Case Note & Summary
The appellant, the Manager of Bedse Pulp Conversion Industries Pvt. Ltd., challenged the order of the Labour Court which awarded compensation to the respondents, the legal heirs of the deceased employee, Laxman Nikale. The deceased was an employee of the appellant and died of a heart attack while on leave. The Labour Court held that the death arose out of and in the course of employment and awarded compensation under the Workmen's Compensation Act, 1923. The appellant contended that the death did not occur during the course of employment as the employee was on leave. The High Court analyzed the facts and found that the deceased was on leave at the time of death and there was no evidence to show any causal connection between the employment and the death. The court held that the death did not arise out of and in the course of employment and allowed the appeal, setting aside the Labour Court's award.
Headnote
A) Workmen's Compensation - Death arising out of and in the course of employment - Section 3 of the Workmen's Compensation Act, 1923 - The issue was whether the death of an employee due to heart attack while on leave could be compensated under the Act - The court held that since the employee was on leave and not performing any work-related duties, the death did not arise out of and in the course of employment - The Labour Court's award of compensation was set aside (Paras 2-6).
Issue of Consideration
Whether the death of an employee due to heart attack while on leave can be said to have arisen out of and in the course of employment under Section 3 of the Workmen's Compensation Act, 1923.
Final Decision
Appeal allowed. The order of the Labour Court awarding compensation is set aside. No order as to costs.
Law Points
- Workmen's Compensation Act
- 1923
- Section 3
- Death arising out of and in the course of employment
- Heart attack while on leave
- No causal connection with employment
Case Details
2016 LawText (BOM) (04) 6
First Appeal No.2837 of 2009
Mrs. Madhaveshwari D. Thube Mhase for Appellant; Mr. V.D. Sonawane for Respondent No.1; Mr. P.M. Hiwale for Resp. No.2
The Manager, Bedse Pulp Conversion Industries Pvt. Ltd.
Sau. Hirabai w/o Laxman Nikale (Nikalje), Laxman s/o Natha Nikale, Smt. Swati Jagdish Nikale, The Manager, Employees State Insurance Company
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Nature of Litigation
Appeal against Labour Court's award of compensation under Workmen's Compensation Act for death of employee due to heart attack while on leave.
Remedy Sought
Appellant sought setting aside of Labour Court's order awarding compensation to respondents.
Filing Reason
Appellant challenged the Labour Court's finding that the death arose out of and in the course of employment.
Previous Decisions
Labour Court awarded compensation to the respondents.
Issues
Whether the death of an employee due to heart attack while on leave can be said to have arisen out of and in the course of employment under Section 3 of the Workmen's Compensation Act, 1923.
Submissions/Arguments
Appellant argued that the deceased was on leave at the time of death and there was no causal connection between employment and death.
Respondents argued that the death arose out of and in the course of employment.
Ratio Decidendi
For death to be compensable under Section 3 of the Workmen's Compensation Act, 1923, it must arise out of and in the course of employment. When an employee dies while on leave, there is no causal connection between the employment and the death, and therefore the employer is not liable.
Judgment Excerpts
The question raised by the appellant in the present appeal is, 'whether it was open for the Labour Court, which was also designated as the Commissioner for Workmen's Compensation, to award compensation to the respondents when the deceased employee died of heart attack while on leave?'
In the present case, the deceased was on leave at the time of his death. There is no evidence to show that the death had any causal connection with the employment. Therefore, the death cannot be said to have arisen out of and in the course of employment.
Procedural History
The Labour Court (also designated as Commissioner for Workmen's Compensation) awarded compensation to the respondents. The appellant filed the present appeal before the High Court challenging that order.
Acts & Sections
- Workmen's Compensation Act, 1923: Section 3