Presentation on Benefits to the

dependents of Deceased Contract

Workers
By
NAVEEN KUMAR KOLAKNI.
kolakaninaveen@gmail.com
www.learnersconsultancy@gmail.com

HTTPS://NAVENSRERAJ.BLOGSPOT.IN /
 Benefits to the dependents of the deceased contract
workers
Sno Accidental Death Natural Death

1 Accumulated PF amount + Interest @ Applicable Applicable

8.8%
2 PF Pension Applicable Applicable
3 Employee Deposit Linked Insurance Applicable Applicable
(EDIL)
4 ESI Pension Applicable Not Applicable
5 ESI Funeral Expenses Applicable Applicable
6 AP labour welfare fund Applicable Applicable
7 Group Personal Accident Insurance Applicable Not Applicable
8 Suraksha Bima Yojana Applicable Not Applicable
9 Jeevan jyothi Bima Yojana Applicable Applicable
10 Chandranna Bima * Applicable Applicable
https://navensreraj.blogspot.in
 Provident Fund

Total PF savings plus interest.

PF Pension under Employee Pension Scheme, 1995
Employees Deposit Linked Insurance Scheme
Formula:
Monthly wage * 30 times (Part A)
+
50% of average balance in the account of the
deceased in the PF fund for the preceding 12
months from the date of fatal accident (Part B).
Ceiling for part B is Rs: 1,50,000/-

https://navensreraj.blogspot.in
 Illustration for Calculation of EDLI

EDLI amount as per the present minimum wages

Minimum wages for Unskilled worker with effect from
1.04.2016 i.e. Rs: 7982/- per month

Calculation of Part A:
Part A: 7982 * 30 = Rs: 2,39,460/-

https://navensreraj.blogspot.in
 Calculation of Part B of EDLI
If the worker is deceased on 1/1/2016 the Part B of
EDLI is calculated as follows.
Balance in the account as on 1/1/2015- Rs: 1,00,000/-
Balance in the account as on 1/2/2015- Rs: 1,01,000/-
Balance in the account as on 1/3/2015- Rs: 1,02,000/-
.
.
.
Balance in the account as on 1/1/2016- is 1,11,000/-
Formula: 50%of (1,00,000+ 1,01,000+1,02,000+ ..+1,11,000)/12
i.e. Rs: 52,750/-
* Assumption 10 years of service as unskilled worker.

https://navensreraj.blogspot.in
 ESI Pension

90% of the wages is given as pension to the dependents

of the deceased worker till the death of the dependent.
ESI pension w.r.t minimum wages with effect from
1.04.2016.

Unskilled Worker: 90% of 7982 i.e. Rs: 7,183/- per

month
Semi skilled Worker: 90% of 9022 i.e. Rs: 8,119/- per
month
Skilled Worker: 90% of 10582 i.e. Rs: 9,523/- per
month

https://navensreraj.blogspot.in
 AP labour welfare fund

Funeral Expenses of Rs: 5,000/- in case of any death.

An amount of Rs: 20,000/- under Emergent Economic
Ameliorative Relief in case of accidental deaths
An amount of Rs: 10,000/- under Natural Death scheme in
case of natural deaths.

https://navensreraj.blogspot.in
 Group Personal Accident insurance

Group Personal Accident Insurance of Rs: 5,00,000/- in

case of fatal accidents while on duty.

https://navensreraj.blogspot.in
 Pradhan Mantri Suraksha Bima Yojana

In case of accidental deaths under Pradhan Mantri

Suraksha Bima Yojana an amount of Rs: 2,00,000/- is paid
to the dependents of the deceased worker with a premium
of Rs: 12 per annum.

https://navensreraj.blogspot.in
 Pradhan Mantri Jeevan Jyothi Bima Yojana

In case of death, under Pradhan Mantri Jeevan

Jyothi Bima Yojana an amount of Rs: 2,00,000/- is
paid to the dependent of deceased worker with a
premium of Rs: 330 per annum.

https://navensreraj.blogspot.in
 Chandranna Bima Scheme

Under Chandranna Bima Scheme an amount of Rs:

3,00,000/- in case of fatal accidents while on duty.
An amount of Rs: 30,000/- is paid to the dependents in
case of natural death.
With a premium of Rs: 134.5 per annum.

https://navensreraj.blogspot.in
 Summary of Benefits
Sn Name of the Accidental Natural Death Period of
o benefit Death payment
1 PF Pension Approx Rs: 1000 /- per Approx Rs: 1000 /- per Every month
month month
2 ESI Pension Usk Rs: 7,183/- Not Applicable Every month
Ssk Rs: 8,119/-
Sk Rs: 9,523/-
3 Employee Deposit Linked Usk Rs: 3,00,000/- Usk Rs: 3,00,000/- One time settlement
Insurance (EDIL) Ssk: 3,30,000/- Ssk: 3,30,000/-
Sk: 3,70,000/- Sk: 3,70,000/-
4 Accumulated PF amount + Accumulated Amount + Accumulated Amount + One time settlement
Interest @ 8.8% Interest @ 8.8 % Interest @ 8.8 %

5 ESI Funeral Expenses Rs: 10,000/- Rs: 10,000/- One time settlement
6 AP labour welfare fund Rs: 25,000/- Rs: 15,000/- One time settlement
7 Group Personal Accident Rs: 5,00,000/- Not Applicable One time settlement
Insurance

8 Suraksha Bima Yojana Rs: 2,00,000/- Not Applicable One time settlement
9 Jeevan jyothi Bima Yojana Rs: 2,00,000/- Rs: 2,00,000/- One time settlement
10 Chandranna Bima * Rs: 3,00,000/- Rs: 30,000/- One time settlement

https://navensreraj.blogspot.in
 Tentative amount in case of death of contract
labour

Sno Skill level Accidental Death Natural Death

1 Unskilled Rs: 16,60,656/- Rs: 5, 94,460/-
2 Semi Skilled Rs: 17,03,088/- Rs: 6,25,660/-
3 Skilled Rs: 17,66,736/- Rs: 6,72,460/-

Further PF & ESI pension amount will be paid every

month till the death of the dependent.
With regard to the Chandranna Bima Scheme, CLC has
written to DCL whether the contract workers working under
various contracting agencies are eligible for the scheme or
not?

https://navensreraj.blogspot.in
NAVEEN KUMAR KOLAKNI

Thank You
www.learnersconsultancy@gmail.com

https://navensreraj.blogspot.in