• State Council Decision on the Amendment to Regulations on Work-related Injury Insurance (State Council Order 586)
  • February 7, 2011 | Authors: Edward J. Epstein; Richard Grams
  • Law Firm: Troutman Sanders LLP - Shanghai Office
  • On December 8, 2010, the State Council passed the decision of amending the Regulations on Work-related Injury Insurance ("Amended Regulations"), which took effect on January 1, 2011.

    1. Applicable Scope: The applicable scope of the work-related injury insurance is amended to cover public unit, social organization, civil non-enterprise unit, fund, law firm, and accounting firm.

    2. Recognition Scope: The Amended Regulations expand the recognition scope to cover injury caused by road accident where the employee does not take main responsibility and by the railway transportation, ferry, or train accident when s/he is on the way to or back from work. The previous regulations only recognize a work-related injury if the employee suffers the injury from motor vehicle accidents. However, the Amended Regulations specify that an employee cannot be recognized to have suffered from the work-related injury if s/he commits crime intentionally or uses drugs.

    3. Death and Disability Compensation Standard: The Amended Regulations amend the death compensation caused by work-related injury to 20 times of the national annual average salary for the previous year.