Understanding Employer Liability & Compensation for Employee Accidents: Insights on ESI & Workmens C

Dear All,

One of the employees met with an accident while coming to duty. Is it the company's liability to provide compensation in such cases? Is the company responsible for accidents that occur to employees while commuting to and from work? Are there any applicable acts related to this situation?

Thank you.

It's upon company policy, I think he is not eligible for this because at that time he left the company, he was not on duty, so he is not eligible for all compensation. But the company should help the employee to the maximum in such cases.

Ayyaz Mehmood

Dear Tanvi,

I have experience working with three big companies (i.e., HDFC Bank, Sterlite Industries, and Hindustan Zinc Ltd.). However, there is no provision in any company that makes the company responsible if an employee is coming to work using their own vehicle or arrangement. If the employee is using the company bus, then the company is responsible for compensation as they are taking on the responsibility from the pick-up point. Otherwise, the company is only responsible for any accidents that occur inside the company premises.

I will gather more information and get back to you.

Regards,
Inderjeet Singh "Born to lead"

If the employee is covered by ESI, then he will get accident benefits from ESI Corporation as per the new amendment to the ESI Act, provided the time and route are correct. In case not covered by ESI, then the provisions of Workmen's Compensation Act will apply. Under WC Act, an injury during the course of employment only will make the employer liable to pay compensation.

Regards,
Madhu.T.K

Dear Madhu. T. K.,

Can you please provide me with the latest amendment of ESI? What is the current limit for funeral expenses?

Hello Tanvi,

No, there is no situation that would warrant any form of compensation. If he was off duty when the accident occurred or suffered the injury, the company will not be held responsible.

Regards,
Trishul (Abhishek Dongre)

Hi,

The employee, on his way back home, met with an accident. Definitely, he is entitled to compensation under the ESI Act, 1948, or the Workmen's Compensation Act, 1935. Which one is applicable? Actually, the same situation arose during my professional life, so I'm sharing my experience.

If any employee, during his way to the company or vice versa, meets with an accident, they are liable for compensation.

With Regards,
Surender Bisht

Okay, dear friends, let's have a discussion. If the employee is provided transportation by the company to go back home, and in the case that the bus meets with an accident, is the employee eligible for compensation or not?

Dear Tanvi,

Please read the caselet: [ESI 97-98 / 99](http://nipmkerala.org) (*link updated to site home*). ([Search On Cite](https://www.citehr.com/results.php?q=ESI%2097%2098%2099) | [Search On Google](https://www.google.com/search?q=ESI%2097%2098%2099))

THE REGIONAL DIRECTOR ESI VS FRANCIS DECOSTA [1996 (74) FLR 2326 SC-D.B.] is the famous SC judgment in Best v. Mrs. Agnes of 1964 (3) SCR 930 on "national extension of premises" on accidents occurring outside the factory premises at public places still valid? The scope of the Best case of 1964 has been considerably watered down. Now, compensation for accidents happening outside the establishment premises can be claimed only if the injured was on the company transport or the injured was on the public place as part of his duties.

Hope you would have clarity!

Many Thanks,
George

Hi Tanvi,

The company is not entitled to any compensation in any circumstances as the employee was not on duty. An accident policy is always available for every employee, from which they can benefit. There are 2 conditions: if the gross is less than 15000/-, the employee will be covered under ESI. If the gross is more than 15000/-, the medical expenses will be covered by the insurance company or can be reimbursed.