Gujarat Workmen's Compensation Rules, 1967

Background

The Gujarat Workmen’s Compensation Rules were framed under the authority of the Employee’s Compensation Act, 1923 (renamed as the Employees’ Compensation Act, 1923 after the 2009 amendment). The Act was enacted to provide financial protection to employees or their dependents in the event of injury, disability, or death caused due to accidents arising out of and in the course of employment. After the formation of the state of Gujarat in 1960, the state government framed its own rules under the central Act to regulate the procedure and enforcement of compensation claims within the state.

Applicability

These rules are applicable to all the employers which includes any body of persons whether incorporated or not and any managing agent of an employer and the legal representative of a deceased employer and when the services of a workman are temporarily lent or let on hire to another person by the person with whom the workman has entered into a contract of service or apprenticeship means such other person while the workman is working for him as defined under the Employee’s Compensation Act, 1923

Compliance under the Rules in accordance with the Act

  • Employer’s liability for compensation in Gujarat (Section 3)

If personal injury is caused to an employee by accident arising out of and in the course of his employment, his employer shall be liable to pay compensation in accordance with the Act.

except where:

    1. a) injury does not lead to total / partial disablement for a period exceeding 3 days
    2. b) injury does not lead to death / permanent total disablement and caused:
    • employee being under the influence of drink / drugs
    • wilful disobedience to order / rules w.r.t safety of employees
    • wilful removal / disregard of safety device
  • Compensation where death due to injury in establishment in Gujarat (Section 4(1) (a))

Amount of compensation where death results from the injury shall be an amount equal to fifty percent of the monthly wages of the deceased employee multiplied by the relevant factor; or an amount of one lakh and twenty thousand rupees, whichever is more, and funeral expenses.

  • ·Compensation where permanent total disablement results from the injury in Gujarat (Section 4(1)(b))

Amount of compensation where permanent total disablement results from the injury shall be an amount equal to sixty percent of the monthly wages of the injured employee multiplied by the relevant factor or an amount of one lakh and forty thousand rupees, whichever is more.

  • ·Compensation for permanent partial disablement due to injury specified in Part II Sch I in Gujarat (Section 4(1)(c)(i))

Amount of compensation for permanent partial disablement due to injury specified in Part II of Schedule I is such percentage of compensation which would have been payable in case of permanent total disablement as is specified therein as being the percentage of the loss of earning capacity caused by injury.

  • Compensation for permanent partial disablement from injury not specified in Schedule I in Gujarat (Section 4(1)(c)(ii))

Amount of compensation where permanent partial disablement due to injury not specified in Schedule I is such percentage of compensation payable in case of permanent total disablement as is proportionate to loss of earning capacity permanently caused by the injury.

  • Compensation where temporary disablement (total or partial) results due to injury in Gujarat (Section 4(1)(d))

Amount of compensation where temporary disablement, whether total or partial, results from the injury is a half-monthly payment of the sum equivalent to twenty-five percent of monthly wages to be paid on the 16th day:

(i) from the date of disablement where such disablement lasts for a period of twenty-eight days or more, or
(ii) after the expiry of a waiting period of three days from the date of disablement where such disablement lasts for a period of less than twenty-eight days; and thereafter half-monthly during the disablement or during a period of five years, whichever period is shorter

  • Reimbursement of medical expenditure in Gujarat (Section 4(2A))

The employee shall be reimbursed the actual medical expenditure incurred by him for treatment of injuries caused during the course of employment.

  • Payment of compensation by employer in Gujarat (Section 4A)

In cases where the employer does not accept liability for compensation to the extent claimed, he shall make provisional payment which he accepts, to the Commissioner or to the employee, as the case may be, without prejudice to the right of the employee to make any further claim.

  • Form A Part I: Deposit of compensation for fatal accident in Gujarat (Section 8(1), Rule 5(1))

An employer depositing compensation in respect of a workman whose injury has resulted in death shall furnish a statement in Part I of Form A and shall be given a receipt in Form B.

  • Form A Part II for non-fatal accident of a woman or a person under a legal disability in Gujarat (Section 8(1), Rule 5(1))

An employer depositing compensation to a woman or a person under a legal disability shall furnish a statement in Part II of Form A and shall be given a receipt in Form B.

  • Form E for non-fatal accident of other than a woman or person under legal disability in Gujarat (Section 8(2), Rule 8)

An employer depositing compensation for a non-fatal accident, other than to a woman or person under legal disability, shall furnish therewith a statement in Form E to the Commissioner and shall be given a receipt in Form F.

  • Form I: Report of fatal accidents (Section 10B, Rule 11)

Where notice is required to be given to any authority, by or on behalf of an employer, of any accident occurring on his premises which results in death or serious bodily injury, the person required to give the notice shall, within seven days of the death or serious bodily injury, send a report to the Commissioner giving the circumstances attending the death or serious bodily injury in Form I. (“Serious bodily injury” means an injury which involves, or in all probability will involve the permanent loss of the use of, or permanent injury to, any limb, or the permanent loss of or injury to the sight or hearing, or the fracture of any limb, or the enforced absence of the injured person from work for a period exceeding twenty days)

  • Restriction on number of medical examination of an employee in Gujarat (Section 11, Rule 16)

An employee who is in receipt of a half-monthly payment shall not be required to submit himself for medical examination elsewhere than at the place where he is residing for the time being more than twice in the first month following the accident or more than once in any subsequent month.

  • Returns as to compensation (Section 16)

The State Government may by notification in the Official Gazette, direct that every person employing employees, or that any specified class of such persons, shall send at such time and in such form and to such authority, as may be specified in the notification, a correct return specifying the number of injuries in respect of which compensation has been paid by the
employer during the previous year and the amount of such compensation together with such other particulars as to the compensation as the State Government may direct.

  • Duty of employer to inform employee of his rights in Gujarat (Section 17A)

Every employer shall immediately at the time of employment of an employee, inform him of his rights to compensation under this Act, in writing as well as through electronic means, in English or Hindi or in the official language of the area of employment, as may be understood by the employee.

  • ·Registration of Agreements in Gujarat (Section 28, Rule 48)

Where the amount of compensation has been settled by agreement, a memorandum thereof in duplicate shall be sent by the employer to the Commissioner and shall be in as close conformity as the circumstances of the case admit with Form N or Form O or Form P, as the case may be.

  • Display of abstract of the Act by the employers in Gujarat (Rule 64)

A notice in Form Y containing the abstracts of the Act and the rules made thereunder shall be displayed in a conspicuous place in English and in a language understood by the majority of the workers employed by him.

Penalties & Punishments

  • Where any employer is in default in paying the compensation due under this Act within one month from the date it fell due, Commissioner may direct to pay with arrears, interest @ 12% p.a. or such higher rate on amount due and where there is no justification for delay direct that the employer shall, in addition to the amount of the arrears and interest thereon, pay a further sum not exceeding fifty per cent. of such amount by way of penalty. The interest and the penalty shall be paid to the employee or his dependant, as the case may be.
  • Whoever fails to send a report which he is required to sent under section 10B shall be punishable with fine which shall not be less than fifty thousand rupees but which may extend to one lakh rupees

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