LABOUR LAW

Constitutional provisions relating to labour laws in India

The Constitution, which has a significant impact on all laws, particularly labour laws, guarantees its
citizens a ‘Socialistic pattern of Society’ and the formation of a “Welfare State”. ------Indian labour laws
are greatly influenced by the Preamble, fundamental rights, directive principles of state policy, and
judicial wisdom.

7th Schedule ------The Indian Constitution, governs all legislative, executive, and judicial actions in the
country. The Constitution’s 7th (S) -----the distribution of legislative powers between the central and state
legislatures on various issues.

The Schedule is divided into three lists: the Central List (List I), the State List (List II), and the
Concurrent List (List III).

FUNDAMENTAL RIGHTS (part 3) AND LABOUR LEGISLATINS

Article 14 ----- particularly important because it states that “the State shall not deny to any person within
the territory of India, equality before the law or equal protection of the laws.”

Equality before the law strictly prohibits discrimination; it is a negative concept. While the concept of
equal protection under the law is a positive one, it necessitates the State to provide special treatment to
people in various situations in order to achieve equality among all.

Article 16 (1) and (2) ------Guarantees equality of opportunity to all the citizens in matter of appointment
to any office or any other employment under the State.

Article 19 in its various sub clauses provides, inter alia, freedom of association; freedom to carry on trade
or business and freedom of speech, which are relevant to labour legislation.
Article 21 proclaims that "no person shall be deprived of his life or personal liberty except according to
procedures established by law".
However, the courts have given a very liberal and wide interpretation of the terms "life" or "Personal
Liberty". In Bandhua Mukti Morcha vs. union of India-SC 1984, it was held that Article 21 assures a
citizen the right to live with human dignity free from exploitation. The Govt. is bound to ensure
observance of social welfare and labour laws enacted to secure for workmen a life compatible with human
dignity.
Article 23 and 24 -----Guarantee the right against exploitation.
Article 23(1) ---- prohibits traffic in human beings; and any form of forced labour and makes them
punishable offence.
In People's Union for Democratic Rights vs. Union of India Sc. 1983, it was held that labour or
services for a remuneration less than a minimum wages amounts to "forced labour". The court held that
when judicial redressal is sought for legal injury suffered by a person or persons who by reason of
poverty, disability or socially or economically disadvantaged position are unable to approach the court
and the attention of the court is drawn to such legal injury by a member of public, even by a letter, the
same will be entertained by the court as a writ petition to bring justice within the reach of the poor
masses.
In Bandhua Mukti Morcha vs. Union of India (SC 1984) S.C. held that Government was bound to
ensure observance of social welfare and labour laws enacted to secure to workmen a life of basic human
dignity.
Neerja Choudhary vs. State of MP ---- held that wherever it is found that any workman is forced to
provide labour for no remuneration or nominal remuneration, the presumption would be that he is a
bonded labour, unless the employer or the state government proves otherwise. Similarly, the Court said
that the plainest requirement of Article 21 and 23 is that bonded labour not only be identified and
redressed but also suitably rehabilitated.
Article 24 ----- prohibits the employment of children below the age of 14 years in factories, mines or any
other hazardous work. The idea is to protect the health and well-being of children. However, the article
does not prohibit the employment of children in easy and less strenuous work.
Articles 32 to 35 -----guarantee the right to constitutional remedies, as right without a remedy is a
meaningless formality. In view of this, the S.C. has evolved the innovative strategy by encouraging Public
Interest Litigation aimed at providing easy access to justice to the poor and weaker sections of Indian
Society (generally labourers) and giving a powerful tool to public sprited individuals and social action
groups to combat exploitation and injustice.
In the cases like People's Union for Democratic Rights, Bandhua Mukti Morcha etc., the S.C. departed
from traditional principles of locus standi to entertain even the letter by a member of public as writ
petition to give relief to poor and illiterate workmen.

DIRECTIVE PRINCIPLES OF STATE POLICY AND LABOUR LEGISLATIONS

In industrial legislation and adjudication, Articles 38, 39, 41, 42, and 43 are particularly crucial. They
serve as the ‘Magna Carta’ of industrial law or its foundation. These obligations include the Central and
State governments’ duty to ensure social order and living wages in line with the economic and political
circumstances of the nation.
Article 38 - (a) directs the state to promote welfare of the people by securing and protecting a social order
in which justice social, economic and political, shall inform all the institutions of national life.
(b) Directs that State shall-strive to minimise inequality in income and endeavour to eliminate inequality
in status, facilities and opportunities amongst individuals as well as groups of people in different areas
and vocations.
In the case of State of Mysore v. Workers of Gold Mines, 1958, Court, “the idea of social and
economic justice is a living idea of revolutionary import that upholds the rule of law and gives the welfare
state ideal meaning and significance.”
Articles 39 - declares that the state shall, in particular, direct its policy towards securing
1. that citizens, men and women equally, have the right to an adequate means of livelihood.
--In Olga Tellis v. Bombay Municipal Corporation, 1986, the Supreme Court stated, “If the State
has an obligation to secure to its citizens an adequate means of livelihood and the right to work, it
would be sheer pedantry to exclude the right to livelihood from the content of the right to life.”

2. that the ownership and the control of the material resources are so distributed as to best sub serve
the common good.
3. that the operation of the economic system does not result in concentration of wealth and means of
production to the common detriment.
4. that there is equal pay for equal work for both men and women.
5. the health and strength of the workers, men and women and the tender age of the children not
abused and that the citizens are not forced by economic necessity to enter the avocations unsuited
to their health and strength.
6. the children are given opportunities and facilities to develop in a healthy manner and in condition
of freedom and dignity and are protected against exploitation against moral and material
abandonment.

Articles 42 and 43

 Article 42--- requires the State to provide for maternity leave and fair and humane
working conditions.

 All industries must provide a ‘living wage’ and comfortable working conditions in
accordance with Article 43.

 SC--- has emphasised that the Constitution expresses strong concern for the welfare of
workers with regard to Articles 42 and 43.

Public interest Litigation (PIL) means litigation filed in a court of law, for the protection of “Public
Interest”, such as Pollution, Terrorism, Road safety, Constructional hazards etc. Any matter where the
interest of public at large is affected can be redressed by filing a Public Interest Litigation in a court of
law.

 PIL--- is not defined in any statute or in any act. It has been interpreted by judges to consider the
intent of public at large.
 PIL--- is the power given to the public by courts through judicial activism. However, the person
filing the petition must prove to the satisfaction of the court that the petition is being filed for a
public interest and not just as a frivolous litigation by a busy body.
 The court can itself take cognizance of the matter and proceed suo motu or cases can commence
on the petition of any public spirited individual.
Some of the matters which are entertained under PIL are:

 Bonded Labour matters

 Neglected Children
 Non-payment of minimum wages to workers and exploitation of casual workers
 Atrocities on women
 Environmental pollution and disturbance of ecological balance
 Food adulteration
 Maintenance of heritage and culture

Some Landmark Judgements

The seeds of the concept of public interest litigation were initially sown in India by Justice Krishna Iyer,
in 1976 in Mumbai Kamagar Sabha vs. Abdul Thai.

The first reported case of PIL was Hussainara Khatoon vs. State of Bihar (1979) that focused on the
inhuman conditions of prisons and under trial prisoners that led to the release of more than 40,000 under
trial prisoners.

Right to speedy justice emerged as a basic fundamental right which had been denied to these prisoners.
The same set pattern was adopted in subsequent cases.

A new era of the PIL movement was heralded by Justice P.N. Bhagwati in the case of S.P. Gupta vs.
Union of India.

In People's Union for Democratic Rights vs. Union of India Sc. 1983, it was held that labour or
services for a remuneration less than a minimum wages amounts to "force labour". The court held that
when judicial redressal is sought for legal injury suffered by a person or persons who by reason of
poverty, disability or socially or economically disadvantaged position are unable to approach the court
and the attention of the court is drawn to such legal injury by a member of public, even by a letter, the
same will be entertained by the court as a writ petition to bring justice within the reach of the poor
masses.
Factors Responsible for the Growth of PIL in India
India has a written constitution which through--Part III (Fundamental Rights) ---Part IV (Directive
Principles of State Policy) provides a framework for regulating relations between the state and its citizens
and between citizens inter-se.
Social and economic rights--- under Part IV ----not legally enforceable, courts have creatively read these
into fundamental rights thereby making them judicially enforceable.
As--- the "right to life" in Article 21 has been expanded to include
right to free legal aid, --- right to live with dignity,----- right to education, --- right to work, ---freedom
from torture, ----bar fetters and hand cuffing in prisons, etc.

India has some of the most progressive social legislations to be found anywhere in the world whether it be
relating to bonded labour , minimum wages, land ceiling, environmental protection.
The liberal interpretation of locus standi where any person can apply to the court on behalf of those who
are economically or physically unable to come before it has helped.
Judicial innovations --- to help the poor and marginalised:
In--- Bandhua Mukti Morcha, SC--- put the burden of proof on the respondent stating it would treat every
case of forced labor as a case of bonded labor unless proven otherwise by the employer.
Similarly --- Asiad Workers judgment case, Justice P.N. Bhagwati held that anyone getting less than the
minimum wage can approach the Supreme Court directly without going through the labour commissioner
and lower courts.
Who Can File a PIL and Against Whom?
1. Any citizen can file a public case by filing a petition:

 Under Art 32 - Supreme Court.

 Under Art 226 - High Court.
 Under sec. 133 of the Criminal Procedure Code, in the Court of Magistrate.
2. However, the court must be satisfied that the Writ petition fulfils some basic needs for PIL as the letter
is addressed by the aggrieved person, public spirited individual and a social action group for the
enforcement of legal or Constitutional rights to any person who are not able to approach the court for
redress.
3. PIL--- can be filed against a State/ Central Govt., Municipal Authorities, and not any private party.

Certain Weaknesses of PIL

PIL --- actions may sometimes give rise to the problem of competing rights. ---For instance, when a court
orders the closure of a polluting industry, the interests of the workmen and their families who are deprived
of their livelihood may not be taken into account by the court.
Lead to overburdening of courts with frivolous PILs by parties with vested interests. PILs today has been
appropriated for corporate, political and personal gains. Today the PIL is no more limited to problems of
the poor and the oppressed.
PIL matters concerning the exploited and disadvantaged groups are pending for many years. Inordinate
delays in the disposal of PIL cases may render many leading judgments merely of academic value.
 UNIT -3
EMPLOYEE COMPENSATION ACT, 1923
OBJECT AND SCOPE

 The Employees Compensation Act, 1923 extends to the whole of India.  It came into force on the first
day of July, 1924. It is social security legislation.

 Imposes statutory liability---- upon an employer to discharge his moral obligation towards employees
when they suffer from any physical disabilities or diseases, during the course of employment in hazardous
working conditions.

 The aim of the Act is to provide quick and cheaper disposal of disputes relating to the compensation
which is not possible in comparison in case of proceedings of civil law. The Act also helps the dependants
to get relieved from the hardship, rising from accident.
Applicable to:
- Mines
- Factories
- Plantations
- Transport Establishments
- Construction Works
- Railways
- Ships
- Circuses
Not applicable to:
- Members of armed forces of union
- Employees covered by ESI Act, 1948. (Dependent’s benefits available) - Casual Workers & workers
employed otherwise than for employer’s trade or business
Section 2 (1) (b)
“Commissioner” as a Commissioner for Workmen's Compensation appointed under section 20; 
Compensation
[Section 2 (1) (c)] means compensation as provided for by this Act;
 Employer [section 2 (1) (e)] includes:
i) anybody of persons whether incorporated or not ,
ii) any managing agent of an employer ,
iii) legal representative of a deceased employer,
iv) Any workman whose services 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. A contractor falls within the above
definition of the employer
Employee-----Section 2 (1) (n)
Employee means any person who is –
(i) a railway servant as defined in clause (34) of section 2 of the Railways Act, 1989 not permanently
employed in any administrative, district or sub-divisional office of a railway and not employed in any
such capacity as is specified in Schedule II, or
(a) a master, seaman or other member of the crew of a ship,
(b) a captain or other member of the crew of an aircraft,
(c) a person recruited as driver, helper, mechanic, cleaner or in any other capacity in connection with a
motor vehicle,
(d) a person recruited for work abroad by a company, and who is employed outside India in any such
capacity as is specified in Schedule II and the ship, aircraft or motor vehicle, or company, as the case may
be, is registered in India, or
(ii) employed in any such capacity as is specified in Schedule II

Section 3 ---- provides the liability of the employer, in case of occupational diseases or personal injuries
or the prescribed manner in which compensation has pay to the workmen.
 OCCUPATIONAL DISEASES:-
1) Part A of schedule III
2) Part B of schedule III
3) Part C of schedule III 

PERSONAL INJURY:-
1) Personal injury
2) Accident
3) Arising out of employment & in course of employment
 EMPLOYER IS NOT LIABLE WHEN:-
1) Disablement not exceeding 3 days
2) Accident due to influence of drink, drugs or disobeyed orders, disregards of safe guards
Occupational Diseases
 Workers employed in certain occupations are exposed to certain diseases which are inherent [its
character] in those occupations.
- Infections due to contamination.
- Infra-red radiations.
- Skin diseases [Chemical, Leather Processing Units].
- Hearing impairment caused by noise.
- Lung Cancer caused by asbestos dust.
- Diseases due to effect of heat/cold in extreme hot/cold climate, etc
What are the condition for receiving compensation for Personal Injury caused by the accident?
The three tests for determining whether an accident arose out of employment are:
1) At the time of injury workman must have been engaged in the business of the employer and must not
be doing something for his personal benefit;
2) That accident occurred at the place where he was performing his duties; and
3) Injury must have resulted from some risk incidental to the duties of the service, or inherent in the
nature or condition of employment.
EMPLOYER’S LIABILITY WHEN CONTRACTOR IS ENGAGED
 Section 12 ---- covers the employer‟s liability when contractor is engaged for the purpose of doing any
work in respect of employer‟s trade or business. Such contractor has to execute the work with the help of
workman engaged by him. But the employers will liable for the payment of compensation only in the
following circumstances:
a.) The contractor is engaged to do a work which is part of the trade or business of the employer.
b.) The workmen were engaged in the course of or for the purpose of his trade or business.
c.) The accident occurred in or about the premises on which the employer has under taken or undertakes
to execute the work.
This provision, however does not prevent a workman from recovering compensation from the contractor
instead of the employer. Here, the amount of compensation shall be calculated with reference to the wages
of the workman under the employer by whom he is immediately employed.
Sec-4----- Provides for Compensation for:-
- Death,
- Permanent Total,
- Permanent Partial ,
- Temporary Partial,
- Temporary Total Employees Compensation Act, 1923
Compensation to be paid
 When due?
- as soon as it falls due i.e. liability for payment of compensation is fixed on employer
 If employer do not accept the compensation to the extent claimed:-
- should make provisional payment to the extent he accepts - payment should be deposited with
commissioner for employee‟s compensation
- Employee having right to make any further claim.
 Time limit for payment:-
- within 1 month from due date
- if not, commissioner direct the employer to pay the arrears with simple interest rate 12% or as prevailing
in the bank.
- further delay:- 50% of amount due will be recovered as penalty

Penalty---- Section 4A:-

- Where an employer is in default in paying the compensation due under this Act, within one month from
the date it fell due, the Commissioner shall:-
a) Direct that the employer in addition to the amount of arrears, pay simple interest there on at the rate of
12% per annum or on such higher rates.
b) Commissioner has the power under the Act to impose penalty and the interest on the cleared amount as
per the provision of the act.
Distribution of compensation --- Section 8:-
 The compensation payable for death and
 The compensation payable to a woman or person of legal disability shall be through the commissioner
only.
 Employer can make advance payment directly to dependents in case of death equivalent to three months
salary of the deceased person.
 Employer is exonerated from his liability if he deposits the compensation amount with the
commissioner within the stipulated time.
 The commissioner shall call all dependents of the deceased and determine the method for distribution of
compensation among them.
 If no dependents are found then amount shall be refunded to the employer.
 On request by the employer the commissioner shall furnish the details of disbursement
Section 9: Compensation not to be assigned, attached or charged
Compensation not to be assigned, attached or charged, save as provided by this Act, no lump sum or half-
monthly payment payable under this Act shall in any way be capable of being assigned or charged or be
liable to attachment or pass to any person other than the workman by operation of law, nor shall any claim
be set off against the same.
Section 10: Notice and claims of the accident
A claim for compensation cannot be entertained by a commissioner unless the notice of the accident is
given in a certain manner.
Condonation of delay
It means that if the employee has delayed in claiming for the compensation it is said to be condoned.
Section 10A: Power to acquire statements from employers regarding fatal accidents
When a commissioner receives information about the death of an employee, because of an accident that is
arising out of or in the course of employment, he can send a registered post or a notice to the employer of
the employee, to submit a notice within 30 of service.
The statement or notice shall be in a prescribed form mentioning the circumstances under which the death
took place. Also stating that whether the employer is liable or not to deposit compensation on the death of
the employee.
Section 10B: Reports of fatal accidents and serious bodily injuries
A notice is required to be given to any authority when any accident occurs on the premises of the
employer which results in the death of employee or serious bodily injury the person on behalf of
employer is required to give a notice within 7 days of the death.
This person shall send a report to the commissioner giving details of the death or serious bodily injury. It
will be done only when it is provided by the state government that instead of sending the report to the
commissioner it is sent to another authority to whom a notice can be given. “Serious bodily injury” means
injury to a limb or permanent loss of sight or hearing or fracture of limbs or the insured person is absent
from work for more than 20 days.
Section 11: Medical Examination
When an employee brings to the notice that he has met with an accident, before the expiry of three days
he will be examined free of charge by a qualified medical practitioner.
If the employee refuses to submit himself or herself for examination or in any way obstructs the same, his
right to compensation shall be suspended.
If the employer voluntarily leaves without having been examined in the place where he is employed, his
right to compensation shall be suspended until he returns and offers himself for examination.
If there’s no provision that the Commissioner to see the compensation and he ignores the medical
practitioner’s report, there is no question of avoiding it by Commissioner.
unless he desires a second report from the Medical Board; New Asian nation Assurance Co. Ltd. v.
Sreedharan, 1995.
Section 12: Contracting
Trade or business of the principal
When a person(principal) is in the course of some business or trade, with any other person(contractor) for
the execution of any work, the principal will be liable to pay the amount to the employee who has been
employed in the business. The principal is liable because compensation has to be claimed from the
principal and the amount of wages will be calculated by the employer.
On, in or about the premises
If the accident occurred at a different place that is either on the premises of the workplace or any other
place, the employee will not be able to recover compensation from the employer. Other than this no other
constraint is there and employees can recover compensation from the contractor instead of principal.
Section 13: Remedies of employer against a stranger
When an employee recovers compensation as he suffered any injury and creates a legal liability of some
other person other than the person by whom the compensation was paid, the other person will be entitled
to be indemnified by the person who is liable to pay damages.

Contracting Out of the compensation ----- Section 17

 Any contract or agreement whereby a workman relinquishes any right of compensation from the
employer for personal injury arising out of or in the course of the employment, shall be null and void in
so far as it purports to remove or reduce the liability of any person to pay compensation under this Act.

Claiming compensation:-
 Injured employee may:-
- file a civil suit; or
- claim compensation under E.C. Act, 1923
 Employee cannot file a suit for damages in any court of law if he filed claim under E.C. Act‟1923.
NOTICE AND CLAIM ---- Section 10
 To claim the compensation:-
 The claimant shall give notice of accident to the employer or by entering in the notice book within the
reasonable period.
 Every such notice shall give the name and address of the person injured, the cause of the injury and the
date on which the accident happened and
 Submit the claim application to the commissioner within two years from the date of accident.
 In case of occupational disease the accident is deemed to have occurred on the first day of disease.
 Defect if any in the notice or not giving notice or delayed application will not bar the claim for
compensation.
Procedure in the proceedings before the commissioner
 Section 19 - Reference to commissioners.
 Section 20 - Appointment of commissioner.
 Section 21 - Venue of proceedings and transfer.
 Section 22 - Form of application.
 Section 22A – Power of the Commissioner to require further deposit in case of fatal accident.
 Section 23 – Powers and procedure of Commissioners.
 Section 24 – Appearance of Parties.
 Section 25 - Methods of recording evidence.
 Section 26 – Costs.
 Section 27 – Power to submit cases.
 Section 28 – Registration of Agreements.
 Section 29 – Effect of failure to register agreement.
Commissioners
Section 19: Reference to Commissioner
The question arises about the liability of any person under the act, who will pay the compensation. A
question arises about the person who is injured or not or how much amount is to be given or the duration
of the compensation. Also about the extent of the disability the person who is suffering and will get
compensation. All such issues are to be resolved by the commissioner.

Jurisdiction of Civil Court

The Jurisdiction of the civil court does not have the authority to settle, decide or deal with questions that
are not required to be dealt with under the act if it dealt by the commissioner.

Section 20: Appointment of Commissioner

Commissioner means a commissioner for employee compensation appointed under Section 20. The state
government or the central government may appoint any person to be commissioner for workmen’s or
employees’ compensation act in some specified areas. Every commissioner is identified as a public servant
in the Indian Penal Code.

1. If the state government appoints more than one commissioner for any area, a specific order may
regulate the business.
2. Any commissioner may choose a person or more persons who possess knowledge and assist
him in holding the inquiry.
Section 21: Venue of proceedings and transfer

The provisions under the act will be subject to the commissioner as well if there is a matter related to rules
and regulations. The rules made under the act before the commissioner for the area where-

 The accident happened that resulted in the injury.

 If the employee dies and if the dependent claims compensation it will reside.
 Employer’s office is registered.
No matter should be processed before a commissioner other than the commissioner who has jurisdiction in
the area where the accident happened. It shall not happen without giving notice in the manner prescribed.

If the employee is the mater of the ship or seaman or a captain or crew member of the aircraft or employee
in a motor vehicle, meets with an accident outside India, then such matter shall be done by the
commissioner.

Section 22: Form of Application

No other application for any matter of the commissioner for dependants should be made for compensation.
Until and unless some question arises between the parties there is no settlement as per agreement.

Liability of insurer

The insurance company and the insurer are the same and it provides the insurance policies to the employer.
The employer takes the insurance for the employee for the risks associated with their work. So when there
is an accident and injury occurs the employer claims the insurance for the employee. In this case, the
employer is the insured.

Defective application

An application to a commissioner can be made and it will be accompanied by a fee as prescribed. If the
applicant is illiterate or because of any other reason is not able to furnish information in written form then
the application shall be in the direction of the commissioner.

Section 22-A

The power of commissioner is required to further deposit in the cases which talks about fatal accidents-
When any amount is deposited by an employer as compensation payable in respect of an employee whose
injuries resulted in his death, and the commissioner thinks that amount or sum was not sufficient, he may
state a notice in writing giving reasons, he may call upon the employer to show why he could not make a
further deposit within such time as stated in the notice.

If the employer fails to satisfy the Commissioner, the Commissioner may make an award determining the
total amount to be paid, and requires the employer to deposit the deficient amount.

Section 23: Powers and Procedure of Commissioners

He has the power to award compensation more than what is claimed by the employee if the facts warrant
the award. A case dealing with the commissioner was Karnataka State Road Transport Corporation v. B.T.
Somashekaraiah, 1994.

Section 24: Appearance of Parties

A person may appear or become a witness for the purpose of examination, an application or act is required
to be made by a person to a commission. It may be done on behalf of a legal practitioner or an official of
the insurance company or registered trade union or an inspector appointed under Section 8 of the Factories
Act, 1948, or any other officer which is specified by the state government with the permission of the
commissioner or a person who is authorised to do so.

Section 25: Method of Recording Evidence

The commissioner makes a brief written message (memorandum) of the evidence of every witness as the
examination process proceeds. The memorandum should be in written form and duly signed by the
commissioner. The form so signed by the commissioner must be in his own handwriting and it will be a
part of the record.

Section 25A: Time limit for disposal of cases relating to compensation

The Commissioner can dispose of the matter relating to compensation under this Act within a period of
three months from the date of reference and intimate the decision in respect thereof within the said period
to the employee.

Section 26: Cost

All costs, incidental to any proceedings before a Commissioner, shall, subject to rules made under this Act,
be in the discretion of the Commissioner.

Section 27: Power to submit cases

A commissioner can submit a Question related to law so that the High Court can decide the compliance
with the standards or rules if the High Court wants to do so.

Section 28: Registration of agreements

A memorandum should be sent by the employer to the commissioner when a lump sum amount is payable
as compensation due by the agreement either half monthly payment or payment being payable to a woman
or a person with a legal disability. The memorandum must be genuine and should be registered in the
prescribed manner.

However, a memorandum cannot be recorded before seven days after the communication has taken place
between the commissioner and the concerned parties.

Section 29: Effect of failure to register agreement

The employer will be liable to pay the full amount of compensation if the registration of the agreement of
memorandum is not sent to the commissioner as required under the section. The employer will pay the
compensation as he is liable to pay under the provisions of the Act (Section 4). Until the commissioner
directs to deduct more than half of the amount to be paid to the employee as compensation.

Section 30: Appeals

An appeal may lie to the High Court by following the orders of the commissioner.

 A lump sum amount as compensation is awarded as an order, and redemption of half the monthly
payment is away.

 An order may refuse to allow gain of a half monthly compensation.

 Distribution of compensation by order among the family members of the deceased, or disallowing
of any claim of a person.

CASE LAW –
Devidayal Ralyaram v/s Secretary of state of AIR, 1937
According to Doctrine Of----- Added Peril if a workman while performing his duty does something which
is not required to do and which involves extra danger, the employer would not be liable to pay
compensation if any injury caused to him.