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A principal contractor, Ki Da Construction Company Limited, was fined $40,000 at the Fanling Magistrates' Courts today (October 21) for failing to pay periodical payments in accordance with requirements of the Employees' Compensation Ordinance (ECO). The prosecution was launched by the Labour Department.
On December 23, 2006, a foam worker fell from height while working and was injured. The principal contractor failed to pay periodical payments to the worker on the normal paydays or within seven days thereafter as required by the ordinance. The amount of periodical payments involved was about $46,000.
Section 10(10) of the ordinance stipulates that during the period of temporary incapacity, the employer must pay the injured employee periodical payments at the rate of four-fifths of the difference between the employee's monthly earnings at the time of the accident and his monthly earnings during the period of temporary incapacity.
Section 24 of the ordinance says the Principal Contractor has legal responsibility to pay compensation to injured employees of its sub-contractors.
The periodical payments are payable on the injured employee's normal paydays. An employer or principal contractor who, without reasonable excuse, fails to pay within seven days after the due day commits an offence and is liable on conviction to a maximum fine of $100,000.
Ends/Tuesday, October 21, 2008
Issued at HKT 16:16
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