Hong Kong HR Guide
Onboarding
- Employment Contract
- Tax Enrollment IR56E
- MPF Enrollment
- MPF Registration for Non-HK Expatriates
- Compensation Insurance
- Employment for Age below 18
- Data Privacy
Daily Routine
- Continuous Contract (418)
- Annual Leave
- Statutory Holiday
- Payroll
- Sick Leave
- Average Wage (713)
- Statutory Minimum Wage
- MPF Contribution
- Maternity Leave
- Reimbursement of Maternity Leave Pay
- Learning and Traning
Annual Wrap-up
On Termination
Why important?
If the employment meets the criteria of continuous contract of employment (418), in addition to basic benefits and employees' right, employee can also enjoy additional statutory right such as paid annual leave. We should examine whether the employment meets the criteria of continuous contract (418) and ensure their rights are appropriately entertained.
What is the criteria of "continuous contract"?
If your employee has worked for four weeks or more, and at least 18 hours each week (the source of "418"), then the employment contract will be treated as continuous contract.
When there is dispute whether the employment is continuous or not, the employer has the responsibility to provide evidence showing that the employment is not continuous.
It is important to systematically record the attendence of your staff. At the same time, you may have to check, from time to time, whether individual staff fulfills the criteria of continuous contract. HR system may help you.
Example 1
- Bob regularly worked two days a week for a total of 16 hours. Because it is less than the 18 hours required, the employment does not meet the definition of continuous contract of employment.
Example 2
- Ming regularly worked five days a week for a total of 20 hours. Because it exceeds 18 hours, the employment meets the definition of continuous contract of employment.
What are the additional rights entitled by employees under continuous contract?
For employees under continuous contract, we need to satisfy the following employees' rights:
- Rest day
- Provide holiday pay during statutory holiday after 3-month of continuous employment
- Offer paid annual leave after 12-month of continuous contract
- Sickness allowance
- Maternity leave
- Paternity leave
- Severance payment and long service payment
- Employment protection, with respect to dismissal or change in employment contract
Reference
Q&A on Employment Contract by Labour Department:
http://www.labour.gov.hk/eng/faq/cap57b_whole.htm#Q2
Leaflet related on Labour Rights under Different Employment Patterns issued by Labour Department:
https://www.labour.gov.hk/eng/public/wcp/differentemploymentpatterns.pdf
