Work accident payout record

PUBLISHED : Wednesday, 21 February, 2001, 12:00am
UPDATED : Wednesday, 21 February, 2001, 12:00am

A young woman who lost both arms in a work accident has been awarded China's largest compensation payout.

The Shenzhen City Intermediate People's Court ordered the Shenzhen Jinlong Woollen Down Cloth Factory to pay Liu Tao 506,898 yuan (HK$475,000) in damages. The court also ruled that the company must pay Ms Liu, 29, an allowance for the rest of her life to cover medical and nursing care costs and lost wages. Payment would begin in 2006.

The total amount - calculated at Shenzhen's average wage last year and assuming Ms Liu lives to 70 - will amount to 1.62 million yuan. The amount was 290,000 yuan more than a lower court ordered in March last year.

Ms Liu, a native of Sichuan province, was injured in November 1998 when she fainted in front of a wool-combing machine, which severed her arms.

The Shenzhen Labour Dispute Arbitration Committee decided in early 1999 that the company should pay Ms Liu a total of 40,000 yuan in compensation.

Ms Liu took her case to Shenzhen Futian District Court and demanded 3.41 million yuan in compensation. About six months later the court ruled that the company should pay Ms Liu a one-off settlement of 1.33 million yuan - the total salary she would have earned had she worked until 70 years of age. Both sides were dissatisfied with the ruling and sought an appeal with the Intermediate People's Court.