In Brief
An employee engaged as a forging machine operator lost multiple phalanges across four fingers of his right hand in an industrial accident in 2004. The Commissioner awarded 100% disability and compensation of ₹3,20,355, but the High Court reduced it to 34% relying on statutory Schedule I percentages. The Supreme Court held that while the Employees' Compensation Act prescribes fixed loss percentages for individual injuries, courts may depart from these schedules to assess functional disability in cases of multiple injuries affecting the same limb, particularly the dominant working hand. Finding the right hand seriously mutilated and operationally impaired, the Court assessed disability at 50%, ordering compensation of ₹1,60,177.50 plus interest and partial penalty.
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