EMPLOYMENT

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possession of a valid insurance policy to cover his liabilities under the ordinance and at common law.

The Employees' Compensation Division of the Labour Department, which administers the Employees' Compensation Ordinance, assists injured employees and family members of deceased employees to obtain compensation from their employers. It also administers a scheme to provide interest-free loans to those injured employees and family members of deceased employees who need financial assistance as a result of a work-related accident.

Payment of compensation under the Pneumoconiosis (Compensation) Ordinance is administered by the Pneumoconiosis Compensation Fund Board. Pneumoconiosis sufferers who were diagnosed before 1981 are not covered by the ordinance. They receive ex gratia benefits from the Government under the Pneumoconiosis Ex Gratia Scheme.

The Occupational Deafness Compensation Scheme compensates employees suffering from noise-induced deafness due to employment in specified noisy occupations. It is administered by the Occupational Deafness Compensation Board. Subsequent to a comprehensive review of the scheme, the Administration introduced the Occupational Deafness (Compensation) (Amendment) Bill 2002 into the Legislative Council in April.

The Employees Compensation Assistance Scheme provides a safety net for injured employees or family members of deceased employees so that they can receive compensation from the scheme in cases where employers default payment of compensation for work-related injuries or insurers become insolvent. The scheme is financed by a levy imposed on all employees' compensation insurance policies taken out by employers.

Minor Employment Claims Adjudication Board

The Minor Employment Claims Adjudication Board adjudicates claims under the Employment Ordinance and in accordance with individual employment contracts. The board hears and determines employment claims involving not more than 10 claimants for a sum of money not exceeding $8,000 per claimant. During the year, the board concluded 2 692 cases and made awards amounting to $6.1 million.

Labour Tribunal

The Labour Tribunal is part of the Judiciary and provides a quick, inexpensive and informal method of adjudicating various types of disputes between employees and employers which are not within the exclusive jurisdiction of the Minor Employment Claims Adjudication Board.

In 2002, there were 12 326 cases filed in the tribunal of which 12 271 were initiated by employees and 55 by employers. Of these cases, 94.5 per cent were referred by the Labour Relations Division of the Labour Department after unsuccessful conciliation attempts. During the year, the tribunal dealt with a total of 12 280 cases and made awards amounting to more than $788 million.

Stepping Up Enforcement Against Wage Offences

To expedite investigation and prosecution concerning wage offences, the Labour Department set up a new Employment Claims Investigation Unit in September 2002. This unit is tasked to conduct in-depth investigation into suspected breaches of the

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