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Delhi High Court Raises Compensation for 74-Year-Old Accident Victim, Says Unpaid Household Work Has Real Value

A woman’s contribution to her family does not lose its worth with age. Reinforcing this principle, the Delhi High Court has ruled that unpaid household and caregiving services performed by a homemaker cannot be ignored while calculating motor accident compensation simply because she is above 70 years old.

Justice Anish Dayal observed that assumptions about old age must not determine whether a person’s contribution to the household deserves recognition. Women continue to perform domestic duties and care for family members well into their seventies and beyond, the Court noted.

The ruling came in an appeal filed by Ganga Devi, who was 74 when a bus accident in February 2019 crushed both her legs, leaving her with 74% permanent disability affecting both lower limbs.

The Motor Accident Claims Tribunal had awarded her ₹14.42 lakh in compensation but rejected her claims for loss of income and future income. Its reasoning was that she was an elderly woman who had never held formal employment and had not sufficiently established her contribution to household work.

The High Court found this approach unacceptable, cautioning against age-based assumptions that effectively erase the economic value of unpaid domestic labour.

The Court pointed out that older people are not merely recipients of care within families. They also continue to contribute through everyday household responsibilities and activities such as looking after grandchildren.

It further emphasised that domestic work has tangible economic value, even when no salary is paid for it. Cooking, childcare and other household responsibilities would otherwise require families to spend money on paid services.

In its observations, the Court said the absence of monetary remuneration cannot become a reason to reduce compensation payable to an injured person or benefit the party responsible for the harm.

Compensation recalculated using skilled-worker wages

Rejecting the tribunal’s assessment, the High Court directed that Ganga Devi’s notional monthly income be calculated on the basis of the minimum wages applicable to a skilled worker in Delhi at the time of the accident.

The applicable monthly wage was ₹16,962. Using this figure, the Court enhanced the compensation by ₹6.37 lakh.

The judgment in Ganga Devi v. Rajesh Kumar & Ors. underscores that the economic worth of a homemaker’s work cannot be measured solely by whether she earns a salary. It also makes clear that advancing age, by itself, cannot justify overlooking the services a person continues to provide to their family.

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