissioner Answer: d) Employers' Liability Act, 1938
Answer: c) Employer
10. What term is used to describe a disease contracted by an
7. What is the prescribed period for giving notice of the employee as a result of continuous exposure to certain
accident to the employer under the Workmen's conditions at the workplace?
Compensation Act? a) Acute illness
a) Within 7 days b) Chronic ailment
b) Within 14 days c) Occupational disease
c) Within 30 days d) Pre-existing condition
d) No specific period required Answer: c) Occupational disease
Answer: c) Within 30 days

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11. In case of fatal injuries, who is entitled to receive 14. Can an employer avoid liability under the Act by proving
compensation under the Workmen's Compensation Act? that the injury occurred due to the employee's own
a) Only the spouse of the deceased negligence?
b) Only the dependent children
c) Only the parents of the deceased a) Yes, always
d) Dependents of the deceased as defined in the Act b) No, never
Answer: d) Dependents of the deceased as defined in the Act c) Yes, but only in certain circumstances
d) No, unless the employee was intoxicated
12. What factor is considered for determining the amount of Answer: b) No, never
compensation in case of permanent disablement under the
Act? 15. What is the time limit for filing an appeal against the
a) Employee's age decision of the Workmen's Compensation Commissioner?
b) Employee's educational qualification a) 30 days
c) Nature of employment b) 45 days
d) Monthly wages of the employee c) 60 days
Answer: d) Monthly wages of the employee d) 90 days
Answer: a) 30 days
13. What is the role of the Workmen's Compensation
Commissioner in the compensation process? 16. What is the maximum limit for compensation in case of
a) Approving compensation claims death under the Workmen's Compensation Act?
b) Investigating workplace accidents a) No limit
c) Enforcing safety regulations in factories b) 5 times the monthly wages
d) Adjudicating disputes related to compensation c) 10 times the monthly wages
Answer: d) Adjudicating disputes related to compensation d) As determined by the Commissioner
Answer: c) 10 times the monthly wages

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17. Under what circumstances can compensation be denied 20. What role does the State Government play in the
to an employee under the Act? administration of the Workmen's Compensation Act?
a) Any injury occurring outside the workplace a) Setting compensation rates
b) Willful disobedience of safety rules by the employee b) Appointing factory inspectors
c) Injuries caused by natural disasters c) Approving individual compensation claims
d) Injuries resulting from personal disputes between d) Enforcing safety regulations in factories
employees Answer: b) Appointing factory inspectors
Answer: b) Willful disobedience of safety rules by the
employee

18. What constitutes "personal injury by accident" under the

Act?
a) Any injury suffered during the course of employment
b) Injuries resulting from the employee's intentional
actions
c) Injuries caused by the employer's negligence
d) Unforeseen injuries arising out of employment activities
Answer: d) Unforeseen injuries arising out of employment
activities

19. In case of partial disablement, how is the compensation

amount calculated under the Act?
a) Fixed amount specified in the Act
b) Proportionate to the degree of disablement
c) Twice the monthly wages of the employee
d) Determined by the employer's discretion
Answer: b) Proportionate to the degree of disablement

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