Institute of Legal and Management Studies

The Supreme Court has recommended an amendment to the definition of the word 'dependent' under Employees Compensation Act, 1923. Since, the current definition excludes the 'major widowed sister' from getting benefit as a deceased employee's dependent, the Court asked the Union Government to refer the matter for consideration by the Law Commission of India for suitable amendments in the definition.

A bench of Justices Rajesh Bindal and Manmohan passed an order, thereby upholding compensation awarded to two widowed sisters of a deceased worker who were major at the time of demise. The Court dismissed the New India Assurance Company Ltd.'s appeal, which argued that since the deceased 'widowed sisters were not minors at the time of his demise, they were not entitled to claim compensation as dependents.

The definition of the word 'dependent' in Section 2(1)(d)(iii)(d) means “a minor brother or an unmarried sister or a widowed sister if a minor.”

Although the Court declined to interfere with the High Court's ruling, but left the question of law open, implying that the interpretation of “dependent” remains unresolved. The Court reasoned that the literal interpretation of the word dependent would be archaic or old-fashioned, as “in the present time, no one will normally find a widowed sister who is a minor, especially after enactment of the Hindu Marriage Act, 1955.”

In this backdrop, the Court found it reasonable that "the matter needs to be considered by the Law Commission of India for suitable amendment of the aforesaid provision or any other in the 1923 Act,” to include a widowed adult sister in the definition of the dependent.

“A copy of the order be sent to the Secretary, Ministry of Law and Justice, who may further refer the same to the Chairperson, Law Commission of India.”, the court added.

Cause Title: THE NEW INDIA ASSURANCE COMPANY LTD. Vs. KOGGA & ORS.

Citation : 2025 LiveLaw (SC) 1039

Click here to read/download the order

Appearance:

For Appellant(s) : Mr. Salil Paul, Adv. Mr. Sahil Paul, Adv. Ms. Manjeet Chawla, AOR Mr. Sandeep Dayal, Adv. Ms. Kiran Bala Agarwal, Adv.

For Respondent(s) : Ms. Aishwarya Bhati, A.S.G. Ms. Shreya Jain,Adv. Mr. Anirudh Singh,Adv. Ms. B L N Shivani, Adv. Mr. Amrish Kumar, AOR