Case Law Details
Reeta Devi Vs Sima Devi (Jharkhand High Court)
Going by the definition of wages as given under Section 2(m) of the Employees Workmen’s Compensation Act, 1923 Act the contention of the Insurance Company that food allowance of Rs.80 per day shall not constitute part of wages is not tenable. A plain reading of the definition of the wages will show that given definition is wide enough to include the food allowance. The definition reads as under,
“(m) “wages” includes any privilege or benefit which is capable of being estimated in money, other than a travelling allowance or the value of any travelling concession or a contribution paid by the employer of a [employee] towards any pension or provident fund or a sum paid to a [employee] to cover any special expenses entailed on him by the nature of his employment”
From the above definition of wages it is manifest wages includes any privilege or benefits which is capable of being estimated in money. It has come in evidence that Rs.80/ per-month was paid to the employee apart from monthly salary of Rs.3,500/-.
12. Under the circumstance, the admissible compensation will be computed on the basis of monthly wages of Rs.3,500 + Rs.80x 26= Rs.5,580 Taking Rs.5,580/- as monthly income of the deceased the final compensation shall work out to Rs. 219.95 x Rs. 2,790= Rs.6,13,660/-.
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