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In Commercial Union Assurance Pte Ltd v Chu Kim Bak [1999] 1 SLR 553, the court held that payment of wages and hospital bills amounts to payments of compensation under the Act. The employer is bound by the Act to pay these amounts. It may claim the same from the insurer who in turn, is entitled by subrogation and s 18(b) to be indemnified by the person liable to pay damages to the workmen for having caused the injuries.
Claims under Common Law
In Neo Kim Seng v Clough Petrosea Pte Ltd [1996] 3 SLR 522, Neo was struck by a winch wire in September 1991 and sustained multiple fractures in both legs. He resumed work on 16 March 1993 but suffered from pain and recurring problems with infection and residual disability.
His work was affected by the injuries. He could no longer do many tasks which form part of the ordinary ship mechanic job (carrying heavy objects or climbing up into cranes). He also had problems with tightening and loosening large screws and bolts which job involves the use of his legs to provide the necessary leverage.
He was born in August 1964 and would probably have continued to work for another 32 years until 65. Retirement Age Act (Cap 274A) raised retirement age to 65.
Loss of future earnings
Neo is a Malaysian. There was a probability that he would work in Singapore for the next seven years (until 40) and in Malaysia for the next 25 years. In Singapore he would suffer a loss of $1,000 a month in his earnings but if he worked in Malaysia his loss would be $500 a month. Because Neo would be awarded a lump sum after the trial, the court awarded him $26,000 ($9,000 times 3 years) for the Singapore component and $72,000 ($6,000 times 12) for the Malaysian component.
Loss of promotion prospects and CPF contributions by the employer may also be compensated. In Neo's Case, the court awarded $35,424 to which it added a further $6,373 being the CPF contributions payable by the employer to come to a total of $41,800. A further sum of $25,091 for loss of overtime earnings for the 51-month period between the date of the accident and the date of the trial was also awarded.
Loss of earning capacity
In addition, the court granted Neo's request that both loss of future earning and loss of earning capacity should be awarded. That was because the facts established clearly that whilst Neo was still in the employ of Clough Petrosea, he was not able to earn as much as he had been able to previously because of his reduced ability to work. Further, Neo's disabilities were such that if he ever lost his job with Clough Petrosea, he would be disadvantaged in his search for a new job. A sum of $25,000 was awarded for this loss of earning capacity.
In Araveanthan v Nippon Pigment [1992] 1 SLR 545, $55,000 was awarded for loss of earning capacity. Araveanthan was only 25 years old and he had virtually loss the use of his right hand as a result of which his trade qualification in metal machining was totally useless to him.
In the case of Visvalingam v Toh Gim Choon [1998] 3 SLR 974, on 29 August 1994, Visvalingam was walking along a road when he was knocked down by a motor cyclist. He sustained a fracture of his left leg and bruises on his left knee. Although the fracture had united, he experienced pain and discomfort due to early osteoarthritis of the knee joint. He is not capable of heavy manual work. He is able to perform light manual sedentary work. For the early onset of osteoarthritis, the court awarded to him $5,000.
Recovery of salaries and medical expenses
With regard to the recovery of salaries paid to the worker during his hospitalisation, medical leave and medical expenses, following a recent case Commercial Union Assurance Pte Ltd v Chu Kim Bak [1999] 1 SLR 553, an employer may recover such expenses from the insurance or the person who injured the worker.
see a sample of a court claim below (simplified)
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