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12 Jun 2026


SC sets ₹30,000 monthly for homemakers compensation

Landmark ruling recognises economic contribution of unpaid domestic work

In a significant judgment, the Supreme Court has fixed ₹30,000 per month as the notional value of a homemaker’s services while calculating compensation in motor accident claim cases. The ruling is expected to bring greater consistency to compensation awards and strengthen recognition of the economic contribution made by homemakers.

The case arose from a motor accident compensation claim involving the death of a homemaker. While determining compensation, the court examined how unpaid domestic work should be valued, noting that homemakers perform a wide range of essential tasks that contribute significantly to the well-being of families and society.

A bench of the Supreme Court observed that the work performed by homemakers cannot be treated as having no economic value simply because it is unpaid. The court said domestic responsibilities such as childcare, household management, caregiving and other daily tasks provide substantial support to family life and deserve recognition when compensation is assessed.

To ensure uniformity in future cases, the court fixed a notional monthly income of ₹30,000 for homemakers in motor accident compensation matters. The benchmark is expected to guide tribunals and courts across the country while determining compensation for families who lose a homemaker in road accidents.

The judgment builds on earlier Supreme Court decisions that recognised the value of unpaid household work. Legal experts say the latest ruling provides a clearer framework for compensation calculations and reflects changing societal attitudes towards domestic labour.

The court emphasized that homemakers make a meaningful economic contribution even though their work is not reflected in conventional salary structures. By assigning a monetary value to these services, the ruling acknowledges the often-overlooked role played by women and other family members engaged in full-time domestic responsibilities.

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