The avoidance of statutory benefits to employees by Hong Kong employers

Majid, Abdul, Gul, Reza Jashen, Ho, Sandra, Bliss, Mark A. and Sun, Sunny 2012, The avoidance of statutory benefits to employees by Hong Kong employers, Hong Kong law journal, vol. 42, no. 3, pp. 865-899.

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Title The avoidance of statutory benefits to employees by Hong Kong employers
Author(s) Majid, Abdul
Gul, Reza Jashen
Ho, Sandra
Bliss, Mark A.
Sun, Sunny
Journal name Hong Kong law journal
Volume number 42
Issue number 3
Start page 865
End page 899
Total pages 35
Publisher Sweet and Maxwell Asia
Place of publication Hong Kong
Publication date 2012
ISSN 0378-0600
Summary In 2006, Hong Kong's Court of Appeal had to decide whether it was lawful for an employer to deliberately adopt a strategy to avoid having to make a statutory payment to an employee. The employer's liability to make that payment was contingent on the employee completing a prescribed period of continuous service. The employer engaged the employee under successive, non-continuous contracts of employment, each for a shorter duration than the prescribed period to prevent his liability for the payment from crystallising. The Court of Appeal held that there was nothing unlawful in an employer arranging his affairs so as to prevent his liability for the payment from even arising. This article analyses the case concerned and expounds how the foregoing decision could see employers avoiding a whole range of employee rights and benefits under the Employment Ordinance. The article views such conduct as negating the legislative intention and as being contrary to the norms of justice. To rectify the situation as it currently stands, we propose an amendment to the Employment Ordinance to prohibit such avoidance.
Language eng
Field of Research 180118 Labour Law
1801 Law
Socio Economic Objective 940407 Legislation
HERDC Research category C1.1 Refereed article in a scholarly journal
ERA Research output type C Journal article
Copyright notice ©[2012, Sweet and Maxwell Asia]
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Document type: Journal Article
Collections: Faculty of Business and Law
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