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The Workmen's Compensation Act, 1923

The Workmen's Compensation Act of 1923 provides compensation to workers who are injured on the job. It establishes a commissioner to adjudicate applications for compensation from injured workers. The Act benefits both employers and employees by providing a simple process for workers to recover compensation. It defines key terms like minor, adult, dependent, employer, partial disablement, total disablement, and wages. The employer is liable to pay compensation for injuries sustained by employees during work hours, with some exceptions. The amount of compensation depends on whether the injury results in death, permanent total disability, permanent partial disability, or temporary disability, and is based on the worker's average monthly wages.

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68 views12 pages

The Workmen's Compensation Act, 1923

The Workmen's Compensation Act of 1923 provides compensation to workers who are injured on the job. It establishes a commissioner to adjudicate applications for compensation from injured workers. The Act benefits both employers and employees by providing a simple process for workers to recover compensation. It defines key terms like minor, adult, dependent, employer, partial disablement, total disablement, and wages. The employer is liable to pay compensation for injuries sustained by employees during work hours, with some exceptions. The amount of compensation depends on whether the injury results in death, permanent total disability, permanent partial disability, or temporary disability, and is based on the worker's average monthly wages.

Uploaded by

dua tanveer
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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The Workmen’s Compensation Act,

1923

Chapter - 02
Subject title: Labor law in Pakistan
Book: The mercantile & industrial law in pakistan
By: Khawaha Amjad Saeed

1
Introduction
• It provide the Benchmark for the workers in Getting Compensation
• Labor does not have any administrative power but involved in
manufacturing.
• In this act commissioner appointed to adjudicate a application filled
under the act of 1923 grant compensation to the workman.
• This act beneficial for employer and the employee, by providing a
very simple procedure for the recovery compensation

2
Definitions
• Minor: A person who is under 15 years.
• Adult: A person who has achieved the age of 15 years.
• Dependant: Any of the following relatives of a deceased workman:
A widow, Minor legitimated son, Unmarried legitimated
daughter, Illegitimated widowed daughter, Widowed
mother, minor illegitimate son, Illegitimate unmarried
daughter, Illegitimated widowed daughter, Unmarried
sister

3
Definitions
• Employer: a person incorporated or any managing agent of an employer and a
legal representative of deceased employer.
• Partial disablement: temporary nature, reduce the earing capacity of a
workman. OR where the disablement is of a permanent nature which he was
capable of undertaking Permanent partial disablement.
• Total disablement: Incapacitates a workman for all work he was which he was
capable of performing at the time of the accident result in such disablement.

4
Definitions

• Wages: An privilege or benefit which is capable of being


estimated in money given to employee by its employer

5
Employer liability for compensation
1. If any person gets injured during working hours, the employer shall be liable
to pay compensation.

2. BUT, the employer shall not be liable in the these cases:


– Injury which does not result in the total or partial disablement of the workman after
four days.
– The workman was under influence of drink or drugs
– Wilful disobedience to an order expressly given to a rule framed for safety of
workmen
– Wilful removal or disregard by the workman of any safety guard or other device

6
Employer liability for compensation
3. Where permanent partial disablement results from the injury:
(Loss earning capacity caused by the injury, then 100%
compensate)
– Loss both hands at higher sites
– Loss of a hand or a foot
– Double amputation means, both foot and one leg or thigh
– Loss eye sight
– Very severe facial disfigurement
– Absolute deafness
7
Employer liability for compensation
4. Where temporary disablement , half monthly payment on the
16th day, for one year.
OR
If injury results in workman’s death, then lump sum
compensation to be paid

8
Employer liability for compensation
4. Where temporary disablement , half monthly payment on the
16th day, for one year.
OR
If injury results in workman’s death, then lump sum
compensation to be paid

9
Amount of Compensation
• The amount of compensation payable depends on the nature of the injury.
Under the Act, compensation is payable for:
• Death

• Permanent Total Disablement


• Permanent Partial Disablement
• Temporary Disablement

10
Calculation of Monthly Wages
• The amount payable to the employee is to be determined from the amount of his
average monthly wages.

11
QUIZ 1
Timings : 12:00 p.m. to 12:13 p.m.

12

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