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Asean Link Marketing Limited, trading as a travel agent, was fined $10,000 at the Kwun Tong Magistrates' Courts today (November 15) for failing to take out insurance policies for its employees as required by the Employees' Compensation Ordinance.
The offence was detected during an inspection by the Labour Department in May. The employer failed to secure insurance policies for nine employees and the Labour Department launched the prosecution.
Section 40(1) of the ordinance stipulates that employers are required to take out insurance policies for all of their employees to cover their liabilities both under the ordinance and at common law for injuries at work.
Employers failing to secure insurance cover for their employees commit an offence and are liable, on summary conviction, to a maximum fine of $100,000 and imprisonment for one year. In addition, they are liable to pay a surcharge to the Employees Compensation Assistance Fund Board.
Employees are urged to call the complaint hotline of the department's Labour Inspection Division on 2815 2200 if they suspect that their employers have not taken out insurance cover for them. All complaints will be handled in strict confidence.
Ends/Thursday, November 15, 2007
Issued at HKT 17:42
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