WORKMEN'S COMPENSATION ORDINANCE (Amending legislation)

[Mr Speaker in the Chair]

Inche Abdul Aziz Karim asked the Minister for Foreign Affairs and Minister for Labour if he will consider introducing legislation to amend the Workmen's Compensation Ordinance (a) by extending the applicability of the Ordinance to all categories of employees earning $750 or less per month; and (b) by increasing the numbers of months of earnings and the maximum amounts prescribed for compensation in section 8 of the Ordinance where injury sustained results in the death or in permanent total disablement of the employee.

The Parliamentary Secretary to the Minister for Labour (Mr Sia Kah Hui) (for the Minister for Foreign Affairs and Minister for Labour): Mr Speaker, Sir, manual workers are eligible for workmen's compensation under the Workmen's Compensation Ordinance, 1954, irrespective of the amount of their monthly earnings. It is only in respect of non-manual workers that the ceiling of $400 earnings per month is fixed so that non-manual workers earning more than $400 per month will not be eligible for workmen's compensation.

If the Ordinance is amended in the manner suggested by the Member for Kallang, it would have the effect of denying workmen's compensation for manual workers should their earnings exceed $750 per month. As for non-manual workers, statistics for the 11 months of January to November 1969 show that the number of non-manual workers who were paid workmen's compensation was 14 out of a total of 7,952. This works out to 0.17 per cent, the rest being all manual workers. Raising the eligibility of non-manual workers for claims of workmen's compensation would, therefore, have little or no practical effect since it is well known that manual workers are exposed to greater risks to their personal safety in the course of their employment than non-manual workers.

Under section 8 of the Ordinance, the amount of workmen's compensation for victims of accidents resulting in death is calculated on 36 months of their monthly earnings or $7,200 whichever is the less. Where the victim is permanently disabled, the workmen's compensation is calculated on 48 months of his monthly earnings or $9,600 whichever is the less. The maximum payable for death or permanent disablement of the employee is based on an earning of $200 per month. This figure is above the average monthly earnings of workers in Singapore which, according to a sample survey made in 1968, amounted to $180.60 per month. Amending legislation will be made to revise the scales of benefits should the average monthly earnings of workers in Singapore exceed $200.

Inche Abdul Aziz Karim (Kallang): Does the Parliamentary Secretary value a man's life only at $7,200 or 36 months' wages?

Mr Sia Kah Hui: I think that is laid down as compensation; that is, a man's life-span of work expected of him. But I am sure, if the Member has any suggestion to make, we will be very glad to receive it.

Inche Abdul Aziz Karim: Does the Parliamentary Secretary not believe that the estate of a deceased person stands a better chance of being awarded more damages by the High Court than the award of $7,200 under the Workmen's Compensation Ordinance?

Mr Sia Kah Hui: Sir, depending on the individual case, I am sure the deceased's family is at liberty to seek workmen's compensation or to seek redress in the High Court.

Inche Abdul Aziz Karim: Does the Parliamentary Secretary not agree with me that a workman would get more compensation from damages by the High Court if he were to die in a road accident than in a factory or at a work site?

Mr Sia Kah Hui: Sir, that is a hypothetical question. I do not think I am in a position to answer that.

Mr Ho See Beng (Bras Basah): Mr Speaker, Sir, the Parliamentary Secretary said just now that if the average worker in Singapore should get $200 a month, then he would take steps to amend the Workmen's Compensation Ordinance. But is not the per capita income of a worker over $200?

Mr Sia Kah Hui: No, Sir. It can be seen from page 49 of the 1968 Report of the Ministry of Labour, where there is a report of a sample survey, that the average monthly income was $180.60.

Inche Abdul Aziz Karim: Mr Speaker, Sir, does the Parliamentary Secretary not consider it expedient to extend the definition of "workman" to all classes and categories of workers irrespective of whether they perform manual or technical work?

Mr Speaker: I think that question was answered in the Parliamentary Secretary's principal answer.

Inche Abdul Aziz Karim: Mr Speaker, Sir, I underline the word "technical".

Mr Speaker: Has the Parliamentary Secretary anything to add?

Mr Sia Kah Hui: I do not think I have anything to add to that.