Ministry of Labour publishes Draft Code on Social Security (Employee’s Compensation) (Central) Rules, 2021.

The Ministry of Labour and Employment on 3^rd June 2021 has published the Draft Code on Social Security (Employee’s Compensation) (Central) Rules, 2021 in suppression to Employee’s Compensation Rules, Employee’s Compensation (Transfer of Money) Rules and Employee’s Compensation (Venue of Proceedings) Rules.

The Ministry invites objection and suggestion from the public on the Draft code, which shall be addressed to Shri Rahul Bhagat, Director, Ministry of Labour and Employment, Room No.302, Shram Shakti Bhawan, Rafi Marg, New Delhi-110001 or by e-mail – rahul.bhagat@ips.gov.in. within 45 days.

Key Highlights from the rules:

• If the amount of compensation payable for damages for default is not paid by the employer within the period of 30 days, the employer shall pay, from the date on which the compensation become payable to the date on which it is paid, simple interest at the rate of 12%. per annum or any other rate notified by the Central Government from time to time.
• The Money transmitted by one competent authority to another, shall be transmitted either by remittance receipt or by e-transfer or by net banking or by Demand Draft, as the competent authority transmitting the money may direct.
• If any matter under the Code is required to be processed before or by a competent authority other than the competent authority having jurisdiction over the area in which the accident took place the former may for the proper disposal of the matter call for in Form-D a detailed report including transfer of any records or money remaining with the latter and on receipt of such a request he shall comply with the same.

 Provided that if any further enquiry is necessary in the area in which the accident took place for framing of issues or for determining the amount of compensation, the competent authority, before whom the application has been filed, may require the competent authority of the area in which the accident took place to conduct such enquiries and to serve such notices or orders as may be necessary for the purpose of such enquiries.