Labour Advisory Board Report 2017-2018 - Chapter 4

Committee on Employees’ Compensation

4.1 Introduction

The Committee on Employees’ Compensation (CEC) has been in place since August 1986 to give advice on the effectiveness of the employees’ compensation system and related legislation.

4.2 Terms of Reference

CEC is established to:

review the employees’ compensation system in Hong Kong;
advise on legislative proposals on employees’ compensation and review existing legislation; and
advise on measures to be adopted by the Labour Department (LD) to improve the administrative machinery related to employees’ compensation.

4.3 Composition

Members of CEC are appointed by the Commissioner for Labour. The composition of the committee for the 2017-2018 term is as follows:

Chairman:

Deputy Commissioner for Labour (Labour Administration)

Members:

Three employer representatives from the Labour Advisory Board (LAB)

Three employee representatives from LAB

An employer representative from outside LAB

An employee representative from outside LAB

A representative nominated by the insurance industry

A representative from a concern group on employees’ compensation

A representative nominated by the Hospital Authority

A representative nominated by the Director of Legal Aid

Assistant Commissioner for Labour (Employees’ Rights and Benefits)

Occupational Health Consultant (1) of LD

Secretary:

A Labour Officer of LD

The membership list of CEC for the 2017-2018 term is at Appendix I.

4.4 Activities during the 2017-2018 Term

During the 2017-2018 term, CEC discussed the following matters:

Amendments to Employees’ Compensation Legislation and Work of LD in the Area of Employees’ Compensation

CEC noted the three resolutions passed by the Legislative Council on 1 March 2017 to increase the amounts of a total of 18 compensation items under the Employees' Compensation Ordinance (ECO), the Pneumoconiosis and Mesothelioma (Compensation) Ordinance (PMCO) and the Occupational Deafness (Compensation) Ordinance (ODCO) having regard to the changes in the wage and price levels and other relevant factors in the 2014-2015 period. The revised levels of compensation took effect from 1 April 2017.
CEC noted the work of LD in handling employees’ compensation claims in 2016 and 2017, its publicity and public education campaigns to enhance public understanding of the respective rights and responsibilities of employees and employers under ECO as well as its inspection and enforcement efforts to ensure employers’ compliance.

Adjustment of the Amounts of Compensation Items under ECO, PMCO and ODCO and Expansion of the List of Medical Appliances under PMCO

CEC agreed on the proposal for raising the amounts of a total of 18 compensation items under ECO, PMCO and ODCO in line with the review findings on wage and price movements in 2016 and 2017 as well as other relevant factors, and expanding the list of medical appliances under PMCO. The proposal was subsequently submitted to LAB for consideration (see paragraph 3.2).