Employment: Work-related injuries

Work-related accidents causing disability

In general, the nature of the disability is classified into (1) permanent incapacity or (2) temporary incapacity.

Compensation in cases of permanent total incapacity is as follows (section 7 of the Employees' Compensation Ordinance):

Age of injured employee

Amount of compensation

Under 40

96 months' earnings* or $344,000, whichever is higher

40 to under 56

72 months' earnings* or $344,000, whichever is higher

56 or above

48 months' earnings* or $344,000, whichever is higher

* Monthly earnings are subject to a maximum of $21,000 for calculating compensation for permanent incapacity.

For permanent partial incapacity, the amount of compensation is as follows (section 9 of the Employees' Compensation Ordinance):

(Amount of compensation due to permanent total incapacity) X (Percentage of loss of earning capacity)*

* The percentage of loss of earning capacity is assessed by the Employees’ Compensation Assessment Board according to the ECO.

An employee is entitled to receive periodical payments during the period of temporary incapacity up to 24 months. When the employee’s temporary incapacity lasts more than 24 months or a further period that the Court may allow (that further period must not exceed 12 months), the employee will no longer be entitled to periodical payments, and will be regarded as having suffered permanent (total or partial) incapacity with compensation assessed accordingly.

The periodical payments should be calculated as follows (section 10 of the Employees' Compensation Ordinance):
(Monthly earnings at the time of the accident - monthly earnings after the accident) X 4/5

For more details on the calculation of all relevant compensations, please contact the Employees' Compensation Division of the Labour Department (telephone hotline: 27171771; e-mail: enquiry@labour.gov.hk).

**Besides the above-mentioned compensations, employers may also be liable to pay medical expense, prostheses and surgical appliances for the injured employee.