The Employees Compensation Act, 1923 which was earlier known as Workmens Compensation Act, 1923, provides compensation benefits to certain classes of employees by their employer for the injury which is caused to them as a result of accident arising out of employment and in the course of employment. Hence if an employee suffers injury in the course of employment shall be entitled to compensation. This Act basically provides a social security to employees who receive incapacity resulting in loss in the earning capacity 
 
APPLICABILITY
 
1.       Applies to all persons covered under the definition "Employee" under Section 2(1)(dd)
2.       A railway servant not in administrative capacity or as per Schedule II
3.       Member of the crew of aircraft , ship or employee in motor vehicle
4.       Persons working outside India in capacity under Schedule II
5.       Employee in any capacity under Schedule II
 
NON-APPLICABILITY
 
The Act does not apply to:
1·         Members of Armed Forces of Union [Section 2(1)(dd)]
2·         Factory where ESI Act applies. (Section 10B)
 
DEPENDANT
 
1·         A widow, minor son and unmarried daughter (legitimate or adopted), widowed mother
2·         Those who are wholly or partially dependant on employee [Section 2(1)(d)]
 
LIABILITY FOR COMPENSATION
For injuries arising out and in the course of employment which includes injury under Part I & II of Schedule I and Occupational diseases under Part A, B, C of Schedule III
 
No liability- if accident is due to influence of drinks/drugs or Willful disobediance to any order disregard to safety guard for the safety of employee [Section 3(1)(b)]