Obligation : To make sure that no agreement or contract is entered into which reduces or removes the liability of Employer as it is null and void.
Type:Trigger
Frequency: Quarterly
Action to be taken:
Not to enter into any contract or agreement which makes the workman give up or reduce his right to compensation or entering into any contract which aims at reducing or removing the liability of the employer to pay compensation under the Act.
Audit Requirement: Have no contracts been entered into which reduces the liability of the employer to pay compensation?
Supporting Documents: Contracts and Agreements for compensation to a workman
Related Sections:
Employees Compensation Act, 1923 Chapter:Employees Compensation|17:Contracting out:
Any contract or agreement whether made before or after the commencement of this Act, whereby a employee relinquishes any right of compensation from the employer for personal injury arising out of or in the course of the employment, shall be null and void in so far as it purports to remove or reduce the liability of any person to pay compensation under this Act.
Employees Compensation Act, 1923 
