Home » Hong Kong » A Guide To Employment Laws In Hong Kong

A Guide To Employment Laws In Hong Kong

Employment laws are important for both employers and employees. Since human resources play such a significant role in a company, the employer needs to be able to manage them effectively to ensure success. Employment laws ensure that the employer has certain rights and obligations with regard to the employees, which are in place right from recruitment until termination of the employment. Employers also retain some post-termination rights against former employees. From an employee’s perspective, a company that fails to comply with employment laws may have to pay a fine or damages and there may also be criminal liabilities. The laws also grant various protections to employees.Hong Kong has an extensive labor legislation program that aims at improving working conditions. Among the various employment related legislations that the government has enacted, the Employment Ordinance (EO) is the most significant. It is applicable to all employees bound by a contract of employment in Hong Kong.

Employment Ordinance
The Employment Ordinance regulates various matters such as payment of wages, termination of employment contracts and the functioning of employment agencies. According to the law, employees are also granted statutory holidays with pay, maternity protection, sick leave, rest days, paid yearly leave and employment protection. There are two systems of holidays in Hong Kong, statutory holidays and public holidays. All employees can take 12 statutory holidays annually. But under the employment ordinance, employees are entitled to statutory holidays only if they have been continuously employed for a duration of three months immediately before the statutory holiday. Many companies observe public holidays instead of statutory holidays, which include Sundays along with 17 other days.

The Employment Ordinance has a separate section on maternity leave that includes the period of maternity leave and payment for maternity leave.

The EO also stipulates what must go into a contract of employment. For instance, in such a contract an employer must specify the conditions of employment such as wages, wage period, length of notice required to terminate the contract and the end of year payment and payment period, in case an employee is entitled to such a payment. Employees that are made redundant are entitled to receive severance. It is incumbent upon the employer to inform the employee if there are any changes in the conditions of service.

Under the employment ordinance, the employer or employee can terminate a contract of employment without notice during the first month of the probation period. For the rest of that period, a minimum notice of seven days is necessary before either party can terminate the contract. If proper notice of termination has been given then either party can also terminate the contract prior to the end of the notice period, as long as they make a payment that is proportionate to the salary they would have earned if they had worked their notice period.

Minimum Wage Ordinance
Hong Kong’s labor law also includes the Minimum Wage Ordinance, which greatly affects the employment relationship. It is applicable to all employees, whether part-time or full-time, and all employers, except for certain categories. The ordinance ensures that all relevant employees get the Statutory Minimum Wage for all hours worked.


Get Our Best Articles Every Month!

Get our free moving abroad email course AND our top stories in your inbox every month


Unsubscribe any time. We respect your privacy - read our privacy policy.


Expats
Many established companies worldwide employ people from foreign countries and those in Hong Kong are no exception. The benefits of working in Hong Kong as an expat include excellent salaries, low taxation and the lucrative local labor market. All the conditions specified in the labor laws are also applicable to expats, except the Mandatory Provident Schemes Ordinance, since this is determined by the duration of employment in Hong Kong and whether the expat is a member of a retirement scheme in their home country. Before expats can work in Hong Kong, they must apply for the appropriate visa at the Hong Kong Immigration Department. An employment visa is issued only if the applicant is able to show that he or she has a specialized skill or sufficient experience that is not readily available from a Hong Kong native. Other documents to be submitted to the Immigration Department include a copy of the employment contract, proof of the applicant’s qualification and also evidence that the company in Hong Kong attempted to recruit candidates via advertisements or through employment agents.


Latest Videos

In this short video, we dive into the significant health care updates and changes happening globally in 2024. From Germany's insurance cost adjustments to Cyprus's renewed COVID-19 precautions, we cover the essential news you need to know.  Germany's Health Insurance Update:  Starting in 2024, residents in Germany will see a slight increase in their health insurance costs, with a 0.1% rise to a maximum of 1.7%. This adjustment aims to expand coverage for medical care not currently included in statutory health insurance, such as select dental treatments, IVF, and early cancer screenings.  COVID-19 Measures Reintroduced in Cyprus:  With over 3000 new COVID-19 cases, Cyprus is stepping up its game by reintroducing health measures. Requirements now include proof of a negative COVID-19 test for entry into various facilities, emphasizing the importance of vaccination, especially for the elderly, to combat the evolving virus strains.  Free Health Trials in Trieste, Italy:  Trieste launches an initiative for free health screenings, including echocardiograms and blood tests, focusing on preventive care against non-communicable diseases. This move underscores the city's commitment to improving public health through early detection and prevention.  Spain's New Health Advice App:  Madrid introduces a groundbreaking app offering reliable health advice to counteract the widespread misinformation online. This app, part of the 'Madrid Te Cuida' initiative, will guide users to accurate information, from diet tips to medical queries, ensuring the advice is vetted by health professionals.  Expat Satisfaction with Healthcare in Mexico:  A study reveals that expat retirees in Mexico are largely content with the healthcare quality and costs, with many citing significant savings compared to the United States without compromising on care quality. This insight sheds light on the growing trend of healthcare tourism and relocation for medical reasons.  Stay tuned as we unpack these updates, providing you with the insights and implications of these healthcare changes. Whether it's the impact on your wallet or the quality of care you can expect, we've got you covered in this comprehensive overview of health care in 2024. Don't forget to like, share, and subscribe for more health news around the globe!

In this short video, we dive into the significant health care updates and changes happening globally in 2024. From Germany's insurance cost adjustments to Cyprus's renewed COVID-19 precautions, we cover the essential news you need to know.

Germany's Health Insurance Update:

Starting in 2024, residents in Germany will see a slight increase in their health insurance costs, with a 0.1% rise to a maximum of 1.7%. This adjustment aims to expand coverage for medical care not currently included in statutory health insurance, such as select dental treatments, IVF, and early cancer screenings.

COVID-19 Measures Reintroduced in Cyprus:

With over 3000 new COVID-19 cases, Cyprus is stepping up its game by reintroducing health measures. Requirements now include proof of a negative COVID-19 test for entry into various facilities, emphasizing the importance of vaccination, especially for the elderly, to combat the evolving virus strains.

Free Health Trials in Trieste, Italy:

Trieste launches an initiative for free health screenings, including echocardiograms and blood tests, focusing on preventive care against non-communicable diseases. This move underscores the city's commitment to improving public health through early detection and prevention.

Spain's New Health Advice App:

Madrid introduces a groundbreaking app offering reliable health advice to counteract the widespread misinformation online. This app, part of the 'Madrid Te Cuida' initiative, will guide users to accurate information, from diet tips to medical queries, ensuring the advice is vetted by health professionals.

Expat Satisfaction with Healthcare in Mexico:

A study reveals that expat retirees in Mexico are largely content with the healthcare quality and costs, with many citing significant savings compared to the United States without compromising on care quality. This insight sheds light on the growing trend of healthcare tourism and relocation for medical reasons.

Stay tuned as we unpack these updates, providing you with the insights and implications of these healthcare changes. Whether it's the impact on your wallet or the quality of care you can expect, we've got you covered in this comprehensive overview of health care in 2024. Don't forget to like, share, and subscribe for more health news around the globe!

YouTube Video UCB21b-C4O2aXm7H18_GsXMQ_nC_Fs6gU22U

Expat Focus International Healthcare Update January 2024

Expat Focus 31 January 2024 10:36 am

This error message is only visible to WordPress admins

Important: No API Key Entered.

Many features are not available without adding an API Key. Please go to the YouTube Feed settings page to add an API key after following these instructions.