'Minimum Wages Can't Be Determined Based Solely On Educational Qualification': SC On Accident Compensation Dispute
New Delhi: While hearing a motor accident compensation dispute case, the Supreme Court on Monday ruled that the minimum wages cannot be determined solely on the basis of a person’s educational qualifications, without reference to the nature of work. The case was about the accident compensation and the quantum of income was in dispute.
The accident occurred in 2001 and the victim, a 20-year-old B.Com final year student who had enrolled with the Institute of Chartered Accountants of India, but was rendered paraplegic after a motor accident, remained bedridden for two decades until his death.
The Tribunal and the Delhi High Court had computed his income for the purpose of awarding compensation by applying the minimum wages notified for workers, such as Rs. 3,352 per month. The High Court had noted that although the victim had academic prospects, he had not yet attained the qualification of a Chartered Accountant, and therefore the income could not be fixed at that level.
However, hearing the case, a Bench of Justices K. Vinod Chandran and N.V. Anjaria observed that the minimum wage schedule cannot be applied on the basis of educational qualification alone.
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The bench said it was not convinced that the minimum wages would be determined on the basis of the educational qualification alone, without reference to the nature of work carried on. It pointed out that adopting the wages of a skilled worker was also not proper in the circumstances. The court then fixed a monthly income of Rs 5,000 in 2001, with a 40% addition towards future prospects, as per Pranay Sethi, while taking into account that the victim would reasonably have been employed as an accountant upon graduation.
