South China Morning Post Reports on Compensation for Victims of Coal Mine Disasters

08 March 2005

China Labour Bulletin appears in the following article. Copyright remains with the original publisher.

Labour activist blames low compensation for poor safety record

Chan Siu-sin
South China Morning Post

18 February 2005

Low compensation payouts are an important factor behind the mainland's regular mine accidents, according to a labour rights group that helps victims' families seek redress in the courts.

Han Dongfang, director of China Labour Bulletin, said compensation payouts of as low as 3,000 yuan to bereaved families had failed to motivate mine owners to raise safety standards.

'Besides, many migrant workers who are ignorant of the law sign contracts agreeing to meagre compensation if an accident occurs,' Mr Han said. 'They have no bargaining power at all and there is no independent labour union to help them.'

The Hong Kong-based group helped raise the amount of compensation for families of the 166 miners who died in the Chenjiashan blast in Shaanxi in November from a maximum of 80,000 yuan to a 200,000 yuan maximum.

It is also helping about 20 families to sue the mining firm for 1 million yuan in compensation each, because it forced the workers to enter the pit despite knowing there was a fire, Mr Han said, adding that more families could join the case.

'If successful, it could mean 166 million yuan. Then they learn it will cost them money and even closure if they do not keep work safety in mind,' he said. The case has yet to reach court.

The group is now trying to reach families of the Liaoning blast to help them take legal action.

According to the Ministry of Labour and Social Security, families of those who die in work-related accidents can receive 'funeral subsidies amounting to six months' pay and a one-off payment amounting to 48 to 60 months' pay based on the average salary in the city for the first half of the year'.

Cao Zongli, an official with the State Administration of Work Safety's policy and law department, said it planned to raise work-related compensation to a maximum of 20 years' pay.

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