Hong Kong eases 'continuous contract' requirement

New decision classifies those who worked for 68 hours in four weeks under same employer as under 'continuous contract'

Hong Kong eases 'continuous contract' requirement

Hong Kong's Labour Advisory Board (LAB) has announced that it will adopt a new standard for its "continuous contract" requirement to accommodate employees with shorter working hours.

Currently, the financial hub's Employment Ordinance states that an individual employed under the same employer for four weeks or more, with at least 18 hours worked in each week, is regarded as someone under a "continuous contract."

But the decision from LAB last week relaxes this requirement by classifying employees under a "continuous contract" for as long as they have worked a total of 68 hours under the same employer for four weeks.

This will make these employees, either full-time or part-time, enjoy a range of employment benefits, such as statutory holiday pay, paid annual leave, and sickness allowance.

"The amendments will contribute to enhanced protection of the rights and benefits of employees with shorter working hours," a spokesperson from the government said in a media release.

Amendment bill underway

According to the spokesperson, the government will report the decision to the Panel on Manpower of the Legislative Council (LegCo) and launch relevant legislative amendment.

"An Amendment Bill will be introduced into the LegCo for scrutiny upon completion of drafting," the spokesperson added.

The decision was made after "thorough and in-depth deliberations" by LAB, a tripartite consulting body in Hong Kong comprising representatives of employers and employees.

The body's duty is to advice the Commission for Labour on relevant labour matters.