TUESDAY, SEPTEMBER 6, 1994
EMPLOYEES MUST BE INSURED
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EMPLOYEES, COMPLYING WITH
ALL EMPLOYERS SHOULD INSURE THEIR THEIR STATUTORY OBLIGATION UNDER THE EMPLOYEES' COMPENSATION ORDINANCE, THE LABOUR DEPARTMENT SAID TODAY (TUESDAY).
THE REMINDER FOLLOWED TWO RECENT CASES IN WHICH HYDE HAIR BEAUTY SALOON IN TAI PO AND GRADE ONE LIMITED, A GARMENT FACTORY .IN KOWLOON CITY, WERE FINED $10,000 AND $5,000 RESPECTIVELY BY THE COURT FOR FAILING TO TAKE OUT INSURANCE POLICIES FOR THEIR EMPLOYEES.
THE FIRST CASE WAS DETECTED IN NOVEMBER LAST YEAR WHEN A LABOUR INSPECTOR CONDUCTED AN INSPECTION OF THE BEAUTY SALOON AND DISCOVERED THAT THE EMPLOYER DID NOT TAKE OUT INSURANCE FOR HIS TWO EMPLOYEES.
THE SECOND CASE CAME TO LIGHT IN A ROUTINE INSPECTION OF THE GARMENT FACTORY IN OCTOBER LAST YEAR DURING WHICH ANOTHER LABOUR INSPECTOR FOUND THAT THE FIVE EMPLOYEES WERE NOT COVERED BY INSURANCE POLICY.
"ALL EMPLOYERS ARE REQUIRED TO TAKE OUT INSURANCE POLICIES TO COVER THEIR FULL LIABILITIES UNDER THE EMPLOYEES' COMPENSATION ORDINANCE AND UNDER COMMON LAW, LABOUR OFFICER (PROSECUTIONS), MISS RITA MA, SAID.
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"THIS STATUTORY REQUIREMENT APPLIES TO EMPLOYERS HIRING BOTH FULL-TIME AND PART-TIME EMPLOYEES.
"AN EMPLOYER HAS TO FULFIL THIS LEGAL HE HAS JUST ONE EMPLOYEE, SHE SAID.
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OBLIGATION EVEN THOUGH
MISS MA POINTED OUT THAT THE EMPLOYEES' COMPENSATION ORDINANCE ALSO REQUIRED AN INSURED EMPLOYER TO DISPLAY, IN A CONSPICUOUS PLACE OF THE WORKPLACE, A NOTICE SHOWING THE NAME OF THE EMPLOYER AND THE NAME OF THE INSURER.
"OTHER DETAILS SHOULD INCLUDE THE POLICY NUMBER, THE DATE OF ISSUE OF THE POLICY. THE COMMENCEMENT AND EXPIRY DATES OF THE INSURANCE PERIOD AND THE NUMBER OF EMPLOYEES INSURED, SHE SAID.
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FAILURE TO COMPLY WITH THIS LEGAL REQUIREMENT WILL RENDER THE OFFENDER LIABLE ΤΟ A MAXIMUM FINE OF $20,000 AND ONE YEAR'S IMPRISONMENT.
THE EMPLOYER
MISS MA ALSO URGED EMPLOYEES, WHO SUSPECTED THAT HAD NOT TAKEN OUT INSURANCE FOR THEM, ΤΟ REPORT то THE LABOUR
DEPARTMENT HOTLINE ON 815 2200.
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