XN000022-1996-12-31 — Page 7

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"This simplified notification procedure will save the administrative work for both the employers and the Labour Department as it is expected that the number of compensation claims for periodical payments will increase considerably and the claims will be relatively straightforward," the spokesman explained.

"Moreover, taking into account international standard and the provisions on work-injury benefits in our neighbouring countries as well as the sentiments of employees and employers, the rate of periodical payments would be increased from two-thirds to four-fifths of the difference in the earnings of the injured employees before and after the accident.

"To reduce the waiting time and relieve the District Court of the burden to handle the expected increase in the number of claims, payments for employees' compensation claims involving incapacity for not more than three days will be allowed to be recovered as a civil debt in the Small Claims Tribunal."

On the other hand, for any work-related injury which results in the death of an employee or incapacitates an employee for more than three days, an employer is required to provide detailed information of the accident to the Commissioner for Labour on two revised forms (Form 2 or Form 2A) effective from tomorrow,

These new forms, which are revised under the Employees' Compensation (Amendment) Regulation 1996, require an employer to provide information on the location of the accident and activity carried out thereat; the nature of injury sustained by the employee and the part of his/her body injured; the cause of injury and agents involved in the accident.

"To facilitate the processing of employees' compensation claims, an employer who is the subsidiary of a group of companies will have to submit information about the holding company if its liabilities are covered by an insurance policy taken out by the holding company," the spokesman said.

"In addition, an employer who is a sub-contractor or a subsidiary will be required to provide the business registration certificate number of the principal contractor or the holding company.

"These additional details will help the department compile comprehensive statistics on work-related accidents."

End