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Lok Sabha passes Employees Compensation Bill with amendments

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New Delhi: Parliament on Wednesday cleared a bill in regards to employees suffering an injury in an industrial accident will now get compensation of up to Rs 1 lakh.

The Employees Compensation (Amendment) bill 2016 also has a provision for hefty penalty in case of any violation by the employers.

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The bill was passed by the Lok Sabha last August but it was brought before the Lower House as Rajya Sabha had passed it last month with two minor amendments.

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The new legislation provides for payment of compensation from Rs 50,000 to Rs 1 lakh to employees and their dependents in the event of injury by industrial accidents, including occupational diseases.

The legislation also has a provision for a hefty penalty in case of a violation by an employer which could prove to be a “deterrent” to the employees.

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It covers workers in the organised sector and the government had said it was trying to bring more workers from the informal side to the organised sector.

(With PTI inputs)

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