Work-Related Accidents: What Are Employers Required to Do?

Work-related accidents are risks that neither employees nor employers wish to face. When an accident occurs, how far does the employer’s responsibility extend? Is the employer required to continue paying salary during the employee’s medical treatment? These questions often cause confusion for businesses and concern for employees regarding their lawful rights.

This article clarifies the legal obligations of employers when employees suffer work-related accidents, while also explaining salary payment and allowance issues in accordance with current regulations.

Employer’s Responsibilities in the Event of a Work-Related Accident

A work-related accident is not merely a human resources issue but a mandatory legal obligation for employers. Under the Law on Occupational Safety and Health 2015, employers must fully perform the following duties:

Emergency Aid and Medical Expenses

Immediately after a work-related accident occurs, the employer must:

• Promptly organize first aid and emergency treatment for the employee;

• Advance all costs related to first aid, emergency care, and initial medical treatment.

Regarding medical expenses, the employer’s payment obligations are as follows:

• If the employee is covered by health insurance: the employer must pay the co-payment portion and expenses not covered by health insurance;

• If the employee does not have health insurance: the employer must cover all medical treatment costs;

• The employer must also pay medical assessment fees if a work capacity impairment assessment is required.

Salary Payment and Compensation

One of the most frequently asked questions concerns salary during the treatment period. The law provides that:

• Employers must pay full salary to employees during the period they are absent from work for medical treatment and rehabilitation;

• If the accident is not entirely caused by the employee’s fault, the employer must provide compensation at least as follows:

  • From 1.5 months’ salary for a work capacity reduction of 5%–10%;

  • Increasing proportionally, up to a maximum of 30 months’ salary if the work capacity reduction reaches 81% or more, or if the employee dies.

If the accident is caused by the employee’s own fault, the employer is still required to provide an allowance equal to at least 40% of the corresponding compensation level.

Other Legal Obligations of Employers

In addition to salary and medical expenses, employers must also:

• Refer employees for medical assessment;

• Pay compensation and allowances within 5 days from the official conclusion;

• Arrange suitable work consistent with the employee’s health condition after recovery;

• Prepare dossiers for employees to receive benefits from the Work-Related Accident and Occupational Disease Insurance Fund.

How Is Work-Related Accident Allowance Calculated?

Not all work-related accidents are compensated in the same manner. For accidents entirely caused by the employee’s fault, the law provides a separate allowance regime.

Conditions and Principles

Employees or their relatives are entitled to allowances if:

• The work capacity reduction is 5% or more; or

• The employee dies due to a work-related accident.

The applicable principle is: each accident is compensated separately, with no accumulation of previous accidents.

Specific Allowance Levels

• At least 12 months’ salary for work capacity reduction of 81% or more or in case of death;

• From 0.6 months’ salary for a reduction of 5%–10%;

• From 11%–80%: allowance calculated according to statutory formulas based on the corresponding compensation level.

This method ensures fairness between health impairment and employee benefits while minimizing legal risks for employers.

Is Salary Required If the Accident Occurs While Commuting?

This is a common practical issue. According to guidance from the Ministry of Labor, Invalids and Social Affairs:

• Accidents occurring on a reasonable route and within a reasonable time between home and workplace (or vice versa) may be classified as work-related accidents;

• However, the law does not require employers to pay salary or medical expenses during treatment if the accident is caused by a third party or if fault cannot be determined, unless otherwise agreed or stipulated internally.

In other words, in such cases, employers are not legally obligated to pay salary for the employee’s treatment leave.

How Can Businesses Avoid Legal Risks?

Work-related accidents may lead not only to human losses but also to labor disputes, administrative penalties, and reputational damage if handled incorrectly. Proper understanding and compliance with legal obligations help businesses:

• Minimize complaints and labor disputes;

• Protect corporate reputation and brand value;

• Proactively prevent long-term legal risks.

Are you facing a similar issue?
If your business is struggling with handling work-related accidents, salary payment, compensation, or allowances in compliance with the law, let DEDICA Law support you with tailored legal solutions for each specific situation.

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