Deadlines · Social Security Code
Employee's compensation payment
- Accident, danger or disease: within 1 month
- Employer
What to do
Pay compensation for an employment injury as soon as it falls due s. 77(1). If you do not accept liability to the full extent claimed, make a provisional payment of the amount you accept, to the employee or by deposit with the competent authority s. 77(2).
Who it applies to
Subject to the Second Schedule, the employee’s compensation Chapter applies to employers and employees to whom the ESI Chapter does not apply First Schedule.
When
As soon as it falls due. If it is not paid within one month, the competent authority may order interest and, if there is no justification for the delay, damages of up to fifty per cent of the arrears s. 77(3).
How
The interest is twelve per cent a year, or the rate the Central Government notifies rule 57.