Q1. |
Are commission,
good attendance bonus, travelling allowance counted as part of the
wages? |
Q2. |
Should items
referred to in Q1 be included in calculating end of year payment,
maternity leave pay, paternity leave pay, severance payment, long service payment, sickness
allowance, holiday pay, annual leave pay and payment in lieu of notice?
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Q3. |
What will
be the consequences if an employer fails to pay wages on time? |
Q4. |
Can an employer
deduct his employee's wages for absence from work or damages to the
employer's goods or equipment? |
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Content
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Q1. |
Are commission,
good attendance bonus, travelling allowance counted as part of the
wages? |
A1. |
Yes.
|
Q2. |
Should
items referred to in Q1 be included in calculating end of year payment,
maternity leave pay, paternity leave pay, severance payment, long service payment, sickness
allowance, holiday pay, annual leave pay and payment in lieu of notice? |
A2. |
Commission, good attendance bonus and traveling allowance are included
in the calculation of end of year payment, maternity leave pay, paternity leave pay, severance payment, long service payment, sickness allowance, holiday pay, annual leave pay and payment in lieu of notice.
However, end of year payment can be the amount as specified in
the employment contract. If the amount is not specified, it will
be a sum equivalent to one-month average wages. The items mentioned
in Q1 are to be included.
|
Q3. |
What will
be the consequences if an employer fails to pay wages on time? |
A3. |
An employer should pay wages to an employee when they become due
and not later than 7 days from the end of the wage period.
An employer who fails to pay wages to an employee within 7 days
after they become due is liable to prosecution and, upon conviction,
to a fine of HK$350,000 and to imprisonment for three years.
Where a wage offence committed by a body corporate is proved to have been committed with the consent or connivance of, or to be attributable to any neglect on the part of, any director, manager, secretary or other similar officer of the body corporate, such person shall be guilty of the like offence and, upon conviction, is liable to the same penalty.
If an employer fails to pay wages to the employee within 7 days
from the day when the wages become due, he is required to pay interest
on the outstanding amount of wages to the employee.
If wages are not paid within one month from the due date of payment,
an employee may deem his contract of employment to have been terminated
by his employer without notice. Under such circumstances, the employer
is required to pay payment in lieu of notice in addition to other
statutory and contractual benefits to the employee.
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Q4. |
Can an
employer deduct his employee's wages for absence from work or damage
to employer's goods or equipment ? |
A4. |
Yes, but subject to restrictions. For absence from work, the employer
can deduct a sum of wages which is proportionate to the period of
time the employee is absent from work.
If an employee damages or causes loss to the employer's goods or
equipment, the employer can, in any one case, deduct a sum equivalent
to the value of the damage or loss but not exceeding HK$300. The
total of such deductions shall not exceed one quarter of the wages
payable to the employee in that wage period.
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