Reporting of work accidents

We have received a briefing from our member Eversheds Law Firm, that concerns a new piece of work safety legislation that comes into force on July 1, 2009. Under the new rules, manufacturers are obliged to report work accidents to the local authorties within one hour after they occur. In the event of deliberate concealment businesses may face fines up to RMB 30,000.

The State Administration of Work Safety has recently released the Measures for the Reporting and Settlement of Production Safety Accidents (the "Measures"), which is scheduled to take effect on July 1, 2009.

The Measures stipulate that the person in charge must report all production safety accidents in a manufacturing or operating entity to the relevant local authorities at the county level within one hour after the occurrence of the accident.

Manufacturing and operating entities may receive a warning or face a maximum fine of RMB 30,000 for delayed, omitted or false reports or deliberate concealment of major accidents.

For more information please contact Nikolaj Juhl Hansen at Eversheds on either +4527740507 or nikolajjuhlhansen@eversheds.com