Q-5: Explain Self-assessment scheme and its benefits.
Ans: SELF ASSESSMENT SCHEME [SEC. 2(25A)]
This scheme is introduced by Lab.otu Laws Amendment Ordinance 2000 dated October 6, 2001, effective from 01 July 2001. It permits employer to opt the scheme and ensure no intervention through chocking by any. staff member of the institution under this, scheme the employer undertakes to pay a contribution amount-to Rs.350/- per month per secured employee.
Non-Duplication Of Benefits [Sec. 51]
When a secured person is entitled to more than one benefit i.e., sickness benefit, maternity benefit and .injury benefit, he shall be paid only, one of those which is the highest. A person is not entitled to:
(a) Sickness benefit, eternity benefit or injury benefit for any day for which he receives wages.
b) The right to receive any payment in respect of any benefit is not transferable or assignable
(c) The benefit payable ;s not liable to attachment or sale in execution of any decree or order of the court.
(d) Where a person has received any benefit or payment to which he is not entitled, he shall repay the value of benefit or amount of payment, and in case of his death, las legal heirs shall repay out or-the assets of the deceased.
SICKNESS BENEFIT [SEC. 35]
Under Section 35 a secured person who has been certified to be incapable of attending to his work, by an authorized medical practitioner shall be entitled to receive sickness benefit at the rate fixed by notification by the Government in consultation with the Institution. The only condition to entitle a secured person to sickness benefit is that during the six calendar months immediately preceding the date on which his incapacity to work was certified, contributions in respect of him were paid or payable for at least 90 days.
A secured person shall be entitled to receive sickness benefit throughout the period of sickness, for 365 days where the employee is suffering from T.B. or Cancer, which render him incapable to earn his livelihood, and for 121 days in case of any other disease. However, no benefit shall be allowed for first 2 days.
MATERNITY BENEFIT [SEC. 36]
A secured woman shall be entitled to receive maternity benefit at the rate fixed be Government in consultation with the Institution by notification if in respect of her contributions were paid or payable for not less than 180 days during the 12 calendar months immediately preceding the expected date of hei confinement, and date of her confinement is certified by the authorized medical practitioner.
Maternity benefit shall be paid for all days on which she does not work for remuneration during the 12 weeks, of which not more than 6 weeks shall precede the expected date of confinement.
DEATH GRANT [SEC. 37 & 43]
Who Can Claim
Where a secure person dies while in receipt of or entitled to receive injury benefit, sickness benefit or medical care at the time of his death or while he is in receipt of a total disablement pension, his heirs i.e., the surviving widow, widows or needy widower, will receive this benefit. In. case there is no such heir of the deceased the person who provided for the funeral, shall be entitled to a death grant* The death-grant* shall be calculated on the basis of the daily rate of sickness benefit, or injury benefit or total disablement pension, as the case may be, multiplied by 30 subject to a minimum of Rs. 1,500,
Iddat Benefit [Sec. 37(21]
Where the husband of a secured woman dies she shall be entitled to receive Iddat benefit equal to the daily rate of her wages during the period of her Iddat. Where the secured woman is a seasonal employee she shall be entitled to receive Iddat benefit in the same manner and to the same extent even if her seasonal employment is terminated during the period of Iddat.
Medical Care During Sickness [Sec. 38]
‘Medical care shall; be given to a secured person and/or his dependants, whenever any of them suffers from a medical condition. A person receiving injury benefit, disablement pension or survivor s pension shall be entitled to medical care till his recovery. Medical care shall be provided only if the secured person satisfies the conditions laid down in Section 35 to 40. No specific form of application for claim has been prescribed.
A secured woman shall be entitled to pre-natal confinement and post-natal medical care if she is entitled to benefit or if during the 6 calendar months preceding her claim, contributions in respect of her were paid or payable for not less than 90 days.
MEDICAL CASE OF DEPENDANT [SEC. 38]
When a secured person dies other than due to any employment injury, his dependants shall be entitled to medical care for one year from the date of death of such person. This facility shall be available only the deceased secured person had been in continuous employment for at least 12 months preceding death.
(b) Seasonal Employee
When the deceased secured person was a seasonal employee, his dependants shall be entitled to medical care for 6 months from the date of death of such secured person. This facility will be allowed only when the deceased had been in employment for at least 6 months during two continuous seasons preceding his death.
INJURY BENEFIT [SEC. 39]
A secured person is entitled to receive injury benefit at the rate fixed by the Government in consultation with the Institution by notification. This benefit will be receivable on the basis of a certificate from an authorized medical practitioner. The secured person shall receive injury benefit from the day he suffers employment injury- This benefit is payable for a maximum period of 180 days. The rate for the time being announced is 60% of the daily rate of wages.
DISABLEMENT PENSION [SEC. 40]
A secured person sustaining total or partial disablement shall be entitled, after the expiry of his entitlement to injury benefit, to receive disablement pension according to the degree of disablement determined from time to time at the rate fixed by Government in consultation with the Institution, The disablement pension shall be payable for life if the same has been paid for a continuous period of 5 years.
The disablement pension shall terminate in the following circumstances:
(a) When recipient dies (b) When disablement ceases
(c) When disablement ceases to be total or partial
It may be said that a secured person on being injured starts getting first financial help in the form of injury benefit upto 180 days, and if not cured gets second financial assistance in the shape of disablement pension till disablement ceases or death occurs. Where disablement pension is received for full 5 years and disability still continues then it becomes a life-long pension.
Disablement Gratuity [See. 41]
A secured person sustaining minor disablement shall be entitled to disablement gratuity at the rate fixed by Government in consultation with the institution, which will be different for different degrees of disablement.
When a secured person receiving disablement pension ceases to suffer from total or partial disablement but continues to suffer from minor disablement, he shall, on the termination of disablement pension, be entitled to disablement gratuity.
SURVIVOR’S PENSION [SEC. 42]
In the case of the death of an insured person while in insurable employment but after he had completed not less than 36 months insurable employment, the surviving spouse, if any, shall be entitled to a life pension equal to 60 percent of the minimum pension.
In the case of the death of an insured person who had become entitled to old age pension, before his death, the surviving spouse shall, if the suppose had married the deceased person before he had attained the minimum age prescribed for old age pension, receive a life pension of 60 percent of the pension of such person.
In the case of the death of the surviving spouse in respect of a survivor’s pension within five years after the death of the insured person, the survivor’s pension for the balance of the said five years shall be paid to estate of the deceased spouse.
In the case of the death of an insured person not survived by a spouse, the survivor’s pension shall be paid to the estate of the deceased for a period of five years.
Who Are Entitled
When a secured person dies as a result of employment injury each of the heirs of the deceased shall be entitled to survivor s pension. The survivors entitled to receive this pension are: widows or needy widower, each dependant’s child, dependent father, dependent mother, unmarried male children upto 21 years of age, dependent unmarried daughter irrespective of age limit.
Survivors pension is payable to each of the dependants in the proportion specified in Section 42. Subject to the maximum of the rate of total disablement pension which was payable to deceased person. When the pension of any survivor ceases, the pensions of remaining survivors shall be adjusted accordingly.
Survivors pension shall terminate upon the death of survivor, upon the remarriage of survivor widow, and upon attaining 16 years of age of dependent child.
When the deceased person does not leave a widow or needy widower the survivor’s pension shall be payable to dependent father if he is alive, and if he is not alive, to dependent mother if she is alive, at the rate of equal to l/5th of the rate of total disablement pension.
An insured person who suffers invalidity shall be entitled to get invalidity pwxe-ion ‘U a prescribed rates provided he fulfills the following conditions.
(a) Contributions in respect of him were payable for not less than 15 years; or Contributions in respect of him were payable for not less than five years since his entry into insurable employment and for not less than 3 years during the period of five years preceding the month in which he sustains invalidity: and
(b) In either case he is under 60 years of age or 55 years of age in the case of a woman. The invalidity pension shall be payable from the month following that in which the insured person satisfies the conditions for entitlement thereto. The invalidity pension shall be payable retrospectively for more than six months preceding the month in which an application for the invalidity pension for life.
Act not to Apply:
The provisions of this Act will not apply in respect of following categories of persons: Parsons in the service of the state, including members of armed forces, police force and railway servants;
(a) Persons in the service of a local council, a municipal committee, a cantonment board or any other local authority;
(b) Persons who are employed in services or installations connected with or incidental to the Armed Forces of Pakistan including an Ordinance factory maintained by Federal Government or Railway Administration;
(c) Persons in the service of Water and Power Development Authority; Persons in the service of a Bank of Banking Company:
(d) Persons in the service of statutory bodies other than those employed in or in connection with affairs of a factory. Workshops maintained exclusively for the purposes of repair or maintenance of equipment or vehicles used in such statutory bodies shall not be treated as factories for the purposes of this clause.
MEDICAL CARE [SEC. 44]
A person shall be entitled to medical care (including dental care) subject to the following rules:
(a) Such person is in receipt of injury benefit, disablement pension, not Less than 50% or survivor’s pension.
(b) Medical care shall be admissible:
(i) So long as the injury benefit, or survivors pension continues
(ii) For 6 months after the termination of disablement pension
For receiving medical care no condition as regards payment of contribution or showing of card in laid down.