New measures aimed at creating safer working environments

Authorities undertook a series of measures to strengthen the supervision of work safety, urging employees and their managers to keep closer watch on possible risks.

The State Council’s Notice on Strengthening Supervision and Law Enforcement of Work Safety took effect on 2 April. In addition, an amendment to four existing work safety regulations, made by the State Administration of Work Safety, also took effect at the beginning of May.

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The new legislation significantly increased the severity of sanctions for noncompliant companies and also increased corporate responsibility to prevent work safety accidents. Some key points are summarized below.

Companies will receive a fine of RMB 20 million (US$3.2 million) in several circumstances, for instance, if they conceal or falsely report a serious accident.

If the main decision-making body or primary responsible manager of the company fails to secure the necessary budget for ensuring that the company operates safely – e.g. ensuring the funding for labour protective equipment or safety production, education or training – the company will be fined up to RMB 30,000, and the primary responsible manager will be fined up to RMB 10,000.

In addition, the primary responsible manager will receive a comparatively heavier fine for failing to organize immediate rescue at the time a work safety accident occurs. They will also be fined rather heavily if they leave their post or flee while the accident is under investigation. The most severe fines range up to 100% of the primary responsible manager’s annual income from the previous year.

Companies which produce, manage or store hazardous goods, or those which are engaged in mining or metal smelting, will be fined up to RMB 30,000 if they fail to plan emergency rescue procedures or fail to appoint part-time emergency rescue staff.

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