Lawmakers on Wednesday passed amendments to occupational health and safety laws, increasing the maximum penalty for serious breaches by employers from a HK$500,000 fine and six months in jail, to HK$10 million and two years behind bars.

Many councillors who spoke welcomed the changes. Unionist lawmaker Michael Luk said he thinks the higher fine will serve as a stronger deterrent against breaches that lead to industrial accidents.

The Liberal Party's Peter Shiu also supported the amendments, but expressed concern that the vast majority of small to medium enterprises would not be able to afford such hefty fines.

Labour minister Chris Sun said in response that the fine level was set after thorough public discussion and consultation, and officials referenced amounts adopted in developed countries.

He stressed that only in extremely serious cases would the government prosecute offenders under this particular clause of the law, adding that the conviction threshold is very high.

"For prosecutions made under an indictment, the threshold is very high, that it is a very serious offence, that it's highly culpable and the negligence level is very serious causing dire consequences," Sun said.

He said in the past decade, there have only been seven such cases.