In today’s era of a highly competitive work environment, employee’s rights have also increased. Providing basic facilities to the employee during the course of employment has become a major and mandatory responsibility of an employer. However, it also cannot be denied that the injuries caused during the course of employment are a common part of the business. So employer in order to protect themselves from the threat of costly legal proceedings in the court of law and high compensation to be given to employees, the employers nowadays go for workmen compensation policies.
What is Workmen Compensation?
Workman Compensation is a kind of insurance provided by the employer to the employee during the course of employment in lieu of compulsory relinquishment of employee’s right to sue the employer for any tortuous act committed during the course of employment. Introduction of workmen compensation scheme helped the employers in the way that it removed the problem of becoming insolvent as a result of high damage awards pronounced by the Court of Law. This system of workmen compensation can also be treated as a collective liability. It also provides ensured security of compensation to the workers.
Common Law Remedies
The common law puts an obligation on the employer that he must provide a safe workplace, provide safe work tools, give warning of dangers, provide adequate co-worker assistant so that the employees may not get overburdened by the tasks to be completed during the course of employment.
Statutory Compensation Laws
Statutes related to workmen compensation scheme are implemented in order to eliminate the need for legislation as it provides the employee a potential right for pain and suffering related awards in lieu of filing suit and proving tort or legal fault on the part of an employer during the course of employment. The laws and scheme is so designed that it ensure the employees who got injured or disabled during the course of employment are not required to cover their medical bills related to their injury caused during the course of employment and the employees are also provided with the monetary awards and compensations to cover loss of wages directly related to accident so caused during the course of employment as well as to compensate for permanent physical impairment so caused during the course of employment.
These laws and scheme not only provide for workmen compensation only. It also provides that in case if a worker dies while performing the tasks during the course of employment due to a work-related accident or work-related illness, then the compensation may be provided to the dependants of the deceased worker.
It not only provides for the protection of the employee but also provides for the protection of the employer. Some laws and schemes are also designed in a way that it limits the amount of compensation that an employee can claim from an employer.
Workmen Compensation act of 1923 is a major legislation implemented for the protection of both employees and employers. This act applies to the people who are employed in factories, mines, construction sites, and various hazardous occupations.
It can be concluded that the workmen compensation scheme is a boon for both employer and employee. It gives employees several benefits which help in keeping up their motivation. Similarly, employers can also protect themselves from the legal liability that may arise due to an injury of workers.