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Factories & Industrial Undertakings (Amendment) Bill 1997

Following is a speech by the Secretary for Education and Manpower, Mr Joseph W P Wong, in moving the second reading of the Factories and Industrial Undertakings (Amendment) Bill 1997 in the Legislative Council today (Wednesday):

Mr President,

I move the second reading of the Factories and Industrial Undertakings (Amendment) Bill 1997.

The Bill proposes to increase the levels of fines on employers and employees breaching the general duties provisions of the Factories and Industrial Undertakings Ordinance (FIUO), Chapter 59.

There is increasing public concern, including Members of this Council, that the fines for breaches of industrial safety laws do not reflect the gravity of the offences. The matter was discussed in the Labour Advisory Board (LAB) in October 1996, where a consensus was reached that the maximum fine for employers breaching sections 6A(3) and (4) of the FIUO should be raised from the present level of $200,000 to $500,000. The new level of fine is in line with that for the offence of failure to comply with a suspension notice under the FIUO and the very serious offences under other safety legislation, for example, the Lifts & Escalators (Safety) Ordinance. The LAB also agreed that the maximum fine for employees under section 6B(2) of the FIUO should also be increased by the same proportion, i.e. from the present level of $10,000 to $25,000. The Administration has accepted the recommendation of the LAB, and this Bill seeks to increase the levels of fines accordingly.

The Hong Kong Construction Association and the Hong Kong Construction Industry Employees' General Union have indicated their support for the proposed increase in fines based on the spirit of shared responsibility between employers and employees in the promotion of industrial safety.

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