For the Employer

Who is meant by employer?

"Employer" includes the Republic of Sri Lanka and anybody of persons whether corporate or unincorporate and any managing agent of an employer and the heirs. Accordingly, unlike other labour laws, the workmen’s compensation law can be applied to public sector employees as well.

Grounds on which employer can disclaim the liability

In a claim of compensation by an employee (workman), the employer can disclaim liability, on following grounds.

1. In respect of any injury which results in disablement of the workman for a period not exceeding three days. i.e. a minor injury. This depends on medical reports. 
2. In respect of any injury, not resulting in death, caused by an accident which is directly attributable to -
• The workman having been at the time of accident under the influence of drinks (liquor or drugs), or
• The willful disobedience of an order expressly given by the employer for the purpose of safety, or
• The willful disregard of any safety guard or other device provided by the employer for the purpose of safety.

Accepting responsibility for accident

If the employer accepts responsibility in the event of a nonfatal accident, the agreement form (Form "G") should be forwarded to the Commissioner for Workmen’s Compensation after having paid the relevant compensation to the employee. The Commissioner for Workmen’s Compensation then registers the agreement form. This prevents legal proceedings being initiated.

The employer shall report all accidents other than minor accidents (those lasting less than three (3) days) to the Commissioner of Workmen’s Compensation within 14 days of the accident.  Form "Q" should be used for this purpose. In the event of the death of a workman, it shall be reported to the Commissioner for Workmen’s Compensation within 30 days. ( Form "O")

The failure to do so results in the employer being found guilty and subject to a payment of penalty. In a case of death, the compensation shall be deposited with the Commissioner and should not be paid to the wife or minor dependants directly. Once the compensation is deposited, the Commissioner will take steps to distribute among dependants.

Insuring employees (workmen) by Employer

According to the law of Sri Lanka it, is not compulsory for the employer to insure his employees. If such insurance is undertaken, it is easy to pay compensation for workmen in the event of an accident, since such compensation can be paid through such insurance. If so insured, the total contribution for insurance against liability to workmen shall be paid by the employer.