Hong Kong (HK)
Hong Kong is one of the world's most dynamic cities — a Special Administrative Region (SAR) of China operating under the 'One Country, Two Systems' framework that preserves its common law legal system, independent judiciary, free port status, and separate currency.
Employment Rights
Sick leave, dismissal protection and red flags in Hong Kong.
Employment in Hong Kong is primarily governed by the Employment Ordinance (Cap. 57), which provides a comprehensive framework of rights for employees under a continuous contract of employment (defined as working 18+ hours per week for 4 or more consecutive weeks with the same employer). The key threshold is the "continuous contract" — below it, many statutory protections (paid annual leave, sick leave, severance) do not apply. The statutory minimum wage is HK$43.1/hour from 1 May 2026 (raised from HK$42.1; announced 10 February 2026 under the annual review process). The Employment Ordinance is enforced by the Labour Department, which also provides a free conciliation service for disputes.
Sick leave
Rules: Paid sick leave accrues at 2 days per month for the first 12 months of service, then 4 days per month thereafter, up to a maximum accrual of 36 days at any time (120 days maximum accrual after 12 months). Sick leave is paid at 4/5 (80%) of the employee's average daily wages.
Doctor note: A medical certificate from a registered medical practitioner (or a TCM practitioner registered with the Chinese Medicine Council) is required for paid sick leave. Without a certificate, the employer is not obliged to pay. The certificate should cover all days taken. Under the Employment Ordinance, the employer cannot dismiss an employee on paid sick leave — doing so is deemed unreasonable dismissal.
Employer pay: 80% of average daily wages for each day of certified sick leave. Average daily wages are calculated on the preceding 12 months of employment. Employers with sick leave benefits above the statutory minimum in their employment contracts must pay the contracted amount.
Long-term: No statutory long-term disability income replacement benefit exists in Hong Kong. Long-term sick employees are protected from dismissal while on certified sick leave but are not guaranteed pay beyond the accrued sick leave entitlement. Critical illness insurance is strongly recommended.
Dismissal protection
Law: The Employment Ordinance (Cap. 57) provides protection against unreasonable dismissal for employees with 2 or more years of continuous service. If dismissed unreasonably, the employee can bring a claim before the Labour Tribunal for reinstatement or terminal payments (long service payment). Wrongful dismissal (breach of contract): any employee, regardless of length of service, can claim. Termination in breach of the anti-discrimination ordinances (sex, disability, family status, race) is actionable regardless of service length.
Deadline to sue: Claims under the Employment Ordinance: within 2 years of the relevant event (dismissal, breach). Labour Tribunal claims: within 2 years (general). Breach of contract claims: within 6 years. Apply to the Labour Department for conciliation first — this is a free service and many cases settle without going to the Tribunal.
Probation
Probation periods (試用期) are common — typically 1–3 months as agreed in the employment contract. During probation, either party can terminate with 1 week's notice (or 1 week's pay in lieu) or with no notice during the first month. Employees on probation working 18+ hours/week still accumulate MPF contributions and HKID rights. The key concern: if the employee is dismissed during the probation period on a contract less than 4 weeks, many Employment Ordinance protections may not have been triggered yet. Most employers follow good faith even during probation — legal minimum notice is all that is required.
Notice periods
Statutory minimum: 1 month notice after probation (or pay in lieu). In practice: most professional employment contracts specify 1–3 months notice. The Employment Ordinance requires notice in writing. Summary dismissal (immediate termination without notice or pay in lieu) is permitted only for serious misconduct — wilful disobedience, misconduct, fraud, dishonesty, or habitual neglect of duty. If you are summarily dismissed, document everything — a summary dismissal without adequate grounds can result in substantial tribunal awards.
Working time
Max hours: No statutory maximum working hours under the Employment Ordinance. The Employment Ordinance (and the Standard Working Hours legislative exercise) has been under review for years but as of 2026 there is still no maximum hours law. Many professional and managerial employees routinely work 50–70 hours/week in finance and law. Some sectors have industry-specific overtime rules. The only requirement is that rest days (1 rest day per 7 working days minimum) must be granted.
Min rest: At least 1 rest day in every 7-day period under a continuous contract. Rest days must be actual days off — an employer cannot require 7 consecutive days of work without at least 1 rest day. The Employment Ordinance also guarantees statutory holidays (17 per year in 2026) for employees under continuous contracts.
Overtime: No general statutory overtime pay requirement in Hong Kong. Overtime pay entitlement depends entirely on the employment contract. Many professional roles are salaried with no overtime pay — verify your contract. Non-managerial/operational roles often specify an overtime rate (e.g. 1.25× or 1.5× hourly rate). The statutory minimum wage (HK$43.1/hour from 1 May 2026) applies to all overtime hours.
Vacation
Statutory annual leave for continuous contract employees: 7 days after 1 year of service, increasing by 1 day per year of service to a maximum of 14 days after 9 years (1 year = 7 days, 2 years = 8 days... 9+ years = 14 days). Annual leave is paid at the employee's current daily wages. Most professional employers offer 15–25 days. Carry-over: annual leave lapses at the end of each leave year unless contractually specified otherwise — understand your leave year dates. Statutory holidays (紅日, 17 per year) are in addition to annual leave for employees under continuous contracts. Bank holidays are the same as statutory holidays in HK.
Anti-discrimination
Four anti-discrimination ordinances prohibit discrimination in employment: Sex Discrimination Ordinance (Cap. 480), Disability Discrimination Ordinance (Cap. 487), Family Status Discrimination Ordinance (Cap. 527), and Race Discrimination Ordinance (Cap. 602). The Equal Opportunities Commission (EOC) enforces these ordinances and handles complaints. There is no age discrimination law (as of 2026 — under review). Sexual orientation discrimination is not explicitly prohibited by law but has been partially addressed by court rulings.
Contract red flags
- !Probation period exceeding 6 months — the Employment Ordinance does not cap probation length, but excessively long probations may be used to avoid triggering continuous contract protections. Negotiate 3 months maximum.
- !No MPF contribution clause — all employers are legally required to contribute 5% MPF. Any contract attempting to circumvent this is unlawful.
- !Working hours defined as "all hours necessary to complete the work" without overtime pay in a non-managerial role — this effectively removes any overtime entitlement.
- !"All intellectual property created (including outside working hours) belongs to the employer" — extremely broad IP clauses are common in HK tech contracts. Negotiate a carve-out for personal projects.
- !Non-compete clauses: HK courts do enforce reasonable non-compete clauses (typically 6–12 months, specific industry and geographic scope). Overly broad non-competes may not be enforceable but can still cause uncertainty — negotiate the scope before signing.
- !No specific termination payment clause — your Employment Ordinance rights cannot be contracted away, but knowing your exact entitlements in advance is better.
- !Salary "inclusive of all statutory entitlements" — some employers attempt to include statutory holiday pay, sick pay within the stated salary. This is a complex area — get advice if you see this phrasing.
- !Missing annual leave carryover provision — if there is no carry-over clause, understand that unused annual leave may lapse at year-end.
- !Salary below HK$43.1/hour (statutory minimum wage from 1 May 2026) for any hours worked — applies to all employees regardless of contract type or employment duration.
- !Work visa (General Employment Policy or QMAS scheme) tied to a specific employer — changing employers requires a new visa application; ensure your visa status is updated promptly when changing jobs.
- !No written employment contract — while not strictly required by the Employment Ordinance, a written contract is essential to record agreed notice periods, salary, leave, and other terms.
- !"Continuous contract" threshold not met (18+ hours/week for 4+ consecutive weeks) — if your hours drop below 18/week, many Employment Ordinance protections (sick leave, annual leave, long service payment) cease to apply.
Employment Rights
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